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 two final purchases for this month of February.
1) General Electric (GE)
General Electric is a diversified infrastructure and financial services company, founded by Thomas A. Edison and incorporated in 1892 with headquarter in Fairfield, Connecticut. GE operates in a varied range of products and services: aircraft engines, power generation, household appliances, water equipment, medical imaging devices, industrial items, business and consumer financing. GE has wide geographical footprints across over 100 countries.
GE is trading at reasonable P/E ratio of 17.30 with a decent dividend yield of 3.54% and Market Cap of $261.0B. It traded at $27.53 at its 52 week high and currently at $25.99, is fairly valued in my opinion and a long term hold.
I bought GE at $24.98 on 02/13 and added 20 positions in taxable account, making it 45 positions. It will add $18.40 of passive income on an annual basis.
2) Digital Realty Trust, Inc. (DLR)
Digital Realty is a real estate investment trust (REIT) that acquires, owns, and manages technology-related real estate, incorporated in 2004 and is headquartered in San Francisco, CA. The company focuses on strategically located properties that house services critical to day-to-day operations of technology companies and corporate data center users.
Digital Realty’s portfolio consists of 131 properties, most of them 104 are in North America, 22 are located in Europe, 3 in Australia and 2 are in Asia.
DLR is trading at P/E ratio of 69.10 with a healthy dividend yield of 5.12% and Market Cap of $9.0B. It traded at $75.39 at its 52 week high and currently at $66.38, it is almost 12% lower than its recent high and I think it is decently priced right now, though, further slide could not be ruled out if interest rates were to suddenly spike and new aggressive competitors were to emerge.
I bought DLR at $65.38 on 02/26 and initiated 10 positions. It will add $34.00 of passive income on an annual basis that I do not have to earn and work for.
Thanks for reading.
What do you think about these buy? Are you considering adding any one of them to your portfolio also.