I'm reporting my ShareBuilder purchases that went through today.
I bought:
$1000 of MO
$500 of JNJ
I used $1500 in fresh capital and added $67.88/year to my dividend income. This is an average yield of 4.5%.
My forward 12-month dividends increased from $4193.27 to $4261.15.
Note: I'm now fully allocated in MO for the time being and I'm comfortable having enough invested in tobacco in general for a while.
Two great companies to pick up. I own both of them. I think I'm maxed out on MO for now, but I wouldn't mind picking up some more JNJ depending on the price.
ReplyDeleteI agree that both are great companies. I'm probably done with MO for a while unless it has a big pullback. I don't think you can go wrong with either one.
DeleteTake care!
I was just thinking about buying some JNJ too for their great track record of increasing dividends over time :D Maybe I'll buy some before he end of the month.
ReplyDeleteHi Liquid,
DeleteYou can't go wrong with a great company like JNJ. They have increased their dividend for over 50 years. In another 20 years the current stock price will look really cheap. I won't let a few dollars difference in price keep me from adding to a great company.
Thanks for stopping by!
AAI,
ReplyDeleteGreat stuff.
I'm a big fan of JNJ long-term. It's simply a juggernaut of a healthcare company. Not much to dislike there, other than perhaps the (fair) price.
I wanted to buy more MO when it dipped down to $30 and I passed out of fear that I already have too much invested in tobacco. While I like the medium-term prospects, the longer-term (going out decades) is very cloudy due to potential further packaging regulation like plain packaging. I'm afraid that could cause real brand destruction. We'll see how it plays out in Australia.
Best wishes!
Hey DM,
DeleteI agree with you about JNJ. I was hoping the price would decline over the past year so I could pick up more shares and it just hasn't. I wanted to increase my weight in the company just a little since I view them as a "permanent" position in my portfolio.
I'm also fully vested in tobacco and don't plan to add more money to any tobacco positions for a while until the rest of my portfolio sectors catch up. They have great yields but as you mentioned there is a lot of uncertainty in the future with new legislation.
Thanks for dropping by!
I like, well, love JNJ. I have it in my ROTH and made killing with this stock. Great dividend payer. I just hope they will suffer some correction or sell off or panic or any similar craziness so I can buy more shares. I am reluctant buying at these levels.
ReplyDeleteHi Martin,
DeleteI agree that JNJ is a great stock. The problem is that everyone knows that so you will be paying a premium for the stock. I too hope for a pullback on JNJ or just a general correction in general so I can add to some of my holdings at cheaper prices.
Take care!