Recent Stock Purchase II July 2017

With a couple free trades remaining in my account before they expire I felt compelled to put them to use and continue on my buying path for the month of July. As we have witnessed the markets continue to melt up, there have been some great single day buying opportunities in many well known dividend paying stocks. Some names that come to mind are W.W. Grainger, Inc. (GWW), General Electric Company (GE), Bemis Company, Inc. (BMS), Johnson Controls International plc (JCI) and even long time favorite Starbucks Corporation (SBUX) each dropping heavily after weaker earnings or guidance reports. Typically, when I witness a large single day drop in a well known company that I already own or considering adding to my portfolio I take action. In hindsight, I do regret not pulling the trigger on GWW after its massive single day decline but I was able to nibble elsewhere. With that being said, let’s take a look at my recent stock buys for July.

 

I have added to my ROTH account 4.0 shares at $55.32 for a total investment of $221.28 in General Mills, Inc. (GIS). With this recent purchase my ROTH account holdings in GIS now totals 19.0 shares with a market value of $1,051.27. I also hold 111.7134 shares in my taxable account with a market value of $6,181.10. This was a free trade.

 

I have added to my ROTH account 7.0 shares at $54.11 for a total investment of $378.77 in Starbucks Corporation (SBUX). This is a new position in my ROTH account and was a free trade.

 

As you can see above, these two trades were both on the small side as I continue to nibble on positions every single month. Between this and my last July purchases I was able to put $1,580.69 to work this month. In all, not a bad July. Now, it’s time to look forward to August and see where I will deploy my fresh capital.

 

What do you think about my recent trades? Have you been adding to any stocks that have suffered dramatic dips in price? Please let me know below.

 

Disclosure: Long GWW, GE, BMS, JCI, SBUX, GIS

26 thoughts on “Recent Stock Purchase II July 2017

    • Hi DD,

      I’m still liking GIS at these “weaker” levels. I will be careful though not to make GIS too large of a position between my taxable and ROTH accounts. Even with all my GIS buys it only accounts for about 3.5% of my portfolio. Ideally, I do not want any single position of mine to account for more than 5%. I have a feeling we’ll be reading about other SBUX buys after it’s nice swoon. Thank you for commenting.

    • Hi Passivecanadianincome,

      Congrats on continuing to build up your passive income stream. No doubt everyone likes to talk about the AMZN effect on a variety of companies out there and, like you, I tend to agree that it’s a little overplayed. Just keep plugging away making those buys. Thank you for sharing your thoughts.

  1. With such a violent reaction to earnings, I almost outright bought some SBUX today, but I decided to let my short put from earlier this week just play itself out. It’s in the money now, but still has a whole week before expiry. I’d be pretty happy to finally get assigned. This is like the 9th SBUX contract I’ve sold; looks like I could finally get some shares.
    catfishwizard recently posted…Sold Cash Secured Put + Investment Thesis – Seagate Technology PLC (STX) – $31.00 strike – Aug 18 ExpirationMy Profile

    • Hi catfishwizard,

      Getting assigned some SBUX is not a bad way to add some shares to your portfolio. Looks like you have been pretty successful playing the options game on SBUX in the past. As you said, after this violent downturn you may actually get some shares. As always, I appreciate your comment.

    • Hi Desidividend,

      This is my first nibble on SBUX. It’s been on my watch list for a long, long time but I never pulled the trigger till now. Thanks for sharing some of your recent picks. I appreciate your comment.

    • Hi Charlie,

      Earnings always bring out those violent knee jerk reactions. If I ever see a company I own drop significantly or want to initiate a position on a stock I’m watching, I know that I’ll always have an opportunity when a company reports less than stellar growth or offers up weak guidance. You see it happening every quarter. Thank you for stopping by and commenting.

  2. Wow Divhut, both GIS and Starbucks are on my very short list of new purchases. I’m not going to lie. The main reason why I’m adding Starbucks is because I go there so often and feel as if I ought to own piece of the company since I’m such a valued customer there. Sure, they have great prospects for growth in the future and that helps. And sure, that’s probably the worst reason to own the stock. But, regardless, I think it’s a great stock to own.

