Recent Buy - Kinder Morgan Inc. (KMI)

It was a nice surprise when my boss gave us our bonus checks for the end of the year. I thought I'd put this money to work for me. So today I added to my position in Kinder Morgan Inc. (KMI). I purchased 31 shares at a price of $35.37 which gives me 62 shares total. I only wished I got this money a week ago when the stock was trading around $33.00 but my entry today was about the same as my first purchase price.

Kinder Morgan, Inc. owns and operates energy transportation and storage assets in the United States and Canada. The company owns an interest in or operates approximately 75,000 miles of pipelines and 180 terminals. Its pipelines transport natural gas, gasoline, crude oil, CO2 and other products, and its terminals store petroleum products and chemicals and handle such products as ethanol, coal, petroleum coke and steel. The company also owns the general partner and approximately 11% of the limited partner interests of Kinder Morgan Energy Partners, L.P., referred to as ‘KMP.

KMI Stock Chart

KMI Basic Statistics

• Ticker Symbol: KMI
• PE Ratio: 34.5
• Yield: 4.6%
• Dividend Growth 5yr:  10%
• Payout Ratio: 89%
• Market cap: $37.51 B
• Website: http://www.kindermorgan.com

KMI Dividend Growth

KMI expects to declare dividends of $1.72 per share for 2014. This represents an approximate 10% increase over KMIs 2013 budget target of $1.57 per share and an approximate 8% increase over the $1.60 per share of dividends it expects to declare for 2013.

Recent Buy - Kraft (KRFT)

Today I added to my position in the food giant Kraft (KRFT). This is my second purchase in a row where I purchased Kraft. I had saved enough capital to make another purchase before the ex-div date. The stock has come down from the mid $54 range recently and is looking attractive, it was time to grab up some more. Today's purchase was 22 shares at a price of $52.65, so in addition to my last purchase of KRFT I now have a total of 43 shares. I'm looking forward to my next purchase now which will likely be KMI but we'll see how things go.

 Kraft Foods Group, Inc. (Kraft Foods Group) operates food and beverage businesses in North America. The Company manufactures and markets food and beverage products, including convenient meals, refreshment beverages and coffee, cheese and other grocery products, in the United States and Canada, under a stable of iconic brands. Its product categories span breakfast, lunch and dinner meal occasions, both at home and in foodservice locations. The Company sells its products to supermarket chains, wholesalers, supercenters, club stores, mass merchandisers, distributors, convenience stores, drug stores, gasoline stations, value stores and other retail food outlets in the United States and Canada.

KRFT Basic Statistics

• Ticker Symbol: KRFT
• PE Ratio: 17.02
• Yield: 4%
• Dividend Growth 10yr: 6.4%
• Payout Ratio: 48%
• Market cap: $31 B
• Website: http://www.kraftfoodsgroup.com

Dividend Growth Rate

November Dividend Update

My total dividend income for November totaled  $193.80. This was a nice improvement over last quarter where I made $170.13 in August. This month I made two purchases which are listed below. There were no dividend increases for me this month which is a bit rare. KMI did raise it's dividend this quarter but since I just purchased KMI before the dividend I'm not counting that one. You can see all of my dividend income here.

October Purchases

Kraft (KRFT) - 21 @ $52.74
McDonalds (MCD) - 12 @ $97.00

COMPANY	DESCRIPTION	SYMBOL	AMOUNT
Clorox	QUALIFIED DIVIDEND	CLX	13.49
People's United Financial	QUALIFIED DIVIDEND	PBCT	36.24
Realty Income	ORDINARY DIVIDEND	O	18.19
Proctor & Gamble	QUALIFIED DIVIDEND	PG	20.45
Kinder Morgan Inc	QUALIFIED DIVIDEND	KMI	12.71
AT&T	QUALIFIED DIVIDEND	T	40.10
WGL Holdings	QUALIFIED DIVIDEND	WGL	27.72
General Mills	QUALIFIED DIVIDEND	GIS	20.90

Recent Dividend Increases

Dividend investors would be wise to focus not just on a stock's current yield, but also on the long-term growth potential of its dividends. That's because strong businesses that consistently raise their dividend payouts reward shareholders with a steadily rising income stream that essentially equates to a raise every year. Below are some stocks which have increased their dividends recently.

