April Mid-month update!

Yikes!  It has been a while.  April/March turned out to be busier than I had planned it to be.   I have taken up learning some Spanish for my trip to Latin America near the end of the year, my sister came into town for two months :),  work was been busy and I have been doing several DIY projects around mi casa.

Quick March Recap

Income

Dividend income in march spiked up to 692.07 from 440 last year.  This is growth of 57% YoY, the third month of each period tends to be my highest.

$1334.29 of $5750 (23% accomplished).  I am not sure if I will hit this amount, I will explain in a few paragraphs.

Forward Dividends

At the start of the month, my 12 month forward dividend was $5202.29 and ended up at $5305.32.  My future income is 39% higher than this time last year.  I am on pace to hit my goal of 6100.

Exercise goals

I had to stop running everyday mid month, I injured my calf somehow.  However, my weightlifting goals are still progressing nicely.

Now on to April

At the beginning of April I added some additional shares to TROW.  I should have bought a larger share when I initiated my position in March, but the price hasn’t changed much, so the only thing I am out is a few dollars for the trade.  Additionally, I added to KO and MAT in my Loyal3 portfolio with the dividends received in it (no new cash additions).

Potential Rental Opportunity

I am pretty much 100% invested in the market.  My company allocations are from a variety of sectors, at the end of the day they are still invested through the same method, i.e the market.

I have been looking around for a possible purchase of a house/duplex for rental purposes.  On Friday night, I found a duplex that I believe would be a good candidate for a rental (at least at face value).  The property is currently a cash flow positive property and would remain that way after I put down what lenders require for rental properties (25-30%).    The only issue is, where to I come up with the money?  I have some cash on hand, but not nearly enough to cover closing costs + down payment.  My three main options are to sell some of my companies, borrow from my 401k, a combination of both or work with another.  Either option will result in slowing down my investments (at least in the short term). Each option has trade-offs.  A few that come to mind include:

Selling Stock: Taxes (many of my companies have paper gains) and reduction of dividend income.

Borrowing from 401K: Like taking out another loan (reduce cash flow from deal) and if I loose my job there is a penalty if I can’t repay it.

Multiple Investors: Reduces income from property.

Over the next few days I am planning on exploring the in and outs of this deal to determine if it will work for me.

Summary

So that is a short update to what I have been doing.  Time to start my day.  More demolition, lawn care and researching the real estate opportunity.

Take care!

Disclaimer: Long all stocks mentioned.

February Highlights

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It decided to snow in North Texas yesterday!  It gets crazy around here when people attempt to drive in it, unfortunately it canceled my plans to visit my brother for the weekend!  Ohh well, better to be safe.

February has once again been a rather uneventful month for me.  Which is great, I made a few trades and added a few high quality shares to the portfolio, but otherwise a good month.

Roth Activity

This account is fully invested and the positions are dripped.

I have watching the situation with SYY as it attempts to buy US foods. I have disliked the additional measures that SYY has taken to help the merger along and it would appear to me that the situation is not as beneficial as it once was.   SYY is probably one of my slowest compounding machines in my portfolio (~3% yield + 3% growth).  While slow growth isn’t necessarily an issue for me, I have come to the conclusion that there are many better potential candidates than SYY.  I sold my SYY position on Monday.  The total return was positive but not great, I held the position for about 2.5 years and ended up with a 33% return vs a 50% return for the S&P 500.  This reduces my income by $60.

I have been researching Canadian banks and wouldn’t mind avoiding some foreign taxes and freeing up some space in this account would be beneficial from that point of view.   After spending some time doing research, the choice came down to TD and BNS.   I ended up choosing BNS due to its track record of paying (never lowering dividends) for over 100 years and due to its diversification of its area of operations.  I like the more conservative nature of the Canadian banks and felt like now was a good time to buy, even if oil prices continue to drag on the Canadian economy.  This increase my income by around $85.

Additions

I purchased some additional shares of JNJ. This increases my exposure to the healthcare sector, which I am currently low on.

