With three weeks of February in the rear view mirror it is time, once again, to highlight my recent stock purchase. As market volatility remains the flavor of the day we are being presented with some pretty good buying opportunities if you can stomach these wild swings. Of course, if you have a long term horizon for your investment plan then over time these wild gyrations will be smoothed out and these daily ups and downs should not be much cause for concern. Keep investing, stay diversified and try not to get shaken out of the market when things really do dive. I always state that I make my monthly buys no matter what’s going on in the market or the world for that matter and this month is no exception. With that being said let’s take a look at my February stock buy. Sticking to my February 2018 Stock Considerations:
I have added to my IRA account 15.6864 shares at $51.00 for a total investment of $800.01 in Ventas, Inc. (VTR). With this recent purchase my IRA account holdings in VTR now totals 71.4150 shares with a market value of $3,645.02.
The health REITs continue to look extremely weak in 2018. Rising interest rates, inflation fears and D.C. policy uncertainty has created the perfect storm to drag down the entire sector. In fact, the sector is so beaten down that my last three buys have all been in the health REIT space. I’ll continue to watch the space and add to my positions selectively as my REIT exposure is still a relatively small section of my overall portfolio holdings.
What do you think about my recent buy? Have you been buying in February as well and ignoring all the market volatility? Are REITs on your radar? Please let me know below.
Disclosure: Long VTR
Very nice buy DivHut! VTR, O, and so many other Reits are looking so great right now, nice catch!
Enjoy the divies!
DI
Hi DI,
With the prospect of ever increasing interest rates for the foreseeable future, it seems that all REITs and utilities will be under pressure giving us much better buying opportunities. As long as they keep getting paid… I’ll be enjoying those dividends. Thank you for sharing your thoughts.
interesting buy. Need to look into them. thanks for the update. best of luck
FiscalVoyage recently posted…Recent Buy: Owens & Minor Inc.
Hi FV,
The health REITs are all looking much more compelling these days as interest rate hike fears have gripped the sector and are giving us much better buying opportunities. For now, all my REITs are in the red which is why I was happy to average down on this position. Thank you for stopping by and commenting.
Interesting buy! I don’t own any but will look into them. I also read a great article on SA by Brad Thomas about LTC.
Hi MR,
In general, I think the outlook for many of the large health REITs look favorable long term. LTC is another holding of mine along with VTR, HCN, HCP and others as a result of spin offs. No doubt the sector is going through a near term rough patch but I’ll continue to hold. As always, I appreciate your comment.
seniors housing and healthcare properties is a good industry to get into. But, I am not sure if this is the bottom …i.e. would it get any cheaper? With a yield of 6.3% it is definitely a good stock to dollar cost average into. I am staying away from REITs for two reasons (1) interest sensitivity, (2) Not very efficient in my taxable account.
Hi dividendgeek,
No one knows where the bottom is. In the meantime, if you like the sector and specific stocks go ahead and nibble. That’s what I do. I can tell you that I have no idea how much more pain the REITs will see. No one does. All I can do is diversify and take advantage of time in the market with my holdings and simply hold on for the ride. All my REITs are in an IRA because, as you stated they are not as efficient in a taxable account. Thank you for commenting.
Nice buy, DivHut. VTR caught my eye too as it keeps falling week after week. I might add to my position on one of these days.
R2R
Roadmap2Retire recently posted…Recent Buy – IPL
Hi R2R,
Glad you like this buy. The health REITs are catching many eyes among our dividend peers as prices keep falling to new 52 week lows almost every day. I just wanted to take advantage of better pricing and lower my cost basis while enhancing my current portfolio yield. Thank you for stopping by and commenting.
Great Buy DH. I had been eyeing some of the REITs including VTR. Haven’t pulled the trigger yet but may come thru one of these coming days.
Good Luck and Happy Investing.
TDK
Hi TDK,
The REITs have been popular as of late as many are trying to take advantage of lower prices and higher yields as interest rate hike fears have gripped the entire sector. Thank you for sharing your thoughts.
good buy DH. I would add more but I’m overstuffed on VTR and healthcare reits in general.
