126 - What If You Invested $10K in These 5 Dividend Aristocrats 30 Years Ago?

What if you’d invested $10,000 in five dividend aristocrats 30 years ago — and never sold?

In this episode, we break down the true compounding power of dividend reinvestment (DRIP) versus taking the cash every quarter. From stock splits to spin-offs, we traced the dividends, the share prices, and every wild twist in the story — including a jaw-dropping $2 million+ result for two of these “boring” blue chips.

We cover:
 📈 KO, PEP, WMT, ADP, and MO — 30 years of dividends and DRIP
 💰 The shocking impact of stock splits and spin-offs (Coke, Walmart, Altria)
 📊 DRIP vs. Cash Payout — who wins and by how much
 🔥 The power of compounding — and what it means for investors today

By the end, you’ll know exactly why time in the market beats timing the market — and why dividends are more important than share price.

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**DISCLAIMER**
Ticker metrics change as markets and companies change, so always do your own research. The content in this podcast is based on personal experience and is for educational purposes, not financial advice. See full disclaimer here.

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Transcript

Welcome to roaming returns a podcast about generating a passive income with dividend stocks so you can secure your finances and liberate your life.

 Ever wonder what would’ve happened if you’d just invested ten grand in a few dividend aristocrats thirty years ago — and actually reinvested your dividends?
 This week, we ran the numbers. Five stocks. Three decades. Two of them ended up over two million dollars, and the dividend income alone will blow your freaking mind.
We’ll show you how DRIP versus cash payout changes everything, what stock splits like Walmart’s actually do to long-term compounding, and how one ‘boring’ stock quietly turned into a mini retirement empire.
Grab a calculator — this one’s gonna hurt (in a good way). 

We've been taken hostage. Please send money. What do you mean we've been taken hostage? Look at like, oh, we're missing like this back here.
If it was like a blank white wall, we'd just be hostages. Why? Nevermind. It's not funny if you don't, if I have to explain it.
But if you explain it, you always have to explain your jokes because I'm too stupid to understand. So we moved all of our shit out. So we have nothing here.
So, you know, welcome to the tail end of the nightmare. It got dark out, so we're doing it in a condo. That way you can actually see us.
All right, so this week's episode is about what, Tim? This is gonna be exciting. This week's episode is about dividend aristocrats. What I did is I just picked five random dividend aristocrats and I did a hypothetical.
I backdated it 30 years. So if you bought $10,000 worth of stock in any of the five, I'd ran the numbers from October of 1995 to October of 2025. What they'd be worth today, and we have a breakdown of the dividends you would have been paid out and if there were any stock split situations.
How many shares you would have, what your account would be worth, how much you made, and all that fun shit, so. But key word, $10,000. That's not a lot of money.
Not a lot of money at all. And the first one is Coke. Coke.
Coca-Cola, the stuff that cleans toilets. And people drink. And people drink.
It'll take the freaking paint right off the hood of your car. It's one of Warren Buffet's favorite things. I'd probably be like, so we'll go over to the spreadsheet here.
Yes. I actually had to input this shit in the spreadsheet, so this shit took a hot minute to make, so you're welcome, all eight of you that watch. There's more than eight.
Okay, the first one's Coke. In 1995, if you had $10,000, you would have got 570 shares. 570.
And the dividend at the time was 36 cents per share. The annual dividend was $205.20, $205.20 for your 570 shares. The average closing price in 1995 of Coke.
Now, it's very difficult. I didn't have a 30-year chart where I could go back to the exact day. I'd be like, okay, on October the day the dividend paid, this is how much it was.
So I just did the average price of Coke for the year. So it may not be 100% accurate, but it gives you the general idea of what the dividend aristocrats, why people get boners for them. So I was also gonna say, the annual dividend, what do these guys pay out, quarterly? Quarterly, so it's four.
So we didn't actually do the intermittent calculations of each quarter. That just would have been a lot. The 30 years gives you a ballpark.
So I assume it's close. Close enough to make the point that this is awesome dividend, that growers are amazeballs. Yeah, so the 36 cents actually would have been nine cents per share.
So that's at dividends per share per year. So you're talking about per quarter? No, it's for the year. Yeah, so it's yearly, per year.
Well, don't talk about per quarter then, unless you're trying to compare it to today. So you would have been getting nine cents per share per quarter for 36 cents total for the year. Out of your 570 shares would have got you $205.20 in annual dividends, and the average price was 15.83 during 1995.
So it would have got you none, because it was October and there was no dividend. So the 570 carries over to 1996. But I did that the whole way from 95 through 2025.
The only two caveats with Coke is in May of 1996, Coke had a two-for-one stock split. In the first 10 years, two-for-one, meaning for the 570 that you had, you would have got 570 additional. So you then would have had 1,140 shares after May of 1996.
But you see the numbers start to add up. So why don't you go on five-year increments or 10-year increments? Tell me, that's what that number is there. But you see where it looks like it was a dividend cut, you went from nine cents per share down to, what is that, six, six and a half or whatever.
So you went from 36 annual to 25 annually. But when they do stock split shit, they do some weird accounting where it's actually not a dividend cut. So whatevs.
Really? Yeah. But they actually did a share or a dividend pullback. Yeah, but it wasn't a cut.
It's one of the weird accounting things that I ran across with a couple of these I was looking at. It's not technically a dividend cut because they do accounting things where they are still paying more than they did the previous year or something like that. So we'll do 10 years real quick.
From October of 95 through October of 2005, you would have collected around 7,000. It was 7,083.92 to be exact. In what, dividends? In dividends.
