Friday, September 30, 2016

Dividend Growth Investing at Work - I'm Lovin' It!

Concept of how dividend growth investing works, Big Mac, I'm Lovin' It, McDonalds
Getting a pay raise while sitting on the couch?  Sign me up!  Thanks McDonald's for another pay raise!
Something I love about dividend growth investing is that each month I get to hear about companies I own deciding to pay me more money in dividends.  Just for owning a small portion of said companies.  Not going and doing R&D for new products or technology.  Not selling any products.  Not managing any employees or inventory.  Not making sales calls.  All I had to do was have the foresight to invest some of my savings in excellent companies.  That's dividend growth investing at work!  I mean who doesn't like getting a raise for doing nothing?  Dividend growth investing is far from a get rich quick investment strategy, rather you need to remain focused on the long term goal to be successful.

Thursday, September 29, 2016

Recent Option Transaction

option strategy, put option, write puts, Nike, Just Do It
Nike (NKE) Dec 16 $50 Strike Put Option
As part of running this blog that chronicles my journey to financial independence I like to be open and honest with all of my transactions.  Typically that revolves around buying shares of high quality companies that I deem to be at fair value or less.  And occasionally there's a sale of a company like when I closed one of my positions earlier this month.  Being open about the moves I make allows for better discussion with all of you and helps spread ideas around.  If it creates my own "investment journal" to detail why I made the move and my expectations, well that's even better.  

Wednesday, September 28, 2016

A Look At 3M Company's Return Potential


dividend growth investing, value investing, discounted cash flow analysis, return projections, internal rates of return
3M Company (MMM) Dividend Growth Stock Analysis 2016

3M Company (NYSE:MMM) is a diversified conglomerate that has its hands in just about every facet of the economy. 3M operates in 5 business segments separated as: Industrial, Safety & Graphics, Health Care, Electronics & Energy, and Consumer. 3M's diversification is one of the things that makes it special. When some segments are lagging behind the others are there boosting sales and earnings.
3M Company has also increased dividends for 58 consecutive years and paid an uninterrupted dividend for 100 years. That gives them the title of Dividend Champion. Just take a look at 3M's dividend history since 1977 to see just how special the company has been.
3M Company (<a href=
*Image Source: Author. Data Source: 3M Company Investor Relations
**An interactive version of this chart can be found here.
I first purchased shares of 3M in August 2014 and boosted my position by 60% nearly a year later. I've received over 5% of my investment capital back via dividends, received 29.8% organic dividend growth and generated an internal rate of return approaching 15%. To say I've been pleased with the results would be an understatement.
Continue reading the article on Seeking Alpha.

Seeking Alpha - 3m Company (MMM) Dividend Growth Stock Analysis 2016

Saturday, September 24, 2016

Weekly Roundup - September 24, 2016

Curated list of articles on dividend growth investing, financial independence, freedom and passive income
Happy Weekend!  Check out what's been going on in my world and some of the best articles from around the blogosphere.
There's not much to report this week for the portfolio or otherwise.  Although the big news of the week was that the Federal Reserve did not raise interest rates.  That didn't really come as much of a surprise to me since the economy isn't exactly booming and we're so close to the next election.  Status quo, much to the chagrin of many, was the most likely result.


Friday, September 23, 2016

Altria: Better, But Keep Waiting


dividend growth investing, value investing, discounted cash flow analysis, return projections, internal rates of return
Altria (MO) Dividend Stock Analysis 2016
Altria (NYSE:MO) has long been a beloved dividend growth company for those that can look past the moral issues with investing in "sin" stocks. In its various forms Altria has rewarded investors with 46 consecutive years of dividend increases including an 8.0% boost at the end of August.
The share price of Altria has been a boon to investors over the last year for multiple reasons. The stability of the company, investors being starved for yield, a concentration on U.S. focused companies due to the strength of the greenback. Whatever the reason the share price had climbed over 30% over the past year.
MO Chart
MO data by YCharts
However, since peaking in early July the share price has pulled back around 10% to the low $60's. The share price decline coupled with the dividend increase bumped the starting yield up to 3.84%. Seeing that large of a decline from a stalwart company such as Altria got me interested in wondering what you can expect from Altria if you purchased shares today.
Continue reading the article on Seeking Alpha.

