Wednesday, May 9, 2012

New Purchase - MCD

My latest purchase is 13 shares of McDonald's (MCD).  The shares were bought at $91.935 which results in a yield of 3.03% after brokerage fees.  In my opinion MCD is one of the top dividend growth stocks, I'm happy to increase my position.  I plan to hold McDonald's for a very long time and will continue building the position along the way.

The purchase today was not planned, but I'm trying to invest some of the cash sitting in my account doing nothing.  I probably won't make any more purchases in May, but no guarantees.  It's nice to know I can take advantage of opportunities if I see something I like.

In other news I received extra shares from the SBSI split today and noticed they gave me 4 shares when I was expecting 3.  Seeing as the split was 5% and I used to own 60.497 shares, it appears they rounded up.  I did the math; 5% comes out to 3.025.  Maybe the distribution will be amended, but right now my account says 64.497.  Thank you Southside Bancshares, this was a generous gift!


  1. CI,

    Nice pickup on the MCD shares! I'm going to be tempted to add to my position if it dips below $90. It may very well do so based on recent weakness. We'll see. I don't currently have MCD at the top of my buy list, but if it keeps trending down it's going to quickly move up the ladder.

    PM has also been weak lately. Hmm...

    I'm glad you already received your SBSI shares. I haven't yet. It seems Scottrade is a bit slow handling these type of transactions. I didn't receive my PSX shares from the COP spinoff until this past Monday, and that was after a phone call.

    Best wishes!

    1. Bummer about your broker. I use Fidelity. I've been with the company for a while, longer than I've been dividend growth investing. I originally signed up with Fidelity for some of their high quality mutual funds. I used to use Vanguard as well. I ended up liquidating all mutual funds and ETFs to buy dividend growth stocks. I kept using Fidelity because they offer a low cost brokerage and I like their customer service. I terminated the Vanguard account and transferred everything over. Been very satisfied ever since.

      My only gripe is that it takes 5 days for a transaction to settle. I have to be careful when purchasing stocks close to the ex date. Dividend capture wouldn't work well at Fidelity. It's not really geared towards trading.

  2. Great buy! It would have been nice if I had bought MCD today instead of yesterday, but oh well. I have never claimed to be a good market timer. :)

    1. Ah I know the feeling. I wish I waited one more day to buy TD, but I cannot go back in time. A 1% or 2% difference in purchase price won't make or break you. It happens.