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 June 2015.

1) The Bank of Nova Scotia (BNS)

I do not own any financial companies and thinking to add some of them in my portfolio to better diversify across various sectors. Canadian companies and in particular financial ones have been on my radar since some time as they have been fairly conservative in their lending practices and weathered recession robustly. I thought of biggies: BNS, TD and RY as primary candidates and finally settled on BNS due to little better valuation and yield.

BNS has a P/E ratio of just 11.10, a nice dividend yield of 4.14% and trading at $53.39, dropping from its 52-week high of $68.71, what is there not to like about it.

I added 10 positions in BNS on 6/08 at $53.20 in my taxable account. It will add $22.10 of passive dividend income on an annual basis.

2) Vodafone Group plc (VOD)

Vodafone is a UK based mobile phone company and I’ve been eyeing it to own it since a long time. Finally, I bought 10 positions in VOD on 6/04 at $38.00.

VOD has an excellent dividend yield of 6.52% and currently, trading at $36.37, a good price point to enter into the position. There are some risks involved here due to regulators looking into its customer practices. If price drops, I may add more positions to average down the cost.

It will add $23.70 of passive income on an annual basis. I consider it as a great addition to my Portfolio.

3) ONEOK, Inc. (OKE)

OKE has a nice dividend yield of 6.23% and trading at $38.83, mighty drop from $71.19. Though, there is a risk of price volatility, however, it has taken a significant hit and good time to buy it.

I added 10 positions in OKE on 6/04 at $40.00 in my taxable account, making 30 positions overall. It will add $24.20 of passive income on an annual basis.

Full Disclosure: Long on above mentioned securities, except TD and RY.

Thanks for reading.

What do you think about these buy? Do you own them or planning to add.

11 thoughts on “Recent Buy

  1. Nice seeing some love going towards the Canadian banks. As you know I have been buying the large Canadian banks every month for the last 11 months adding to my TD, BNS and RY bit by bit. While REITs are still on my radar the Canadian banks are as well with BNS and TD leading the charge. Bottom line, with each of your buys you are getting some serious current yield. Thanks for sharing.

    1. Hi DH,

      Ha! love for Canadian companies is for sure. These companies sport a good dividend yield and they have played conservatively; less risky too!

      REITs have taken a hit due to Fed chatter about rates going up in Sept, but, I’m buying them as well.

      Thanks for stopping by!

  2. Great purchases, PIM. I am planning on adding to my BNS position soon.

    Also, looking at some utilities stocks and OKE pops up…although I havent done my research yet. I need to read up more, but on the surface, looks very attractive.

    Best
    R2R

    1. Hi RTR,

      BNS is a fantastic company and will add too if price corrects further. I also like TD and RY and may be adding them at some point.

      Both REITs and Utilities companies are back in style with dividend bloggers and why not: they are great for wealth creation.

      Thanks for stopping by and commenting!

    1. Hi DivGro,

      Appreciate liking the buy. I plan to add more of these BNS, VOD, OKE to dollar cost average and reduce the cost basis. However, there are some REITs like OHI, VTR, HCP also on my horizon due to the hit they have taken and a great time to start loading on them.

      Thanks for stopping by and commenting!

    1. Hi DivGuy,

      Yeah. It feels good to add a little fuel to the fire and to roll the snowball a little faster 🙂 The market has been kind recently and we need to take this opportunity, especially REITs and energy companies.

      Appreciate the like and thanks for stopping by!

    1. Hi DD,

      Appreciate liking the buys! I’m trying hard to grow my passive income as much as possible. BNS and OKE are great companies with good yields.

      Yeah. Market is offering its goodies at sale and I’ve bought 3 more buys & posting them soon.

      Thanks for stopping by and commenting!

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