Raises

Six of my positions increased their dividends this month.

Company Raise PE (TTM)
Cisco (CSCO) 10.5 17.7
Dr. Pepper Snapple Group (DPS) 17.1 22.13
Hasbro (HAS) 6.97 19
Coca-Cola (KO) 8.2 26.32
Pepsi (PEP) 7.3 23.23
WalMart (WMT) 2.1 16.89

With the exception of Walmart, healthy raises all around.  The raises are at or above my desired 6-8% target.  On the slightly disappointing note, all of the beverage companies are above a 20 PE TTM.  However, my allocation to Technology is 8.19% by weight (6.28% by dividends), which is lower than the 10% desired weight.  I would like to have the chance to buy more CSCO, MSFT of INTC, but probably at a lower price.

Dividends Earned

I earned a total of $311.45, which is 40% higher than last January ($222.53).

$642.22 of $5750 (11.2% accomplished)

Forward Dividends

At the start of the month, my 12 month forward dividend was $5103.66 and ended up at $5202.29.  My future income is 38% higher than this time last year.  Which is great YoY, but growth like that won’t last.

My goal is to increase this to $6100 (increase of ~1339).  I am 441.29 of 1339 or 33% of the way there.

Fitness Goals

I have run at least a mile every day this year (or up to this posting).  I got a little sick and tired last week, but that passed without becoming much.  The weather has gotten a “little bad” in the last few days, but nothing like the Northeast.  I can run a mile even in 18 degree weather =) Just have to layer enough!

Conclusion

Disclaimer: Long all stocks mentioned besides SYY (which I no longer own).

January Highlights

January proved to be a fruitful month for me.  I made some investments, crossed some goals off the list and watched as a variety of news hit the various companies I have ownership in.

A few themes that have emerged during earnings season are the appreciation of the US dollar and the concern for Oil. Several companies I own (PM, MSFT, PG) have had issues with currency impacts to EPS.   This doesn’t worry me overall, the dollar rises and falls over time.  In fact, I wouldn’t mind a few shorter minded folks to sell out of these shares and allow me to pick up a few at cheaper prices.  I am looking specifically at JNJ and PG.

I am having a hard time not pulling the trigger on more Oil stocks.  I have XOM and CVX on my mind and may end up buying more or each depending on how earnings go.  Both of these are investments I am willing to hold for a long time, so maybe a bad earnings report would make me happy right now…

Roth Purchases

As described earlier, I fully funded my ROTH for the year.  I made these purchases near the beginning of the month and apparently that was right before REITs decided to take off.  DLR, O and OHI have returned ~12, ~15.5 and ~15 percent so far this year.  That’s pretty nuts for any asset class, unfortunately I am not sure these can be considered bargains.  I am planning on holding off for the time being on adding to my REIT positions.

New Purchases

About a week ago I added another 22 shares of EMR to the family.  I have been reading over EMRs recent results and I am pretty pleased overall with their performance and direction. The ~9% recent raise didn’t hurt either.  EMR is currently at a better price than my purchase and if it falls to the low 50s, I will probably add another 20ish shares.

In my Loyal3 account I had $19 and used an additional $50 out of the spending budget (I talked myself down from $100) to invest in UL.  This bought me about 1.4 shares.

Raises

It was a month of small raises.  KMI and OHI raised both of their dividends by a penny, following a trend.  I am happy that KMI is raising it slowly, I know there is a lot of eagerness for the $2 dividend that was promised after the merger.  However, the market is a little rough and it seems prudent to be more patient.  I expect both of these companies to continue raising by at least a penny over the next 3 quarters.

O raised their dividend by 3%, this was the largest raise since 2013.

NSC raised their dividend by 3.5% (2 pennies).  I would expect them to potentially raise it once more this year.

Dividends Earned

I earned a total of $330.77, which is 37% higher than last January ($241.09).

