What Did You Buy Today?

[billm]

picked up some MCK

[divmenow]

Good buy in MCK. I bought some AMGN, BUD and little FB today. FB not such a smart buy today. But over the long haul its cheap at just 20X next years earnings.

[divmenow]

(11-02-2016, 05:46 PM)divmenow Wrote: GILD getting interested down here. I may nibble before the day is over.

[crimsonghost747]

Added to my positions in WTR, WFC and LOW.

[divmenow]

I added to CAH and RTN today. WTR looks very interesting. I know that company very well. Why the big selloff of late?

[crimsonghost747]

(11-07-2016, 12:00 PM)divmenow Wrote: WTR looks very interesting. I know that company very well. Why the big selloff of late?

I guess it's just returning back to a more normal valuation. It's an amazing company that you really can't go wrong with but it has been very expensive lately. (same for the other water utilities)

[ronn38]

During this (short lived) dip, I picked up more OHI, T, F and PGX-- and today I'm up in all of them :-)

[divmenow]

Wow CVS down $13 in pre-market. I had to buy down here at $70.30. Anyone else buying? I know a few of you here just bought at $84-85

[billm]

Buying CVS down here

[billm]

limit triggered at 69.95

[DividendGarden]

Bought CVS at $70.40

[EricL]

Missed the open due to long lines at the poll, so I missed the bottom, but added to my CVS at $72.90 a few minutes ago.

The guidance for 2017 wasn't great but I don't see it as being a disaster. Flat growth year over year but management is still guiding for 10% annual growth long term.
Even using a pessimistic 6% EPS growth and 8% dividend growth over the next 5 years and a target PE of 14, I still get 10.9% annual returns over the next 5 years. I bought shares with intentions of holding it for the next 20+ years, so I see this as an opportunity more than a disappointment.

Long term trends of an aging population haven't changed. There is a short term blip due to losing Tricare and some other contracts, but I still think a high-single digit EPS growth rate going forward is likely. Especially considering the huge cash flows and a buyback program that will continue retiring 4-5% of outstanding shares every year.