Sunday, March 22, 2015

Mastering Pasta: The Art and Practice of Handmade Pasta, Gnocchi, and Risotto

Mastering Pasta has exceed my expectation.  With great detail and clear explanation, Marc Vetri teaches you the secret of making fresh pasta from scratch, baked sheet pasta, ravioli and stuffed pasta, extruded and dried pasta, flavored pasta, hand-formed pasta, gnocchi and risotto.  Photographs of both Italy and the pasta dishes are abundant and gorgeous in this book.  I have not made anything yet but can’t wait for the weekend to try his recipes.  This is the most comprehensive pasta book I have seen and is definitely better than the Flour and Water pasta book.  I would recommend this book to anyone who loves pasta.  

*I received this book to review complementary of the publisher 

Tuesday, February 17, 2015

What is a dividend stock?

A dividend stock is simply a stock that pays out a dividend to shareholders.  The dividend is a payment from the company to anyone who owns the stock. A simple example would be long time dividend stock AT&T (Ticker: T). In 2014 AT&T paid $0.46 per share each quarter. Doesn't sound much but let's do some math to see what you are getting.

Let's assume you purchase 100 shares Jan 2, 2014 @ $34.95/share and held the shares the entire year and received all the dividend payments.

AT&T (T)Q1Q2Q3Q4Total
Dividend (2014)$0.46$0.46$0.46$0.46$1.84

Cost basis 100 shares x $34.95 = $3495
Dividend payment 100 shares x $1.84 = $184 or $46/quarter
Yield $184/3495 = 5.26 %

To be sure you receive the dividend you must purchase the shares before the ex-dividend date. If you purchase the shares on or after the ex-dividend date the seller will receive the dividend payment.

Dividend payments are not guaranteed, meaning the company is not obligated to provide a dividend.  There are many companies that don't pay a dividend.  Usually, a young growing company needs all the capital it receives to continue it's growth.  A mature company that has a large customer base and is making money in a consistent manner will usually pay a dividend.

Disclosure: I do own shares of AT&T.  This article is not intended as a recommendation to buy any stocks mentioned in this article.  I am not paid to write this.