Recent Buy and Sale

I normally do not sell the securities that I’ve purchased in my Portfolios as I’m into it for a very long haul and buy them only after careful consideration, unless, there are some exceptional circumstances as below:

  1. A significant drop or total elimination of dividends
  2. A display of inappropriateness by the company, be it management, or otherwise
  3. An apparent fraud or even outright cooking of accounting books

I’d recently purchased Seagate Technology (STX) in Feb of this year and during that time, things looked to be going in right direction. Although, I was not fully convinced about it but thought that such a marquee company will be able to right the ship with the changes. However, in the technology world, even a year or even few months, can be a light year away. I still think STX has good story going for it, but, looking at the accelerating secular trends of drastic price reduction with each newer version of disks, storage and not to speak of cloud storage, I think it is too much risk to hold STX as a long-term duration security.

As a result of this learning experience, I’d add an additional point in above list: Watch for the secular trends in the area where the company operates. Technology is one field where predicting even for a year is a difficult proposition, probably best left to astrologers or talking heads on TVs.

I sold all my 40 positions of STX on 5/04 at $19.81. Now that, I’ve some ammo to fire for few buys 🙂  That’s what I exactly did: I bought below companies.

1) Bank of Nova Scotia (BNS)

I’d recently bought BNS and this was 5th addition to that. I added 10 positions in BNS on 5/09 at $47.62. It’ll add $20.20 of passive dividend income on an annual basis. BNS got the honor of my first buy of 2016. Bank stocks have nicely recovered and started to appear a bit on the expensive side in my opinion.

2) Eaton Corp, plc  (ETN)

Eaton Corp plc is a power management company providing energy-efficient solutions for electrical, hydraulic and mechanical power. The company operates across 4 segments: electrical systems and services, hydraulics, aerospace and vehicle. The company was founded in 1916 and is headquartered in Dublin, Ireland. ETN has a current market cap of $24B.

ETN has dividend yield of 3.75% and trading at $60.87, dropping from 52 week high of $73.82, about 20% drop. I initiated 5 positions in ETN on 5/09 at $61.11 in my taxable account. It will add $11.40 of passive income annually that I do not need to work for.

3) Welltower, Inc. (HCN)

Real Estate Investment Trusts (REITs) have been pulled down due to concerns about Fed raising interest rates and their impact on the earnings of these REITs, though they started rallying in recently months. The yield of 4.79% is simply juicy.

I bought 5 positions in HCN on 5/13 at $71.74. It’ll add $17.20 of passive income on an annual basis.

Full Disclosure: Long on above mentioned securities.

Thanks for reading.

What do you think about these buy and especially sale?

Monthly Dividend Income – April 2016

Its time for me to post dividend income earned from my portfolios: DRIP, HID, & RothI enjoy sharing them as these passive dividend income provides me great inspiration and encouragement to keep chugging along and hopefully to the readers.

I scored seven+ hundred in total passive dividend Income: $740.08 to be precise. Passive dividend income was more than 46.9% compared to Jan quarter and out of park as compared to last April, over 140%. That’s awesome and crossing $700 third  time felt great. It only shows the power of Dividend Income engine. I’m that much closer to being  Financially Independent (FI) and living a life that I want to live and enjoy my freedom.

Passive Dividend Income – Apr 2016

1. Dividend Re-Investment Plan Portfolio (DRIP) 
GlaxoSmithKline plc (GSK): $85.85
Kimberly-Clark Corp. (KMB): $23.00
The Coca-Cola Co. (KO): $17.50
Altria Group, Inc. (MO): $39.55
Phillip Morris Intl, Inc (PM): $45.90
Wal-Mart Stores Inc. (WMT): $25.00

