The Snowball Keeps Rolling – April 2019 Dividend Growth of 92% YoY $$$

63C38821-0343-4305-A892-C5A2455C4134We’ve closed the first quarter of 2019. I’ve managed to update my blog the last weeks so I’m happy to write about the income numbers for April. The first quarter was very encouraging as growth rates went through the roof. I’m very curious for my progress in dividend numbers YoY and QoQ in April. The first month of each quarter has always been a strong month for me in terms of absolute numbers, but also percentage-wise. I’m very excited about several new positions so let’s find out whether these new stakes contributed to my dividend income in April.

The Numbers

My dividend income for 2019/04 was $258.24. In this month I got several raises as compared to the dividend payment three months ago. This month included another small dividend increase from Realty Income (O). April included my first dividend income from my new position in JP Morgan (JPM), $4.80 to be exactly. Also Leggett & Platt (LEG) contributed a very welcome $7.98. I bought “alotta” shares of Altria (MO) and Philip Morris (PM) during the end of 2018 which resulted in a dividend of $69.60 and $30.78 respectively. This sums up to:

Bank of Nova Scotia (BNS) – $28.79

Illinois Tool Works (ITW) – $6.00

JP Morgan (JPM) – $4.80

Kimco Realty (KIM) – $70.00

Leggett & Platt (LEG) – $7.98

Altria (MO) – $69.60

Realty Income (O) – $3.83

Philip Morris (PM) – $30.78

Ventas (VTR) – $36.46

This makes the total amount of dividend income for this month a nice $258.24. My dividend income for January 2019 was $216.63 so that’s an increase of a nice 19% QoQ. My passive income for the month of April in 2018 was $134.50 so that’s an increase of 92% YoY. That’s quite a growth rate! Here is the graph YTD:

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Transactions during April

I bought 12 stocks of Abbvie (ABBV) for a price of $78.94. I like this stock for a market price below $80. Including this transaction I now own 29 stocks for an average price of $83.37. My first stocks were bought at a price around $92. That’s a nice 10% decrease by averaging down. I also bought my first 4 stocks of 3M (MMM) for a price of $192.14 after the big drop in price following its earnings report. At this price I still bought it at a P/E of 20 which is on the high side. Hopefully the price keeps swinging up and down the coming months so I can add to this position at an even more attractive valuation number.

Looking Forward

Another month above the $200 is in the books. I love this new normal. The focus on diversification seems to pay off. I’m less dependent of a small number of companies, especially REIT’s and the average dividend growth rate is increasing step by step.

CVS Caremark (CVS) was up 5% after their earnings report this week. The company is doing fine and the integration of Aetna seems to go smoothly. I increased my position in this company like many other members of the dividend investing community. Keeping a long-term focus is so important.

My stake in the tobacco industry has risen nicely with my buys in December and January. The FDA recently authorized the sale of the IQOS heated tobacco system in the U.S. market so that’s very beneficial for Altria (MO).

Please let me know which stocks you bought and whether April was a good month in terms of dividend income numbers. Thanks for reading.

Happy investing!

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March 2019 – A Growing Dividend Income, Again 👊

This post is already about the last month of the first quarter of 2019. January and February are in the books, both with a dividend income above the $200 and double-digit growth numbers. Each month the numbers are getting bigger and bigger. This is great and it really feels like I’m getting closer and closer to my goal of financial independence. Let’s find out if the last month of this quarter was also a month of a record high number!

Income Numbers

The amount of dividend income for month 2019/03 was $141.68. In this month I got three raises in dividend income from BlackRock (BLK), Norfolk Southern (NSC) and Union Pacific (UNP) as compared to the dividend payment three months ago. This was the second raise in one year for all three companies. What a fantastic businesses!

BlackRock (BLK) continued its streak of rising dividend payouts and rewarded its investors with a 5.4% quarterly dividend hike. The low payout ratio of 35% indicates that the current dividend is well-covered by the company’s earnings. BlackRock’s current dividend payout ratio is also lower than the company’s 40% average ratio over the past five years. Very nice! Norfolk Southern (NSC) announced in January that its board of directors approved an 8% increase in its quarterly dividend, from 80 to 86 cents per share. Their payout ratio sits around a low 34%. Union Pacific increased their dividend from $0.80 to $0.88 a share, a nice 10% increase. This comes down to a very conservative payout ratio of 40%. Union Pacific (UNP) recorded their ninth consecutive year of dividend increases.