And with Drip On, you would have had around 1,388 shares, a little over 1,388 shares. So you went from 570 and then you had the stock split plus whatever your dividend drip would have done up to 1,388. So your account balance after 10 years was 2,966.
What does that say? 6,89. Almost 30,000. So you've tripled your money in 10 year time.
That's really good. Because the stock market, what? Doubles every seven? Every seven. On average.
So right now you're like, ho-hum, ho-hum, whatever. Ho-hum, whatever. Oh my God.
Coke's a loser. Coke's a loser. But then what happened? We'll talk about the dividend per share increase.
It went the whole way from, we'll drop back to the 25 cents after the stock split per share for the year up to a dollar. Yeah, so you had a 75% increase in your dividends per year in a nine year period of time. That's why when we're discussing the retirement account, I'm always talking about dividend growers.
Dividend growers, even if you start at, I'm pretty sure this was around 3 1⁄2% dividend yield at the time of the experiment started in 95. And even at 3 1⁄2%, even if it stayed at 3 1⁄2%, you still are growing it. What is going on over there? I'm gonna do a calculation.
Oh, okay. She's gonna calculate. Let's watch.
Keep talking. Well, dividend growers are super important because they grow the dividend every year. That's why people are drawn to the dividend aristocrats because you know that you're getting a raise every year.
The problem is you start with such a small yield generally that it does take a few years of compounding for your yield to actually amount to anything. Whereas you can start with these high yielding things. Nowadays, they're like seven, eight, nine, 10, 20, 50%.
And next week, I actually have 10 weekly ETFs that pay out weekly. One percent. So 1.1% around there.
So next week, I have 10 ETFs that pay out weekly. And I'm gonna go through if you had 10,000. So it's gonna be the same thing as this, $10,000 in these ETFs, how much you would have after.
I did a seven-month time frame, except for one had six months because they're new, so they don't have a history like this. Just for sags, chits and giggles. And you're actually, when you first started this, you were only collecting $205.
But after 10 years, you're collecting almost $1,400 a year in dividends. So you went from 20, what's 20, 205 divided by 12. You went from $17, a little over $17 a month in 95 to almost $116.
So you damn near are making almost $100 more per year or per month in the 10-year time frame. So this one's actually, this is why Warren Buffett and a lot of the experts use Coke as a poster child for the dividend aristocrats and dividend growth stocks. And if you look at the actual average closing price, so it started off $15, did the share split, $22.
Then it bumped up into the 30s, 31, 36, 30. But then it drops back down into the 20s again and actually held pretty consistent because 2000, 2001, 2002, it dropped down to around, it was hanging around the $24, $22, $23, $21, $21 before it jumped up in 2007 up to $26 a share. So that was riding pretty much sideways, which is pretty impressive.
I want you guys to really, for all five of these, just this column here is super important. The drip shares. Like how? Fast the drip happens.
Like it starts off when you're making a snowball. It's a little tiny thing. You can't pack it.
You're like, oh, it's all fluffy. Look at after 10 years, you're making. The snowball roll.
Okay, so you went from 96. 65. Six extra drip shares for the year.
If we jump ahead to 2019, extra drip shares. If you jump ahead to 2004, 50 drip shares. You jump the whole way up to 2008, 80 drip shares.
So let's do it. I don't want to spoil it to the 20, but if we're hitting the 20, is this what the 20 is, 2015? You'd have 139 shares that are actually like buying from your dividend reinvesting. That's juicy.
So let's look at the next. So the next 10 years would be 2006 to 2015. Well, if we go scroll back up to 2000 real quick.
If you remember, there was a dot-com shit that hit the fan in 2000. That's why the prices are so ridiculously cheap there. You mean there was a bubble implosion? Yeah, there was a bubble pop.
If you remember, I don't know. If you're old enough to remember the bubble pop of the 90s. The 90s and the aughts.
The dot-com bubble pop. So Coke held up pretty well during that if you look at the average price. It didn't really go like, because that was a pretty big market loss in 99.
To 2001. Okay, 2006 to 2015. In July of 2012, there was another two-for-one stock split.
So I just took that from the very beginning. So I took the shares that you would have had in 2005, the 1388, and I did the two-for-one with that. I know it's not right, but I don't care.
So that actually means you'd be getting less, right? Yeah, so this is not even accurate. Now, I said it's not accurate. It's just an illustration.
So that would have actually made you have 2,776 shares at that point, but until I did that, and actually now in my spreadsheet I did, so my notes are fucked. In my spreadsheet I did, you have the 2,000 shares in 2012, and then you have the 4,000 shares in 2013. But they did another two-for-one stock split.
So that's twice that you got. So you got four shares per every share you earned in Coke if you held it for 20 years, which is pretty sick. Amazing.
So after 20 years, you would have had, which would have been in two. So in 2015. 2015, you would have had around 4,350 shares, 4,350 shares, and you would have collected around 32,000, a little bit over $32,000 in dividends, meaning that your initial $10,000 investment would now be worth about 180,000.
Yeah, that's crazy. Again, let's look back at the beginning. 20 years, you started with 570 shares and just under $10,000 in value because it went down that first year.
20 years later, 4,346 shares. And you saw a few. And 180,000 chilling in your account at that value mark.
But if you look through 2006 to 2015, Coke didn't actually raise its dividend too much. It's been consistently how Coke has done it. They only raise it a little bit here, a little bit there, a little bit here.
We'll get to somewhere down the list here where they raise them like they're crazy raisers. Well, I don't think these are too bad. $1.12 to $1.24 to $1.36 to $1.52. Now, when you break those into the quarters, it probably is like a couple centimeters.
Three cents, four cents, three cents. So it's three and four cents per year is basically what they're doing. And then they reset that obviously after the stock split.
