So June is on its way so its time to buy some new stock(s). Since May is the month that the holiday allowance (“Vakantiegeld”) is added to your salary this gave me, after some discussion with Mrs. Robot, an additonal €250 for this month.
I’ve already had my eyes set on the healthcare sector last month, but ultimately decided to open up a position in Realty Income due to a dip in their share price (and now again, but I ignore it :)). So the deciscion was again between PFE and JNJ!
Although I don’t think you can go wrong with either stocks, I decided to go with…….PFE!
|PFE||26.61||4.03||Blue-chip||Near 52-wk low|
|JNJ||21.95||2.57||Aristocrat + King||Near 52-wk high|
Hmmm if I look at these basic fundamentals, JNJ is the safer choice were it not for the extremely high share price (overpriced?). Safety definetely comes with its price or so it seems.
Both companies have a solid financial base and pipeline so as stated before I don’t think there is a wrong choice here. I wish I would have started my DGI journey sooner so I might have bought JNJ at $111 in januari of this year.
I think this article offers some additional information about why I also went for PFE at this moment. I would like to add JNJ as well since its the safer stock on the long term (thanks to its diversification in consumer products next to being a pharmaceutical) but its trading at such a high valuation that I (think I) can get a better deal with the higher yield on PFE while waiting for the price to drop on JNJ.
So with this addition of 9 shares bought at $32,00 and a dividend of $0,32 this should provide me with an additional $5,76 in 2017. My annual forward income would increase with $11,52. Babysteps I know but we all have to start somewhere right?
So did you already buy something in June?