Recent Stock Purchase September 2017

With three weeks of September under our collective belts it was getting time for me to pull the trigger on my monthly dividend stock buy. As I always say, there is never a perfect time to buy. You just have to look at your portfolio, see what’s missing or needs to be bulked up, look for good relative value and a safe yield and just go for it. Too often we try to “out think” the market as if we, or anyone else for that matter, has a clue as to what will happen in the near term. I’m perfectly content making my monthly buys knowing full well we’ll see the market continue to rise for many more years or fall dramatically within days. As long as my passive income keeps rising on an annual basis it does not matter to me.

 

There really is nothing new under the sun when you think about it. I don’t buy into the “This time it’s different,” chime. The stock market has been through major recessions, depressions, economic expansion and contraction, two World Wars, health epidemics, double digit inflation, low single digit interest rates, cheap money, real estate booms and busts, the Korean War, Vietnam (conflict in Asia is nothing new), Pearl Harbor, nuclear bombs being dropped, Cuban Missile Crisis, 9/11, deadly heat waves, cold spells, hurricanes, earthquakes, flooding, bull markets that go on forever, scary bear markets and on, and on, and on. You get the point. We’ve seen it personally or read about it in history books. Life is scary and uncertain but goes on. Don’t be afraid to invest in the market today. Perhaps I’m a little jaded as I have already seen my portfolio decline by almost 50% during the Great Recession. I didn’t panic nor sell back then. I certainly will do the same the next time around. With that being said:

 

I have added to my taxable account 25.3835 shares at $31.52 for a total investment of $800.09 in Hormel Foods Corporation (HRL). With this recent purchase my taxable account holdings in HRL now totals 59.9895 shares with a market value of $1,903.47. I also hold 9.0 shares of HRL in my ROTH account with a market value of $285.57.

 

I have added to my taxable account 20.4250 shares at $39.17 for a total investment of $800.05 in Johnson Controls International plc (JCI). With this recent purchase my taxable account holdings in JCI now totals 115.4390 shares with a market value of $4,623.33.

 

Both of these recent buys were mentioned in my September stock considerations among other names that I continue to watch like Cardinal Health, Inc. (CAH) and General Electric Company (GE).

 

As the market continues to melt up and the calls for a correction only grow I am reminded, once again, to simply tune out all the noise and keep on my own track. What do you think about my recent buys? Have you been buying in September as well? Please let me know below.

 

Disclosure: Long HRL, JCI, CAH, GE

27 thoughts on “Recent Stock Purchase September 2017

  1. DHut,

    I really like the HRL buy. I should be making a move next month myself, and they are in the prime running with GIS, SJM, the Canadian Banks, and SON. If you look long enough, you will see there are good options out there!

    – Gremlin
    Dividend Gremlin recently posted…Big ChangesMy Profile

    • Hi DG,

      There have been many opportunities to buy some high quality assets at better values as of late. Every name you mention can make a great long term hold for any DGI portfolio. As long as these companies look attractive, and give me a chance to average down my cost I’ll take it. Thank you for commenting.

    • Hi DD,

      I never let market/world conditions affect my monthly buying. Sometimes I make my buys at higher prices and sometimes lower but over time it all averages out and my passive income stream continues to grow which is my main focus. Both JCI and HRL continue to look attractive and I was afforded the opportunity to average down my cost basis as well. As always, I appreciate your comment.

    • Hi DD,

      You said it. I always believed that consistency is one of the most important elements for being a long term dividend growth investor. No matter how good or bad times may be, there will always be a reason to not invest. I just ignore those reasons and stay on my merry path. Thank you for stopping by and commenting.

  2. Good buy and great relativation in your investment strategy. It’s good to reminded to just stay the course and focus on making quality buys that will (hopefully and probably) weather the coming storm(s)…

    • Hi MR,

      Staying the course is something that most individuals cannot do. It’s human nature to be impatient and want results immediately rather than years or decades down the road. Being a dividend growth investor for about ten years I know that I can continue on my path no matter how high or low markets go. As you stated, it’s really about focusing on the quality buys for the long haul that should be able to weather any economic storms. Thank you for sharing your thoughts.

  3. I like the buys Keith. Hormel is on my shortlist as is General Mills. I feel like Hormel is a good buy now, but General Mills might be a wait an see stock. I think it’s going to trend lower over the next few months. By the way, I like the new site layout.

