Sunday, June 1, 2014

Dividend Stocks Portfolio (Update) - June 2014


 
Here is the recent update to our dividend stocks portfolio – June 2014.

SALES

As noted in the narrative for our dividend stocks portfolio, we are in the process of rebalancing our portfolio to meet our current stock criteria. Some of our holdings, therefore, do not reflect our current goals, but we are in the process of selling a few of them as they reach our limit price. We continued to sell a few shares this past month but still have a bit more to go.  My goal is to finish the transition sometime before the end of the year. 
 
With that said, we have sold the following 3 positions this past month:

5/6/14
35 shares of BBD (Banco Bradesco) at $15.50/share ($542.49)
  • Estimated Annual Dividend Lost: $10.90
5/7/14
35 shares of FTR (Frontier Communications Corp) at $5.88/share ($205.80)
  • Estimated Annual Dividend Lost: $14.00
5/27/14
226 shares of BSBR (Banco Santander Brasil) at $6.80/share ($1,536.80)
  • Estimated Annual Dividend Lost: $216.06

 TOTAL VALUE OF ALL SALES: $2,285.09*

OVERALL DECREASE TO ANNUAL DIVIDENDS: $240.96

*We receive 100 free trades per year through our brokerage account so there was no commission paid on these sales.

PURCHASES

May was a pretty busy month as we made a total of 9 purchases during the month.  In addition to the proceeds from the 3 sales shown above, we also had some cash reserves from our stock sales from April. Our purchases this month is putting our family's dividend portfolio one step closer to where we want to be. I felt we did a pretty good job grabbing a few value buys while staying diversified in our purchases. 
 
The following are the actual buys that we made during the month of May:

5/7/14
25 shares of ARTNA (Artesian Resources Corp) at $21.70/share ($542.50).
  • Estimated Annual Dividend Received: $21.20
5/15/14
20 shares of ARI (Apollo Commercial Real Estate Finance Inc) at $16.40/share ($328.00).
  • Estimated Annual Dividend Received: $32.00
5/20/14
10 shares of TGT (Target Corp) at $56.90/share ($569.00).
  • Estimated Annual Dividend Received: $17.20
10 shares of ESV (Ensco plc) at $49.33/per share ($493.30).
  • Estimated Annual Dividend Received: $25.00
10 shares of TCK (Teck Resources ltd) at $22.50/share ($225.00).
  • Estimated Annual Dividend Received: $8.18
10 shares of ARTNA (Artesian Resources Corp) at $21.23/share ($212.30).
  • Estimated Annual Dividend Received: $8.48
5/21/14
25 shares of ARCP (American Realty Capital Properties Inc) at $12.50/share ($312.50)
  • Estimated Annual Dividend Received: $25.00
5/23/14
5 shares of TGT (Target Corp) at $55.75/share ($278.75).
  • Estimated Annual Dividend Received: $8.60
5/28/14
10 shares of AFL (Aflac Inc) at $61.00/share ($610.00).
  • Estimated Annual Dividend Received: $14.80
TOTAL SPENT ON NEW ACQUISITION: $3,571.35*

OVERALL INCREASE TO ANNUAL DIVIDENDS: $160.46

*We receive 100 free trades per year through our brokerage account so there was no commission paid on this purchase.

 

DIVIDENDS

May was a really slow month in terms of dividends received as we had our lowest monthly dividend total this year. Nevertheless, so far this year, we are still averaging $135.48 in dividends each month. June is usually a big month as half of our holdings will be paying out next month. 

For the month of May, we receive the following dividends:

5/1/14 - Dividend from T (AT&T Inc): $18.56
5/9/14 - Dividend from BBD (Banco Bradesco): $0.71
5/15/14 - Dividend from ARCP (American Realty Capital Properties Inc): $4.17
5/16/14 - Dividend from KMI (Kinder Morgan Inc): $12.60
5/23/2014 - Dividend from ARTNA (Artesian Resources Corp): $4.30

OVERALL DIVIDENDS TOTAL THIS MONTH: $40.34*

* We currently receive our dividends as cash in all stock positions held.
  