$330.77 of $5750 (5.7% accomplished)

Forward Dividends

At the start of the month, my 12 month forward dividend was $4761.37 and ended up at $5103.66.  My future income is 45% higher than this time last year.  Which is great YoY, but growth like that won’t last.

My goal is to increase this to $6100 (increase of ~1339).  I am 342.28 of 1339 or 25% of the way there.

Fitness Goals

I have run at least a mile every day in January (or up to this posting).  Feeling great.  Weightlifting is on schedule, my first lifting cycle is complete and I am in an active recovery till February 2nd, when cycle 2 will commence.

Conclusion

January just hummed along.  No hiccups, I didn’t get any large raises, but all the companies who raised will most likely raise again before the end of the year.

Disclaimer: Long KMI, OHI, NSC, DLR, O,  XOM, CVX, EMR, UL

October Portfolio Highlights

What a crazy month.  We had the market going up and down like crazy.  A few of my companies missed some of the expected Quartely EPS numbers.  Notably, KO, MCD and ARCP has to restate earnings for several quarters.  I did my best to take advantage of some of this craziness and was very busy with my dividend purchases.  Aside from ARCP (which has a legitimate problem), I take Q-EPS numbers with a grain of salt.  Very few things make or break a business in three months and nothing from MCD or KO report surprised me. These are issues they have been dealing with for a while and how they are handling them (or plan to) over the next few years is what matters.  However, I always love an over reaction that enables me to buy a solid business at a lower price!

It was a pretty good month.  I am continuing to look through the wreckage and attempting to find a few additional dividend gems.  The market seems to have responded pretty forcefully to the downturn with a pretty sharp recovery.  However, I can’t worry about that.  There are several positions that I would like to add/increase and will do so as I am able.

Dividends

Last year I received $122.14 in dividends.  This year I increased that by over 100% and ended with $263.63.  My dividends for this month was 5% higher than July.  Slowly but surely heading in the right direction!  I wont be able to get such a large increase going forward (even to next quarter), but I would be very happy if I was able to increase it by 5% per quarter.

You can see my Progress page for additional information.

Dividend Increases

It was a quiet month for dividend raises.

Raises
Company %
AFL 5.4
OHI 1.9 (8.33% YTD)

So far 38 of 43 companies have given me raises this year. BP raised it earlier this year.

New Positions

After the market took a dip, I looked into a variety of the hardest hit companies.  Including KMI, CVX, COP, XOM and BP.  I have had my eye on BP for a while, but didn’t pull the trigger.  It appears that most of the issues relating to there oil spill are being resolved and there earnings are quite robust.  I took the opportunity to add it to my portfolio (with additional large purchases of CVX and XOM).

Added Positions

I bought an additional 1% of CVX, XOM and AFL during the brief downturn.

I have added cash steadily to my Loyal 3 Positions and it has been a pretty solid month.

Additions
Company Shares
AFL 20
BP 25
DPS .3958
K 1.1986
MAT 7.2418
MCD .2739
UL 4.8233
WMT .9817

I have returned my ROTH account to a drip because I don’t accumulate enough cash in there to be doing anything but reinvesting.

Dividend Decreases

None.

Sales

None.

Conclusion

I feel like I did a good job taking advantage of Mr. Markets bi-polar activity this month.  I could have bought a few other companies at good values, but didn’t pull the trigger fast enough.  That is okay, I have plenty of time to make up for it.

After all of this months activity, I raised my 12 month forward dividends to from $4358.9 to 4557.88.  An almost $200 increase, which leaves me less than $300 from my next milestone  Fortunately, most of the positions I added pay out in December, so that will be a nice Christmas present!

How was your month?

Disclaimer: Long all stocks mentioned

September Portfolio Highlights

It has been a fairly active September for me.  Lots of work!  It is good problem to have.  I am very fortunate to be in the position that I am.  September has been very active on the Loyal3 front and I acquired enough dividends + contributions in my main investment account to make an additional purchase.   The market continues to slowly cruise southward, I am looking at deploying some funds I have in savings and I have already increased my Loyal3 purchases to 100$ per week from 50.    And a few interesting portfolio developments!

