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 buy in the month of May 2015.
1) Kinder Morgan, Inc. (KMI)
I bought 11 positions in KMI on 5/22 at $42.89 and added an additional 6 positions at $42.89 in my DRIP account. Along with my prior 11 positions, making it 28 positions.
KMI has a decent dividend yield of 4.63% and trading at $41.49, a good price point to enter into the position and dollar-cost average down. There are definitely some risks involved here in case oil prices were to take a big hit.
It will add $32.64 of passive income on an annual basis. I consider it as a great addition to my Portfolio.
2) AT&T Inc. (T)
T has a juicy dividend yield of 5.44% and trading at $34.54, drop from $37.48. Though, growth is restrained due to the size of the company, however, it is more like a utilities company that provide an excellent dividend income point right off the bat.
I added 6 positions in T on 5/07 at $34.63 in my DRIP account, making 29 positions overall. It will add $11.28 of passive income on an annual basis.
Full Disclosure: Long on above mentioned securities.
Thanks for reading.
What do you think about these buy? Are these companies on your radar.
The market in month of April rallied with S&P (ETF: SPY) gaining almost 2%, as compared to more than 4% drop in March; volatility is becoming the name of the game recently. The moody market never goes straight up or down but over long period, direction of market is up and will rewards patient investors like us.
I allocated capital in energy securities that have started rallying from Jan bottom but still under-valued in my opinion: ONEOK Inc. (OKE) with current dividend yield of 5.48%. Oil related market segment is a difficult beast to predict, however, it does not matter to long term investors as long as we can enter it at a decent price point.
I initiated 10 positions in OKE on 4/13 at $49.57 and added 10 more positions on 4/20 at $49.57 in my taxable account. At current yields, it will add an amount of $48.40 annually to my passive dividend income. I also added small amounts in other securities: ABBV, CL, COP, XOM, IBM, KMI, RDS.B, CLX, T, and VZ in my DRIP Portfolio. This will push me closer to being financially independent in 12 years.
Currently, I’ve got 4 Portfolios: DRIP, HID1, HID2 and a recently added Roth IRA account. New capital is distributed across these 4 portfolios in both taxable and tax-free accounts so that I’ve freedom to enjoy my passive dividend income whenever they are able to cover all my expenses. I also contribute towards 401K account in order to get employer’s match and help lower taxes as well.
My total portfolio value at the end of April is $74,673.42 which is 7.6% increase over March Portfolio value of $69,385.54. I’m excited that my portfolio is getting close to a magic number of $75K 🙂
Full Disclosure: Long on the above mentioned securities.
Thanks for reading.
How is your portfolio doing recently? Getting excited on progress.
Its time for me to post dividend income earned from my portfolios: DRIP, HID1, HID2, & Roth. I 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 a triple hundred plus in total passive dividend Income: $302.88 to be precise, this is the second time crossing $300.00 milestone figure this year. My dividend income was more than 2.89% as compared to last Jan and 116% more compared to last year’s April. It only shows the power of Dividend Income engine.
Passive Dividend Income – April 2015
1. Dividend Re-Investment Plan Portfolio (DRIP)
Altria Group, Inc. (MO): $29.29
Glaxo SmithKline Plc. (GSK): $27.29
Kimberly-Clark Corp. (KMB): $16.22
Phillip Morris Intl, Inc (PM): $30.13
The Coca-Cola Company (KO): $14.91
The Wal-Mart Stores (WMT): $11.60
2. High Dividend Income Growth Portfolio 1 (HID1)
American Capital Agency (AGNC): $11.00
General Electric (GE): $10.35
Altria Group, Inc. (MO): $17.16
Annaly Capital Mgmt (NLY): $30.00
Realty Income Corp (O): $9.48
Omega Healthcare Inc. (OHI): $18.00
Phillip Morris Intl, Inc (PM): $25.00
Prospect Capital (PSEC): $8.33
Pimco Corp & Opportunity (PTY): $13.00
3. High Dividend Income Growth Portfolio 2 (HID2)
Altria Group, Inc. (MO): $13.77
4. Roth IRA
Reynolds American Inc. (RAI): $12.06
Vanguard Natural Res LLC (VNR): $5.29
Total Passive Dividend Income: $302.88
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.
I’d setup a goal of earning $3500.00 in total passive dividend income this year and so far have received $1117.16. This is 31.91% of target for this year and a little behind. We will see how next few months pan out.
Full Disclosure: Long in all above mentioned securities.
How did your Dividend Income come along this month of April? Meeting target.
Thanks for reading.