Monday, December 29, 2014

Why I'll Continue Holding Shares Of Coca-Cola Co

Shareholders of The Coca-Cola Co have had a rough couple years watching rising compensation packages for officers, while sales remain stagnant. I took a recent look and what I see is concerning, but I'm not about to let go yet.
Here's an excerpt from an article published on Seeking Alpha. You can read it here, and the rest of my recent articles at Seeking Alpha here.

With a 52 year track record of annual increases, the current dividend yield at The Coca-Cola Co. (NYSE:KO) should be as safe as houses. Of course, to a dividend growth investor, holding steady isn't nearly as important as steady increases.
From year-end 2009 through year-end 2014 - five years - the company's dividend has risen at a compound annual growth rate (CAGR) of 8.27%. Applying fellow Seeking Alpha contributor Chowder's rule, the sum of its current dividend yield of 2.84% and its five-year CAGR is just below the magic number of 12. I feel a Chowder score of 11.11 isn't necessarily a DGI dealbreaker when applied to a first rate company like Coke. However, the company's gloomy outlook is troubling.

Read the complete article at Seeking Alpha, here.

Saturday, December 27, 2014

Seattle Genetics Is Offering Growth, For A Price

Recently I began coverage of Seattle Genetics (NASDAQ:SGEN) with the expectation it will outperform the broad market. The company's share price took a hit following positive data presented at a recent conference. I expect label expansion opportunities for the company's commercial stage asset, Adcetris to drive growth in the near term. Looking further ahead the company has several promising candidates in early-stage development, and a slew of collaboration agreements.

Seattle Genetics has the industry's leading antibody drug conjugate platform. This technology improves patient outcomes through the targeted delivery cytotoxic agents to the interior of tumor cells. Because the company's ADC technology is so widely applicable, industry heavyweights have beaten a path to the company's door. As the company transitions to the next phase of its growth story, it should enjoy a significant stream of milestone and royalty revenues from an enviable number of partnerships with industry giants.

Read the complete post at Seeking Alpha, here's the link.