Walmart (WMT) has partnered with Green Dot to offer checking accounts to their customers.  I like this move, the goal is of course to get more foot traffic in the stores.  That matters more than whatever fees/money they could make on the checking accounts.   Additionally, WMT added the CEO of Instagram to the board.  I am not exactly sure about that, publishing selfies is a different business plan (none) than running an e-commerce website.

Dividends

Last year I received $342.02 in dividends.  This year I increased that by almost 50% and ended with $510.93.  Pretty solid year over year!  I improved on June by a few dollars.  My 3rd quarter income was $1,039.14, which is pretty awesome and higher than the 2nd quarter, so overall slow but steady progress.

You can see my Progress page for additional information.

Dividend Increases

It was a great month for dividend increases:

Raises
Company %
ACN 10
LMT 12.8
MCD 5
MSFT 11
PM 6.4
VZ 3.8

All raises about what I expected and overall raises that I am happy with! So far 36 of 42 companies have given me raises this year.  INTC does not appear to be set to raise, however I have not added to the position and probably won’t sell it.  It is in a taxable account and the tax would probably take a lot longer to recover.  Now if they cut the dividend, then I will sell.

New Positions

No new positions this month.

Added Positions

I bought an additional 1% of GIS (20 shares), after a few days the market made it cheaper. I am going to have to consider adding more, however with the decent pullback there are a few other positions I would like to add too.

I have added cash steadily to my Loyal 3 Positions and it has been a pretty solid month.

Loyal3 Additions
Company Cash Shares
DPS 25 .3958
K 50 1.1986
MAT 100 3.0467
UL 50 1.1171
WMT 75 .9817

I have returned my ROTH account to a drip because I don’t accumulate enough cash in there to be doing anything but reinvesting.

Dividend Decreases

None.

Sales

None.

Conclusion

Another good month and quarter.  I would like my savings rate to be a little higher and with my house expenses settling in, I think I should be able to make that happen.  We shall see!

How was your month?

Disclaimer: Long all stocks mentioned

August Portfolio Updates – It’s been a while!

Howdy internet!

It has been a while since I posted, I have been busy with work and other life activities.  It has been a not to bad summer and so I like to get out and about while I can.  The fact that I work on a computer all day makes it difficult to get continue when I get home.  I will do my best to recap the last few months.

Sales

Well, I ended up making a sale over the last few months.  I sold LO shortly after the merger/buyout from Reynolds was announced.  I wasn’t that interested in holding onto to Reynolds and fortunately an opportunistic event occurred.  The event that finally pushed my decision to sell over the edge was WAG taking a 15% dive after they decided against moving their tax location.  I didn’t realize other “investors” had put that much value in the possibility of that taking place.  I took the opportunity to buy some more with some of the cash from selling LO (the remainder plus some additional funds were used to buy more ATT and VOD).

At the end of the day I walked away from LO with about 40% profit + dividends.  I can’t complain and I got to add the funds to several positions I have wanted to increase.  On the bonus side, this was in my Roth account so I don’t have any costs but the trading fee.

Purchases

I have continued to make purchases even though some prices are higher than I would like them to be!  In addition to WAG, T, and VOD. I have added some funds to AFL and GE.  I want to continue building my current positions since I know these companies the best and there are a handful that I don’t think are overly expensive and maybe even slightly undervalued.

In my Loyal3 account, I have been making $50-100 worth of purchases every week.   I have been splitting these funds mostly between MCD, KO, MAT and UL.  Although, I am sure I have added a few dollars to some of the other positions.

Going forward

I am planning on trying to keep things up to date and write a post or two every month that is not purchase/sell related.  I probably won’t recap my Loyal3 purchases weekly, since buying .25 shares at a time isn’t that exciting and the rational behind adding a small amount of money to MCD or KO won’t change frequently.

