Continuing with the recurring investments on July 27, 2015 I acquired an additional 1.2454 shares of The Walt Disney Company (DIS) for $119.62. The stock continues to climb to new highs. Just when you think it starts to pullback it pops higher again. The semi-annual dividend policy change is a very nice surprise for me. It makes more sense to me than only once a year. A good dividend raise and a rising share price is great. I will continue to acquire shares on a monthly basis.
Wednesday, July 22, 2015
On Wednesday July 22, 2015 I purchased 12 shares of General Motors Corporation (GM) for $30.24. The recent drop caught my attention and I should have bought the stock below $30 today. GM reports earnings before the bell tomorrow morning. We could get a quick bump if it comes out better than expected. If not and it drops can reinvest a nice dividend yield. At the current dividend rate of 0.36 per share this will add an additional $17.28 to my annual dividend total not counting reinvestments.
Although not much of a track record and the bailout I decided to pull the trigger. Give the new company a chance and think it is a decent value. The stock is lower than it was when it IPO'd again and now has a dividend that was recently increased by 20% with some $9K bonuses that went to several factory workers a few months ago. Activists have succeeded in convincing them to focus on buybacks too even though I prefer the dividend method there is room for both. Earnings can be inconsistent with autos and at 12 shares I am relying on them for a small portion in a much larger portfolio of income replacement.
What do you think of GM? Good value move or too risky? Future dividend grower or not?
Tuesday, July 21, 2015
On Tuesday July 21, 2015 I purchased 7 shares of Walmart (WMT) for $72.86. The stock started to rise at the end of the day and I decided to just go ahead and add it to my portfolio. With a 0.49/share quarterly dividend that should add $13.72 to my annual dividend totals not counting reinvestments. The company has 2 consecutive years of only a penny raise in the dividend and a payout ratio that seems to be reasonably. Over the long term the company can raise dividends and perform well at the same time in my opinion.
What do you think about WMT here?
Thursday, July 2, 2015
The month of June has ended and we are officially past the half way point of the year. June is usually a good month for dividend income because many quarterly companies pay during this cycle. It is time for me to see how I actually did for the month.
Monday, June 22, 2015
On June 22, 2015 I purchased 1.3416 shares of The Walt Disney Company (DIS) at $111.05/share. This is another regular recurring investment in my long term plan. The strategy is to build as many shares as possible of this powerhouse company. It continues to rise steadily, but I still believe it is a smart move since there is no limit to the price a stock can reach. A split in the future is not completely ruled out either. The yearly dividend can be raised also.
Friday, June 12, 2015
On June 12, 2015 I purchased 15 more shares of the luxury handbag maker Coach Inc (COH) for $35.12. Slightly above my initial 9 share purchase over a year ago at $34.75. They have struggled in recent years to grow market share with a lot of competition. The dividend has been steady instead of growing while they execute a turnaround strategy. A lot of rumors have been swirling around of a possible acquisition for more than shares are worth today. History shows between 2002-2005 they had three different 2 for 1 splits according to Morningstar. They have a long history dating back to 1941 and I think their new strategy of becoming a lifestyle brand, the new designers with experience, and recent acquisition will pay off in the long term.
Tuesday, June 9, 2015
May was a busy month with school and a study abroad trip I took throughout Europe. Just because you get busy does not mean some things don't happen still. Regular recurring investments still occur while away and so does receiving dividend income. Final exams and a pile of papers are due by next week as I try to wrap up another semester before starting again. Here are the dividends I received in May in my regular brokerage account.