UPDATED WATCH LIST AND PORTFOLIO

 It's been a while since I've posted an active watch list and current portfolio  So I just updated what I am looking at towards purchasing and what I would like to increase a stash of!

It a comes down to a decent dividend, a record of growing that dividend, a decent payout ratio so there's room to grow and not be forced to cut the dividend, a good P/E ratio to avoid buying an overpriced company, and a record of growth overall as a company (EPS).

Recently the EPS has been looking wonky, so I choose to ignore what 2020 looks like in comparison to 2019.

To see my portfolio, please go here:  PORTFOLIO

Here's the link to the page I keep this at.  WATCH LIST.

Here's the watch list:

Any questions or comments?  Please comment below!

DECEMBER 2020 DIVIDENDS

 Welcome to 2021.  Super stoked we are no longer in 2020 and my football team is in the playoffs!  

And my kid like to startle the bejeezus out of me with stuff like this:

Best of all, December was a fun month for earning some passive income.  My March/June/September/December dividend months are always busy.   I see 44 companies pay out on these months.

I earned a total of $1542.22 in those 44 payments.

Here's the summary:

My big haul was a special dividend from Costco (COST) of $10 per share.  They tend to do this every other year or so and really makes up for the lower yield. Someday their dividend increases will be truly fat.  At least I hope.

The other winer for me was the Vanguard exchange traded fund VYM.   Gotten into it starting late this summer, and is a great go-to when I'm indecisive about buying shares.  This fund is chock full of dividend Aristocrats and contains more than half of my holdings.  It's like the greatest his of my portfolio!   I try to buy at least 4 every month.   Here's a great piece about why VYM is so awesome Why I’m Investing $500 Weekly with Vanguard ETFs.     

Now it's January and looking at another month with a special dividend that will blow the doors off from ORI.

Thoughts?  Please comment below

DECEMBER 2020 BUYS

December was one of my more exciting months in a long time when it comes to making some buys for my portfolio.  

41 transactions in total.

The final tally at the end of the month was that I added $1,304.04 to my investments and gained $360.54 in annual dividends.  Taking profits and reinvesting resulted in getting a 27.4% return on my new money.

Took some profits.  Closed out on companies I was sick of holding.  Got into a few companies I had been waiting to get into.  Reintroduced myself to one of my former major holdings.   Lets go through these one by one after the chart...

TOOK PROFITS:  Took some Apple profits (AAPL) .  I was over 125% in equity gain.  I do love them and are a solid stock to hold onto, I took the profits to get some shares that give a better dividend return.  I will start buying them again in late March.

CLOSED OUT:   Closed out on my gas companies.  Got rid of Chevron (CVX) and Phillips 66 (PSX).  I see them as mired in a world where we are heading away from gas and oil consumption.  Covid has reduced commutes and I believe is a new normal.  Yes, they had nice dividends, but were in no position to increase them in the foreseeable future.  Bye bye.  Not feeling a bit of remorse.

I also closed out on Wal Mart (WMT).  I prefer owning Target, and I did not care for the way they pay out dividends.  Announce 4 payments once a year and have them pay in an odd pattern.   So I took their profits also.

NEW BUYS:   Comcast (CMCSA).  Been waiting far too long to get a position with Comcast.  

                         AIG Insurance (AIG)  Another patiently waiting on my watch list.

                         Lockheed Martin (LMT) Yet another that sat on my watch list forever.

                         Netapp (NTAP).  A tech company that has was a good value IMO.

                         Seagate Technology (STX). Another tech company I wanted to pull a trigger on.

                         Smuckers (SJM).  I honestly do not know why I did not own this years ago.

All of these companies passed my stock screener test: STOCK SCREENER(or at least got real close).  They all have a decent P/E ratio in the low 20's and below.  They all have a good track record of incresing their dividends.  They all have a dividend payout ratio of 60% and under, so they have room to grow and also room to take a financial hit without affecting the dividend.  And they all have a good track record of earnings per share growth (at least before COVID).  The pandemic puts that metric on pause.

REINTRODUCTION:   Back in early august, I wrote about how I jettisoned one of my biggest holdings, Whitehorse Finance (WHF), a business development company that I owned from their early days.  They had always paid out about 10% annually in dividends and I took full advantage of that for a solid 6 years.  

During the Pandemic, they took a major hit.  I wrote about it here: JULY 2020 BUYS, SELLS AND MAJOR CHANGES - PART 1

Their payout ratio (normally in a safe range) spiked up to 947%.  Their P/E also leaped up to 64.5.  If they did not right the ship, both the dividend and their stock price would have taken a major hit.  I had already experienced that with some REITs in 2019 and was not about to see my largest holding collapse.

Well, they righted the ship.  currently, their P/E is at 8.67. And their payout ratio is back down to about 90%.    