Conclusion

The last time I posted I was expecting to earn $4021.37 over the next twelve months.  As of September 1st, I am expecting to receive $4209.23.  A modest increase and I do not think I will be hitting the 5k goal over the year, but I feel like I can easily hit 4.5k.  There are some raises that I think will be a reasonable size coming down the pipe (MSFT, MCD and PM).

Finally, halfway through August I earned as much in dividends as I did in 2013.  This is great!  That is progress that is easy to see and tangible.  I have yet to regret my decision to change my investing style.

Disclaimer: Long T, KO, MCD, WAG, VOD

May Portfolio Highlights

Well, as I saw in April, this was a seesaw month, where nothing really happened.  It seems that all news is good or bad depending on the day! The month was quiet all around.  Not much action on my part and not many increases.  I suppose all things considered, that is nothing to complain about.

The only thing that has been going crazy is Buyouts, Spinoffs and Acquisitions.   A few of note:

  • As mention previously, SBSI is buying another bank called OMNI American.  A bank with a presence in the Dallas-Fort Worth metroplex.
  • LO appears to be on the verge of merging/getting bought by Reynolds.
  • ATT wants to buy Direct TV.
  • ARCP was going to spinoff a part of the business, then sold it to another buyer and bought the Red Lobster properties.
  • BAX has announced it is going to split itself into two in 2015 (news from April).
  • Buffet has been rumored to be interested in making a big deal. Some speculation has included K and WEC.

Lots of action, should be an interesting few years

Dividends

Last year I received $120.20 in dividends.  This year I increased that by over 100% and ended with $248.72.  That is great, I would love to see this big of a jump next year, but that doesn’t look like it will be the case.  I am investing slowly and even if I invested every dollar that I could, my yearly total would raise by about 1k (at an average yield of 3%).

You can see my Progress page for additional information.

Dividend Increases

It was a slow  month for dividend increases:

  • Bax : 6.1%
  • SBSI : 5%

Raises I am happy with.  Of course, SBSI also gave me some shares, so the total dividend increase for the position is higher than 5%.

New Positions

No new positions this month.

Added Positions

I did not add much cash:

  • New Cash: TGT, MAT MCD,  SBSI, UL

No positions drip with the exception of OHI.

Going forward I want to add at least 100 dollars out of my budget to my positions in the Loyal3 account.  I am not going to worry that much about valuations because the cash will be small amounts and this is basically a drip.  However, I will not be adding any to INTC until they raise the dividend again.

Dividend Decreases

None.

Sales

None.

Conclusion

I have been pretty busy and have not had much time for research and the market is boring me right now.  I will probably be slow over the next few months, which works out because I have some home improvement and trips to take!

Over the next twelve months I expect to receive at least $4021.37.  This is an increase of about $50 from last month and I broke 4k!

Disclaimer: Long all stocks mentioned, with the exception of RAI and DirectTV

April Portfolio Highlights

April was another month of backwards and forwards.  I am pleased to say that my portfolio went down less on down days and seemed to actually go up in some cases.  This is good to see, I think this has to do with a “flight to quality” and I feel like all of my companies match this criteria.

I haven’t been writing or commenting as much, I recently purchased a house and have spent the last 20 days being a domestic worker bee.  Turns out my project ideas are rather time consuming.  I want to get my energy bill down and I believe I can make it into a game!  So that will probably take up some of my time.

I spent the time I could looking over my portfolio and decided that any cash I used this month was going to be invested in my portfolio companies.  I have already done the research and there are several positions I wanted to build out a little more.

I annouced my purchases of DPS,TGT and PG.  In the closing days of April, I made another purchase of ARCP .  I doubled my position and feel that my REITs are well represented in my portfolio.  ARCP is the kind of REIT I like.  A triple, long term leasing structure with plenty of physical assets and a variety of high quality tenants.   I would like to add more to O, but not at the moment.