Again, it wasn't a dividend cut even though it looks like one and because stocks split, they do some crazy accounting. But look at that column E there is your dividends per year that you're collecting. You're starting to get some ridiculous numbers going on there, dividends per year.
So again, 5,700. Yeah, remember, so that's after 19 years for the first year, 1995 you had not very much. 5,700 in dividends.
Yeah, and then the average price didn't really deviate too much from 2006 to 2015. It went up a little bit. It went up a lot.
It jumped the whole way from 22 to 21 to freaking 41. For the stock split? For, okay, stock split. That's like 4X.
So stock split would mean, I always forget about stock split. I don't know how they do that. I honestly don't have the answer to that.
So if you know, please tell me. If they do a stock split, what happens with the share price? I would imagine if they do a two for one that the share price would be cut in half. It would get cut in half.
And if it got cut in half and it still had a value increase of that. But then I don't know how they. Oh, if the historical data actually incorporates it.
If the historical data might actually have the stock split already in it. So this all might just be using the stock splits with the data. Okay, that is very possible.
But you see that you're making about 140 shares per year here in 2015. And yeah, it's all good. And the third.
New shares, block. Third block is from October 15th to the present. You would have collected about $88,000 in dividends from 2016 through 2025.
And you would have a little under 6,000 shares. And your estimated value of your Coke stock after 30 years will be about a little over 409,000. That's insane.
$10,000 investment up to 409. Yeah, you're like. Crazy.
So after 27 years, you're actually making more per year than you actually invested. You see that 10,288, 10,950, 11,512 per year. That's crazy.
That's more than you actually. That's actually a really good note. In 2023, you would literally be making more in a year than you invested initially.
Booyah. That's pretty dope, right? That is pretty dope. So you look at, so the total estimated dividends collected over the 30 years was about 127,463.
And the total estimated shares accumulated through a drip and stock splits was about 5,364. That's insane that you've basically collected almost 5,400 shares. That's crazy.
You started out with 570. And 125,000 are. 570.
127,000. Up to almost like 5934. So that's why Coke is the poster child.
It's consistent three, four cent dividend growth every year. Just drip it in. And that's why people love this one as a dividend aristocrat.
Now, we have never talked about owning Coke. I never will. I don't care.
Yeah, but do you have any reason why? I'm just. Don't like the metrics? I work there and it's shit. So we did the counterpart, Pepsi.
We have talked about Pepsi. And we actually are in Pepsi currently. Now Pepsi, you'll see the price.
Well, you'll see it at some point. The price actually is a lot better. But Pepsi only had, the last stock split they had was in 1996.
96. Yeah, so they did a two for one stock split. Oh, so they did a stock split the same year that Coke did their first one.
Okay. So you went from 470 up to 99. So the share price was a little more for this.
So your 10,000 would have only got you 470 shares versus the 570 of Coke. Yeah. But again, you start small here.
Same dividend per share. 36 cents, it's a tiny dividend. For the year.
So that's nine cents per quarter. Your annual dividends are kind of trash. Your average.
170. Closing price around 21, again. So then they had the stock split in 1996.
Your 470 became 940 plus whatever you've accumulated in drip. So that one's whatever. So the jump to the 10 year.
So from October 95 through October 2005, you would have collected around 3,500-ish in dividends. And with drip on, you would have it held around 1,030 shares at that point. Your $10,000 investment was now worth around 53,000 or 57,000.
57,000. So not too shabby. Like so far, you're outperforming Coke.
Coke, remember, it was only like 30,000. But you have another, Coke had another stock split. That's the key.
They did. That is a big difference. That's the big difference between Coke and Pepsi, as you'll see here.
But Pepsi also has a higher share value through this whole thing. So keep that in mind as well. Because Coke was floating between the 20s and the 30s.
And then it went up into the 40s for a couple of them. Pepsi over here started in this 20s, moved up into the 40s, all through the years that Coke was around the 20, $22 mark. And then it bopped up into the 50s, 60s.
I think it's way better. 90s and 20, 2014. So.
And this is another one. If you remember in 2008 to 2009, we had a huge recession in America. And Pepsi's price held up pretty good.
So that's another reason why people like Coke and Pepsi, because they're consumer staples. People, it doesn't matter if they don't have any money, they're gonna go buy their sugary drinks. Yep.
So from 2006 to 2015 with Pepsi, you would have collected about 19, a little over 19,000 in dividends. And after 20 years, you'd have a little over 1,250 shares. Do you have one, what is it, 1,255? So that number did not jump as much as it did for the first 10 because of the stock split.
So it went from 470 up to the 1,020. And then we just jumped from 1,020 up to 1,255. Plus the price of the shares has gone up.
So you're getting a lot less shares per drip reinvestment because of the share price going up, right? Yeah. Yeah. That's what kind of sucks.
You're not collecting near as many. Yep, shares. Dividend reinvestment shares.
So like only 10, 36. And then we do the 2016 through the, and again, if you remember, 2020 was another fucked up year. And Pepsi held up just fine.
So 2016 through the present, you would have collected an additional, like a little over $62,000 in dividends. With Drip on, you would have had a little under 1,700 shares, 1,670 shares. And your portfolio would be about 200, a little over 237,000.
So this one didn't do near as well as Coke did. Coke was 409, this one's 237, but your share price is ridiculously high. So I don't think you'd be too upset, but like if you bought Pepsi as opposed to Coke for like 30 years ago, you'd be pretty pissed.
You're like almost twice as much in Coke that you have in Pepsi. Yeah, because look at the ending in 2025 right now, the price of, or wherever Tim pulled the number, Coke was $69 a share basically. And Pepsi's the whole way up to 142.