Aflac (AFL) - The board of directors increased the quarterly cash dividend by 5.7%, effective with the fourth quarter. The fourth quarter dividend of $.37 per share is payable on December 2, 2013, to shareholders of record at the close of business on November 20, 2013. This marks the 31^st consecutive year in which the dividend has been increased.

Automatic Data Processing (ADP) - The board of directors of Automatic Data Processing, Inc.  approved a 10% increase in the cash dividend to an annual rate of $1.92 per share, Carlos A. Rodriguez, chief executive officer, announced recently. The new quarterly dividend of 48 cents per share compares with the previous quarterly dividend rate of 43.5 cents per share. This increased quarterly dividend will be distributed on January 1, 2014 to shareholders of record at December 13, 2013. The increased cash dividend marks the 39^th consecutive year in which the company has raised its dividend.

Realty Income (O) - Recently announced its board of directors has declared an increase in the company's common stock monthly cash dividend to $0.1818542 per share from $0.1815417 per share. The dividend is payable on October 15, 2013 to shareholders of record as of October 1, 2013. This is the 73^rd dividend increase since Realty Income went public in 1994. The new monthly dividend amount represents an annualized dividend amount of approximately $2.182 per share as compared to the previous annualized dividend amount of approximately $2.179 per share.

Nike (NKE) - Nike said it's increasing its quarterly dividend by 14% to 24 cents a share, up from 21 cents a share. The dividend is payable on January 6, 2014, to shareholders of record at the close of business on December 16, 2013. This is the twelfth year in a row the component of the Dow Jones Industrial Average increased its annual dividend.

United Bankshares, Inc. (UBSI)  - United Bankshares provides commercial and retail banking services and products in the United States. November 8th the company increased its quarterly dividend 3.2% to $0.32 per share. The dividend is payable January 2, 2014 to shareholders of record as of December 13, 2013. The yield based on the new payout is 4.2%.

Emerson (EMR) - The board of directors of Emerson voted recently to increase the quarterly cash dividend from forty-one cents ($0.41) to forty-three cents ($0.43) per share of common stock payable December 10, 2013 to stockholders of record November 15, 2013.

Parkway Properties, Inc. (PKY) - A real estate investment trust (REIT), engages in the operation, acquisition, ownership, management, and leasing of office properties. November 12th the company increased its quarterly dividend 25% to $0.1875 per share. The dividend is payable December 26, 2013 to shareholders of record for Common Stock on December 12, 2013. The yield based on the new payout is 4.4%.

Full Disclosure: I have a position in Realty Income (O) at the time of this writing. You can see a list of all my dividend growth positions here.

Recent Buy - Kraft (KRFT)

Today I decided to open a position in the food giant Kraft. I purchased 21 shares @ $52.74. I've had Kraft on a short list of potential buys and selected it for one of my monthly purchases. Typically I try to invest in stocks with a history of dividend growth over many years but I think Kraft has the makings of a future dividend champion. This purchase has pushed me past the $50,000 portfolio mark for the first time as well.

Kraft Foods Group, Inc. (Kraft Foods Group) operates food and beverage businesses in North America. The Company manufactures and markets food and beverage products, including convenient meals, refreshment beverages and coffee, cheese and other grocery products, in the United States and Canada, under a stable of iconic brands. Its product categories span breakfast, lunch and dinner meal occasions, both at home and in foodservice locations. The Company sells its products to supermarket chains, wholesalers, supercenters, club stores, mass merchandisers, distributors, convenience stores, drug stores, gasoline stations, value stores and other retail food outlets in the United States and Canada.