Seeking Alpha - Altria (MO) Dividend Growth Stock Analysis 2016

Thursday, September 22, 2016

Recent Sell and Position Trim

dividend growth investing, portfolio
Trimmed position in Norfolk Southern (NSC)
As a dividend growth investor my modus operandi typically revolves around buying shares of high quality companies that I deem undervalued.  Those companies typically have long histories of growing the dividend payment to shareholders which is what dividend growth investing is all about.  By running this blog that chronicles my investments and my journey to financial independence I always want to be open and honest with any changes to my portfolio.  After all, if I'm not willing to follow my own advice why should you follow my story?  

Occasionally though it comes time to sell some shares and close a position.  Sometimes that decision is due to valuation, concerns about the company or just portfolio allocation.  

Wednesday, September 21, 2016

Dividend Growth Investing at Work - Excelling Towards Higher Dividends

Concept of how dividend growth investing works, Microsoft Office, Surface Pro
Getting a pay raise while sitting on the couch?  Sign me up!  Thanks Microsoft Corporation for another pay raise!
Something I love about dividend growth investing is that each month I get to hear about companies I own deciding to pay me more money in dividends.  Just for owning a small portion of said companies.  Not going and doing R&D for new products or technology.  Not selling any products.  Not managing any employees or inventory.  Not making sales calls.  All I had to do was have the foresight to invest some of my savings in excellent companies.  That's dividend growth investing at work!  I mean who doesn't like getting a raise for doing nothing?  Dividend growth investing is far from a get rich quick investment strategy, rather you need to remain focused on the long term goal to be successful.

Tuesday, September 20, 2016

PepsiCo Inc: Keep It Simple, Stupid


dividend growth investing, value investing, discounted cash flow analysis
PepsiCo Inc. (PEP) Dividend Stock Analysis 2016
PepsiCo (NYSE:PEP) is a $150 B giant in the consumer staples space and their products can be found on just about every aisle in the grocery store. One of the big reasons that I like PepsiCo is that they are more than their namesake brand of Pepsi and the other carbonated soft drinks that they make. They're a juice, tea and coffee company as well.
It also doesn't hurt that they are the largest potato chip maker in the world with many best-selling brands such as Lays, Ruffles, Doritos, Fritos, Cheetos and many more. The Quaker Foods division also makes many breakfast staples such as oatmeal, granola and pancakes under the Aunt Jemima name.
PepsiCo is the 7th largest position in my portfolio and their diversification in the consumer staples space is a big reason for that. The consistent growth year after year has allowed management to reward shareholders with higher dividends for 44 consecutive years.
PepsiCo: A Historical Perspective
Companies earn their lengthy dividend growth streaks and can't fake their way into decades of dividend increases. That's why I consider the dividend history one of the first metrics/qualifiers in identifying a quality company.
Continue reading the article on Seeking Alpha.

Seeking Alpha - PepsiCo Inc. (PEP) Dividend Growth Stock Analysis 2016

Saturday, September 17, 2016

Weekly Roundup - September 17, 2016

Curated list of articles on dividend growth investing, financial independence, freedom and passive income
Happy Weekend!  Check out what's been going on in my world and some of the best articles from around the blogosphere.
The past few weeks were a bit more active in my portfolio considering no new capital was being invested, but this week had a bit of a slowdown.  There was only one change this week other than dividends continuing to flow.  I trimmed one of my positions within my Roth IRA mainly for allocation purposes.  

Thursday, September 15, 2016

Dividend Growth Investing at Work - Sin Is In

Concept of how dividend growth investing works
Getting a pay raise while sitting on the couch?  Sign me up!  Thanks Phillip Morris for another pay raise!
Something I love about dividend growth investing is that each month I get to hear about companies I own deciding to pay me more money in dividends.  Just for owning a small portion of said companies.  Not going and doing R&D for new products or technology.  Not selling any products.  Not managing any employees or inventory.  Not making sales calls.  All I had to do was have the foresight to invest some of my savings in excellent companies.  That's dividend growth investing at work!  I mean who doesn't like getting a raise for doing nothing?  Dividend growth investing is far from a get rich quick investment strategy, rather you need to remain focused on the long term goal to be successful.