This month also included a higher dividend payment by BlackRrock (BLK) and Exxon Mobil (XOM), because of my bigger stake in these companies. I really like to increase my positions in these companies. My dividend income for the month of March was generated by:

Bank of America (BAC) – $5.85

BlackRock (BLK) – $13.20

Cummins (CMI) – $11.40

Emerson Electric (EMR) – $4.90

Norfolk Southern (NSC) – $5.16

Realty Income (O) – $3.83

PepsiCo – $8.35

Southern Company (SO) – $21.00

Stanley Black & Decker (SWK) – $7.92

Union Pacific (UNP) – $5.28

Exxon Mobil (XOM) – $46.74

Breakdown of Dividend Income YoY

My passive income in the month of March last year was $130.14 so that’s an increase of 9% YoY. That’s on the low side for me. Especially after the YoY growth numbers of January and February. The progress QoQ was a bit lower, just 7%. The dividend income for March 2019 leads to the next graph:

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Buys In March

During this month I added 10 stocks to my position in CVS Caremark (CVS) for a price of  $55.39. This additional buy brought down my average buy price. It’s now slightly above $61 and the yield on cost from this position has gone up to 3.27%.

I also initiated a position in JP Morgan Chase (JPM). This one has been on my radar since 2016. It was trading in the $55 – 60 range back then, but I wanted it get down to the low $50’s. Well, now I finally bought 6 stocks for $103.81. ☺️ I stepped in at a dividend yield of 2.80%. When it gets below the $100, I’m on it. I want this to be a meaningful position.

Dividend Income YTD 2019

Including the month of March I collected a nice $629.02 YTD. My total dividend income in 2018 was $1,793.09. It sure looks like I’m going to crush this number. What a feeling 👍

$$$ BOOM! A 87% YoY Growth in Dividend Income for 2019/02 $$$

After the big bang of a 186% increase YoY in January, I’ll follow up with writing about my dividend income in February. Throughout 2018 my dividend income grew with almost 120%. To come near such an increase rate in 2019 I have to score big numbers of growth. But in the last quarter of 2018 I bought several companies with a lower dividend yield, but a higher dividend growth rate. Ultimately, this will pay off. Without further ado, the numbers for the month of January.

Income numbers

The total amount of dividend income in the month of February was $270.71. This is my second monthly dividend income above the $200 threshold after, obviously, January. I like to see my income passing all kind of psychological numbers like $100, $200, $250, etc. It’s very encouraging, because, as I wrote in an earlier post, these numbers look past the horizon when you just start with dividend growth investing.

Two companies paid me more than last quarter as as consequence of a raise. Good ol’ Realty Income (O) with an increase of $0.005. And Abbvie (ABBV) paid shareholders a dividend which increased from $0.96 to $1.07 per share. This represents a 11.46% increase.

The businesses paying me more than a quarter ago because of a bigger position were CVS Caremark (CVS) which paid $6.00 (instead of $2.00), Tanger Factory Outlets (SKT) paid $51.10 (as opposed to $38.85) and AT&T paid $85.68 (instead of $69.50). Texas Instruments (TXN) contributed their initial dividend of $6.93 to my dividend income:

Apple (AAPL) – $16.06

Abbvie (ABBV) – $18.19

CVS Caremark (CVS) – $6.00

Realty Income (O) – $3.83

Omega Healthcare (OHI) – $66.00

Starbucks (SBUX) – $16.92

Tanger Factory Outlets (SKT) – $51.10

AT&T (T) – $85.68

Texas Instruments (TXN) – $6.93

This makes the total amount of dividend income for this month a nice $270.71. My dividend income for the month of November 2018 was $230.73 so that’s an increase of 17% QoQ. Always nice to see a double-digit growth number here, although I’m more interested in the YoY growth. My passive income for February 2018 was $144.88 so that’s an increase of 87% YoY. This means a very high double-digit growth number, I love it! Here is the graph that shows all monthly dividends YTD as compared to last year:

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Buys In February

During February I added 12 stocks to my small position in CVS Caremark (CVS) for a price of $57.83 lowering my average buy price and yield on cost. I always like that as it will increase my total return as I plan to never sell these positions.

The stock market regained new heights after the market correction in December. The stock price of CVS Caremark (CVS) is stil under pressure because of uncertainties regarding their acquisition of Aetna.

In summary, February was another good month with high dividend growth numbers YoY and a small addition to my CVS Caremark (CVS) position at a very attractive price. My total dividend income for the fist two months of 2019 equals to $487.34.

I’ll post my progress for the month of March this weekend.

Happy investing!

Kicking Off With A 184% Increase In January 2019

Well, let’s start right away with my dividend numbers for the first month of 2019. As they say “the first blow is half the battle”. I read about other dividend investors’ tremendous progress in dividend numbers YoY and QoQ. The first month of each quarter has always been a strong month for me in terms of absolute numbers, but also percentage-wise. During the market correction in December I bought many stocks. Let’s see if these transactions added somy dollars to my dividend income in January.

