5 shares PM, 4.84% yield, $18.80
11 shares UL, 3.77% yield, ~$16.17 (depending on exchange rates)
Wow I had horrendous timing today! I typically make my purchases in the morning before reporting for duty, little did I know the market would sell off in grand fashion. Only a few hours after purchase these companies were trading at much lower prices. I've always known that I stink at market timing. That's why I have been dollar cost averaging with monthly purchases over the years. Terrible timing aside I still picked up shares in quality companies that are extremely likely to raise dividends going forward. One day I hope to live primarily off dividend income. These shares are valuable towards that end.
While I could have saved a couple bucks if I knew how to predict market movements, I'm actually very pleased the heated stock market is finally falling back down to earth. I still have 3 more planned purchases earmarked for the coming weeks. I'm heading out of country pretty soon (for a military mission; it's not a vacation). I won't have much time for investing, plus buying stocks is more difficult in a time zone half way around the world. Not sure if I'll have reliable internet access either. Some of the companies I'm looking at include ABT, JNJ, KO, MMM, PG, TGT, and XOM,. I want to add high quality now that valuations are more reasonable.
I have many free trades available and did not pay commissions today. I plan to continue small weekly purchases until my supply of free trades run out (probably July).
Symbol: PM
Core Position: Yes
Speculative Position: No
Expectations: Steady income; 7% annual dividend growth
Automatic Sell: Frozen dividend; dividend cut
Consider Selling: Business fundamentally changes, management becomes untrustworthy, fundamentals deteriorate, wildly over valued stock price, or position fails to meet expectations.
I know what you mean. And I agree with you on quality.
ReplyDeleteI have orders in that will go through tomorrow for PM, KMI, KO and CVX.
We'll see if the market continues to go lower. I'm spending most of my dry powder, but I feel like over the last year any time there's been a dip like this everything has bounced right back up. I'll be happy either way.
Good choices there.
DeleteIf the market continues to slide that is completely fine. I'd rather it stays low because I'm depositing funds from my job to buy shares on a regular basis. Low prices = more dividends. However it does kind of stink when something takes a big dip the second after you buy it :(
You're right CI, it is really tough to time the market. I've been keeping an eye on both Chevron and Unilever also. I'm grateful for my cash as well. I don't hear anyone saying cash is trash now. This is why we keep some on hand, no?! Judging by Asia's open a couple hours ago, tomorrow may be another fun day.
ReplyDelete-Bryan
Yes I'm glad I have cash at the moment, but it needs to be invested. I think I earned 6 cents interest on it last month!
DeleteI normally wait until about this first hoir is done to see how the markets want behave but man was I off today. I picked up some UL today as well and I hope to be able to add some PM then I'll probably be done for a month. I like all those purchases and the free trades are awesome.
ReplyDeleteMaybe I'll start waiting till lunch, but I suppose it depends on what we're doing for the day. 8 more trading days left before I'm gone for a while. Gotta get the purchases soon!
DeleteNothing wrong with any of those moves, and they would match pretty closely to what I would do as well. I'm hoping these depressed prices last for a while.
ReplyDeleteI hoping they stay depressed for the next week and a half. Past that I won't be actively engaged with investments for a while. Best wishes picking up some new fire power!
DeleteCI, for this I use conditional or contingency orders. Basically I enter a conditional order for the stock price that must hit a greater or equal price slightly above previous close in order to activate the limit buy order at the same price:
ReplyDeletefor example today I entered an order to buy Mastercard (MA) if the last price will be greater or equal to $75.94 a share (current price is $73.91) it will activate a limit order @ 75.94 (so the price must drop back below 75.94). If the price continues dropping, I trail this order down with the price. As long as the price reverses, it hits the trigger order and activates the buy order. Most of the time it buys at the same time.
With this, many times, I was able to buy a lot cheaper than with the very first order entry.
With these free trades I simply use market orders. I'm not accustomed to buying stocks this way. I do this because I'm pretty sure if I cancel an order I lose the free trade.
DeleteUnder normal circumstances I use limit orders at a predetermined price. I'm 99.9% certain I wouldn't have purchased anything yesterday without the free trades. If I only had one buy for the month I would have been much more selective. -1 for weekly purchases
This market is tricky. You think things are down nicely, buy, then the bottom drops out again. I'm nibbling. Bought a little TGT late yesterday. Also some VTI in my retirement account. I already own a lot of CVX, its probably my favorite holding.
ReplyDelete-RBD
Agreed!
DeleteCI- You have free TRADES- not free orders. I am 99.99% sure you will not lose a free trade for canceling an order. However, you should verify w/ your broker.
ReplyDeleteScott
Good luck on your deployment
Scott,
DeleteThanks for the feedback. Scottrade claims to refund cancelled free trades. However back during the government shutdown I was out of state for a while and placed a free trade limit order for XOM. When I came back that order wasn't filled so I cancelled it expecting to get the free trade refunded. Unfortunately that never happened. I emailed Scottrade and asked for a free credit, but they didn't cooperate. Because of that I am content on simply using market orders for the time being. When I use up my remaining free trades (31 left) I'll go back to using limit orders.
Good luck to you as well my friend!
Great picks here. I'm also interested in CVX and PM. My father bought some UL in the recent past. All three are wonderful businesses that appear attractively valued.
ReplyDeleteThanks ED! All three of these companies should be nice long term holdings. Best wishes!
DeleteHow do you get free trades from Scottrade?
ReplyDeletePM pays a really nice dividend.
ReplyDelete