My Watch List for October 2014

I’m always looking out for good quality securities, and if they are under valued that’s great and if they yield high dividend income, even better! However, emphasis is owning quality blue chip companies to grow passive dividend income.

I’ve been pondering about following companies since some time. As soon as more capital becomes available, I’ll be gnashing my teeth in some of these great companies ;)

1) American Realty Capital Properties Inc. (ARCP)

ARCP is a real-estate investment trust (REIT) that acquires, owns and operates single-tenant and multi-tenant commercial real estate properties and is world’s largest net lease REIT. It has in total 4,429 properties across 49 states in 94 industries with portfolio occupancy of 99.8%, 99.1 million sq footage and total value of $23.8B. 

ARCP has a nice dividend yield of 8.65% that is paid out monthly and has a market cap of $10.50B. Its 52 week was $14.96 and currently trading at $11.56 which is close to its 52 week low of $11.54. Current price provides an excellent entry point to investors. As a REIT, it must pay out 90% of its earnings and a diversified portfolio, ARCP is a good bet as a long-term hold.  ARCP was also a recent buy by Dividend Mantra.

2)  General Electric Company(GE) 

GE was founded in 1892 by none other than famous Thomas A. Edison and is headquartered in Fairfield, Connecticut. GE is a huge multinational company and diversified across several major segments: energy, infrastructure, technology, capital, healthcare , etc. among others. GE is ranked as one of top Fortune 500 company with a market cap of $243.52B.

GE is trading at P/E ratio of 19.20 with a nice dividend yield of 3.63%. It touched a 52 week high of $28.09 and currently, trading at $24.27, almost close to its 52 low of $23.82. GE had run into rough weather in last recession of 2008 due to its financial division but it is on mend and on its path of becoming a stable company. At current valuation, its provides a good opportunity to investors looking for long haul.

With the market taking a dip, read handing you opportunities, there are few others that are under my radar: ABBV, HCP, CVX, YUM, and T.

Full Disclosure: I plan to purchase above securities in near future.

Are you also considering to purchase these securities in near future? 

Thanks for reading.

8 thoughts on “My Watch List for October 2014

  1. I just bought some GE this week around $24 per share, and am hoping my rollover goes through so I can pick up some of the other depressed securities. I’ve got my eye on AFL, CVX, BBL, UTX, TD, V, and IBM… plenty to look at, and not enough money to go around!

    1. Hi W2R,

      GE is an excellent buy at $24 right now. Hope your rollover is completed soon and you can pick up some great companies at right prices. I’m putting some capital to work myself.

      Energy companies are at sale but they could be on further more sale, if global economy becomes shakier but we are in it for long haul and hence, its a good time to add or initiate positions in XOM, CVX, RDS.B, COP, TOT, BP and others. I also like UTX, TD and AFL but tries to stay away technology companies except for few: MSFT, HPQ, INTC and APPL, I guess dot com bust memories 😉

      Best wishes.

  2. PIM,

    Thanks for the mention!

    I obviously like ARCP at these levels, though I’m pretty much topped out on it right now.

    GE seems like a very solid bet. The yield is nearing 4% right now, which is fantastic. I’m also starting to look at energy once again, even though it’s already about 15% of my portfolio.

    I love a moody Mr. Market. 🙂

    Cheers.

    1. Hi Jason,

      I like both ARCP and HCP but later has moved up a bit since I set my eyes on it. GE is a huge conglomerate, had it under watch since sometime and its yield is very tempting! Energy stocks are definitely in-thing for me now.

      Haha! Moody market can sometimes give us better deals 🙂 No doubt about that.

      Thanks for stopping by!

      Best wishes.

  3. Solid names all around. I added to my TD and BNS so far this month as you mentioned (market dip = opportunity) but many of the names you list are looking good too. GE, YUM and of course CVX after the recent drop in oil. It’s amazing how fast things have declined only to rebound. Curious to see which stock(s) you pick up.

    1. Hi Keith,

      I’ve briefly looked at TD and BNS but need to look deeper. Yes, I’ve fired my little gun for some of the DGI stocks this month: ARCP, GE, CVX, ABBV and T that I’ll be writing in my next portfolio update. Market provided excellent opportunities for a short time!

      Thanks for stopping by!

      Best wishes.

    1. Hi YoungDiv,

      I do not blame you 😉 Lot of folks are having second thoughts on ARCP and heading towards exit. For me, it is currently a hold, however, I’m watching it keenly and would hate to sell it since I very carefully choose securities. As Warren says, his ideal holding time is for ever and so is mine. But, we have to wait and see how accounting and other acquisition issues are sorted by new management.

      Thanks for stopping by!

      Best wishes.

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