The cost of my protection from possible failure of WHF was a $450 dividend payout in Q4 and about $1 per share.  A small price to pay for the security of not losing $17K had they gone tits up.

OTHER BUYS:   I also increased my holdings in Kroger (KR), Western Union (WU), AT&T (T) of course, Robert Half (RHI), and Starbucks (SBUX).

To sum this up:  This was one fun month in investing and like where I am at more than ever.

DECEMBER 2020 DIVIDEND INCREASES

 Always a shorter post, but a very important part of my investing strategy - dividend increases.

Just to lengthen this post, here's my sugar cookie art skill.  

A rabid squirrel that just gave birth and is carrying its bloody newborn....

So here's a summary:

Amgen (AMGN) passed out a 10% dividend increase!   BAM!

Realty Income (O) did their regular quarterly .2% increase and AES upped theirs  by 5%.

This added $24.41 to my annual dividends.  

In January, I'll be looking for an increase from Kimberly Clark (KMB), Intel (INTC), Archer-Daniels Midland (ADM), and Air Products and Chemicals (APD).  

And I think my portfolio is safe from any more dividend cuts!  

2020 GOAL SUMMARY & 2021 GOALS

 We made it! The longest, most frustrating year is over.  2020 can go suck some eggs.   

A sucky 2020 did not mean I could ignore the goals I had to to accomplish.   Last year, I posted them online to keep me accountable.   Well,  let's see how I did:

FINANCIAL GOALS

1. Add $5,000 to my investment account.  DONE  
2. See my dividend income increase by 10% from 2019.  NOPE.  SHUFFLING SHARES AROUND IN 2020 AFTER DIVIDEND CUTS DID NOT BODE WELL.  -6% BUT IN A MUSCH BETTER PLACE MOVING FORWARD.
3. Increase my holdings by 5 companies. Not just add to my current holdings, but have 100 companies to earn dividends from.  DONE
4. Save $16,000 for bills in 2021: Property Tax, Home Insurance, Auto Insurance, Car Tabs, Water Bill, Electric Bill, Gas Bill, Internet, Phone Bill, TV Costs.   That's $43 per day.  I want to be a year ahead. Then in 2021 and beyond, I can put more into the market once I am ahead.  SAVED $8,000.  CHANGED MY GOAL TO $8K AND PUT THE REST IN THE MARKET AND REPLACED A CAR.  GOT TO $8K
5. Fulfill my goal of buying the equivalent in shares of what I spent in 2019 at Costco, Target, Apple Store, Home Depot, Starbucks, and AT&T.  DONE OTHER THAN APPLE STORE SINCE I ALSO CHANGED THE TARGET COMPANIES.  SEE CHART BELOW

PERSONAL GOALS

1. Take a spring road trip.  Yellowstone would be ideal.  DID THE REDWOOD FOREST IN NORTHERN CALIFORNIA.  COVID REALLY MESSED UP PLANS.
2. Exercise more.   I was doing well until my right knee and left achilles acted up.  Fell out of routine.   DID SO FOR 9 MONTHS BUT FELL OFF AS WEATHER TURNED AND SHOULDER WENT ON THE FRITZ
3. Drop about 20 lbs.   LET'S JUST TALK ABOUT THIS LATER.  THE COVID 15 IS REAL.
4. Drink more green tea.  DONE
5. Sell off some of my record collection.   It was a long term goal to sell eventually.  Well, I have run out of room.  I think I would rather sell than keep some of the ones I rarely listen to.  SOLD A FEW, AND FOR SOME GOOD PRICES.  BUT ALSO ADDED ABOUT 50 LPS
6. Improve piano skills and improve guitar skills.  PIANO YES, GUITAR NOT REALLY.
7. Blog more.  I HAD A LIFE, SO I FAILED ON THIS.
8. Enjoy more oysters like these.  KIND OF DID!

Now 2021 is upon us.   Here are my goals:  

FINANCIAL GOALS

1. Add $10,000 to my investment account.   This will be easy
2. See my dividend income increase by 10% from 2020.  Now that we are through the main evil of COVID, I think this is doable
3. Save $8,000 for bills in 2021.  That's $21 per day. 
4. Fulfill my goal of buying the equivalent in shares of what I spent in 2020 at the following:

I am in fact a bit ahead of the game on some of these companies.  I will update next month.

PERSONAL GOALS

1. Go to Hawaii for 10 or more days.  I need beach
2. Exercise more.   Walk 10,000 steps per day
3. Drop about 30 lbs.  I am at 204 lb this morning of 1/1/21.  My doctor wants me to slim down.  My pants do too.  It's made my blood pressure creep up.  At 5'7", I need to be much lighter.  The walking will help.  So will goal # 4....
4. Eat very little sugar.
5. Sell off more of my record collection.   I am out of room
6. Make more music and release an album.
7. Work on front yard garden.

Let's see how this shapes up...