Hi TBDI,
I hear you. I like the health REITs a lot too but may look elsewhere in March as I have been buying VTR, HCN and LTC in recent months and might need a change. Thank you for commenting.
Hi Keith, I try to buy on a regular basis like you (sometimes pausing when the market is on a roll and sometimes doubling up when things get ugly). I own VTR and it has been on my radar for an add on purchase too. I bought SO instead this month. I got a little spooked recently when they didn’t raise their dividend recently. I only expected a percent or two increase, but when they held it flat it gave me pause. I plan to continue holding and agree that it is a beaten down sector with good potential. Tom
Tom @ Dividends Diversify recently posted…The World Sure has Changed – Or has It?
Hi DD,
I think being consistent with your buying is one of the most important facets for long term dividend growth success. After all, you need to be in the game instead of the sidelines to keep earning that ever growing passive income stream. I like SO. It may be my March buy as I have been buying health REITs in earnest the last few months. In the meantime, I’ll hold my VTR and other health REITs during this rough patch. As always, I appreciate your comment.
great buy, I initiated a VTR position. I might add more along the way.
vivivanne recently posted…Gun, Marijuana (Drugs), Electronic Currency (Bitcoin, block-chain currency), and Immigration Reform Are to dominate 2018 Headlines
Hi vivivanne,
Happy to be a fellow shareholder with you. I plan to make VTR and my other health REITs long term holds. I think this is all near term pain the REITs are facing which is simply giving us better buying opportunities today. Thank you for commenting.
DHut,
I like the sector. Fears are hinged upon a dozen what ifs, when in reality everyone is getting old and people are living longer than ever before in history. Sounds like going long is the better bet.
-Gremlin
Dividend Gremlin recently posted…One Eye on the Future, the Other on the Crystal Ball
Hi DG,
Well said. Fear is what drives a lot of the stock and general market pricing when in reality fundamental trends are more important for long term results. I think the need for what health REITs provide will be with us for a long time no matter who is in office, D.C. policy changes and no matter what interest rate levels are. Thank you for stopping by and commenting.
I haven’t been following VTR, DivHut. However, I have been watching your last purchase, HCN. It looks rather enticing at the current level, but I feel like I’m good with REITs for the time being after my purchase of O just 2 weeks or so ago. Who knows though…. perhaps the HCN pricing will get even better and I won’t be able to resist a small purchase. Thanks for sharing your purchase decision.
Engineering Dividends recently posted…Monthly Options Income (Feb. 2018)
Hi ED,
The health REITs have all been hammered in 2018. Three out of my four recent buys have been in the space as I added to my HCN, VTR and LTC recently. I like to nibble on positions as no one knows when the exact bottom will be. As long as the dividends continue to get paid I’m happy and I’ll take advantage of better pricing and yields. Thank you for sharing your thoughts.
Looks like a nice buy. REITs and Utilities are finally starting to look attractive now that interest rate/inflation fears are starting to pick up some steam. I’ve been dripping VTR for a while now and fully plan to continue doing so. I hope to be able to add some utilities to the portfolio as well for their higher yields although that comes with slower growth.
JC recently posted…One Raise at a Time | Shopping For Dividends
Hi JC,
My plan is to continue DRIPing into all my REITs (as with my other stocks) and simply average down on cost as all the health REITs are severely beaten down. 2018 has not been kind to the REITs nor the utilities which is where most of my buys have been the last few months. Thank you for stopping by and commenting.
I like healthcare and I like REITs, so thumbs up here from me! If i had some more cash I’d be buying VTR and maybe some WPC. Nice add though Hut!
Money Hungry recently posted…Stock Purchase February 2018
Hi MH,
The health REITs still look attractive in March as interest rate hike fears have really gripped the sector in earnest. VTR is a solid play in the space. I recently added to my LTC and HCN (WELL) too. As always, I appreciate your comment.
Solid play in the REIT sector Divhut. Way to capitalize on the industry that is down and add a high dividend yielder.
Bert
Hi DD,
The REITs are still way beaten down. Three out my four last buys have been in the health REIT space which just goes to show I felt comfortable buying in a beaten up sector. Thank you for stopping by and commenting.