The Numbers

My dividend income for 2019/01 was $216.63. In this month I got several raises as compared to the dividend payment three months ago. Walt Disney (DIS) paid me a small amount more for every share than last quarter, $0.88 which means a $0.04 raise. This is a 4.8% increase from the prior dividend. This month also included an increased dividend from Ventas (VTR) – $0.793 instead of $0.79 for every share I own. This is a 0.3% increase. January included my first dividend income from Illinois Tool Works (ITW). Also Kimco Realty (KIM) and Altria (MO) paid me more YoY and QoQ because of my additional buys during the month of December. The dividend of PepsiCo was paid in January instead of December, so that’s a bit of a cheat ☺️. This sums up to:

Bank of Nova Scotia (BNS) – $28.82

Walt Disney (DIS) – $4.40

Illinois Tool Works (ITW) – $6.00

Kimco Realty (KIM) – $70.00

Altria (MO) – $52.00

Realty Income (O) – $3.76

PepsiCo (PEP) – $8.35

Philip Morris (PM) – $6.84

Ventas (VTR) – $36.46

This makes the total amount of dividend income for this month a nice $216.63. My dividend income for the month of October 2018 was $166.05 so that’s an increase of a nice 30% QoQ. My passive income for the month of January in 2018 was $76.33 so that’s an increase of 184% YoY. Wow, that’s quite a growth rate! Here is the graph, look how beautifully the income numbers rise YoY for January:

Transactions during January

I sold my full stake in Celgene for a price of $87.05 after the acquisition offer of Bristol-Myers. With that money I bought a nice bunch of dividend stocks which were still attactively priced after the market correction in December. I added to still relatively small positions and in all cases below my average buy price. So my yield on cost got a nice boost. Here’s what I bought:

Looking Forward

Up until the last moment I hesitated between Abbvie (ABBV) and CVS Caremark (CVS). I decided to buy CVS because I let many opportunities go by in the past to buy this company at a much lower price than my first relatively small buy. My stake in the tobacco industry has risen nicely with my buys in December and January. The yields are on the high side so this promises a lot for the upcoming months in 2019. The numbers for January are staggering. It’s very cool to see this snowball effect getting bigger and bigger every month, quarter and year. What an amazing investing strategy this is.

Happy investing!

December 2018 – Again a month of growth, 12% YoY

I’m late with writing about my progress in dividend income. It’s already April 2019 and the last month I wrote about was November 2018. That seems like ages ago. My private life has been more turbulent so far than during 2018. But I do love writing about this stuff, so I’m eager to keep blogging. Anyway, today I’m writing about my progress in building up a dividend income during the month of December. It’s always nice to close a year of hard work and investing to see where we stand on our path to financial independence and early retirement. So, let’s hit it!

Income Numbers

The amount of dividend income for month 2018/12 was $131.95. In this month I got one small raise in dividend income from Realty Income (O) as compared to the dividend payment three months ago. “Slowly but surely” seems to sum this up pretty well. This was the only raise I got. So, to be honest, that’s a bit disappointing. But this month included my first dividend income by the companies Blackrock (BLK) and Stanley Black & Decker (SWK). I initiated a small position during the last months of 2018 and would love to build a bigger position. Hopefully, Mr. Market will freak out again because of growing market uncertainties like Brexit, trade wars between the USA, EU and China and signs of a coming recession. So my dividend income for the month of December was generated by:

Bank of America (BAC) – $5.85

Blackrock (BLK) – $9.39

Cummins (CMI) – $11.40

Emerson Electric (EMR) – $4.90

General Motors (GM) – $26.98

Norfolk Southern (NSC) – $4.80

Realty Income (O) – $3.75

Southern Company (SO) – $21.00

Stanley Black & Decker (SWK) – $7.92

Union Pacific (UNP) – $4.80

Exxon Mobil (XOM) – $31.16

Breakdown of Dividend Income YoY

My passive income in the month of December last year was $125.21 so that’s an increase of 5%. That’s on the low side for me, but this month has been lagging behind for a while now. The progress QoQ was a bit higher, just 7%.

The dividend income for the month of December leads to the next graph:

Transactions in December

I decided to sell my full position in General Motors (GM), because the dividend hadn’t been raised for a couple of years. I believe it’s still a good value play. But when stock prices declined so rapidly in December I decided to buy other stocks with this money. Here’s what I bought:

Looking Forward

In order to raise my dividend income for this month going forward I selected the companies Boeing (BA), Home Depot (HD), Johnson & Johnson (JNJ), Lockheed Martin (LMT), 3M (MMM) and Visa (V). They’re all on my watchlist “2019” and my watchlist “buys during the next recession”. Some of these candidates would also give me exposure to new industries and increase my weighted dividend growth rate. Lovely.

