Quote:
Originally Posted by OrangeBlossomBaby
I've had Intel since 1990. The stock split 5 times so far since I acquired the shares. Each was a 2:1 split. Starting price for my stock was around $35 per share. Current price is just under $60 per share. But it's split 5 times, so I own a lot more shares than I previously did, and the dividends are re-invested to buy more shares.
I only had 10 shares to start with, so this isn't a "lot" of money. But if it doubles and splits again, I might be able to squeeze out a check large enough to buy a new car in 2 years when my social security checks kick in.
I had Connecticut Water Company stock, but the company was sold, and the buyer chose to become 100% owners. So I had to cash out. That was the downpayment on our home here in the Villages.
I also had a few Israeli bonds, which I cashed in several years ago because they weren't earning any interest anymore anyway.
My grandmother offered all the grandkids their choice of EuroDisney shares or $5000 cash, when ED first went public. I'm the only one who picked the cash. That stock went kaputz shortly thereafter, and I had a new bicycle, stereo system, and a few thousand to pad my savings account.
I had Lane Bryant shares, but then it went out of business and I didn't even know I had the shares, so never tried to cash them in. I am now the proud owner of a worthless stock certificate. At the time I should have made the decision, the stock was worth around $100/share. My grandmother I believe paid less than $20/share for it.
That was how she used invest in us grandkids. She'd buy stock in our names, and we'd get the certificates for our birthdays, along with a modest cash present we could spend on whatever we wanted.
Intel is the only stock among the bunch that has given me a really good return, with all the splits. Water company split once, which was nice, and what she paid around $2/share for, was worth $70 when I had to cash out.
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OBB,
That is interesting about your grandmother educating her grandchildren about stocks. Experience is the best teacher.
She gave you the experience of owning stock when you were still a kid, and that got your attention and gave you a level of understanding of how stocks work.
You have had the experience of winning. You have had the experience of losing. You have learned things about yourself -- where money is concerned. You have been able to use the experience your grandmother gave you for all this time and you will continue to use it. Good for her. And good for you. Those stock certificates were much better for the future you than a Barbie Doll would have been.
I like the way you categorize or compartmentalize what each stock can do to for you -- this-got-that or this-will-get-that. (houses, cars, savings, income, etc.)
I do the same thing. . .
We can marry stocks. We can date stocks. I have done both. It just depends on what the goal is for each one.
Boomer