    • Hi IH,

      HRL, GIS, SJM and many other food staples have been hurting as of late. Personally, it looks like better buying opportunities for those that are willing to hold for a while. As long as those dividends remain safe, even with lower annual dividend growth rates, I’ll be happy to buy at current levels and wait. Glad you like the new site layout. Simple as the old but updated theme. Thank you for commenting.

    • Hi CD,

      Seems as if many are liking the HRL buy. I like it yielding 2% and more. That’s a historically high yield for that stock and the dividend continues to look very safe with room for future growth. Looks like you have your eye on some other high quality payers as well. CAH is still in the back of my head going forward. Thank you for sharing your thoughts.

    • Hi MDD,

      I always believed in staying invested as well as being consistent with my buys once I went the DGI route. I won’t change my attitude should a bear market come. I’ll simply keep doing more of the same and know that having a long term mindset is key to achieving clarity during the ‘short term panics’ that inevitably occur. Thank you for stopping by and commenting.

  4. HRL and JCI are both solid picks. Your consistency in purchases month after month is truly remarkable and shows that you’re really focused on the long term. Personally I’m looking forward to the correction/crash whenever it does come because I want to see just how I handle seeing my portfolio decline. So far I’ve handled every blip/temporary set back on this bull run just fine but as the portfolio grows larger those 10-20% pullbacks look a lot bigger. Being able to hold through thick and thin is all about psychology and of course investing in the right kinds of companies that you are confident will still be there.

    • Hi JC,

      Well said. Psychology is a huge factor in determining how you will react to a severe decline. As you stated, investing in solid high quality companies that you feel will still be around can soothe even the most frazzled nerves during those difficult times. HRL seems to be high on many buy lists these days. Seeing that stock yield over 2% definitely makes it interesting. I still wonder why JCI is not seen in more DGI portfolios. Happy to see you are back! As always, I appreciate your comment.

    • Hi Jay,

      Go back in time and read all the headlines of the last year, two years, five years, ten years, etc. and you will always find doom and gloom sensationalism hitting you in the face. We can have 10% GDP growth, higher wages, low unemployment a strong dollar and doom and gloom will persist. Personally, I have learned to walk with blinders on and just keep buying steadily. The way I see it, if my portfolio goes to zero, I don’t have a problem, Earth does. Thank you for sharing your thoughts.

    • Hi ED,

      Glad to be a fellow shareholder with you. Seems like quite a few of us are buying HRL with it’s “high” yield of 2%+. Thank you for your kind words about my investing diligence. I find that making contributions at least once a month takes some of the anxiety out of investing as I am not constantly waiting for the “best” time to put my money to work. I just invest knowing that I have an investing window measured in decades and not in days or weeks. Thank you for commenting.

  5. Slow and steady wins the race Div Hut. Consistency and persistence are the key. I think you’re right about being able to tune out the noise and stay focused on the goal. It’s easy to get distracted with all the negativity out there. That doesn’t mean one shouldn’t pay attention. But, it does mean not necessarily reacting to every little bit of bad news. Anyway, I’m a fan of the investment in HRL, as I too own that stock! But, I’m a bigger fan of your monthly contributions that you make in your portfolio. I do the same thing.
    Dividend Portfolio recently posted…Digital Currencies – Bitcoin, Ethereum, LitecoinMy Profile

    • Hi DP,

      When you invest for decades it’s very important to tune out the near term noise. I find that investing with blinders on suits me quite well. While I do read what’s going on in the (financial) world it’s more for entertainment than for helping me decide where or how to invest. I’m not a trader by any means. I’m an investor. Glad to see we both hold a quality company like HRL in our portfolios. As long as that yield remains above 2% it will be a consideration of mine. Thank you for stopping by and commenting.

    • Hi DD,

      That investing itch is hard to scratch. It’s very persistent. I’m glad my consistent buying is motivating you on your own journey. No market timing for me, but you already know that by now. At minimum, I’ll be making at least one buy every single month and slowly build up my passive income stream. As always, I appreciate your comment.

    • Hi Passivecanadianincome,

      HRL seems to be a very popular choice these days. You don’t read too much about JCI though. Like you, I also like CAH but would wait to see slightly better pricing before nibbling on that stock. It’s sitting right around my current cost basis these days. In the meantime, staying the course 🙂 Thank you for commenting.

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