Dividend Stock Investing

[The Virginian]

ARLP - A 22% Yield !

Does the yield scare you ?

I think it may be a great investment - Each $1,000 invested will return about $18.33 per month in dividends - it is strong and making some great acquisitions of competitors. Read this article :


www.fool.com/investing/general/2015/12/20/alliance-resource-partners-best-move-in-2015.aspx

[Ombud]

Yes it does. PE 3.54. Too high for me. Plus Paris Climate conference & it's coal

[The Virginian]

My combined portfolios are now yielding 5.9648%


- very close to my goal of 6%. In fact I believe the yield will exceed 6% in 2016. Not bad in today's environment.  Last year I was at 4% but by strategically replacing some low yields with higher yielding stocks I an now bringing almost 2% more in dividend income.

My goal is to continue to look for ways to increase yield while keeping safety in mind. The route I have chosen is to buy new stocks that are out of favor. Just like ARLP above - The Paris climate hoax even if ratified by all the major nations will not change much in the next 10 years or so. It takes years to change major infrastructure. Just like people wrote off the tobacco companies - They are not only here but are thriving in profits.

You can continue to buy the stocks everyone else are buying ( I still own the Blue Chips as a core) but the PEs are high and the yields are low because that's what everyone wants to own or you can own the stocks that others are selling for short term gains but will be fine for the long term - Those areas are REITS, Oil, Gas, Coal & Materials. They will give you higher yields and future gains in equity prices. You just have to be very careful about your picks.

Why not consider adding stocks with higher yields for any new additions to your portfolio?

Where can you find a list of stocks with high yields and a history of dividend payments ?

David Fish - "Dave Fish is Executive Editor for The Moneypaper and co-manager (since 1999) of the MP 63 Fund (Symbol: DRIPX), a fund that invests exclusively in companies that offer Direct Investment (or Dividend Reinvestment) Plans. He is also the author of the U.S. Dividend Champions spreadsheet (and PDF), which is updated at the end of each month...and lists companies that have increased their dividend payout for at least 25 consecutive years. (Separate tabs list "Contenders" that have increased their payouts for 10-24 years and "Challengers" that have increased their payouts for 5-9 years.) dripinvesting.org/Tools/Tools.asp "

His work is available for free and contains his list of Dividend Champions, Contenders and Challengers as mentioned above.

I am now using his list to compile lists for future investments:

www.dripinvesting.org/tools/tools.asp

[ModE98]

Being a high risk taker. picked up some PSEC today.  Dividends paid monthly.  Stock is near lows, so will take a risk that it will turn around in the new year.  If so, they could increase dividend rate a bit.  A wild roll of the dice.

[The Virginian]

Dec 22, 2015 13:58:47 GMT -5 ModE98 said:

Being a high risk taker. picked up some PSEC today.  Dividends paid monthly.  Stock is near lows, so will take a risk that it will turn around in the new year.  If so, they could increase dividend rate a bit.  A wild roll of the dice.

I picked up some PSEC a few weeks ago. 

Timely Article : Prospect Capital: History Being Made


seekingalpha.com/article/3772226-prospect-capital-history-being-made

[The Virginian]

Main will be paying a special Dividend on Dec 27th of .275  + the regular monthly dividend of .18 for a total .455. Merry Christmas to all the Main stockholders. A great gift ! This is why I love individual dividend stocks. The dividends keep coming in every month of the year and my shares keep increasing. The more shares the faster new ones are accumulated thanks to compounding and when the companies increase their dividends. It makes money but it is also entertainment for me.

[Ombud]

Just added it up. Dividends from stocks will exceed 1k per month for the first time EVER!! I may drive everyone (Schwab advisors) crazy with my thought process but with 1k per month dividends + small gov't pension I can weather any short term job drop until I am SSA eligible. Happy dance time!

Options for fun, not necessarily balancing household checking acct

[The Virginian]

Dec 23, 2015 12:37:20 GMT -5 Ombud said:

Just added it up. Dividends from stocks will exceed 1k per month for the first time EVER!! I may drive everyone (Schwab advisors) crazy with my thought process but with 1k per month dividends + small gov't pension I can weather any short term job drop until I am SSA eligible. Happy dance time!

