It’s june and that means it is time for a new stock buy. The market has seen some volatility lately which made for some interesting opportunities. After dropping a few hints here and there on your blogs (and on this one!) I finally entered the Utilities sector, BIG TIME. At least in a big way for me.
In the Netherlands your May paycheck also includes your holiday allowance. After some discussion with Mrs. Bot we decided to double the amount of capital to deploy this month. Awesome! Mrs. Bot is really getting on board with this whole DGI stock market thing so that bodes well for the future.
So what did I buy you ask? Well let me show you!
On 4/6/2018 I bought my first utility stock, PPL Corporation. I initated a position with 22 shares @ $27,-. As per usual the price immediately dropped afterwards with about $2. I really need to find out why this keeps happening 🙂
|Payout Ratio (<75%)||93,82%|
|Increases (>= 5 year)||6 years|
|5-year DGR (>5%)||1,6%|
|Valuation (<=10% > 52wk low)||6,30%|
I’m not expecting large dividend increases in the near future, but the 6,07% dividend yield makes up for that. ITs prt of my DGI strategy of mixing up high yielders with low growth and low yielders with high growth,
Yes there actually is more, so here is what I bought next: On 06/06 I initiated a position in Consolidated Edison. I bought 8 shares @ $72,82.
|Payout Ratio (<75%)||67,1%|
|Increases (>= 5 year)||Aristocrat: 43 years|
|5-year DGR (>5%)||2,7%|
|Valuation (<=10% > 52wk low)||2,33%|
And then I still wasn’t finished buying as PPL dropped in price I was able to snag an additional share @ $25,80 lowering my costbase a fraction. 🙂
So with these buys I made some nice progress on my forward income:
8 shares ED provides me with a yearly dividend of $22,88 -15% Taxes) = $19,45.
23 shares PPL provides me with a yearly dividend of $37,72 – 15% (taxes) = $32,06.