So again, smaller drip reinvestment. And you might get a lot more in your eyes for the share increase, but when you actually factor in the long-term with that drip, with the extra share accumulation, and that second stock split over in Coke, really freaking catapulted stuff. You see like with Pepsi we actually never made more than you initially invested.
You know what I mean? You're not even close. It's probably gonna be 2033 before you're actually making 10,000 a month. Which again, if you bought it, I'd still hold on to it because it's still a big 10,237.
The best I can estimate is you have like 84,000, almost $85,000 in dividends collected over 30 years. And you have- Compared to the 127 of Coke. Accumulated about 1,200 additional shares through drip.
Seriously, look at the difference between Coke's ending shares, 5,934. And Pepsi's is 1,670. That's huge.
That just shows you the power of the compounding because the only difference between Pepsi and Coke was that- Share price. That stock split. And the stock split.
The stock split. But the share price really does, that's where that drip is. That's why Tim turns the drip off when the prices go up and he turns it back on when they go down.
And he's always moving them around because and then buying more shares in the lower price stuff because it really, really, really does compound things. So the next one is everybody's favorite store to hate, Walmart. Ha, ha, ha.
Store to hate? Yeah. The Wally world. Wally world.
If you were on, if you had the capacity to say, hey, Walmart has some good shit going down. From a business standpoint? Yeah. Because you look at the price of Walmart in 1995, it was $4.
You had- God damn, are you freaking kidding me? 2,460 shares had you bought it in 1995. Holy hell. Dividend wasn't much to talk about.
13 cents for the whole year. 13 cents for the year. So that's like a little over 4 cents.
But for $4? Yeah. So from October 95 through October of 2005, you would have collected about 9,800 or almost 9,500 in dividends, 9,462. So that 13 cent a year dividend for the $4.06 per share is a 3.2% yield, which is way more than Coke and Pepsi would pay.
Just FYI. We're going to look at a couple things here why Walmart, I think, is actually, if you can find the next Walmart when it's like under $10, like your annual dividends are a lot higher to start off with. Remember, they were 200 and like under 200.
You're already at 319, but your drip shares are, you're accumulating so many shares because it's so cheap. First year, you're already at 90 extra shares. That's crazy.
So that's insane. So if you can find, like that's why people are always hunting for like the next NVIDIA and the next Amazon or shit like that. Chipotle, blah, blah, blah.
So you would have collected almost 9,500 in dividends and you would have had about 30, like a little over 3,000 shares. You're like, so you've collected already about 600 shares in Walmart stock in like 10 years, which is crazy. And your- And the stock price went from $4 to $16.
And your $10,000 investment's almost at 50,000 already. So 4X, very nice. And those drip shares, 111 already in that thing.
Woot, woot. So from 2006 to 2015, you would have collected about 57,000 in dividends. With Drip on, you would have around 5,200 to a little under 51,59, so a little under 5,200 shares.
That's crazy. Already at the 20-year mark, holy shit. And your estimated portfolio value is like a little over 125,000.
So you're not like going crazy. Yet. Yet, but we have more to go to with Walmart.
Yet, because it doubles every seven, like if you're at 10%. So from 2016 through the present, you would have collected another $165,000 in dividends. You see, I just want you to look at, after 30 years, their dividend went from 13 cents to 250, so their dividend went ballistic over a 30-year period.
Oh my God, when did that change? It went from 95 cents back in 2008, dollar nine, dollar 20. 46, 50, 88, 192, 196, two. Wow, it was really dropping.
240, holy shit. I mean, the share price did go up too a lot, you're right. So you would have collected a little over 165,000 in dividends for this 10-year period.
That is crazy. And with Drip on, you have over 9,000 shares. You almost have 91, you almost have 9,100 shares, which is insane.
So what's crazy about that one, we said back on Coke, 2003, 23 was when you hit the more yearly dividends than you invested in. This one hit that back in. 20 years.
Yeah, right at the 20-year mark. That's crazy, crazy. And 9,060 shares at the end of 2025.
So after 30 years, your portfolio balance is now almost $884,000. That's crazy. Let's look back at Coke real quick.
Coke was like, whoa, poker shot. Just under the $6,000 share mark, and 410-ish, 409,000 was the value at the end. 883.
That is, holy hell. That's sick, right? But do you see, for you've been collecting so many shares at this entire time with Walmart, so all the way, you're just banking shares. Seriously, Drip shares, 90, jump ahead 10 years, 111.
The lowest year was 36 was the lowest amount of shares you dripped in a year. Yeah, it was the 1999, right before the 2000. I don't know what happened with that.
That's crazy. Oh, that was because there was a massive share bump, or a value. It went from $9 all the way up to 16, so that was a pretty big price jump.
When you look at that, though, from the last 20 years, you've been collecting over 100 shares a year. That's insane. Walmart's like, so Coke is the one that always talk about.
They're like, oh, Coke's the most reliable dividend. Like, no, man. People that invest in Walmart in 95 are fucking geniuses.
2016, you were literally making 472 extra shares that year. 472, holy crap, and it's gone down because the price has exponentially gone up since then. It's from 28, 34, 33, 46, 46, 42, 54, 79, 97.
It really climbed up the last couple years, hardcore. So the share drip went down from 425 to 350 to 267 to 232, so damn. So you made, over the 30 year- I thought Walmart just had a stock split.
They might have. They did. We talked about it back in the podcast.
So that's not incorporated into here for whatever reason. I don't know if the historical thing just didn't pop it up yet. I think it was earlier this year, wasn't it? I think so.
Yeah, so that might not have been factored into this crap yet, which. So over a 30 year period, you collected $232,000 in dividends. Crazy.
