Here's What's New In The World Of Investing...

TFS Financial Corporation ($TFSL) Declares $0.2825 Dividend

An incomplete thrift conversion creates a unique high-yield opportunity. TFS Financial Corporation is a bank that was going through the thrift conversion process but never completed the final steps.

As such, TFS Financial Corporation has millions of shares that are on the books, but completely inactive.

This gives the company a skewed valuation and a seemingly unsustainable dividend payout ratio. When, in reality, less than 33% of TFS Financial Corporation’s shares are active. As a result, the company is actually cheap and has a sustainable dividend.

And with a 8.53% starting yield, TFS Financial Corporation is quite the dividend stock!

Yesterday, the company announced its latest payment, a $0.2825/share quarterly dividend that is in-line with the previous distribution.

• Ex-dividend date: 6/10/2025

• Payout date: 6/24/2025

• Forward starting dividend yield: 8.53%

How Buyandhold2012 Turned $4,000 Into $87 Million

If you ever want to see the power of long-term dividend investing in action, look no further than frequent Seeking Alpha commentor Buyandhold2012.

Buyandhold2012 started investing in 1970 and grew his portfolio from $4,000 to $87 million. And he did this while investing in recognizable blue chip stocks like Abbott Labs $ABT ( ▲ 0.55% ) and Exxon Mobil Corporation $XOM ( ▼ 2.42% ).

I recently re-read this interview with Buyandhold2012, and here are three takeaways:

• The power of buy-and-hold investing. Buyandhold2012 has never sold a single share of stock. An investment strategy he learned from his uncle.

“I remember saying to my mother in 1970: ‘Why is Uncle Peter so rich?’ ‘Because he began buying stocks in 1930 and never sold any of them,’ she said. That statement has remained etched in my brain forever and it is the reason that I never sell.”

• Do your research and buy good businesses. Most of Buyandhold2012’s investments are conventional. And, all of his purchases were already established and profitable when he bought them.

“My mother bought me a subscription to Standard & Poor's. It came in the mail. I used to underline every stock rated either A-, A or A+. Then I would underline every stock with earnings that at least doubled every 5 years. Finally, I narrowed the list down to 3 stocks: Abbott Labs, Mobil, and Philip Morris. So those were the 3 stocks that I bought in 1970. I was 14 so it was held in a custodial account until I turned 18.”

• Not buying stocks on a timetable. This was an interesting piece of contrarian wisdom, but Buyandhold2012 does not invest every month or even every year. There are huge stretches where Buyandhold2012 keeps his cash on the sidelines, waiting for a correction.

“Only buy stocks when they're cheap, preferably during a bear market, and preferably when they are in the lower half of their 52 week price range.”

Ferguson Enterprises Inc. ($FERG) Declares $0.83 Dividend

Ferguson Enterprises distributes plumbing and heating products throughout the United States and Canada. This might not sound like the most exciting business, but it’s allowed the company to deliver market-beating returns for the past decade.

Ferguson Enterprises has a 10-year average annual total return of 14.29%.

The company is also a dividend growth stock. And yesterday, Ferguson Enterprises announced its upcoming quarterly dividend. The company will pay a $0.83/share distribution that is in-line with the previous payment.

• Ex-dividend date: 6/20/2025

• Payout date: 8/6/2025

• Forward starting dividend yield: 1.81%