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 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)

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.

6 thoughts on “Recent Buy

  1. Really like these buys, PIM. Both great companies and cant go wrong adding more shares in these companies.

    Best wishes
    R2R

    1. Hi RTR,

      Glad to hear that you like my buys! KMI and T are great gushers of passive dividend income and you cannot go wrong with these. I plan to add more of these if the price further corrects. You are doing great over there as well 🙂

      Thanks for stopping by and commenting!

  2. I like your KMI buy the most but neither are on my radar for the month of June. I’m still looking at the Canadian banks first )BNS & TD) then some of my health REITs. Thanks for sharing. At least you are getting a pretty nice current yield with these buys.

    1. Hi DH,

      Yep. KMI is a great buy, little too rich in valuation though but, it is always nice to buy great companies at fair price, rather than other way around.

      I’m also looking at Canadian companies: big 5 financial companies, POT & WFC along with healthcare REITs like HCP, OHI,VTR, HCN. I would like to better balance by adding these and few in tech space.

      Thanks for stopping by as always and appreciate hearing your take!

    1. Hi FD,

      These buys have great dividends and cash comes at a faster rate that we are happy to take with both hands 🙂

      DRIPs are the best part as this puts you on auto-pilot and dividends are re-invested w/o lifting a finger, getting more shares in the process and generating growing dividends and creating a virtuous cycle of own. Magic starts to happen after few years!

      Thanks for stopping by and commenting.

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