But your total share accumulation was about 6,000, almost 7,000, 6,890 shares. Your portfolio just went crazy. Like this one went crazy.
And they did do a stock split, but I actually didn't. I was just doing historical data. I actually did pull up the 2025 data.
So if they did a two for one, you have like 18,000 shares. Did they do a two for one? I can't remember. It was a two for one? Oh my God, that'd be even crazier.
Is that the current price right now, 97? Yeah. So that would actually possibly be double than this, like 1.8, 1.9 million? Oh, it was 24. It was a three for one.
Three for one? Yeah. So I just looked it up. Whoa, whoa, guys.
I just Googled it. Whoa. In 2024, Walmart completed a three for one stock.
Oh, a three for one stock split. So if we jump back to the 2023 mark and we take three times this amount of share quantity, yes, is that what we're doing? 2024. They did it in 2024? So I should take that tripled? Yeah.
Okay, so 87, 92. Whatever point nine, I don't think they do round. We'll just do round times three. You would have oh my god, I'm gonna pee myself.
26,376 shares and I'm not even gonna add the extra ones for the next two years. So like let's just pretend you got no new shares, you just took cash. Two years go by and the freaking share price jumps up to we just looked at it.
It's $109. $109? Jesus Christ! Your value would be $2.874 million. Oh my god, $2,874,000.
In Walmart. Oh my god, in Walmart. So yeah, Walmart way better than Coke.
Landslide. Holy crap. You should probably make a note over here.
I'll fix this for later because we'll probably link it in the show notes so you can see. But oh my god, guys. Whoa.
Yeah, so that's... We'll fix the numbers because it'll actually be more than the $2.8 million because I didn't even calculate the 2004 and 2005. Holy... Holy balls, right? Crap balls. All right.
So the fourth one is the paycheck company ADP. I just picked one. I recognize ADP because my dad runs his payroll through these people.
Or something, taxes. This one was actually pretty well... I mean, it was on its way to being super established in 1995. You see its share price is pretty good already.
At $114, yes? $114. I'm reading the wrong column. My bad.
So... So you got 700 shares with $10,000 in ADP in 1995. This is just to show you that not all... Oh, okay. That's where my brain... Not all dividend aristocrats are that great.
Yeah. Or well-known or like super coveted. Yes, yes.
Okay. So you started off with 700 shares. 700 shares.
Again, 20 cents per share in 1995. Nothing to write home about. So after... Oh, they had a two-for-one stock split in 1998.
So your 700 shares would become 1,400 shares just for simplistic reasons. I just put the form. But so like you became 1,470 or whatever with the math.
So 721 to 1,470, yep. So from October 95 through October 2005, you've collected around $3,000 in dividends is all. And with Drip on, you'd have around 1,500 shares.
I want to see what their original dividend was. 15, 15. 20 cents divided by $14.28. 1.4%. So what it's like, they've all been pretty small.
Like they're only... We're talking one... Except Walmart. One to 2%. The dividend... Walmart was 3.2. 3.2%. But again, those 20... Oh, that's right.
Because it's $4. $4. So they're not super... That's like one of the bitches that people have about the dividend aristocrats is that the yields are trash.
The yields are small. They're like 3% on average. I think they're gone up now because a lot of them have dipped down in prices.
But 3%, whereas like new ETFs and other stocks and stuff are 10, 12. Like we talk about 18% yields, some 33%. And now that you got Yieldmax and Roundhill in the game, you're like 50%, 100%.
So these 3% don't look real juicy on the surface, but they're the long haulers. Now, that doesn't always work out for people who don't have the long time span, but you see the point here. Doesn't mean you can't set your stuff up into a thing that auto drips for your kids.
Something else like this could be like that. If you invested in Walmart, you've actually created a legacy for your kids. Right.
At $3 million. Can you imagine literally popping a kid out and like setting up an account, just buying Walmart shares and setting up... Set it, forget it. And then when they hit 18 or whatever, you'd have like 2.8 million.
2.8 million. So you have a little over 1,500 shares and your portfolio value is now... Where you at? 66,000-ish around there. Yeah, 65.8. So it's growing pretty well.
That's two for one stock split. So if you can get into a dividend aristocrat at a decent price, when they say we're doing a stock split, you should. Because it seems to be that when they do stock splits, it's a game changer for the rest of the investment economy.
The ones that have done it in the past will typically do it in the future because they don't want their share prices being astronomically ridiculous. They want people in. So then we go from 2006 to 2015, you collected about a little over $20,000 in dividends in ADP.
And with the drip on, you would have around 1,840, almost 1,840 shares. And your account value is at a little over 140,000 at 140,309. So yeah, whatever.
What do you mean, yeah, whatever? And then from... Well, let's talk about the dividend. So it started up at... What was it? 20 cents. 20 cents? No.
Yeah. Okay. 20 cents up to $2.04 for the year.
This one's a huge... This one's like Pepsi. It's a huge... Like the dividends grown a lot in like the last 30 years. Well, look at the freaking share price.
It went from $14 a start. Then it was in like the 30s and the mid, beginning of aughts, aughts. Then it hit the 40s starting in 2024.
And it kind of like sat sideways, 41, 38, 42, 44. It didn't hit the 50s till 2012. Then it popped up into the 80s just in 2014, 2015.
And then hit 106 in 2017, 131, 159. And then it jumped up into 2000. We're not to that part yet.
Sorry, I got excited. I will stop. So from 2016 to the present... It grew a lot.
The share price just... Took off. Went crazy. Yeah.
So it started at 76 and jumped up to 302. So you're dripping a lot, like a lot, not very many shares. But those shares are worth a lot more.
