Tuesday, February 17, 2015

Weekly Sharebuilder Purchases


Here are my automatic investments for this week.

  • KO:  7.19 shares @ $41.72 --- Yield  2.92%
  • WM:  3.02 shares @ $53.85 --- Yield  2.82%
  • JNJ:  5.57 shares @ $99.40 --- Yield  2.79%

Total capital invested is $900 ($300 in each company). The combined yield on these purchases is 2.84% and will add $25.59 to my yearly dividends.

This is a relatively uneventful week as I am slowly adding quality companies to my portfolio. JNJ continues to hover around $100 so I will keep adding at these levels and lower. KO has drifted down a little over the past month and looks decent here as well. It has been almost a year since I have added to WM. My cost basis is $41 and the stock has headed straight up over the past year.

Last week the company received a downgrade so I thought I might be able to pick up some shares under $50. Unfortunately the combination of an earnings beat and a subsequent upgrade has sent the shares back up to new highs. Oh well, I have a very small position and will probably add more hopefully at lower levels.

Companies on my radar for next week include KO, JNJ, PG, XOM, CAT, NOV, MCD, BAX, and MSFT.

24 comments:

  1. Nice purchases MDP. I also added KO and JNJ this week as they have been going lower. I am planning to add JNJ as long as it remains around or below $100 levels. KO has been lower too and plan to add more if it goes lower. Also added T this week since initiating position earlier this month.

    ReplyDelete
    Replies
    1. MDP,
      I am also looking at buying some KO this week. Thank you for sharing your recent buys!

      Delete
    2. DGJ,

      Nice job with KO and JNJ. I missed out on T when it was around $33. It is hard to get in on all the bargains. I will also keep adding JNJ at these levels and lower.

      MDP

      Delete
    3. DM,

      No problem and good luck with your KO purchase!

      MDP

      Delete
  2. Love all three of these purchases. We own all 3 companies in our portfolio. I'm seriously thinking adding some more JNJ in the next few months too.

    ReplyDelete
    Replies
    1. Tawcan,

      JNJ is one company that I never purchased until last month. I plan on making it a full position over the coming months. Hopefully it keeps drifting lower.

      MDP

      Delete
  3. MDP,

    Looking to add some KO myself in Loyal3 at these rates, but I am also tempted there by the nice levels of K and MCD.

    JNJ is a very nice buy. I've been a happy shareholder there, but I have been a very impressed WM holder. Talk about a stock that has truly performed better than expected.

    Long all 3 of your buys,
    Gremlin

    ReplyDelete
    Replies
    1. DG,

      WM stock has been surging big time over the past year. The dividend yield and growth are not very exciting, but I guess more people are throwing more stuff away. The business appears to be really good. I haven't looked at K recently, but I did notice my CAG and KRFT positions have been heading lower. I will check it out.

      MDP

      Delete
  4. I'm curious as to your pricing plan with Sharebuilder. Do you pay $3.95 per auto investment? I recall that S'builder used to have a $12/month for 12 trades deal, but I don't find that on their site any longer.

    ReplyDelete
    Replies
    1. dc,

      I joined Sharebuilder before that stopped the $12 for 12 trades plan. I believe Costco members have the option of $10 for 12 trades. You might look into that.

      MDP

      Delete
  5. MDP,

    Nice buys there. I can't see any scenario where any of those companies are out of business over the next 10 to 20 years.

    I've never been a fan of WM's fundamentals, but the stock continues to perform.

    Best regards!

    ReplyDelete
    Replies
    1. DM,

      Thanks and you are right, they are all solid companies. WM is a strange bird. The yield is ok and the dividend growth is utility like, but the company just keeps marching upwards. I hope to add more WM, but we'll see how the price goes from here.

      MDP

      Delete
  6. I would love to add WM and BAX to the portfolio. Maybe this is the year but WM has really taken off.

    Mark

    ReplyDelete
    Replies
    1. MOA,

      BAX is nice because the price always seems reasonable. WM on the other hand is hard to get a grip on. It just keeps climbing and climbing.

      MDP

      Delete
  7. MDP,

    Love the buys. JNJ and KO are two of the top companies in the world who I can't see going away in the next 40 years. I haven't done much research on WM but I see many of the other comments have had some positive remarks. I'll definitely be looking into them too!

    Regards,
    F2R30

    ReplyDelete
    Replies
    1. f2r30,

      Thanks! You are right about KO and JNJ. I plan on adding to these positions each year. WM is a good stock performer and a decent yielder as well. The dividend growth is not as impressive, but if they keep running the business well the dividends will follow.

      MDP

      Delete
  8. MDP,

    Awesome purchases. I remember back in 2008 when I was a senior in high school, my economics teacher told us about how she was heavily invested in JNJ when it was around $65/share. Boy, is she rich now. KO is another great company that will only continue to grow in the future. Can't wait to continue to read what you purchase.

    D2R

    ReplyDelete
    Replies
    1. D2R,

      I wish JNJ was $65 a share today! Of course as we all know if companies perform well over time the price continues to rise. That is fine by me as long as the earnings and dividends also rise along with the price.

      Thanks for stopping by and commenting!

      MDP

      Delete
  9. Great companies. I tend to gravitate towards ETFs, like IVV and IVW. Slightly smaller dividend, but higher potential for growth. The dividends last year were over $6K, so hopefully they will get even better.

    Buying ETFs eliminates the potential catastrophe that Medronic had with a huge capital gains hit for many seniors. My neighbor has to pay over $100K in taxes because her basis was so low. Then, she has less money to live on or pass on after her death. She is 83.

    ReplyDelete
    Replies



    1. My Dividend PipelineFebruary 18, 2015 at 8:13 AM

      NNL,

      There is nothing wrong with ETF investing I own DVY myself and also have some mutual funds. I plan on reducing the mutual funds in the coming years, but will certainly consider adding more ETFs for diversification and tax efficiency.

      MDP

      Delete
  10. Great buys !!! I have all three and ad monthly.

    other than Sharebuilder what other sites would anyone recommend ??? I was using Buy and Hold

    ReplyDelete
    Replies
    1. Jeffrey,

      Thanks. I have been using Sharebuilder exclusively for the past year or so. I might look at Loyal3 in the future.

      MDP

      Delete
  11. MDP,

    You and I both know that uneventful isn't a bad thing, adding $25 is decent and will turn into more, we both know that. You're staying in the game and staying consistent. You own an asset that is valuable so why the hell not buy more if you have plentiful capital? Boom and done. Solid purchases MDP, solid purchases.

    -Lanny

    ReplyDelete
    Replies
    1. Lanny,

      Thanks buddy. You are right and after reading your article about itchy trigger fingers I must admit I have one also. I am doing my best to keep from rushing in and buying heavy until after tax season. It is difficult, but I will try my best. Right now with BAX trading around $67 I am tempted to make a big purchase.

      MDP

      Delete