    I want to add 5 stocks to the portfolio and Starbucks and GIS will likely be included. I’m still struggling to come up with a 5th. GWW was under serious considerations, but I’m still not sure. It’s probably a matter of days now before I make my buys, so we will see.

    Anyway, I think you did well with GIS and SBUX.
    Dividend Portfolio recently posted…Bad NewsMy Profile

    • Hi DP,

      Well now I can say thank you for being such a loyal SBUX customer 🙂 This is my first time owning the stock as I have focused my attention on long time dividend payers and growers and SBUX still has a relatively short dividend payout history. Of course, after seeing that nice double digit decline last week I couldn’t help but nibble a bit on the stock. I do wish the yield was a bit higher but it’s a stock and dividend still in growth mode. Good luck with your dividend stock picks. I think all the names you mention are good, potential long term candidates. As always, I appreciate your comment.

    • Hi DD,

      Thanks for your continued support. My buys might be small but as you already know they are consistent. Seeing a double digit decline in one day for SBUX was a little too hard for me to ignore which is why I initiated a position. I still see SBUX in growth mode with a safe dividend and it will be interesting to see how it does in my long term portfolio. Thank you for commenting.

  3. Great buys DH! I went ahead and also add SBUX after earnings this one rarely goes down 10% in a day! Also added BMS really like the packaging industry at this time. Check out SON another packaging company hitting new lows almost everyday.

    • Hi CD,

      Nice to see that I wasn’t alone in picking up some SBUX on its big down day. BMS has been with me for almost ten years and has been a solid performer. Thanks for mentioning SON. I never considered that stock before but have owned and looked at IP in recent months. Thank you for stopping by and commenting.

    • Hi IH,

      Appreciate that vote of confidence with my recent buy. SBUX has been in my radar forever too as I could not get by the high PE and relatively low yield. Seeing it drop about 10% in one day coupled with the fact that it’s a stock still in growth mode I decided to look beyond the valuation and low yield and nibble a bit. Thank you for commenting.

    • Hi AD,

      I always say that being consistent with your buying is almost as important as what you buy. It’s tough to time the perfect moment to buy any stock but as long as you jump in the game at some point you should be OK in the long run. GIS continues to look weak with dim prospects in the near term. I do feel they will turn around and I’ll gladly take advantage of any buying opportunity at depressed levels. Thank you for sharing your thoughts.

    • Hi MDD,

      Seeing GIS continue to look depressed with gloomy near term prospects just enabled me to keep nibbling on the stock. Of course, I need to be careful not to make it too large of a position in my portfolio. With regards to SBUX… how could I not nibble after seeing that double digit decline. I do wish that current yield was a bit higher but for what it lacks in current yield it more than makes up with very high dividend growth. As always, I appreciate your comment.

  4. Hey DH,

    tx for sharing. General Mills is on my watchlist, but i didn’t pull the trigger yet. I like Starbucks a lot, but missed out to buy them years ago…mistake!!! it was so obvious that Starbucks would be a great investment. they opened coffee shop after coffee shop, even here in Germany and their coffee doesn’t come cheap, so their profits would be great… maybe i get a second chance to get in, we’ll see.

    I just bought 25 shares of Daimler (Mercedes-Benz) which suffered a big price drop (form over 90€ to 59€ right now) and if you have the time you can read about here:
    https://dividendsolutions.wordpress.com/2017/07/30/recent-buy-aktueller-kauf-2/

    Cheers,
    DividendSolutions

    • Hi DS,

      Like you, I also feel like I “missed” on SBUX years ago but I think, in time, they’ll turn things around and in the meantime we have some better buying opportunities in front of us. They sell a high margin product that doesn’t seem to be going out of style any time soon. If the price continues to drop I may feel compelled to add to my position. As you can see, I started very small. Thanks for sharing your recent pick up on the dip. While I don’t follow Daimler at all, it does seem to be suffering form some near term headwinds with a pretty dramatic stock price decline that proves it. As always, I appreciate your comment.

    • Hi DFG,

      I hear you. Better to enjoy the summer than to worry about purchases and watching your portfolio. Enjoy your time and look forward to reading about some of your upcoming buys. Thank you for stopping by and commenting.

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