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OK, My Turn
#31
Well, it's been a while since I showed the entire portfolio.

I've embellished the chart I started this thread with. As I said in the beginning, I'm a visual learner so graphs & charts help me envision what I'm doing. It now includes what percentage each company contributes to the dividend income total (red bars). The dashed line is around 3.2% which is the mean % value if I held each security equal by market value. This is just a guide as I have no intention of equal weighting everything by neither income nor value. It does help me identify what may be too overweighted, such as PEP which I noted in this thread previously, and I make decisions from there.

   

You can see some the results of some of the decisions I've mentioned previously. I have about 2% in cash which I'm focusing towards REITS and utes to boost the income stream if they'll only drop some more.

I have a short covered call outstanding on AFL. If it trades, I'll be underweight but I plan to trade around that unless there's some compelling bargain out there.

ABBV is way overweight but I'm not selling that right now. With a 3.5% yield and still some promise there, I'll let it sit while I collect the dividends in cash for now.

CVX is not going anywhere. I've trimmed it once and it's still pumping cash my way. Yes, I know of the FCF issues but I don't think the impact will be that bad over the long term. Collecting those dividends also.

I just trimmed PEP and plan to hold where it's at for now. It's the longest resident in my portfolio and has been a good return for me. I even held it for a few years in the 90s and I made out very well with it. Big Grin Why I sold it I haven't a clue. The stupidity of youth. Sad

T is my ATM. I collect those dividends in cash also for filling in the rest of the portfolio.

ES, the old Northeast Utilities, has a standing limit order if only the price were right. GE I'll add on a decent dip.

Lastly, if GILD were to drop below $80, I'd find the money somewhere. Right now I'm showing the projected income based on what they predicted in their last earnings report.

Lastly, I added the following graph to the spreadsheet. It shows how much is invested in each sector by market value. Someday I'll get busy on one that shows income by sector.

   

The numbers before the sector name is the GIC category. I've already broken REITs out of the financial sector, as S&P plans to do, but they haven't been assigned a GIC category number last I looked.

That's it for now. Thoughts? Questions?

ETA: Sorry I didn't shrink the graph to a more manageable size, I got lazy. Hope it doesn't cause you to scroll too much.
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#32
(03-07-2015, 10:47 AM)Dividend Watcher Wrote: T is my ATM.

Love that!

It is a nice looking portfolio, if you ask me. I really like that you added the red bars. I love seeing which companies account for a disproportionately large share of my income. Keeps me appreciative of those "ATM" stocks like T and COP.
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#33
I REALLY like the bar graph. It really puts the picture out there.
I have just finished putting together some excel sheets.
All of this is time consuming, do you not have enough to do?
Seriously, great job.
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#34
And now I finally get around to posting the wife's portfolio. It's changed quite a bit from the first post in this thread and I am much more comfortable now.

   

First thing I notice is that HCP has become quite a big part of the dividend stream. I said in DRILLINDK's post that I was reinvesting her dividends for now. Now that I look at it, looks like I need to take the cash for expanding the portfolio.

Again, we will be focusing more on utes and REITs since, as we get closer to "that age", we'll need the dividend stream. Just need some better pricing. Where the hell does the time go? Huh Angry

I'll probably hold ESV until it goes kaput. My "story" on the company hasn't changed and over the long term should be rewarding us once again. It's cut the dividend and we're 50% underwater. Selling it would only lock in the losses and not add a very big pile of cash to work with anyway.

At these prices, I wouldn't mind adding more to JNJ and EMR but, alas, we are out of cash for now. Maybe I'll wait until a better pullback.

PG is just going to have to sit there until it gets dirt cheap or the fundamentals improve. In the meantime, I just may add some UL to get better exposure to the household products space. Both CLX and KMB are way too high for them to fill in and CHD & CL have too low a yield plus the high P/E to make them viable contenders at this point.

