Thursday, December 29, 2016

Net Worth Update - November 2016

net worth, balance sheet, equity, financial independence
November 2016 Net Worth Update
While cash flow is more important when it comes to financial independence, it's still good to look at the balance sheet too, which is why I provide these net worth updates.  Since more and more of my net worth is tied to the markets, there's a larger correlation between my net worth and the markets but in the long run as I continue to save and invest the net worth trend should be higher even though short term fluctuations can vary wildly.  As a dividend growth investor I'm not overly concerned with the short-term gyrations as long as the dividend stream remains in tact, but the markets' effect is noticeable.

In November the stock markets, via the S&P 500, were a bit hesitant to start the month but ended it with a bang after Trump's surprising victory in the election.  All told the S&P 500 climbed over 3.4% during November.  Since a large portion of my net worth is tied to the performance of the markets my net worth typically moves in line with said markets.  Of course pulling in over $250 in dividends helped out as well.  

For the month our net worth increased $4,228.08.

Tuesday, December 27, 2016

Recent Option Transactions

dividend growth investing, option strategy, call option, put option, income investing
Nike, Inc. (NKE), Lowe's Companies (LOW), Halliburton Company (HAL), Starbucks Corporation (SBUX) Option Activity
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, December 21, 2016

Nike, Inc.: Premiums & Discounts

option strategy, put options, synthetic dividend, value investing
Nike, Inc.: Premiums and Discounts
Yesterday I took a closer look at the sports apparel giant Nike, Inc. (NYSE:NKE) through the lens of a minimum acceptable rate of return analysis. To make a long story short, Nike appears to offer investors a reasonable chance at double digit internal rates of return even if there is continued compression in the valuation that the market is willing to pay for Nike's earnings. You can read the full analysis here.
Nike is scheduled to announce 1Q FY 2017 earnings Tuesday after the close which adds a bit more excitement to the prospect of purchasing shares of Nike at the current price.
When earnings are announced, all bets are off as to how market participants will react. I've seen top and bottom line beats with raised guidance lead to declines in share prices, vise versa and everything in between. That's why investors should stick to their preferred valuation model(s).
Continue reading the article on Seeking Alpha.

option strategy, put options, synthetic dividend, value investing

Tuesday, December 20, 2016

Nike, Inc.: Just Do It!

dividend growth investing, stock analysis, minimum acceptable rate of return
Nike, Inc: Just Do It!
Nike, Inc. (NYSE:NKE) has not participated in the rally in the markets throughout 2016. The S&P 500, via the SPY ETF, has generated >10% appreciation YTD while Nike has declined nearly 19% YTD.
SPY Chart
SPY data by YCharts
That kind of underperformance might be a cause for concern for some investors. However, it requires a closer inspection of the cause to see if there's really something going on or if it's an opportunity for prudent investors. As we'll see later, the disappointing returns from Nike in 2016 is largely due to the excessive valuation towards the end of 2015 and a healthy pullback to reasonable levels.
Nike's business model is fairly straight-forward in which they design and produce athletic apparel. Their moat style is primarily their brand strength where they've ingrained with consumers the idea that their products have better performance and are higher quality. That could be up for debate; however, there's no doubt that the same item with the Nike Swoosh will command a higher price than without.
Continue reading the article on Seeking Alpha.

dividend stock analysis, DIY, value investing, long term investing

Monday, December 19, 2016

Busy As A Bee

dividend growth investing, option strategy, call option, put option, income investing
Styker Corporation (SYK), Johnson & Johnson (JNJ), Nike (NKE), Visa (V) & Lowe's Companies (LOW) Option Activity
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.  

Saturday, December 17, 2016

Weekly Roundup - December 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.
It's hard to believe that 2016 is just 2 weeks from being over.  How in the world is that possible?  I don't know about all of you but this year has just flown by.  Of course that tends to happen when you have a crazy life that changes almost daily.  2016 saw me get laid off in April, welcome our daughter in July and me swap to full time dad status while my wife gets back in to teaching.

Friday, December 16, 2016

It Never Hurts To Book A Profit

dividend growth investing, option strategy, call option, put option, income investing, credit spreads
Unilever plc (UL), Nike, Inc. (NKE) & Visa, Inc. (V) Option Activity
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, December 14, 2016

Dividend Growth Investing at Work - The Freeze Has Thawed

Concept of how dividend growth investing works, General Electric, industrial
Getting a pay raise while sitting on the couch?  Sign me up!  Thanks General Electric for the dividend increase!
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, December 13, 2016

Closing Puts and Testing Out New Strategies

dividend growth investing, option strategy, call option, put option, income investing, credit spreads
Stryker Corporation (SYK), Becton, Dickinson & Company (BDX), Medtronic plc (MDT), Starbucks Corporation (SBUX) & Realty Income (O) Option Activity
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.  

Monday, December 12, 2016

Dividend Growth Investing at Work - Health Care, Real Estate & Dividends

Concept of how dividend growth investing works, Ventas VTR, Healthcare, real estate
Getting a pay raise while sitting on the couch?  Sign me up!  Thanks Ventas for a solid increase!
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, December 7, 2016

Option Activity Recap

dividend growth investing, option strategy, call option, put option, income investing
Halliburton Company (HAL), Unilever plc (UL), Nike, Inc. (NKE) Option Activity
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.  

Monday, December 5, 2016

Dividend Update - November 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, December 3, 2016

Weekly Roundup - December 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.
You'll have to forgive me for the missing Weekly Roundup from last week.  Thanksgiving week started off with me getting sick and it was horrible.  I essentially couldn't keep anything down, even water, so it wasn't any fun when you add that on top of having chills.  No fever really, just chills.  I pretty much slept for all but about 6 hours from noon Saturday through Monday morning.  I love sleep, but not when it's like that.  Luckily, I kicked that by Monday afternoon of Thanksgiving week.  

Thursday, December 1, 2016

Dividend Update Preview - November 2016 Infographic

Come look at how many dividends these excellent companies paid me in November just for owning a small piece of the company!  

The full breakdown will hopefully come tomorrow, but you can get the advanced look here!

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

How were your dividends in November?  With 1 month left in the year how do you stand on your goals?

Let me know in the comments below.