KRFT Basic Statistics

• Ticker Symbol: KRFT
• PE Ratio: 17.02
• Yield: 4%
• Dividend Growth 10yr: 6.4%
• Payout Ratio: 48%
• Market cap: $31 B
• Website: http://www.kraftfoodsgroup.com

Dividend Growth Rate

Recent Buy - McDonalds (MCD)

Today I added to my position in McDonalds (MCD). I purchased 12 shares at $97. This is a bit cheaper than my first purchase at $98 I made back in July. MCD has increased its dividend for 36 consecutive years, making it a dividend champion, i.e. more than 24 years of consecutive increases. I believe McDonalds is a great long term dividend growth stock and I will continue to add to my position in it.

McDonald’s Corporation franchises and operates McDonald's restaurants in the United States, Europe, the Asia/Pacific, the Middle East, Africa, Canada, and Latin America. Its restaurants offer various food items, soft drinks, coffee, and other beverages, as well as breakfast menus. As of December 31, 2012, the company operated 34,480 restaurants in 119 countries worldwide and serve 69 million customers each day.

MCD Basic Statistics

• Ticker Symbol: MCD
• PE Ratio: 17.63
• Yield: 3.3%
• Dividend Growth 10yr: 9.2%
• Payout Ratio: 56%
• Market cap: $97 B
• Website: http://www.mcdonalds.com 

October Dividend Income

My total dividend income for October totaled  $146.32. This was a small improvement over last quarter where I made $135.27 in July. This month I made one purchase and had two dividend increases which are listed below. You can see all of my dividend income here. This was a pretty light month for me but next month is shaping up to be my highest monthly dividend total yet.

October Purchases

Kinder Morgan Inc. (KMI) - 31 @ $35.40

Dividend Raises

GlaxoSmithKline (GSK) - From .55 to .553 per quarter
Altria (MO) - From .44 to .48 per quarter

COMPANY	DESCRIPTION	SYMBOL	AMOUNT
Sysco	QUALIFIED DIVIDEND (SYY)	SYY	18.48
Hatteras Financial Corp	ORDINARY DIVIDEND (HTS)	HTS	30.25
Realty Income	ORDINARY DIVIDEND (O)	O	18.19
Piedmont Natural Gas	QUALIFIED DIVIDEND (PNY)	PNY	21.08
Altria	QUALIFIED DIVIDEND (MO)	MO	45.6
GlaxoSmithKline	QUALIFIED DIVIDEND (GSK)	GSK	12.72

Recent Dividend Increases

Dividend investors would be wise to focus not just on a stock's current yield, but also on the long-term growth potential of its dividends. That's because strong businesses that consistently raise their dividend payouts reward shareholders with a steadily rising income stream that essentially equates to a raise every year. Below are some stocks which have increased their dividends recently.

Phillips 66 - (PSX) - On October 2, Phillips 66 surprised many by announcing a 25% increase to its quarterly dividend to $0.39 per share. This would mark Phillips 66's third dividend increase in only six quarters. At current prices, Phillips 66 now yields about 2.60%.

Lockheed Martin (LMT) - Declared a quarterly dividend of $1.33 per share, or $5.32 annualized. This is a 15.7% increase from the prior dividend of $1.15. The dividend will be payable on December 27, 2013, to stockholders of record on December 2, 2013, with an ex-dividend date of November 27, 2013. The annual yield on the dividend is 4.1 percent.

McDonalds (MCD) - Raised its dividend 5.20% to $0.81 per share. Shares yield an appetizing 3.43%. The fast-food giant’s five-year dividend growth rate is 13.90% per year. This dividend champion has raised distributions for 37 years in a row.

Microsoft (MSFT) - Increased its dividend 21.7% to $0.28 per share. The tech giant has raised its dividend for 11 consecutive years. The five-year dividend growth rate is 15.10%.