Wednesday, September 14, 2016

Recent Option Transaction

GE, option strategy, straddle, playing both sides, profit no matter the direction
General Electric Option Straddle
As part of running this blog that chronicles my journey to financial independence I like to be open and honest with all of my transactions.  Typically that revolves around buying shares of high quality companies that I deem to be at fair value or less.  And occasionally there's a sale of a company like when I closed one of my positions earlier this month.  Being open about the moves I make allows for better discussion with all of you and helps spread ideas around.  If it creates my own "investment journal" to detail why I made the move and my expectations, well that's even better.  

Tuesday, September 13, 2016

Johnson & Johnson (JNJ): Expensive, But Could It Be A Buy?

dividend growth investing, value investing, discounted cash flow analysis
Johnson & Johnson (JNJ) Dividend Growth Stock Analysis 2016
Johnson & Johnson (NYSE:JNJ) is a $325 B giant in the healthcare space. The company sells to consumers with brands such as Tylenol, Motrin, Listerene, Benadryl, Sudafed and many more. The consumer segment provides a stable base for the company with consistent demand whether the economy is booming or busting. Johnson & Johnson is more than just a consumer-centric company and also operates in the higher margin, but more variable pharmaceutical and medical device space.
Johnson & Johnson is the 2nd largest position in my portfolio for good reason. The consistent growth year after year and management's willingness to reward shareholders with higher dividends is the obvious draw for investors.
On a price basis, Johnson & Johnson has far outperformed the broader S&P 500 year to date. Through Friday's close, Johnson & Johnson has seen its share price increase 15.1% from the end of 2015 compared to a 4.1% rise for the S&P 500.

Unfortunately, a large increase in the share price means a decline in the future return prospects, all else being equal. So what do the expected returns look like now?
Continue reading the article on Seeking Alpha.

Seeking Alpha - Johnson & Johnson (JNJ) Dividend Growth Stock Analysis 2016

Monday, September 12, 2016

Dividend Growth Investing at Work - 4 Raises From 1 Company? Yes, Please

Concept of how dividend growth investing works
Getting a pay raise while sitting on the couch?  Sign me up!  Thanks Realty Income for another pay raise!
Something I love about dividend growth investing is that each month I get to hear about companies I own deciding to pay me more money in dividends.  Just for owning a small portion of said companies.  Not going and doing R&D for new products or technology.  Not selling any products.  Not managing any employees or inventory.  Not making sales calls.  All I had to do was have the foresight to invest some of my savings in excellent companies.  That's dividend growth investing at work!  I mean who doesn't like getting a raise for doing nothing?  Dividend growth investing is far from a get rich quick investment strategy, rather you need to remain focused on the long term goal to be successful.

Saturday, September 10, 2016

Weekly Roundup - September 10, 2016...What a difference a day makes!

Curated list of articles on dividend growth investing, financial independence, freedom and passive income
Happy Weekend!  Check out what's been going on in my world and some of the best articles from around the blogosphere.
What an interesting end to the week for the stock markets.  The S&P 500 didn't really do anything Tuesday through Thursday, but all bets were off once Friday came.  The S&P 500 shed over 50 points, 2.5%, on Friday alone and the losses kept building throughout the day.  This is a good start to the long awaited and oft called for correction, but there's still a long ways to go.

Friday, September 9, 2016

Recent Sell and Position Close

dividend growth investing, portfolio
Closed position in HCP, Inc. (HCP)
As a dividend growth investor my modus operandi typically revolves around buying shares of high quality companies that I deem undervalued.  Those companies typically have long histories of growing the dividend payment to shareholders which is what dividend growth investing is all about.  By running this blog that chronicles my investments and my journey to financial independence I always want to be open and honest with any changes to my portfolio.  After all, if I'm not willing to follow my own advice why should you follow my story?  

Occasionally though it comes time to sell some shares and close a position.  Sometimes that decision is due to valuation and other times it's due to concerns about the company.  

Thursday, September 8, 2016

Recent Transaction - Sold To Open Call Option

option strategy, call option, dividend growth investing, boosting income
Utilizing call options to generate additional income from a dividend growth portfolio
As part of running this blog chronicling my journey to financial independence I like to be open and honest with all of my transactions.  Typically that revolves around buying shares of high quality companies at prices that I deem to be fair value or less, although occasionally those transactions do involve the sale of a company.  Being open about the moves I make allows for better discussion with all of you and helps spread ideas around as well as letting me create my own "investing journal" to chronicle why I purchased a company in the first place and that way I can revisit if something changes and make the decision on whether to continue owning the company or not.