Options for fun, not necessarily balancing household checking acct

The really nice thing is that you can expect about a 8% or higher increase each and every year !
That is next year it should be about $1,086 - the next $1,181 per month and so on .................. isn't it great ?

[The Virginian]

What a great day - Out of 50 Stocks in my portfolios only one is down and it is only down slightly. It's all about the dividends but it is nice to see the equity prices rise also.

[The Virginian]

Merry Christmas to Everyone !
Here's hoping for a Prosperous year in 2016

[Bluerobin]

Dec 23, 2015 12:37:20 GMT -5 Ombud said:

Just added it up. Dividends from stocks will exceed 1k per month for the first time EVER!! I may drive everyone (Schwab advisors) crazy with my thought process but with 1k per month dividends + small gov't pension I can weather any short term job drop until I am SSA eligible. Happy dance time!

Options for fun, not necessarily balancing household checking acct

Way to go Ombud!  Dividends and two small pensions let the bride and I retire early.  She went 2 years before me, then I went at 57.  It makes the difference. 

[Ombud]

I was headed in this direction a yr ago, but this annual average has me thinking of only working PT and using them

[ilovedolphins]

I am wanting to build up my portfolio to hopefully reach $1000 in dividends each month but I am only at $800 a year so I have a long ways to go. I am 53 years old so I may not make it.

[Bluerobin]

Dec 25, 2015 15:24:59 GMT -5 Ombud said:

I was headed in this direction a yr ago, but this annual average has me thinking of only working PT and using them

Wait until you exceed this goal.  Always keep something in reserve.  I still have some dividends that are being reinvested, for when I get old.

[Deleted]

Dec 26, 2015 14:04:39 GMT -5 ilovedolphins said:

I am wanting to build up my portfolio to hopefully reach $1000 in dividends each month but I am only at $800 a year so I have a long ways to go. I am 53 years old so I may not make it.

Are you looking to have individual company stocks where each would pay out their dividend a different month each quarter?  My great grandfather had this kind of setup and loved it, my introduction to investing was my grandfathers glee each time a dividend check arrived and I thought how cool it was that companies were just sending him money.

[ModE98]

Added some HCAP and HRZN today.  High dividend rate and monthly payout.  Both forecast to have slightly higher earnings in 2016.

[ModE98]

Sold the HRZN for profit =3X projected dividends  in next 9 months on mid-afternoon run.  Will buy again on any decline below $11.35 over the next week, or move on to another stock.  Many available from which to choose.

[ModE98]

Bought back the HRZN, nice profit turn and now I will collect dividends too.  No explanation for the run up yesterday and the run down today.  Seems odd for such a wild swing in price day to day.

[The Virginian]

Where do I start with the first post of 2016 ?

First of all 2015 was a lousy year for me on many levels, especially personal. But financially it really wasn't that bad.. Yes, the markets were not up and neither was my portfolios, but, it could have been much worse. Overall it was just sort of a treading water type of year. One of the beauties of DGI is that two important categories were business as usual in my portfolios. My dividend income increased substantially and my total share count in companies increased substantially. The latter will set my portfolios up nicely for any future Bull Markets allowing my portfolios to make tremendous gains( At least that is my hope). The overall performance was really remarkable considering I was very heavily invested in the taboo sectors of the market like Oil & Gas, REITS , .....

Normally I would list my exact gains or loss percentages at the beginning of each year but this year I had so many changes in my portfolios it is not worth the amount of time it would take to figure it out. As many know, I lost my wife last year and it seems like her IRA and our joint Investment accounts were all subject to opening new accounts in just my name and it also created new a cost basis for them making it a very tangled web of transactions, plus I added money to accounts, sold positions and added new positions. I do know that I roughly lost about 1% (estimated) in value overall. Not bad considering..........

I sold all my ETFs , yes, even SCHD ! I took the proceeds and purchased individual stocks. I wanted more money to put into beaten down equities and frankly, I don't like paying the fees to the middlemen ! Someday, if I ever do repurchase ETFs it will only be in two categories: SCHB ( Broad Market) & SCHD ( Dividend stocks).

