Warren Buffet has a saying be fearful others are greedy and be greedy with others are fearful. i took his approach after finally learning the details of this lawsuit.
I believe that applies to this buy i did today. I was not going to buy anything had no plans but upon further review after looking at the circumstances of the lawsuit that is being brought on by independent drivers of Flowers food. I have seen a lot of buys from the DGI community and i typically like to make my own buys but i think this is one that you regret 10 years down the road if you dont make it now.
This lawsuit is being brought on by 190 some drivers who are contracted drivers out of all that they have similar suit to what UPS was being sued for they settled out of court for 250 million.
Most likely this will be settled out of court for around the same compensation 60,000 per driver. while it will dig into their bottom line a bit they have enough to withstand the payment and continue.
Now onto the buy.
I bought 85 shares into my first postion. total cost 1304.82 including commisions.
Its dividend is 64 cents a share its current dividend yield is 4.20. this purchase will add 54.4 dollars a year or 13.6 a quarter
Disclaimer… I am not a proffesional stock picker so please do not take my word that you have to buy this stock if you do its at your own risk.
I am long on flowers food stock.
My life of investing and hobbies 
Funny thing, I bought some today as well! I bought some before and after the earnings so today got my cost average down. Did not have much funds so small position but I do like the company!
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That is all it takes a small position here a small position there. See what it looks like next week if I can get another position before sept 2 I will try as that looks like the exdividend date.
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I have been watching FLO and actually put buy orders for my taxable and IRA accounts last week. I hope that FLO will come down close to $14.00. The combination of the dividend history and the payout ratio indicates that future dividend payments are likely safe. I also want to diversify my portfolio with the food industry.
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Thanks for commenting. If it dropped some more I would definitely buy some more. They have the cash to keep up the dividend. Even after this lawsuit.
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I bought FLO at 18.80 and sure enough, dropped 20 % after I initiated a position in it. I still think its a quality company and I am ready to add more.
Just started a my first blog after starting my DGI portfolio back in Feb 2016. LOL, new to blogging so its still a work in progress as I figure out.
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Thanks for commenting.
I wouldn’t worry to much about the ups and downs. What matters is the dividend.
Welcome to the community.
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I see that we share some of the same thinking. I started a position in FLO also but I hope that it goes even lower so that I can add some more to my position.
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Whoa I haven’t heard of this company yet but the dividend yield looks fantastic. 4%+ dividend yields are hard to come by! Have to do more research on it before thinking of buying, but good company to look at.
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Never hurts to look I was a little Leary at first but after I found out what the lawsuit was about I knew that once it’s settled Flo will bounce back
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Forgot to thank you for commenting:)
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Nice purchase and thanks for commenting on my blog 🙂
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No problem and thanks for commenting on mind
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I’d really like to average down some more but it’s quite a big position for me already. I may still do it though considering my purchase options are a bit limited with the markets at these levels. I have my eye on CSCO and VZ as well though. Well see what happens. Thanks for the update.
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Thanks for the comment.
Both those stocks you mentioned are good also.
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Ciao DNH,
I am an happy FLO owner too, and started selling options too against the stock. It’s a good company that had a double whammy thanks to not so great revenues in the last quarter and the lawsuit that you mentioned. But fundamentals look good to me and they make BREAD (second only to the mexican group Bimbo). Way to go also with the dividends, I see you’ve just started, but trust me it will only get better! 🙂
ciao ciao
Stal
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Thanks for commenting. I wish I just started I have been investing since 2001. Only have a little to invest each year so have to make the best of it
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Ciao DNH,
Oh I see, sorry! I judged by the amount of dividends in August, so it’s my bad actually… I’ll put you in my read list so that I can keep track of the developments, from a quick look it seems that we have several shares in common… Any chance to add a portfolio section anytime soon?
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I want to but have to figure out how to add them to the page instead of a clickable link
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Ciao DNH,
Try taking a look at this link, it heped me setting up my page: http://www.bdnyc.org/2012/08/how-to-embed-a-live-google-docs-spreadsheet-into-a-webpage/
Hope it helps! Ciao ciao
Stal
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I’ll have to try it from a computer different from an iPhone it looks like
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Check it out now think it work Thanks
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Ciao DNH,
Yes I have seen the sample spreadsheet on the first post (well actually the LAST post), it works fine! Now on to make a page with the holdings and you are set! 🙂
ciao ciao
Stal
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I started a position in FLO at $15.20. Want to buy some more at $14 or lower.
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I want some more also but of course I want others stocks also so lots of decisions
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