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OK, My Turn
#21
Jimbo: I'm not sure I really do want to retire. I have some things I want to do that I have no leisure time to do now but I enjoy doing something challenging especially when there's a paycheck involved with it.

Eric: I feel your pain with MAT. I think that's going to be at least a couple year turnaround as I don't see management getting a fire lit yet. Funny you should mention reinvesting. I recently turned off reinvestment on all the companies that are over their allocation in my spreadsheet with an eye to build up the under-allocated stocks when the price is right. Decided I've done enough trimming for now. But yes, it is nice to watch those reinvestments when the price takes a hit.

To add to the excitement, with today's blip in the market and talking heads wringing their hands in panic, I've added a third tranch of AVA when my standing limit order hit just pennies above the low for the day. That brings AVA up to 3/4 of my desired holding. I've averaged down with each purchase and brought my blended current yield over 4%.

Likewise, another limit order filled for BBL bringing me just short of 2% of my portfolio, my desired allocation. I'll let reinvested dividends do the rest of the work. If next year's projected earnings are close to the 32% drop expected, the payout ratio will be about 65% -- still manageable although dividend growth may slow. In the meantime, I'll enjoy the 4.1% yield.

Still setting on about 5% cash and have a couple very lowball limit orders. Now if only Mr. Market would cooperate.
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#22
Added a small opening position in PM today. I had to replace my LO with at least a partial tobacco holding. I wasn't interested in RAI or BAT as I think, with attitudes changing around the world, I wanted to stick with the market leader(s). LO owned the menthol market and had significant penetration into the e-cig market but merging with RAI would've diluted those attributes. MO was too highly priced right now. S&P is projecting high single digits EPS growth over the next several years, P/E is around 16 with a 4.8% yield. I believe currency fluctuations will vex them at times but, with leading brands, PM will weather it for at least the next decade or two.
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#23
I don't think you can go wrong with any of those stocks. I like PM and MO the most of the bunch, PM for the potential growth in emerging markets and MO for the stability of diversification with the SAB Miller stake and a few smaller side businesses.

I think PM could see a bit slower dividend growth in the next year or two due to the strong dollar, but long term I think its a great company.
My Blog: DGIfortheDIY.com
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#24
Well, my lowball limit order for BBL finally hit today. Now I'm a little over-allocated to BBL but at close to 5% yield, I'll use the dividend money someplace. Too bad the dividend is only semi-annual. I hate waiting.
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#25
Was going to post in the "whatdidyoubuytoday?" thread but thought it would be easier to keep track of my stupid ideas if I just added to my own portfolio rambling.

So, today I added to my Helmerich & Payne (HP) holding when my standing limit order finally hit. Price just below my original cost basis so got to average down. 4Q14 earnings release out today and the results looked OK to me ... revenue and EPS bouncing up and down a little despite oil dropping like a rock and the majors cutting back on capital investments; still negligible debt to speak of and a reasonable payout ratio; their last dividend increase was about 10% despite the huge jumps over the last couple years so management must be confident of the their ability to come up with the cash; management is also willing to invest in a few more FlexRigs going forward so there's obviously a market there.

Also added a speculative play to the portfolio with a 0.8% allocation. That was in GILD. I was wondering why GILD, the darling stock of every addle-brained zealot on SA, was trading so poorly when it already has a successful portfolio of HIV drugs and now 2 treatments for HCV, Solvadi and Harvoni. Sure ABBV, JNJ & MRK (now bowed out of the game) may take some market share but the HCV problem is too big for that to make much of a difference. GILD's pipeline also has some interesting prospects for the further out future. With a trailing P/E hovering around 19 and the HCV battle just heating up, I believe there's a chance GILD will capture a lot of that and I should be able to capture some cap gains. I broke every rule in my portfolio business plan except for the P/E < 20 rule. I think there's an opportunity here if you can ignore the volatility and are willing to hold for a few years. As I said, this was to scratch my speculative itch. Angel
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#26
Well, now that GILD has said they'll pay a dividend, it moves off my hoping & praying list to a dividend-paying contributor. A little less speculative and I'll continue to hold this for longer than originally anticipated. I still believe their pipeline shows some promise. We'll have to watch further and see how 2015 shakes out.

Today I sold 20% of my PEP holdings at just over $100. The P/E is at the top of the fair range for me. They are still facing headwinds with currency, carbonated soda sales and activist investors still playing their games. If it weren't that PEP was over 9% of my portfolio and 10x the size of my smallest position, I may have held on. Now it's in the high 6% range and still over 5% of my dividend income. The bump in the dividend, which they said would start in June, will ameliorate some of the loss of income.

At 3% cash, I'm more cash flush than I've been in a while. Now I'm looking for suitable replacement(s). I also have a covered call out on AFL. If it exercises, I'll get to play around with some cash-secured puts and get back in at a lower price. I really needed to trim that also.

I have a limit order in for RY to get a little more exposure to the US and Canadian economies. R2R pointed out so nicely how much more foreign exposure BNS has to other markets.

Right now I'm thinking some JNJ or EMR. I really need to add to REITs and utes but not at these prices.

P.S. Someone please send the Correction Fairy so I'd feel better about putting that cash to work. Undecided
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#27
Trimmed some 30% of my ROST on Friday. Trailing P/E of 22 is about the top of the range for me and a dividend yield of 0.8% is too low for me at this point. With a 60% gain, it had grown to be too large a part of the portfolio. I'll add that to my cash from the PEP sale a couple days ago and spend the weekend shopping. My cash position is now a little over 4%. Haven't seen that in a while.

ROST has a dividend increase coming up and they've added some new stores in under-represented regions. The picture is still bright for ROST and I still have a significant exposure so we'll let that ride for now.

Now for some patience. I see the utes have started to break down and a chink in the REIT market, both under-represented in my portfolio, so hoping that continues.
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#28
My limit order on RY executed today after I bumped it up a dollar. I think the exchange rate between USD/CAD is about the long-term average so the price and dividend will bounce above and below that point. Over time, everything should average out. Between that and BNS, Canadian banks are about 3% of the portfolio -- about where I wanted bank stocks to be. Yield at time of purchase was 3.92%; close enough to 4% for government work. Will reinvest the dividends for a while to dollar cost average and then start collecting the cash.

Yesterday, used some of my excess cash and took a little bite of MAIN comprising about 0.8% of the portfolio. Wow, I finally dallied into the BDC market. Dodgy I've been reading all their annual reports and press releases and feel management has tried to be judicious and transparent. Now to watch interest rates and see how that affects profitability over time. I'll collect the dividends as cash and use it to add to other positions. I'm suspecting this won't be a longer term hold.

Still waiting for REITs and utes to fall out of bed. Still trying my patience.
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#29
Great moves, DW. My two Canadian banks are BNS and TD. Would like to add RY as well, but that'll have to wait.

My next purchase is probably going to be MAIN. Those dividends look enticing.

Thanks for sharing
cheers
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#30
(02-19-2015, 10:49 AM)Dividend Watcher Wrote: My limit order on RY executed today after I bumped it up a dollar.

Still waiting for REITs and utes to fall out of bed. Still trying my patience.

I have also been looking at RY. Actually I took a look at Canadian banks a couple of months ago and RY stood out as something that I would definitely want to own. However I still feel that even though the P/E number is not that high, there is still a bit that should be trimmed off the price before I buy it. So definitely interested in it too but currently watching from the sidelines.

As for REITs, take a look at NPR. Also from the better side of the border (heheh) and it has really taken a beating with the drop in oil price since a big part of their portfolio is located in cities that are very dependant on the oil industry.
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