Dividends

Last year I received $200.02 in dividends.  This year I increased that by almost 25% and ended with $247.27.  The first month of the quarter is usually my lowest, only higher numbers per month for the rest of the quarter!

You can see my Progress page for additional information.

Dividend Increases

It was a pretty good month for dividend increases:

  • CVX : 7%
  • JNJ : 6.1%
  • KMI : 2% (another quarterly raise for 1 cent. About 4% so far this year)
  • OHI: 2% (quarterly raise. 2 cents so far).
  • PG : 6.7%
  • XOM: 9.5%

Strong raises all around.  KMI and OHI have raised for the second time this year.  I am pretty happy with all of these raises.  Ideally I would like to have my average weight adjusted raise around 8%.  With 21 of 43 companies raising dividends so far this year, I feel like I will be able to meet that goal because several (KMI, OHI, WEC) will raise their dividends at least once more.

New Positions

No new positions this month.

Added Positions

I did not add much cash:

  • New Cash: ARCP, DPS, PG, TGT
  • Drip: O, PM, KO, SYY

I have changed most of my positions in my Roth account to no longer drip.  There are a couple choice positions that I feel are undervalued, but large enough in my portfolio that I do not want to add cash, so I will drip them still.

There will be a few positions that were dripped next month due to the timing of my change and lag before it takes effect.

Dividend Decreases

None.

Sales

None.

Conclusion

A busy month playing around with my house!  I am very pleased with my stocks performance and will hopefully find some bargains over the next month!

Over the next twelve months I expect to receive at least $3972.28.  This is an increase of $157 from last month.  Almost to 4k!

Disclaimer: Long all stocks mentioned.

March Portfolio Highlights

This month was rather tame.  There was a little bit of everything.  Lets see!

The market had its share of ups and downs, but for all the volatility it didn’t move very much by the end of the month.  This is good, but at the same time it would be nice for prices to come down a bit.  One of my weaknesses is trying to determine which is a better investment at the current time.  This is something I am working on and will need to get better at.

I didn’t look into to many stocks for investment purposes and made some very small additions.  I plan on looking at more in the future, but I am unsure what exactly to add.  I feel like I need a another utility, materials,  and healthcare.  These are rich fields, but I am having a hard time getting motivated to do some research.  I tend to get this way when the market goes up and then I get heavily motivated to research/buy as the market is going down.

Next month, my plan is to add an additional position or two from one of the sectors that is currently under represented.

News

There was some interesting portfolio news this month:

  • Microsoft finally released a version of Office for the Ipad.  They linked it to their Office 365 service.  I was hoping for a standalone product (there is an option), we will see how this works out.
  • Baxter has decided to split their business in two in 2015. One in biopharmaceuticals and another for everything else. This is interesting, I will have to wait and get more details.
  • Wisconsin Energy is rumored to be a potential purchase for Warren Buffer after some comments he made in his letter to shareholders.  Lets hope not!

Dividends

Last year I received $220.62 in dividends.  This year I increased that by almost 100% and ended with $440.56.  The third month of each quarter is my highest month.  The month this is over $400 will be a great milestone!  Its great to increase my monthly total by 100% year over year, but I was in a major transition last year and will not increase as much going forward.

I have also added a Progress page for my dividend income.  Fast progress from last year to this year, but it will slow down from here on out.

Dividend Increases

There were only two raises this month:

  • APD : 8.5%
  • O : .2 %

I am pleased with the raise from APD, I like to see raises above my desired amount of 8%.  I am not worried about O’s small raise, I don’t think they are done for the year.

New Positions

I purchased 20 shares of General Mills (GIS).  I will write a quick blurb about them in a few days.  It’s hard to be motivated to sit inside when the weather is nice!

Added Positions

I did not add much cash:

  • New Cash: GIS, CVX(1/3 of purchase)
  • Cash from sale: CVX (2/3), KMI
  • Drip:  COP, DLR, EMR, JNJ, LMT, LO, MSFT, MCD, O, PEP, SBSI, WAG, WEC,

All of my positions in my Roth are dripped because I can only add funds once per year and the dividends in the Roth accumulate too slowly.  Once they accumulate faster, then I will collect them and reinvest strategically.