Dividend Income FY2018

With the month of December I collected a nice $1,793.09 during 2018. My total dividend income in 2017 was $827.81. That’s an increase of just less than 119%. Wow! Rock solid! This is very encouraging. And we’re already on our way for 2019. The increase in terms of percentages will decline with time, but the increae in dollar amounts will get larger and larger. Just as Sam Cooke sang in 1964, “Ain’t that good news?” 👍

$$$ 136% Increase YoY In Passive Income For 2017/11 $$$

Finally, I have some time to write a blog post. Time does fly! This blog post, as the title suggests, is about my progress in dividend income for the month of November. The year 2018 has almost come to an end. Next year is going to be as excited and turbulent as 2018. At least, I hope so… Because with turbulence comes oportunities for our DGI community. But first, the numbers for the month of November.

Income numbers

The total amount of dividend income in the month of November was $230.73. This is my second monthly dividend income above the $200 threshold after the month of August. I like to see my income passing all kind of psychological numbers like $100, $200, $250, etc. It’s very encouraging, because these numbers look past the horizon when you just start with dividend growth investing. Only one company paid me more than last quarter as as consequence of a raise: good ol’ Realty Income with an increase of $0.01 ☺️. My dividend income for this month was divided by payments of 9 well-known and great companies:

Apple (AAPL) – $16.06

Abbvie (ABBV) – $9.60

CVS Caremark (CVS) – $2.00

Delta Airlines (DAL) – $8.05

Realty Income (O) – $3.75

Omega Healthcare (OHI) – $66.00

Starbucks (SBUX) – $16.92

Tanger Factory Outlets (SKT) – $38.85

AT&T (T) – $69.50

This makes the total amount of dividend income for this month a nice $230.73. My dividend income for the month of August 2018 was $209.12 so that’s an increase of 10% QoQ. Always nice to see a double-digit growth number here, although I’m more interested in the YoY growth.

YoY Growth

My passive income for November 2017 was $97.84 so that’s an increase of 136% YoY. This means a triple-digit growth number, I love it! Abbvie paid me my first dividend of $9.60 and my income from AT&T increased from $57.50 to $69.50 YoY. I’m very excited to have Abbvie and Starbucks in my basket. They’ll average up my dividend growth numbers. The dividends of OHI, SKT and T are the big ones this month. Here is the graph that shows all monthly dividends YTD as compared to last year:

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Buys In November

During November I added to my positions in Altria (MO) and AT&T (T). I bought 16 stocks of Altria at a price of $53.58 on November 28th and 29 stocks of AT&T as cheap as $30.28 on November 16th. Happily, these buys also lowered the average price of both positions. I always like that as it will increase my total return as I plan to never sell these positions.

In summary, November was a good month with solid growth numbers YoY and additions to my positions at very attractive prices. I’ll post my progress for the month of December this weekend.

Happy investing!

**Triple Digit Growth Numbers In October; A 388% Increase In DGI YoY!**

The last couple of weeks I read blogs of other members of the DGI community to see how the month of October turned out. In many cases our DGI colleagues keep pushing forward by getting nice dividend increases, buying quality companies and hitting new milestones. The snowball is getting bigger and bigger. Let’s see what results I booked in October.

The Numbers

My dividend income for October was $166.05. In this month I got several raises as compared to the dividend payment three months ago. Realty Invome (O) paid me a penny more for every share than last quarter. This month also included the increased dividend from Altria (MO) – $0.80 for every share I own. Finally, the Bank of Nova Scotia (BNS) paid me CAD 0.85 instead of CAD 0.82 per share. This sums up to:

Bank of Nova Scotia (BNS) – $29.12

Kimco Realty (KIM) – $58.50

Altria (MO) – $31.20

Realty Income (O) – $3.75

Philip Morris (PM) – $6.84

Ventas (VTR) – $36.34

This makes the total amount of dividend income for this month a nice $166.05. My dividend income for the month of July 2018 was $165.45 so that’s an increase of exactly 0% QoQ. ☺️ My passive income for the month of October in 2017 was $34.02 so that’s an increase of 388% YoY. Wow, that’s quite a growth rate! Here is the graph that shows all monthly dividends YTD as compared to last year:

EF90800A-648D-4C83-8652-3519AD4DF9DD.pngLooking Forward

Hopefully the wild swings in stock prices remain for a while; BREXIT, the trade war between USA and China, oil supply/prices and rising interest rates are big macro economic issues. There is nothing better to see the stock prices of high-quality dividend paying companies getting dragged down on days of bad news items for the stock market in general. I’ve got my eyes on BLK, ITW, MO, SWK, TXN and XOM.

Happy investing!