I have come to the conclusion that even ETFs are at a disadvantage for most people because of the fees and they are constantly re-balancing their positions.


So, here are my current positions going into 2016:
(One note, yes, I have many positions, and yes I acknowledge that one doesn't need this many equities for diversity but I also believe in "Risk Mitigation" so the more positions the less downside to my portfolios if the unthinkable should happen.

T - Communications
VZ - Communications
FTR - Communications
CTL - Communications
KO - Consumer
PG - Consumer
GIS- Consumer
KHC - Consumer
CLX - Consumer
PEP - Consumer
SPH - Oil & Gas
COP - Oil & Gas
PSX - Oil & Gas
XOM - Oil & Gas
ETP - Oil & Gas
KMI - Oil & Gas
PFE - Pharmaceuticals
BMY - Pharmaceuticals
LLY - Pharmaceuticals
JNJ - Pharmaceuticals
ABBV - Pharmaceuticals
ABT - Pharmaceuticals
GE - Industrial
STAG - REIT
OHI - REIT
STON - REIT
CORR - REIT
WSR - REIT
GOOD - REIT
DX - REIT
INTC - Tech
PM - Tobacco
VGR - Tobacco
DUK - Utility
MAIN - BDC
STWD - REIT
ARLP - Coal
ALDW - Refinery
NGL - Oil & Gas Logistics
CVRR - Refinery
PSEC - BDC

The following equities appear in more than one portfolio : FTR, GE, INTC, CTL, T,

Good Luck to all in 2016 !

[The Virginian]

[The Virginian]

With futures down over 300 points this morning is a good time to buy those stock positions you have been wanting.

[ModE98]

Got my limit order in, we'll see if it fills sometime today.

[The Virginian]

Jan 4, 2016 10:42:39 GMT -5 ModE98 said:

Got my limit order in, we'll see if it fills sometime today.

If it doesn't fill today then it probably will not - 450 point drop - Wow !

Excellent time to be adding to your positions - Dow below 17,000.  Wait until the Middle East explodes - Oil to the Moon !

[ModE98]

Changed my mind from HRZN and cancelled order and bought OPK (non-dividend) to retain a short time for a trade on market recovery.  Will use gain for a larger purchase of one of high dividend-paying stocks I follow.
(At least I hope it works out in next few months).

[The Virginian]

We are getting closer to a 10 % correction now. Wish I had more dry powder to shop with.

[ModE98]

Let's hope it's nearly over.  Be nice to see a good rally in the next week or two.

[The Virginian]

I'm looking at three stocks right now:

UAN - a Nitrogen Producer - returns about $35 per month in Dividends on a $2,000 investment.

and two more Coal Stocks ( I currently own ARLP)

CNXC - returns about $39 per month on a $2,000 investment

AHGP - returns about $32 per month on a $2,000 investment


Risky , but - No Risk, No Gain !

[Value Buy]

Jan 7, 2016 17:19:57 GMT -5 ModE98 said:

Let's hope it's nearly over.  Be nice to see a good rally in the next week or two.

Yes, the portfolio is looking really ragged after the last four days.
Dismal.......................
It is down three year's worth of needed money for living the life style we have been accustomed to.

[ModE98]

Looking better this morning; but, may sell off in last hour again as big traders may not want to carry risk  over the weekend.

[The Virginian]

Jan 8, 2016 9:32:13 GMT -5 Value Buy said:

Jan 7, 2016 17:19:57 GMT -5 ModE98 said:

Let's hope it's nearly over.  Be nice to see a good rally in the next week or two.

Yes, the portfolio is looking really ragged after the last four days.
Dismal.......................
It is down three year's worth of needed money for living the life style we have been accustomed to.

This is why I now have switched to the "Dividend Income Model" - As long as my Dividends keep rolling in I don't have to worry about wild and unpredictable market swings. My Dividend income increases each and every month regardless of what the market is doing. Now is not the time to panic but to be looking for and purchasing bargains.