First batch of DGI stocks to buy

[fenders53]

(03-04-2021, 09:30 AM)ken-do-nim Wrote: With my refinance cash-out closing on Monday, and my bonus due shortly, I will be ready to start the Dividend Growth portion of my portfolio (hooray!).  Here is what I'm planning to start with, please please provide me additional suggestions.  Ranked by 5 year growth; not including any company with less than a 1% dividend (Microsoft is at 0.98%, Apple is at 0.67%, Disney is at 0.92%).

1. BroadCom (AVGO), 5 year growth: 3.17 times (!), yield: 3.11%
   
2. Texas Instruments (TXN), 5 year growth: 3.107 times (!), yield: 2.39%
   
3. Caterpillar (CAT), 5 year growth: 2.95 times, yield: 1.92%
   
4. Eli Lilly (LLY), 5 year growth: 2.74 times, yield: 1.68%
   
5. Hewlett Packard (HP), 5 year growth: 2.67 times, yield: 2.60%
   
6. Qualcomm (QCOM), 5 year growth: 2.50 times, yield: 1.97%
   
7. Accenture (ACN), 5 year growth: 2.46 times, yield: 1.38%
   
8. L3Harris (LHX), 5 year growth: 2.30 times, yield: 2.19%
   
9. Lowe's (LOW), 5 year growth: 2.25 times, yield: 1.52%
   
10. Seagate (STX), 5 year growth: 2.2 times, yield: 3.53%
    
11. Target (TGT), 5 year growth: 2.14 times, yield: 1.57%
    
12. Home Depot (HD), 5 year growth: 2.05 times, yield: 2.56%
    
13. Walmart (WMT), 5 year growth: 1.91 times, yield: 1.72%
    
14. Watsco (WSO), 5 year growth: 1.86 times, yield: 2.96%
    
15. Starbucks (SBUX), 5 year growth: 1.818 times, 1.69%
    
16. Oracle (ORCL), 5 year growth: 1.77 times, yield: 1.43%
    
17. Proctor & Gamble (PG), 5 year growth: 1.475 times, yield: 2.57%
    
18. Johnson & Johnson (JNJ), 5 year growth: 1.47 times, yield: 2.59% 
    
19. Pfizer (PFE), 5 year growth: 1.23 times, yield: 4.51%
    
20. Sanofi (SNY), 5 year growth: 1.16 times, yield: 3.69%
    

Not a bad list.  Do we get to vote a few off the island? 

-Upgrade PFE.  It won't be hard.  I nominate BMY or MDT.  Or JNJ and LLY is enough pharma anyway? 

-Add a consumer staple and trim one retail stock.  I like TGT better than WMT FWIW. 

-Add an industrial to go with CAT.  I nominate HON or APD.  Go slow on industrials.  They are too expensive and it doesn't matter that MOMO will probably run them a little higher.   

-Sell us on Oracle and HP.  You're a techie.  This all you got man?  Any cloud exposure in this list? Sounds like Boomer tech stuff I'd buy because I didn't know any better. 

Average into the expensive ones.  Don't let the cash blast make you rush into high PEs.  I don't care if I am wrong 90 days from now.  DGI is not about that.    

I like your slight lean into chips.  The bust cycles are going to get shorter IMO.