Interview with famous investors! How to choose high dividend stocks to increase dividends and profit from price increases

points
・Points to consider when choosing high-dividend stocks
・Trading timing standards
· Most successful/unsuccessful investment experiences

Ponchiyo's Profile
・A popular YouTuber with over 400,000 subscribers who is an individual investor in his 20s
・I started investing as soon as I became a member of society, and while working for a company, I also tried side jobs such as blogging and YouTube
・The target asset of 70 million yen was achieved, and FIRE was realized in 2022/3

Ponchiyo:We place importance on fundamentals. I want to keep it for as long as possible, so mainlyContinuous growth potential and continuous sales growthI'm watching things like that. Stocks that seem to have one-off improved performance and skyrocketed usually fall when the season has passed, and they have to be sold. More than stocks like thatStocks that have sales rising by about 5% every year and profits are rising are easier to hold for a long time.

Ponchiyo:Short-term trading of US stocks is rare. They don't often move positions on daily news, do they? Even if there is a crash, dividends will come in. So I'm curious about “I wonder if dividends are still there.”

Basically, they are long-term holdings, but there are also cases where transactions are short-term.The 3x leveraged ETF SPXL (Direxion Daily S&P 500 Bull 3 times) can be held in a short period of about 1 week.The method of buying when the S&P 500 index falls the most, and then immediately letting go when you think you've earned money is probably the most common short-term trading method. Just recently, I just bought SPXL on the Moomoo app. I don't want to be stressed, so I buy about 1 million yen or 2 million yen, and let go when the index moves about 2% and I make a profit of about 7%. If you can earn that in 1 week, it would be good pocket money, right? Basically, we only trade upward, so we don't buy inverse or leveraged ETFs that make a profit when stock prices fall.

Ponchiyo:In addition to yields, we look at whether dividends are continuously increasing or growing continuously.After that, we will compare performance with the S&P 500 index in a backtest (simulation based on past data). You don't have to outperform the S&P 500, but it is desirable that they are somewhat similar. I don't want to buy high-dividend stocks that are significantly underperforming than the S&P 500.

Ponchiyo:In the case of Japanese stocks, industries with high operating margins are biased. For example, with current high-dividend stocks in Japan, there is growth potential, and when performance is good, it is biased towards nursing care, welfare, and temporary staffing industries. If you buy too much of it, the balance will deteriorate, so it is distributed among real estate companies, etc.

The moomoo app has a sector analysis function, so I'm using that too. There are various analysis functions for sectors, industries, themes, etc., and I think the sectors are quite finely divided. With the stock screener, you can create and save any pattern of screener settings by selecting technology, growth potential, sector, etc.

Ponchiyo:The timing of buying is determined by looking at RSI (Relative Strength Index: index indicating oversold and overbought) when short-term trading is assumed.Since they only buy when the timing has dropped considerably, there is no timing where you can only buy it about once every 3 months, but the risk of losing is low.No matter what kind of decline, in most cases, around 2% quickly rebounds. In other words, it uses the stock's autonomous rebound. Stocks that have fallen due to bad news are also sometimes bought with the feeling that they have bottomed out, so there are times when they are bought aiming for a backlash. It feels like making pocket money. However, if you aim for a 2% rebound and try to do it without stress with a small amount of money, the profit is really too small, so I am investing in SPXL.

In the case of long-term investments, try buying 1 unit for the time being of the stocks you've screened and arrived at, and then increase the number of shares held by looking at technology.I buy long-term ones when they are cheap, so I don't care about the slight difference in stock prices.

Ponchiyo:If you're aiming for profit in 5 years, I feel like 10% and 20% now are errors.When it drops a lot, I buy more points. Or, at such times, they may search for other good stocks, raise funds, and buy different stocks.

There are times when we fail even for a long period of time, so we work at a loss at the end of the year. Since there are quite a few dividends, etc., there is a lot of confirmed profit, so if there is an unrealized loss, adjustments will be made. The portfolio has also been improved quite a bit, so it won't be such a big loss. The market isn't that bad this year, and there doesn't seem to be much unrealized loss.

Ponchiyo:I don't like it because it sounds like Meeher, but I think it will be NVIDIA stock based on earnings amount. The first time I bought it was in 2019 before COVID-19, and I think I was lucky that I paid attention to NVIDIA since I originally liked games and PCs. I bought more in 2021, and that has nearly tripled. I still have NVIDIA shares, but I think dividends will increase even more if I replace them with high-dividend stocks, so there is a possibility that I will sell them when the timing is right.

The one with the highest profit margin was Tesla stock, wasn't it? When I was in elementary school, I first learned about Elon Musk after watching a TV program about the SpaceX rocket business, and I became interested. I learned about Tesla later, and directly thinking Musk was cool, which led me to buy Tesla stock for the first time (laughs). Of course, business performance was strong, and the fact that they are at the cutting edge in terms of technology was also a buying factor. The purchase price wasn't that big, but it has increased by about 7 times.

Tesla shares have also been around for quite some time. I don't feel stressed about holding it for a long time. I think it's quite important not to feel stressed about long-term ownership. In the end, everyone buys when it's popular and sells right away, but I think growth lies beyond that.I don't think people who let go right away will be able to seize big profits forever.

Money forward stocks were the ones that made the most profit in Japanese stocks. We sold this a long time ago.

Ponchiyo:It's rising now, but the loss cutting experience when Mercari fell drastically was intense. At the time, I still didn't have the concept of cutting losses, so I was really shocked. I held it for a short period of time. I started using Mercari myself, and I thought “the Mercari app is amazing,” and I bought it with almost no research on performance, etc., but the unrealized loss went down to minus 5%, 10%, and 20%. At that time, we didn't set a loss cut line, and since we had it for a long time, I thought it would be okay to drop slightly, but now it's 20%, and as expected, we decided to let go. I don't think 20% is that big of a drop, but since the beginner's luck had continued until then, the psychological shock was pretty big.

At the time, I had other stocks that were falling, and I clearly remember cutting losses for the first time on the sofa at my parents' house on the weekend when I was freed from work. It wasn't that much in terms of money, at 160,000 yen, but when I started investing, 160,000 yen was almost the same as my monthly salary, so I was shocked when I thought “I saved my salary and bought it.”

After that,The fact that I don't make a fidgety investment is that I do thorough research before buyingI made up my mind about that. Before that, “it's going to go up anyway, so isn't it OK not to cut losses?” I was thinking, but I think it will be different for each brandAfter all, I thought it would be better to decide on a loss cut line in advance.

Also, I thought it would be really bad if I didn't study about investments, so I started reading books. Until then, I had been doing it as an investment, but now I borrowed books about stocks, such as fundamentals, at libraries and the like and read them.