Wednesday, September 7, 2016

Dividend Growth Investing at Work - Can You Hear Me Now?

Concept of how dividend growth investing works
Getting a pay raise while sitting on the couch?  Sign me up!  Thanks Verizon Communications for the pay bump!
Something I love about dividend growth investing is that each month I get to hear about companies I own deciding to pay me more money in dividends.  Just for owning a small portion of said companies.  Not going and doing R&D for new products or technology.  Not selling any products.  Not managing any employees or inventory.  Not making sales calls.  All I had to do was have the foresight to invest some of my savings in excellent companies.  That's dividend growth investing at work!  I mean who doesn't like getting a raise for doing nothing?  Dividend growth investing is far from a get rich quick investment strategy, rather you need to remain focused on the long term goal to be successful.

Tuesday, September 6, 2016

Dividend Update - August 2016

Dividend growth investing is a simple, straight-forward strategy for the average Joe investor.
Dividend growth investing is a simple, straight-forward strategy for the average Joe investor.
It's the end of one month and the beginning of another so it's time for my favorite update: my dividend update.  These dividend updates reflect all dividends that I receive through my investing pursuits. I hope they can help inspire you to take control of your own finances and invest to build a passive income stream. What you use that stream for is up to you, whether it's to fund early retirement, just provide some FI/FU money, or even to provide for an annual vacation; the key is that it can provide options and open up all sorts of possibilities. You can check my dividend income or progress pages to see what dedication to an investment plan can give you.

Saturday, September 3, 2016

Weekly Roundup - September 3, 2016

Curated list of articles on dividend growth investing, financial independence, freedom and passive income
Happy Weekend!  Check out what's been going on in my world and some of the best articles from around the blogosphere.
What happened to August?  Maybe it was the incessant heat that just burned the days away.  The first weekend in September also marks Labor Day coming up here in the U.S. which is a nice reprieve from work for many employees.  Just imagine though if you could make every day Labor Day and call it quits for good.  Of course if you're reading this that's likely what you're after on your journey to financial independence.

Friday, September 2, 2016

Dividend Update Preview - August 2016 Infographic

Come look at how many dividends these excellent companies paid out in August!  And 2 companies even handed out some pay raises!

The full breakdown will come early next week, but you can get the advanced look here!

How were your dividends in August?


dividend growth investing, dividends, stocks, investing, financial independence
My real-life portfolio monthly dividend update for August 2016

Thursday, September 1, 2016

Dividend Growth Investing at Work - Loonie For Dividends

Concept of how dividend growth investing works
Getting a pay raise while sitting on the couch?  Sign me up!  Thanks Bank of Nova Scotia for the 2nd raise this year!
Something I love about dividend growth investing is that each month I get to hear about companies I own deciding to pay me more money in dividends.  Just for owning a small portion of said companies.  Not going and doing R&D for new products or technology.  Not selling any products.  Not managing any employees or inventory.  Not making sales calls.  All I had to do was have the foresight to invest some of my savings in excellent companies.  That's dividend growth investing at work!  I mean who doesn't like getting a raise for doing nothing?  Dividend growth investing is far from a get rich quick investment strategy, rather you need to remain focused on the long term goal to be successful.

Wednesday, August 31, 2016

Dividend Growth Investing at Work - Beaming Up Higher Dividends

Concept of how dividend growth investing works
Getting a pay raise while sitting on the couch?  Sign me up!  Thanks Harris Corporation for the pay raise!
Something I love about dividend growth investing is that each month I get to hear about companies I own deciding to pay me more money in dividends.  Just for owning a small portion of said companies.  Not going and doing R&D for new products or technology.  Not selling any products.  Not managing any employees or inventory.  Not making sales calls.  All I had to do was have the foresight to invest some of my savings in excellent companies.  That's dividend growth investing at work!  I mean who doesn't like getting a raise for doing nothing?  Dividend growth investing is far from a get rich quick investment strategy, rather you need to remain focused on the long term goal to be successful.