2. High Dividend Income Growth Portfolio (HID)
American Capital Agency (AGNC): $20.00
Bank of Nova-Scotia (BNS): $42.17
Diageo Inc. (DEO): $19.05
EPR Properties (EPR): $11.20
General Electric (GE): $17.25
GlaxoSmithKline plc (GSK): $92.00
Altria Group, Inc. (MO): $62.15
Annaly Capital Mgmt (NLY): $37.50
Realty Income Corp (O): $23.88
Phillip Morris Intl, Inc (PM): $102.00
Prospect Capital (PSEC): $12.50
Pimco Corp & Opportunity (PTY): $13.00
Total S.A. (TOT): $20.78

3. Roth IRA
Reynolds American Inc. (RAI): $15.20
W.P. Carey, Inc. (WPC): $14.60

Total Passive Dividend Income: $740.08

I like to own securities of Blue chip Aristocrats (companies with 25+ yrs of growing earnings) and Dividend Champions. Once the earned passive dividend income covers all my expenses, I will own my time as well.

I’d setup a goal of earning $7500.00 in total passive dividend income this year and so far have received $2823.13. The month of April was great for me and put me over $700 that I’m glad to share.

Full Disclosure: Long in all above mentioned securities.

How did your Dividend Income come along this month of April?

Thanks for reading.

Recent Buy

I’m looking for companies that are fairly valued, have a decent dividend yield(3% to 6%) and have a fairly long history of paying dividends consistently for 10 years or more. However, there could be some cases for exceptionally good company or a strategic buy for a very long term.

1) Kinder Morgan, Inc. (KMI)

KMI is a pipeline company that is finding it tough going in this oil-glut to say the least. However, it has a potential to be big again in my opinion and even, Berkshire Hathaway (BRK.B) bought it with boat loads of green bucks. I added 20 positions on 4/21  at $18.50 in my taxable account.

2) Welltower, Inc. (HCN)

Real Estate Investment Trusts (REITs) have been pulled down due to concerns about Fed raising interest rates and their impact on the earnings of these REITs. I consider a good time to add to my positions as HCN is selling at an excellent price point. The yield of 4.89% is also simply great.

I bought 10 positions in HCN on 4/20 at $70.99. It’ll add $34.40 of passive income on an annual basis.

3) Seagate Technology (STX)

I do not own too many technology companies in my portfolio, however, looking to add few to diversify my portfolio. STX appears to be a good value proportion as it has fallen to $25.32, almost 50% lower from its 52-week high of $60.09, P/E ratio of 12.85 and yield of 9.24%. Its possible that it may fall further if the drumbeat of recession takes some hold, however, for patient investors, it could turn out to be a good deal in my opinion, while getting paid for waiting.

I added 10 positions in STX at $34.35 on 4/11 and it’ll add $25.20 of passive income on an annual basis.

4) Vodafone Group plc (VOD)

Vodafone is a UK based mobile phone company that I recently added it. So, this was an addition to existing positions. VOD is trading at $33.31, a good price point to enter into the position. I added 20 positions on 4/22 at $32.96 making up total 160 positions. It will add $20.08 of passive income on an annual basis.

Full Disclosure: Long on above mentioned securities.

Thanks for reading.

What do you think about these buy?

Monthly Dividend Income – March 2016

Its time for me to post dividend income earned from my portfolios: DRIP, HID & RothI enjoy sharing them as these passive dividend income provides me great inspiration and encouragement to keep chugging along and hopefully to the readers.

Wow! I scored eight hundred+ in total passive dividend Income: $844.93 to be precise, a milestone figure to reach.  Passive dividend income hit a record and it was more than 48.5% compared to last year’s Dec quarter and out of park as compared to last Mar, over 110%. That’s awesome and crossing $800 felt great. It only shows the power of Dividend Income engine. I’m that much closer to being  Financially Independent (FI) and living a life that I want to live and enjoy my freedom.