In case you interested, our family's dividend stocks portfolio can be found here.

14 comments:

  1. Affj,
    You have written a very imfomative article on your previous month. I am hoping to join you on the same path to success. I cant wait to add T and KMI and AFL. They seem to be rewarding you with great dividends. Best of luck to you and your family.

    ReplyDelete
    Replies
    1. Dividend Mongrel - Thanks for stopping by and thanks for noticing my effort. I do take pride in each and every one of my post and try to write articles that are detailed but yet easy to read.

      As you already know, its tough to find value out there with the market at all time highs but T, KMI, AFL appear to be nice value plays at the moment. Depending on where they go in the upcoming days, I may add more to my holdings.

      Best wishes! AFFJ

      Delete
  2. Congrats on the dividend income, AFFJ. Some of the names mentioned here are new to me and I will have to check them out. Thanks for the update

    regards
    R2R

    ReplyDelete
    Replies
    1. R2R - thanks, I'm happy with my monthly average thus far but my May dividends were somewhat light. Hoping June will make up for it. :)

      Thanks for stopping by, wishing you continued success in your journey. AFFJ

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  3. AFFJ,

    Great month right there. Very active! Keep up the great work.

    I think AFL, TGT, and ARCP are all great value buys right now. And all should do well over the next 5-10 years and possibly beyond. Glad to have you on board as a fellow shareholder!

    Keep up the great work.

    Best wishes.

    ReplyDelete
    Replies
    1. DM - Thanks, I'm pretty happy with both the sales and purchases that I have made this past month. I felt that my activity this past month has help me rebalance and further de-risk my portfolio. I'm feeling more and more confident with what the future has in store.

      Thanks for stopping by and for the comment. Best Wishes! AFFJ

      Delete
  4. Thanks for sharing the details. May was a slow month, but I'm betting that you're looking forward to June since that's usually a big payout month for dividend investors. :)

    ReplyDelete
    Replies
    1. FI Fighter - Yes, June should be a good month. 10 of my 18 holdings will be paying me dividends this coming month. It would be nice if the payouts were more spread out throughout the months, but I'll take dividends any way I can get them. :)

      Thanks for stopping by. Best Wishes! AFFJ

      Delete
  5. I'm with you on TGT and ESV. Nice month and I like the diversification. You picked up a couple of positions I'm not familiar with that I will check out, Teck and Artesian.

    ReplyDelete
    Replies
    1. All About Interest - I first picked up TCK in early 2013 when I saw a few years of consistent dividend increases. However, unfortunately for me, the dividends have remained the same since. But with the recent drop in price, I figured I would add more to my current holding and average down my positions. The current yield is: 4.10%.

      As for ARTNA, it has 19 consecutive years with dividend increases and has raised its dividend twice this past year (on 9/17/13 and 4/4/14). Currently yield is: 3.9%.

      Best Wishes!! AFFJ

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  6. Thanks for sharing your progress. I bought several of the companies you listed but ARTNA is new to me. I'll have to look into this one.

    ReplyDelete
    Replies
    1. Fox - You're very welcome. Thanks for stopping by and for the comment.

      As for ARTNA, here are a few reasons why I picked it up: The stock was near its 52-week low, has a 3.9% yield, company not in debt (operates with approx. 5mil positive cash flow), and the main reasons: has 19 consecutive years with dividend increases and has raised its dividend twice this past year (on 9/17/13 and 4/4/14).

      Here are a couple of things you should also know: it is not a very large company, the P/E is currently above 20, and the payout ratio is a high at 86%.

      It's been hard finding value out there and although there is some risk associated with ARTNA, I believe it was a calculated risk worth taking.

      Best Wishes and continued success on your personal journey! AFFJ

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  7. I really like AFL. I also have ESV & TGT. Have not heard of ARTNA and TCK...
    WE#1

    ReplyDelete
    Replies
    1. At the right price, I may consider adding to my positions in AFL, ESV & TGT. I am long on all three.

      I consider ARTNA more of a speculative buy. As for TCK, I was merely trying to average down my current positions.

      Thanks for stopping by. Best Wishes! AFFJ

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