Dividend Decreases

None.

Sales

I sold OKS this month.  I wasn’t planning on it, but after doing my taxes and the associated paperwork that this caused, I decided I didn’t want to mess with the K-1 over the long haul.  I replaced it with an addition to my CVX and KMI positions.  After making these purchases, I am still down about $30 from where I would have been otherwise.  Fortunately, the game is long and I can recover over time.

Conclusion

A rather uneventful month for the most part. I am happy for this, but would still like to have some openings into my positions and add a few additional ones for diversity.

Over the next twelve months I expect to receive at least $3814.94.  This is an increase of $47 from last month.

Disclaimer: Long all stocks mentioned (except OKS).

 

February Portfolio Highlights

February was a busy month!  Many companies issued earnings that were slightly below analysts estimates.  Personally, I like to see the overboard selling reactions to these reports for companies that are on my watch list and in my portfolio.  Taking a long term view and investing for the future.  In ten years will it matter if one of the companies missed a quarterly earnings release by a few pennies?

I took advantage of some of the craziness and added to several positions (WMT,KO,PEP).  I feel like all three of these companies are poised for growth going forward.  KO and PEP are continuing productivity initiatives and Walmart is going to increase it’s US capex.  I feel like these companies are being good stewards of the money they create and making choices to enhance shareholder value.

I initiated a position in TGT in late January.  The company continued to decline throughout most of February, so I took advantage and slowly added a small amount of cash at several points throughout the month.  This position is in my loyal3 account, this enabled me to trade commission free and add smaller portions at a time.   I feel like TGT got beaten down enough for the data breach and sales suffered after that was disclosed.  The unfortunate thing is that data breaches are going to continue to happen.  One must monitor their credit report diligently.

Dividends
I received $229.32, which was an amazing improvement over last years total of $80.28. At this point last year I was in the process of transforming my portfolio from growth to dividend stocks. It took me over a year, but the results are starting to speak for themselves!

Dividend Increases
Seven companies raised their dividends for me:

  • CSCO : 11.7%
  • DPS    : 7.9
  • HAS    : 8
  • KO      : 8.9
  • LO      : 11.8
  • PEP    : 15.4
  • WMT  : 2.0

Strong raises across the board, with the exception of Walmart. They have been having a tough few quarters and I am not concerned with a small increase as long as they set themselves up for future growth (which they indicated they are by increasing capex this year).

New Positions
While I did not open any new positions, Vodaphone(VOD) paid me a dividend in the form of Verizon (VZ). VOD executed a 6:11 share split at the same time. Thus, my 65ish VOD shares turned into 35 VOD and 17 VZ. VOD pays the same dividend and VZ becomes a new income stream for me, adding $36 per year to my income. I look forward to the special cash dividend on March 4th, where it will be dripped back into VOD.

Added Positions
This month proved to be a relatively good month for adding to investments, the following positions were increased:

  • New Cash: COP, KO, MO, PEP, PM, TGT
  • Drip: ARCP, APD KMI, O, OHI, OKS, PG, T, VOD

All of my positions in my Roth are dripped and prior to the middle of February my taxable account was as well. In general, the taxable account will not be dripped going forward, but specific securities may be.

Dividend Decreases
None.

Sales
None.  This is great and a stark contrast to the way it used to be.  One average, I probably sold one position per month, this resulted in a lot of portfolio churn and lost money in both commissions and invested capital.  I hope this continues to last a long time, although INTC is on the potential chopping block if they don’t start to turn around by the end of the year.

Conclusion
A great month, I hope these continue. The third month of each quarter is generally my largest, so I am hoping to break some more records next month!

Over the next twelve months I expect to receive at least $3767.10.

Disclaimer: Long all stocks mentioned.