Monday, July 20, 2015

Recent Buy - Kinder Morgan (KMI)

As I mentioned in my last update, this may be a slow month for me in terms of purchases. Not that I don't want to make more purchases, there are always opportunities out there that I'd like to take advantage of but I only have so much money. So this months purchase was in Kinder Morgan (KMI). KMI is down nearly 18% from it's highs earlier this year largely due to negative sentiment surrounding anything related to oil. Additionally a recent earnings miss has not helped the share price any either. I thought I'd put some money to work here.

I purchased 31 shares of KMI at $36.50

Recently the company announced another dividend raise to .49 and plans to meet the $2.00 goal by years end remain on track. This brings KMI's forward yield up to 5.3% ! Distributable Cash Flow (DCF) continues to outpace dividend growth as well which means the dividend can continue growing safely. KMI reaffirmed dividend growth of 10% per year for 2016 through 2020.

While oil prices have taken a beating natural gas growth in the US continues to expand as the country moves away from coal to natural gas. Kinder Morgan has the pipelines to move that natural gas to end users like utilities across the nation. The future looks bright for natural gas and KMI in the long term.

KMI Stock Chart

KMI Basic Statistics
  • Ticker Symbol: KMI
  • Sector: Energy
  • Yield: 5.3%
  • Dividend Growth Rate:10%
  • Market cap:$80 Billion
  • Beta: .55
  • Morningstar Fair Value: $43
  • Value Line Target Price: $50
  • Website: http://www.kindermorgan.com

KMI Dividend Growth

Saturday, July 4, 2015

June Dividend Update


Happy 4th of July for those of you in the USA. Time for my June update. This months dividend total was a new record high for me at $288.03 which is up 14% from the $252.03 that I made last quarter in March.

In comparison, last years June total was $227.91 which means my dividend's for the month have grown by 26% year over year. I also purchased 3 stocks in June which is the most I think I've ever done since just starting out. July will likely be a slower month for purchases since I'm a bit tapped out.

June Purchases
  • Exxon Mobil (XOM) - 17S hares @ $83.50
  • Travelers (TRV) - 12 Shares @ $99.81
  • Compass Minerals (CMP) - 18 Shares @ $83.76
June Dividend Increases
  • Johnson & Johnson (JNJ) - From .41 to .44 (+7.1 %)
  • Exxon Mobil (XOM) - From .69 to .73 (+ 5.7%)
  • Universal Health Realty Income Trust (UHT) - From .635 to .64 (+0.7%)
  • Pepsi (PEP) - From .655 to .703 (7.3%)
June Dividend Income
  • Walmart (WMT) - $16.66
  • Unilever (UL) - $17.58
  • Johnson & Johnson (JNJ) - $28.50
  • Chevron(CVX) - $57.78
  • Lorillard (LO) - $18.48
  • Realty Income (O) - $18.95
  • Exxon Mobil (XOM) - $18.98
  • McDonalds (MCD) - $29.75
  • Avista (AVA) - $19.14
  • Universal Health Realty Income Trust (UHT) - $32.00
  • Pepsi (PEP) - $30.21

Total Dividends For June 2015: - $288.03

Sunday, June 28, 2015

Recent Buy - Compass Minerals International (CMP)

Wow three purchases in June. I think this is the first time I can remember making 3 purchases in a month since the beginning of my dividend growth journey. Usually I make 1 or 2 purchases but the money from the RAI merger along with the proceeds from my subsequent sale of RAI shares pushed me to an additional purchase this month! What to do with all this money? Put it to work for me!

Thanks to 'I Want To Retire Soon' and 'Dividend Empire' I recently discovered a gem of a company that most of you probably haven't heard of before and I like what I see. Compass Minerals International (CMP) has only been a publicly traded company since 2003 but it's true origins date back to the 1800's!

Compass Minerals International, Inc. is engaged in the business of producing minerals, including salt, sulfate of potash specialty fertilizer and magnesium chloride. It provides highway deicing salt to customers in North America and the United Kingdom and specialty fertilizer to growers and fertilizer distributors worldwide.

CMP has come down in price recently which has pushed the yield over 3% here. The dividend growth has been stellar with over 10 years of increases and a 5 year growth rate over 10%. EPS guidance looks strong and margins are expanding in the right direction.

I purchased 18 shares of CMP at $83.76.

CMP Stock Chart
CMP Basic Statistics
  • Ticker Symbol: CMP
  • P/E Ratio: 12.4
  • Sector: Materials
  • Yield: 3.2%
  • Dividend Growth Rate: 11%
  • Payout Ratio: 36%
  • Market cap: $2.83 Billion
  • Beta: .47
  • Morningstar Fair Value: $94
  • Value Line Target Price: $115
  • Website: http://www.compassminerals.com

CMP Dividend Growth

Tuesday, June 23, 2015

Recent Buy - Travelers (TRV)

Looks like I squeaked in a second monthly buy this month already. Today I opened a position in Travelers Companies (TRV). I had a few other stocks on my radar as well including WMT, PM and KMI but I missed the ex-div date on PM so I decided to wait on that and open a position in TRV instead. I don't have a ton of exposure to the financial sector so this is a nice fit for me.

As you can see by the stats below TRV sports a 2.5% yield which is pretty low for my taste but makes up for it with a healthy a dividend growth rate of 10%.

Travelers Companies Inc through its subsidiaries provides commercial & personal property and casualty insurance products and services to businesses, government units, associations and individuals.

I purchased 12 shares of TRV at $99.81 this week.


TRV Stock Chart

TRV Basic Statistics
  • Ticker Symbol: TRV
  • P/E Ratio: 10.52
  • Sector: Financial
  • Yield: 2.5%
  • Dividend Growth Rate: 10%
  • Payout Ratio: 21%
  • Market cap: $32 Billion
  • Beta: 1.2
  • Morningstar Fair Value: $108
  • Value Line Target Price: $130
  • Website: http://www.travelers.com

TRV Dividend Growth