Passive Dividend Income – Mar 2016

1. Dividend Re-Investment Plan Portfolio (DRIP) 
BofA Inc. (BAC): $1.25
BHP Billiton plc (BBL): $22.40
ConocoPhillips (COP): $12.50
Chevron Corp. (CVX): $32.10
IBM Inc. (IBM): $14.30
McDonalds Corp (MCD): $17.80
Royal Dutch Shell plc (RDS.A): $29.14
Exxon Mobil Corp (XOM): $21.90

2. High Dividend Income Growth Portfolio (HID)
American Capital Agency (AGNC): $20.00
Ares Capital (ARCC): $38.00
BHP Billiton plc (BBL): $80.00
BP plc (BP): $90.00
ConocoPhillips (COP): $31.25
Chevron Corp. (CVX): $53.50
Digital Realty Trust, Inc. (DLR): $26.40
iShares Select Div. ETF (DVY): $9.45
EPR Properties (EPR): $9.60
Eaton Corp. (ETN): $11.40
Johnson & Johnson (JNJ): $22.50
Realty Income Corp (O): $22.83
Prospect Capital (PSEC): $12.50
Pimco Corp & Opportunity (PTY): $13.00
Royal Dutch Shell (RBS.B): $164.50
iShares Mortgage RE (REM): $27.37
Southern Company (SO): $21.70
Orchids Paper Products Co. (TIS): $22.75
Unilever plc (UL): $9.89

3. Roth IRA
Vanguard Energy ETF (VDE): $2.03
Vanguard Hi Dividend Yield (VYM): $0.96
Vanguard REIT Index (VNQ): $1.84
Vanguard Utilities ETF (VPU): $0.72
Vanguard Natural Res LLC (VNR): $1.35

Total Passive Dividend Income: $844.93

I want to own securities of Blue chip Aristocrats (companies with 25+ yrs of growing earnings) and Dividend Champions. Once the earned passive dividend income covers all my expenses, I will own my time as well and truly free from 9 to 5 tread mill.

I’d setup a goal of earning $7500.00 in total passive dividend income for this year and received total of $2083.05. This month of March was superb for me as I crossed $800+ that I’m glad to share with you 🙂

Full Disclosure: Long in all above mentioned securities.

How was your Dividend Income in month of Mar.

Thanks for reading.

Recent Buy

I’m looking for companies that are fairly valued, have a decent dividend yield(3% to 6%) and have a fairly long history of paying dividends consistently for 10 years or more. However, there could be some cases for exceptionally good company or a strategic buy for a very long term.

Here are my recent buys in the month of March 2016.

1) ONEOK, Inc. (OKE)

ONEOK, Inc. is a diversified energy and a partner company of ONEOK Partners, holding 41% interest. It engages in processing, transportation and storage of natural gas liquids (NGL) in United States. The company was founded in 1906 and headquartered in Tulsa, Oklahoma. 

OKE has a juicy dividend yield of 8.58% and a market cap of $6.0B. It ran up to $51.53 at its 52 week high, currently trading at $28.68 and almost 40% lower. This price provides an excellent entry point to investors, though, it could still go lower in short term, however, this price point serves a good base to build on.

I added 25 positions in OKE  on 3/21 at $30.80 in my taxable account. It will add $61.50 of passive income on an annual basis.

2) Royal Dutch Shell plc (RDS.B)

Royal Dutch Shell plc is an independent oil and gas company, incorporated in 2002, and based in United Kingdom. It operates in 3 primary segments: Upstream, Downstream and Corporate. Upstream is engaged in finding crude oil and gas, liquefaction and transportation of gas, Downstream in manufacturing, distribution and marketing activities and Corporate in related support functions like insurance and treasuries.

RDS.B sports a nice dividend yield of 7.72% due to its recent drop. It touched a 52 week high of $65.98 and trading at $48.72. With the acquisition of BG Group, Shell will position itself better to compete against big oil companies. At current valuation, its provides a nice opportunity to investors looking for long-term. However, there are definitely elevated risks due to volatility in oil prices and commodity prices in general.

I added 10 positions in RDS.B on 3/21 at $49.44 in my taxable account. It’ll add $37.60 of passive income on an annual basis. I consider it as a great addition to my Portfolio.

Full Disclosure: Long on above mentioned securities.

Thanks for reading.

What do you think about these buys?