Per a recent article posted today (February 10, 2014) on MSN MONEY the 5 highest yielding stocks were written-up. They include
5. GENERAL ELECTRIC:
I would never recommend buying one individual stock no matter how attractive the yield. It is extremely important to diversify your portfolio. There are many ways to build a portfolio of high yielding stocks that is extremely diversified on the following parameters:
1) Asset Classes 2) Sectors and/or Industries 3) Geography 4) Market Capitalization 5) Weighting Methodology
For examplet, our low cost Multi-Asset Income Model owns 15-20 different ETFs that collectively produce a yield of approximately 7.5% while having some growth potential as well.
There are many pitfalls to simply chasing the highest yielding stocks. One needs to factor in the quality of those dividends as well as the sustainability and growth potential.
Hope I have raised some issues to ponder and made you think about changing your question!
While guys like the Mad Money guy and others would lead you to believe you can always chase returns and the "next big thing", there are so many ways to create a complete diversified portfolio that I would never recommend individual stocks. Unless you can sit in front of your computer all day and you have the ability to analyze a ton of data at the same time, I would recommend you leave that to professional portfolio managers. I hope that helps!
All large company stocks are fairly valued at any given time by the market. To say one is better than the rest is to imply that you have better pricing skills than the market as a whole. With large heavily traded stocks, this is highly unlikely. Mr. Armijo offers reasons to buy Intel - but his reasoning isn't unique to him. Are there any investors who aren't aware of the trends in cell phones and robotics? So if all stocks are fairly valued based on the market based on information available today, what you really need to know is what we DONT know today that we WILL know tomorrow. And that is impossible. Since you don't know whether the "new news" about any particular company will be good or bad, the best approach is to own a selection of stocks. Hopefully those that disappoint will be offset by some that do well.
As for those predicting a fall in the market - they may be right, or they may be wrong. Perhaps if you have enough money to invest you can invest a little at a time over an extended period of time, which lowers the risk that you will buy into the market at its peak. This is called dollar cost averaging.
I wouldn't recommend any of them. With stocks at such high current levels I recommend going to cash and waiting for the chance in the near future to pick up blue chip stocks at a fraction of the current market.
Instead of 'beating around the bush' about a well diversified portfolio (of which you hopefully do have); it seems you want to know which of the 5 is a suitable investment. If you can buy and hold for 3-years or longer I think you would do well to invest in INTEL per recent articles Zi have read about the future of tech gadgets like cell phones, stablest & the forthcoming age of robotics & nanotechnology.