Personally I plan on purchasing MCD when I will have free $1000 (should be a month or so).
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I looked at buying at $91 but was scared they were losing their core market to casual diners.
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I'm not sure if you have a lot invested, or if this is about the total amount of your investments. If so, I'd recommend a fund like SDY or something. Otherwise if you are just looking for an individual stock, I could get behind MCD as mentioned.
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$4000 invested so far
This would take it to 5.
Take a look at my portfolion in the my portfolio section.
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XOM and LMT are at the top of my list for buying more.
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I like COP, CVX, and KMI for energy.
AT&T (T) is looking good with a 5%+ yield and it looks like the DirecTV merger will be going through.
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10-06-2014, 09:11 AM
(This post was last modified: 10-06-2014, 09:12 AM by Dividend Watcher.)
IIRC, you're light on core positions in your portfolio -- the ones you'll hold for 30 years or more bar something drastic changing the business. They're average to slow growers but time & compounding (especially with higher yields) can fix that. With that said I'd look at:
- Proctor & Gamble (PG) - it's around fair value right now and working on cleaning up the portfolio of products (pun intended).
- Unilever (UN/UL) - doing the same. Don't know which is better tax-wise for you nor if the ticker is different on local exchanges.
- ExxonMobil (XOM)/Chevron (CVX)/ ConocoPhilips (COP) - getting hit by oil prices that brought them down closer to a fair value. You might even think of British Petroleum (BP) although the outstanding issues with the Gulf of Mexico spill may give you pause.
- Kraft Food (KRFT) - slow growth but they're actively working on new products and cost cutting.
- McDonalds (MCD) - going through what they go through every 10 +/- years, they own a lot or prime real estate and I notice the 'Dollar Menu' is now changing to the 'Dollar Plus Change Menu' which should help on profitability.
- AT&T (T) - plodding along but the market is changing rapidly and they have lots of options.
Was going to add Becton Dickinson (BDX) since they announced an acquisition over the weekend that seemed a great addition. Then I looked at a quote this morning and Mr. Market is already recognizing that (6% jump) and moving the P/E too high for me.
Can't speak about value right now since I haven't looked at it since we sold it before they sold their portion of Verizon Wireless but you might also look at Vodaphone (VOD).
Be prepared for any of them to be in the red for the next year or two. What are you looking to do for your portfolio at this time? Do you have a business plan for the portfolio? See
here or search for Bob Wells and David Van Knapp on SeekingAlpha.
(ETA: Damn Eric, we gotta break this Vulcan mind meld.)
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“While the dividend itself is merely a rearrangement of equity, over time it's more like owning an apple tree. The tree grows the apples back again and again and again, and the theoretical value of the tree doesn't change just because of when the apples are about to fall.” - earthtodan
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In terms of a plan it's as follows.
I've already invested in more risky companies such as OAO GAZPROM, LLOYDS, AFLAC and CARILLION.
I'm now looking for solid investments that I'm looking to hold for atleast 30years. I'm 21 now and want to be having a decent income stream within 30years.
I have £5k in emergency savings and am investing 50% of free income and saving the other 50%.
I foresee being able to put away £2k over the next year and another £2k the year after. Although I'm reluctant to plunge my savings (£10k by 2016) into shares.
My next investments must be Solid.
I was looking at P&G, UNILEVER, MCD, MICROSOFT, COKE, CISCO, NATIONAL GRID, LOCKHEAD MARTAIN, BAE SYSTEMS, CENTRICON, ROYAL MAIL.
As a guide how much should I be investing into each?
Atleast a £500 stake?
UNILEVER, P&G
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Absolutely agree that you should put this $1000 into a core position that you can expect to hold for decades. XOM / COP / CVX would be at the very top of my list. I'd also consider PM. And I think T is a great choice. I agree that MCD is not quite as "core" as those, but just about, and it may represent the best value of that short list at today's prices (though the recent dip to $91 was even better!).
If we were voting, I'd probably say XOM. Though with a relatively small portfolio, the higher yield of T or PM might be enticing.