Northwest Natural Gas Co (NWN) - Raised its third-quarter dividend of $0.46 per share, a 1% increase in the payout made to investors last quarter of $0.455 per share.  The quarterly dividend is payable on Nov. 15 to the holders of record at the close of business on Oct. 31. The regular dividend payment equates to a $1.84-per-share annual dividend, yielding 4.4%. NWN is a dividend champion which has increased its dividend for 58 consecutive years.

Omega Healthcare Investors (OHI) - Declared a quarterly dividend of $0.48 per share, or $1.92 annualized. This is a 2.1% increase from the prior dividend of $0.47. The dividend will be payable on November 15, 2013, to stockholders of record on October 31, 2013, with an ex-dividend date of October 29, 2013. The annual yield on the dividend is 6.1 percent.

Full Disclosure: I have a position in McDonalds (MCD) at the time of this writing. You can see a list of all my dividend growth positions here.

Recent Buy - Kinder Morgan Inc. (KMI)

Recently I initiated a new position in Kinder Morgan Inc. (KMI). I purchased 31 shares at a price of $35.40 which was $1097.40 total. There's been some weakness in the stock since July and it looked to be a good time to jump in at this point so I pulled the trigger.

Kinder Morgan, Inc. owns and operates energy transportation and storage assets in the United States and Canada. The company owns an interest in or operates approximately 75,000 miles of pipelines and 180 terminals. Its pipelines transport natural gas, gasoline, crude oil, CO2 and other products, and its terminals store petroleum products and chemicals and handle such products as ethanol, coal, petroleum coke and steel. The company also owns the general partner and approximately 11% of the limited partner interests of Kinder Morgan Energy Partners, L.P., referred to as ‘KMP.

This brings the energy portion of my portfolio up to nearly 20% total which is too much if I was not still accumulating stocks. However I thought that KMI was a good price at these levels so I made the purchase and I will worry about balancing my portfolio in future buys. 

KMI Stock Chart

KMI Basic Statistics

• Ticker Symbol: KMI
• PE Ratio: 34.26
• Yield: 4.7%
• Dividend Growth 5yr:  10%
• Payout Ratio: 124%
• Market cap: $36.76 B
• Website: http://www.kindermorgan.com

KMI Dividend Growth

September Dividend Income

My dividend income for My total dividend income for September totaled  $167.99. This was a big improvement over last quarter where I made $149.49 in June and more than double last years September total of $81.89 so I'm pretty happy with that. This month I made 2 purchases. There were no dividend increases this month for me. You can see all of my dividend income here.

September Purchases

WGL Holdings (WGL) - 26 @ $42.50
Altria (MO) - 35 @ $34.08

Company	Description	Symbol	Amount
Universal Health Trust	ORDINARY DIVIDEND	UHT	31.25
McDonalds	QUALIFIED DIVIDEND	MCD	8.47
Realty Income	ORDINARY DIVIDEND	O	18.15
Avista	QUALIFIED DIVIDEND	AVA	17.69
Lorillard	QUALIFIED DIVIDEND	LO	15.4
Johnson & Johnson	QUALIFIED DIVIDEND	JNJ	11.22
Chevron	QUALIFIED DIVIDEND	CVX	10
Walmart	QUALIFIED DIVIDEND	WMT	15.98
Intel	QUALIFIED DIVIDEND	INTC	39.83

Recent Buy - WGL Holdings (WGL)

Today I added to my position in WGL Holdings (WGL). I purchased 26 shares at $42.50 which brings my total position to 66 shares. WGL has a dividend yield of 3.90% and has raised it's dividend for 37 years straight making WGL a dividend champion.

WGL Holdings, Inc., through its subsidiaries, sells and delivers natural gas, and provides energy-related products and services. The company operates in four segments: Regulated Utility, Retail Energy-Marketing, Commercial Energy Systems, and Wholesale Energy Solutions.