So you got that. You've collected about 72,000 in the last 10 years in dividends. 71, 777.
And with drip on, you would now have about 2250, 2,238 shares. You didn't do a comparison chart, did you? No. But the last two years, you actually are collecting more than your initial investment.
And I think that if I was doing a dividend aristocrats, which we have a couple in the retirement account, that's the amount when I start making more than my initial investment, that's a success to me. I'm just saying. And this one hit that 2024.
But because of that ridiculous share price, we went from 140,000 in 2015 to up to almost 700,000 in 2025. You're at 678 right now. That's crazy.
But that share price could always go down. I mean, I don't know that it necessarily will. It could, but... I've never even heard of a competitor for ADP.
They must have a hell of a moat. So like this one is the only one I could come up with that you collected less than 100,000 over a 10 year period. You only collected 95,000 in dividends over the 30 year period.
So the value went out of control, but the actual dividend accrual was not. Let me see the dividend in 2025. It was $5 and 40 cents.
Yeah. But the share price is a hit. You went from 20 cents up to $5 and 40 cents.
So I'm assuming it was 540. That's what I'm looking at right now. Oops, bad numbers.
But 40, 302. It's only 1.7. So the dividend is pretty much stayed consistent, 1.8%. You're just getting a lot more payouts or a lot more money in your payout because... A lot more value. A lot more value.
But it's cool that it actually... You got your initial investment per year hitting 2024 going forward. So that's cool. Okay.
So the last one is one that I actually... Where's your num nums? Oh no, we have none. Should I go get the bag? No. Wait, wait.
I'm going to go get the bag. This is one that we've actually held for a while now. We have the stock in the van life portfolio and we have the bonds.
We have two or three bonds in the retirement portfolio. It's the Altria, the MO stock. I like MO.
Oh, this is the amount of num nums I went through in the last, I don't know, year or so. In 1995, you could have got Altria for $5.69. So again, it's a lot like Walmart. But you look at the dividend per share, that's a lot different than Walmart.
See that was $0.13 in 1995. Altria started... Like you started with $0.44. For... Per share. $5.
Oh my God. This is like 7.7% yield. So this one's actually been pretty consistent too between like 5% and 8% as well.
So like this one's always just been a higher... Now what this doesn't tell you though is when you bought the shares at $5.69, you were actually buying a company that had Kraft, a part of what Kraft currently has now, and a part of what Philip Morris currently has now. We'll get to that. With $10,000, you could have got 1,750 shares.
It's a lot. Starting off a lot. Starting off with a lot.
Not as much as Walmart. This one I don't believe had a stock split, but it didn't need a stock split. We'll get to that.
It didn't need a stock split. So from October 95 through October 2005, you'd collected a little over $31,000 in dividends, which is ridiculous because those other ones you saw, look, there was $2,000, $3,000, $4,000. So this one is just off the charts already with the dividends that you're collecting.
And with Drip On, you would have about 3,700, almost 3,700 shares. So your $10,000 investment is now worth a little over $58,000. That's crazy.
You're already at that level with no stock split. That's insane. And then here comes the fun part.
Now, this is where shit gets wacky, as I say. In 2007, Altria and Kraft, which became MDLZ, which is currently still in the stock ticker, they did a spinoff, meaning that Kraft was no longer part of the Sin tent of Altria. In 2007, you got 0.7 shares of MDLZ for every share of MOD.
So you ended up getting 4,183 of that MDLZ Kraft stock. I didn't do the table for that because at this point, I was just done. And then in 2008, the same freaking thing happened.
In 2008, Philip Morris spun off from Altria. For every one share of MO stock you had at that point, you got one share of Philip Morris PMI stock. So that means in 2008, you picked up 6,313 shares of PMI stock.
So in 2008, you're sitting on about 6,300 shares of MO. You're sitting on 6,300 shares of PMI. And you're sitting on almost probably, with dividends and reinvesting, probably 4,200 shares of MDLZ, which is a Kraft spinoff.
That's wack. So from 2006 to 2015, you would have collected about $133,000 in dividends in MO. With Drip On, you would have about 8,900 shares.
Is that right? Yeah. 8,910 shares. And your value of MO would be at almost 480,000 after 20 years.
You were collecting- So many. Like you're collecting more than your initial investment for like years now. Where was that? Where was that? It was like literally 2011.
So this one you were getting- Oh, oh, shit. I didn't go back. You were basically, after 10 years, collecting your initial investment.
Well, it dipped. It dipped a little bit. So it hit it in 2025 when they did the stock splits.
When they did the spinoff, they took the- Oh, damn. But you see that after like nine years, you were actually collecting your initial investment every year in dividends. The next closest was Walmart, and that was at the 20-year mark.
So MO's tight, yo. Tight. So then from 2016 to the present, you had collected an additional 400 and almost $437,000 in dividends.
And with Drip On, you would now have- Did you say an additional? Yeah, because that's not a continuous set. Oh, crap. I didn't realize those weren't continuous.
And with Drip On, you would now have about 16,705 shares of MO stock. 16,700. Holy shit.
And your portfolio estimated value is about 988,000. 987.909. Hold that thought. Philip Morris is currently valued at 157, and that other Kraft one is valued at one- Oh, are you going into that? Yeah.
So remember, I didn't do the dividend reinvestments. But you have to think that you had- It was just too much extra. 2007.
So you had 17 years of compound with the MDLZ stock, which I didn't. But it's now currently around $62, meaning without Drip, you now have $259,000 worth of MDLZ stock. Philip Morris is now worth 150, meaning that without the Drip, you now have $947,000 in PMI stock.
