Friday, October 30, 2015

Weekly Purchase 8 - T



For this week's sharebuilder purchase, I added to my existing position in AT&T.
I bought VZ a couple of weeks ago. I held off on T since I also have some exposure of AT&T in my Roth account. However, after reviewing the percentages of all my portfolios , it seems my exposure is minimal.

I treat both VZ and T as pseudo utilities. Therefore, I am expecting high yield but not much in terms of dividend growth. Based on recent earnings report, the yield, dividend growth history and the earnings growth rate are consistent with this expectation - It's a relatively boring stock.

Details of Purchase

On Tuesday, I bought 29.9699 shares of AT&T (T).

Action
Security
Price
Quantity
Amount
Buy
T
$33.24
29.9699
996

This purchase increases my forward annual dividends by $56.34.


Tuesday, October 20, 2015

Weekly Purchase 7 - WMT

For this week's sharebuilder purchase, I added to my existing position in WMT. Walmart is a ‘full’ position in my portfolio, but I could not resist the ‘Rollback’ price. Buying quality companies when they are cheap is a great way to build my portfolio!

Details of Purchase

On Tuesday, I bought 17.2871 shares of Walmart (WMT).

Action
Security
Price
Quantity
Amount
Buy
WMT
$58.775
17.2871
$1016

This purchase increases my forward annual dividends by $33.88.

Tuesday, October 13, 2015

Weekly Purchase 6 - FAST



For this week's Sharebuilder purchase, I added to my existing FAST position. As you know, I am taking the opportunity to load/rebalance up my smaller holdings in my dividend stock portfolio. In addition, FAST appeared in my recent October screen.


Details of Purchase


On Tuesday, I bought 25.9591 shares of Fastenal (FAST).


Action
Security
Price
Quantity
Amount
Buy
FAST
$38.37
25.9591
$996


This purchase increases my forward annual dividends by $29.07.

Saturday, October 10, 2015

October Screen


Due to my busy work schedule, I have been very slow to publish this last month. Therefore, my October screen is delayed until almost mid-October. Sorry about that!

My Screening Criteria:
  • Yield > 2.0%
  • Yield/10 Median Yield > 1.35
  • Chowder > 8
  • PE/5 Median PE < 1.0

Note: There is still a problem with Yahoo Key Stats for 5 yr Average Yield this month, so I used Guru Focus’ 10 Median Yield instead (with a higher threshold).

The screen is looking for companies with higher than average yields and lower than average P/E, with reasonable dividend yields and growth (with Chowder).

Analyzing CCC List - Dividend Growth vs Market Capitalization



I regularly use David Fish’s CCC list to review and test my assumptions on DGI investing. You can access it here: http://www.dripinvesting.org/Tools/U.S.DividendChampions.xls


As a quick summary, the CCC lists the Dividend Champions, Contenders and Challengers. It is  updated monthly with the name of every U.S.-listed stock that has raised its dividend each year for at least the past five years in a row, or in the case of the Champions, 25 years in a row.


For this article, I am looking at the relationship between the dividend growth and the market capitalization. My original strategy focuses on larger companies with high market capitalization due to its reduced market volatility - but at the expense of a lower dividend growth.

Thursday, October 8, 2015

Weekly Purchase 5 - VZ


For this week's sharebuilder purchase, I added to my existing position in VZ. I am taking the opportunity to load/rebalance up my smaller holdings in my dividend stock portfolio. For VZ, I do not expect huge growth. I am treating VZ as a pseudo-Utility.

Currently, I am reinvesting all my dividends - so future gains from VZ will be from the relatively high yield and the effects of compounding.


As my dividend stock portfolio grows, my plan is to diversify my holdings with:
  • high yield, low growth,
  • low yield, high growth
  • And somewhere in between
As discussed earlier, VZ falls under the first bullet point.

Saturday, October 3, 2015

September Summary



Wow. What a month! The Market was certainly very volatile in September. After paying my property taxes and insurance bills at the end of August, my capital was relatively low. However, I managed to scrape through and made some purchases almost weekly. At the end of month, my frugal wife, Mrs. D4s decided to plan our vacation for next year! Obviously, this took a bite out of my regular investments. Here’s a summary of Articles written in September in case you missed it.




A summary of my purchases are shown in the table below. For all the work ($5,264 investments), I expect an addition of $161 to my yearly dividends.