I keep vacillating on WBA & UTX. Both have been berry, berry good to us. I've trimmed her WBA twice already and it just keeps chugging along. UTX still has lots of potential and plenty of cash flow to throw around but the yield is so damn low. I guess EMR will balance that out in the industrial sector.

Speaking of that, here's her sector distribution:

   

No 'Basic Materials' yet. See a couple posts up about this sector.

I forgot to add in my previous post that the Energy Sector is the dark blue wedge at 1:00 o'clock and it goes clockwise from there. Sometimes it's hard to distinguish the colors.

And that's all the news for now. Thanks for the thoughts and suggestions.
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#35
Trimmed WBA in both our portfolios today. With a trailing P/E of 40 and, even if earnings hit estimates, the forward P/E is in the mid-20s, I think I can either better the dividend stream or buy some back if there's a significant drop in the meantime. It's just above my desired allocation in both portfolios. If they do make a big acquisition this year, it could wreak havoc with estimates as they digest it -- especially if they pick up Rite Aid. Of all the drug stores out there, including the regional ones around here, it appears Rite Aids are the worst managed outfit and would duplicate locations of just about every Walgreens in our area. That's a lot of store closings and broken leases.

I'll just sit in cash for a short while as I survey the landscape.
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#36
(03-18-2015, 09:20 PM)Dividend Watcher Wrote: Trimmed WBA in both our portfolios today. With a trailing P/E of 40 and, even if earnings hit estimates, the forward P/E is in the mid-20s, I think I can either better the dividend stream or buy some back if there's a significant drop in the meantime. It's just above my desired allocation in both portfolios. If they do make a big acquisition this year, it could wreak havoc with estimates as they digest it -- especially if they pick up Rite Aid. Of all the drug stores out there, including the regional ones around here, it appears Rite Aids are the worst managed outfit and would duplicate locations of just about every Walgreens in our area. That's a lot of store closings and broken leases.

I'll just sit in cash for a short while as I survey the landscape.

I believe that trailing PE isn't taking into account one time adjustments to earnings due to the merger with Alliance Boots. The PE on 2015 earnings is about 24 and forward PE on 2016 estimates is 19.6. Still pretty high, but not so high that I am thinking about selling anything yet.
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#37
(03-18-2015, 11:48 PM)EricL Wrote: I believe that trailing PE isn't taking into account one time adjustments to earnings due to the merger with Alliance Boots. The PE on 2015 earnings is about 24 and forward PE on 2016 estimates is 19.6. Still pretty high, but not so high that I am thinking about selling anything yet.

Yup, I knew about the adjustment. Forward P/E was still a little high and the potential acquisition still has me wondering. Maybe I was looking for an excuse to add some cash to boost the dividend stream. Both are still about where I want them to be in both our portfolios.

In the meantime, RTN's recent dividend hike made up for 2/3 of the loss of the dividend from those shares for me. My wife's cost basis actually went down since we account for them using FIFO.
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#38
Added another lot of SO to the wife's portfolio today. It's almost back down to where it was trading before the 2014 jump and about just below the price of the first batch. The added dividend stream more than made up for the drop when I sold WBA a week ago. On top of that, should have a bump in the dividend next quarter.

Still have a little cash leftover and a low limit order on EMR. If it hits, I'll be fine. If something else is cheaper in the meantime, we'll cancel that and move on to the next.

The KRFT buyout news yesterday did wonders for the portfolio value but nothing for the income stream . . . yet. Looking forward to that big lump special dividend and the new company should be very rewarding in the long run.
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#39
Yesterday added some W.P. Carey (WPC) to my wife's existing holdings. Today, the limit order hit for another batch of Omega Healthcare (OHI). Both about 10% off their highs. I'm sure if interest rates ever normalize, they'll take a hit but when is that going to happen? I forecast years. In the meantime, I'll happily compound the 5+% yields versus 0.1% in the money market.
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#40
WPC's dividend was paid today. Great company, well managed. Almost added myself but didn't pull the trigger. My cash balance in the Roth is not really at the amount I like to invest.
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