So- Wait, that turned into 947? Yeah, 940,007. In addition to the 987? Oh, my God. Are you kidding me? The total estimated dividends collected over 30 years in Altria was about 600,000.
It was 600,283-ish, give or take. The total shares accumulated through Drip was 14,950. That's insane.
So basically, your total portfolio value with Drip, with Altria without Drip, the other ones would be 2.174 million. Oh, it would be the 988,004 MO, the 947 with PMI, and the 259 with MDLZ. Which comes to a freaking total of- I've said that.
2.1- 2.147 million. Which was the one, was it Walmart that was that much? Walmart was it, because they did three for one stocks, but that wasn't included in the chart. Yeah, so 2.- But I would much, but like, so I understand like what she's getting at is Walmart seems like the better one, but to me it's not.
I understand that you made like 600,000 more dollars, but you have to think about- Wait, wait, here's- Go ahead, do what you're going to say. But you have to think, with Walmart, you just have Walmart stock. Maybe if it crashed, like whatever, so that's it.
With the MO, you have like a little consortium going on. You have Philip Morris, you have MO, and you have like a snack company as well. Okay, so even that aside completely, if you're looking at these charts and numbers, I don't know why Tim didn't say this, because we are a dividend thing.
The value of your portfolio really doesn't matter. It's your dividend payouts. So if you look at these, each one of these, you're making $11,500 for the year in Coke, $8,686 for Pepsi.
Walmart comes out to be $22,651 for the year. This is all this year, if you had it for the last 30. ADP is $12,083 for the year.
MO, $71,495 in dividends. Like, there's your answer. Who cares if it's $2.1 million if you're making that much in shares, or in freaking dividends? That's freaking insane.
Because that comes out to be like, oh my god, that's $5,957 a month. I've just been holding stock for 30 years. The right stock.
The right stock, apparently. Contribute to the sin stocks. So for those of you who hate tobacco, or don't want to support stuff.
So the lesson is, okay, so compounding's great. So I want to like, compounding's great. So click on the Coke one once.
Oh, we're back. If you remember, you have a portfolio of $409,000 if you have the drip on. If you just took the cash, your portfolio amount would only be $147,183.
Let that sink in. It's a difference of almost $270,000 or something like that. So if you would have took the money and run.
Although you could have invested in other stocks during that process. So that might not be apples to apples. But if you were collecting cash.
That's just crazy. Click on Pepsi once. Compounding.
Pepsi, your portfolio balance is $237,000. If you just took the cash and just left the shares, you'd have $133,581. Not as bad.
Not as bad. Walmart. I can't wait to see Mo.
$883,000 in value. Without the drip on. We should say two point.
Without the drip on, it would be $230,000. So this is without the stock splitting. Because Tim ran this number before we realized that was a thing.
So $883,000 to $230,000 without the drip. That's a big one. Big difference.
It's a huge difference. And I remember that does incorporate the stock splits in the other one. When you do the stock split, your original 400 or whatever shares are doubled.
But you're just collecting cash the entire time. Oh, so you would actually. You wouldn't have even had that many shares if you wouldn't be re-dripping.
You'd be screwed. No, but you like. So like when Coke split to the two for one.
You still get the two for one because you have the original. Yeah, the original shares. But no shares have compounded in the in-between.
Yeah, so you're just getting like whatever they gave you basically. ADP. $677,000 portfolio value.
Without drip, it would be $414,000. And that just shows you like $414,000. That just shows you the power of a good share price.
Yes, $302,000. This one had a stock split. So you'd still have whatever you $1,400 shares.
And it did it really early. So you wouldn't have had to worry about too much compounding beforehand. So your $1,400 shares at $302,000, that's what happens when you have like.
The drip isn't as necessary. If the circumstances are perfect. When the share prices are super ridiculously high.
And they have stock splits. Are you going off the $2.1 million or whatever? Yeah, you said $2.174. So without drip, it would have been $454,500. It would have been $93,500 for Mo.
$108,500 for MLDZ and $262,500 for PMI. That's crazy. Q would have missed out on $1.6 million just by leaving the drip off.
When we talk all the time, I'm like, turn you like you want to get your initial investment back. That literally pertains to certain investments. Basically the riskier ones.
Yieldmax, Roundhills. But if you're in like say Pepsi or Target or Coke or Walmart or any of those other ones, you leave the drip on no matter what happens. Because that's a completely different investing strategy than what we do.
It's just like something that I dabble in, especially in the retirement account. Because that's what a retirement account is for. Basically to just... I would actually like to comment.
Caveat comment? Caveat. We don't always reinvest our shares when the share prices are super freaking high, do we? Because Triple M, I know you did not. Well, Triple M, I didn't.
But that's because I cut their dividend. I wasn't. But like for the most part, I'll say every now and then I turn the drip off for Hercules because Hercules gets too expensive.
But I know because of dealing with them, I know when they're too expensive to leave the drip on. So essentially the point of that is there are different kinds of dividend stocks and knowing which strategy to apply to which ones definitely will help you grow long term. But your time horizon is also really important.
So like dividend aristocrats and stuff do not... Or the dividend growers. But if you had a portfolio of say 10 stocks, 10. If you have a portfolio of 10 stocks, you should be pretty intimate and know what's a good price for those 10 stocks.
Yes. So you would be able to navigate, okay, well, Altria is like overpriced now. I'll turn the drip off.
I'll keep the dividends in cash. And then when it crashes, I'll pick up more shares. So in theory, if you do it right, you would actually have more shares after 30 years.
Then you would have been just dripping naturally. And you'd have the drip on naturally, like all the time. But that's only if you're comfortable and like you know the ins and outs of the companies that you own.
