I couldn't resist those delicious Big Mac's! McDonald's is 14% off of its high and only $4 off of its 1-year low set last fall. I bought 22 shares this morning @ $87.80/share.
This is my first purchase of MCD and I'm sure it won't be the last. MCD is currently yielding 3.2% and is due for a dividend increase for the December payment. If they increase the dividend by the same amount as last year, .09, I will have a YOC of 3.6%. Since the Ex-Diviend date is 08/30, I will also be receiving the September dividend payment.
McDonald's is a company I believe will still be here in 30 years and I can rest well at night holding their shares. They are also a Dividend Champion, having raised their dividend each year for 35 consecutive years.
Nice purchase. MCD is already the second-largest position in my portfolio, but if it were to drop much further, I would probably add to my position.
ReplyDeleteThis past weekend I drove by a McDonald's and, not surprisingly, there was a long line-up at the drive-thru. That particular location seems to have customers non-stop.
Thanks deedubs. Around here they have completely redone the way the McDonald's looks on the inside and outside. It's a more modern and cleaner look. They started this around the time they started the McCafe's. There is always a huge line and it stays really busy.
DeleteHi austinbroker,
DeleteThis is deedubs. I just wanted to let you know that I've changed the name of my blog to "Dividend Growth Machine" and its URL has changed to:
http://dgmachine.blogspot.com/
Great purchase here!
ReplyDeleteWe purchased the same stock on the same day, but you got a slightly better price. I definitely agree with you on the level of safety with this one. MCD is definitely a "sleep well at night" stock that I feel good about owning.
Best wishes!
Thanks DM. Great minds think alike. I've been wanting to enter a position in MCD but it had a nice run earlier in the year. The recent pullback gave me a chance to get a great company at what I believe is a pretty good price. Good luck.
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