A portfolio of stocks I've been building since September 3 is named Volio. It will eventually hold 52 dividend dogs. Volio is the fifth portfolio I've built (at a one dividend dog per-week pace) since 2014. Five portfolios = V for Volio!
Today I'm reviewing the third of five technology sector stocks striving to join my Volio folio. This could be the sixteenth pick for Volio!
That technology sector has nineteen industries ranging from communication equipment, computers, consumer electronics, and contract manufacturing, to health, information technology, and services, to internet, scientific instruments, software, solar, and all such techno-marvels.
My subject today is a large-cap electronic components firm, named, Corning Inc. Their trading ticker symbol is GLW. This is my second report on GLW. My last report about GLW was back on October 25th.
- Corning is a leading supplier of advanced glass substrates used in LCDs, optical fiber, ceramic substrates, and a variety of other materials science products.
- Corning operates in five segments: display technologies, optical communications, environmental technologies, specialty materials, and life sciences.
- Although headquartered in New York, the company’s operations and geographic reach span the globe, with most of Corning’s revenue generated in Asia-Pacific.
Corning Incorporated has a strategic collaboration with Intel Corporation to accelerate the availability of 5G in buildings.
The company was formerly known as Corning Glass Works and changed its name to Corning Incorporated in April 1989.
Corning Incorporated was founded in 1851 and is headquartered in Corning, New York.
I use three key data points to gauge dividend paying equities or funds like Corning Inc (GLW):
(1) Price
(2) Dividends
(3) Returns
Besides those three, several other keys will finally unlock an equity or fund in which to invest, or not.
Those three basic keys, however, best tell whether a company has made, is making, and will make money.
GLW Price
Corning's price per share closed at $28.50 yesterday. A year ago its price was $30.65. So, in the past year its price moved down $2.15, or nearly 7%.
Assuming Corning's stock trades in the range of $25 to $35 this next year, it's recent $28.50 price could rise by $2.50 to reach $31.00 by mid-December, 2020, assuming upward price momentum continues.
GLW Dividends
Motorola's latest declared quarterly dividend was $0.20 per share paid December 13th.
That $0.20 Q dividend equates to $0.80 annually and yields 2.81% based on yesterday's $28.50 closing price.
GLW Gains?
Adding the $0.80 annual estimated dividend to my $2.50 optimistic estimate of Corning's price upside shows a $3.30 potential gross gain, per share, which will be reduced by any costs to trade these shares.
As, for costs, a little under $1,000.00 invested today in Corning Inc at its recent $28.50 price, would buy 35 shares of GLW.
A $10 broker fee paid half at purchase and half at sale could cost us about $0.40 per share.
Subtract that $0.40 brokerage cost from the estimated $3.30 gross estimated gain per share leaves a net gain of $2.90 X 35 shares = $101.50 or a 10.15% net gain on a $997.50 investment.
Therefore, Corning Inc, whose trading ticker symbol is GLW shows a possible 10.15% net gain including a 2.81% dividend yield. It could be more, it could be less.
The above speculation is based on past year performance. The actual results remain to be seen to learn if Corning Inc, is worth your time and money.
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