But that's also under the caveat that you're not going to have this like ridiculous bull run. And you're going to like... Do you know what I mean? Not for me. But like even then, like so you just keep... Like if it was me... That's why I like the idea of going into the other ones that you know are undervalued.
Because as the economy moves along, certain sectors go devalued and other ones actually explode in value. And you always want the contrarian view. So like if you keep doing that across your portfolio, it eventually all balances out.
But you actually accrue more shares in the long run. If you're taking say most shares and you're moving them into, I don't know, Pepsi. And then when the table's turned, you're going the other direction.
So you're accumulating them overall in your portfolio. I mean, you can do it any way you want. Whatever is easier for you.
But there are ways to like expedite things. I pulled the initial investment out of the... Even with Altria, I pulled the initial investment out because it's riskier at like 8%. You literally just said you never do a dividend grower.
But I leave it on. Like the dividend, like so I got my initial investment out. And now it's just... Yep, set it, forget it.
Whatever. So he does that modality where he really focuses on getting that out. And then he just drips it and lets it run.
To me... Because then it's less maintenance, less management. And you don't have to worry about the value. If I put $5,000 in Altria and I get my $5,000 back, I can dump it into other things.
And Altria can do whatever the hell it's going to do. I don't care. I did the same thing with Triple M. I got the initial investment back.
And it can do whatever it wants to do. I don't care. I do the same thing with growth stocks.
I get my initial investment back. And then they can do whatever they want. I don't care.
Because I'm like... Because our portfolios are generally smaller than most other people, I don't have the luxury of not doing that. I need to free up cash whenever there's a good deal on something. So I just get my initial investment of the stuff that I'm up 70%, 80%, 100% at.
Yeah. So again, if you have a longer time horizon, you do not need to do that extra effort. Your time is probably better spent elsewhere and other places in your life.
So that have higher quality, you're probably working a lot more. But for those of you who want to expedite things without actually getting burned out, like side gig hustling and all that other stuff, you can actually grow your portfolio faster through just little micro strategies. You'll see.
Which part? The weekly dividend pairs. Just in case you didn't know, yield max is now all weekly except for like seven of them. That's weird.
So that shit's about to get wacky. Wacky tobacky. It's going to be crazy.
You know how much extra work it is to keep track of that shit now? But I just got some of them. They're not really that much different than they were before. So what's the podcast going to be about next week? I picked just 10 weekly pairs and I just did a seven month review of $10,000.
So it's a lot like what we just did. It's just it doesn't have the 30 years. It has as long as I could go back where stuff was reliable.
So it's like seven months with 10 of them. For example, we just got the Amazon announcement today, the AMZY and it's at 26 cents, which isn't that much different than it was when it was paying monthly. Every now and then we get like 40 cents.
If that's how it's going to work, what I'm noticing with the weekly pairs is they're probably 30, I guess like 15 to maybe 40 percent lower than the monthly ones. But you're getting them every week and then you have the chance to do with the cash what you want. For me, the cash is more important than actual reinvestment.
And the more frequently you can actually take that cash and move it other places, the faster your stuff's going to come back. Because you can always find stuff on sale. If you haven't signed up, sign up for the email.
Because the email always has stuff that's on sale because I do that every week where I come up with a chart. That's where I get a lot of my ideas. A lot of them.
He buys them then and there. What I do. But then I also discuss growth stocks.
In her mom's retirement account, we literally just recouped our initial investment in ASTS because we were up like 320 percent. And we talked about that, I think, beginning of the year, right? Talked about that in 2024. I said ASTS and STM.
ASTS and STM are both ways to actually invest. Invest in Starlink and the Starlink technology without having to wait for the IPO. So ASTS... Which still hasn't even come.
Shot up. It's at like $96 now. So if you listened, you're up 300 percent.
If you didn't... Why are you still on the sidelines for the other stuff? You should listen. You can't make money if you won't play the game. Next week is 10 of them on Palantir, NVIDIA, just weekly.
There's a lot of Roundhill. There's a couple of Yieldmaxes. And there's a Defiance one in there.
I just picked 10 at random. I didn't try to find the best performing ones. Hopefully, it's a good swap.
I just picked 10 random ones. Some are good, some are bad. But I want you to see... I hope people remember this one here is all about patience and longevity and stay the course.
Next week is all about chaos. Chaos and fun and short-term stuff. Because you'll see it's not really worth it to have the drip on.
We're talking maybe $100, $200, all 10 of them. If you had the drip on in all 10 of them, I will tell you, you would have made more money than you collected cash, which shocked me because I don't do that. I just like high-yield ones.
I take the cash, get my initial investment back. Did you really just spoil the freaking podcast for next week? No. All 10 of them made more money with the drip on.
Didn't spoil. I won't tell you how much. That's next week.
Because we were just saying these are the ones you drip. Next week's are the ones you do not drip. You don't.
And you'll see why. If you understand the risk assessment knowledge, are you willing to take a risk on $205? I'm not. If you are, then you got bigger stones than me.
And on that note, guys, we will see you next week. I'm in my smurf phase. Smurf.
I'm bitchy smurf. Oh my god. I got nothing.
I got nothing on that. All right. So we have a couple more odds and ends in the condo.
Lots of cleaning to do. Cats are moved over to my parents' house and in the van. So next week... The cats are in the van? We're in the van? Yeah, we've been sleeping in the van.
Next week, we will be more than likely shooting in the van in my parents' backyard, probably. Who knows where we'll be. Till I can go through this crap and... We won't be being held hostage in a basement anymore.
We're not in a basement. We're on a second story, Tard Nugget. Oh boy.
Okay. See you guys next week.