Going in to this purchase I was specifically looking for a stock that has a dividend payout in the month of  November (Feb,May,Aug,Nov). Which narrowed down my screening results considerably. On top of that some of the large cap stocks for that month like PG and CLX just look expensive in comparison. I like the fact that the dividend growth has been growing faster lately than it has historically. The last dividend increase was a 5% hike which isn't super but it's a good sign of things to come. With a 3.9% yield and 5% dividend growth WGL is under the chowder rule, however the chowder rule is only one of the criteria I consider when screening stocks. Honestly these days as the markets continue to rise it's very difficult to find any stocks that meet all of my screening criteria. WGL was close so it was my pick for this weeks purchase.

WGL Stock Chart

WGL Holdings Basic Statistics

• Ticker Symbol: WGL
• PE Ratio: 15.80
• Yield: 3.9%
• Dividend Growth 10yr:  2.3%
• Payout Ratio: 60%
• Market cap: $2.21 B
• Website: http://www.wglholdings.com

WGL Holdings Dividend History

Recent Dividend Increases

Dividend investors would be wise to focus not just on a stock's current yield, but also on the long-term growth potential of its dividends. That's because strong businesses that consistently raise their dividend payouts reward shareholders with a steadily rising income stream that essentially equates to a raise every year. Below are some stocks which have increased their dividends recently.

Philip Morris (PM) -  Philip Morris recently raised its regular quarterly dividend by 10.6% further boosting shareholder value. The company raised it's dividend from 85 to 94 cents per share every quarter, amounting to an annualized rate of $3.76 per share. The new dividend yield was 4.34% on an annual basis as of the current price of $86.56 on Sep 11, 2013. The first increased quarterly dividend is payable on Oct 11, 2013, to stockholders of record as of Sep 26, 2013.

Rait Financial Trust (RAS) - Rait announced that on September 10, 2013, RAIT’s Board of Trustees declared a third quarter 2013 cash dividend on Rait’s common shares of $0.15 per common share, representing a 15% increase from the prior quarter's dividend of $0.13 per common share and a 67% increase from the third quarter 2012 dividend of $0.09 per common share. The dividend will be paid on October 31, 2013 to holders of record on October 3, 2013. The ex-dividend date is October 1, 2013.

Realty Income Corporation (O) - Recently announced its board of directors had declared an increase in the company's common stock monthly cash dividend to $0.1818542 per share from $0.1815417 per share. The dividend is payable on October 15, 2013 to shareholders of record as of October 1, 2013. This is the 73^rd dividend increase since Realty Income went public in 1994. The new monthly dividend amount represents an annualized dividend amount of approximately $2.182 per share as compared to the previous annualized dividend amount of approximately $2.179 per share. The company continues its long-term policy of declaring and paying dividends on a monthly, rather than on a quarterly, basis.

International Paper (IP) - Leading packaging and paper manufacturer International Paper Company (IP) increased its quarterly dividend by 17% year over year to 35 cents per share. The fourth quarter 2013 dividend is payable in cash on Dec 16 to shareholders of record at the close of business on Nov 15. Based on the closing price of $38.56 on Sep 6, 2013, the proposed dividend offers a yield of 2.84.

Avago Technologies Limited (AVGO) - A leading semiconductor manufacturer, recently announced a 9.5% year-over-year hike in its dividend payout to a quarterly payment of 23 cents per share or 92 cents on an annualized basis. The third quarter fiscal 2013 dividend is payable in cash on Sep 30 to shareholders of record as of Sep 19. Based on the closing price of $38.56 on Sep 6, 2013, the proposed dividend offers a yield of 2.38%. 

Full Disclosure: I have a position in Realty Income Corp. (O). You can see a list of all my dividend growth positions here.

Captain's Picks

Captain's Picks is a collection of various articles that have caught my eye recently. I think you may find them interesting. Here's this weeks crop .... 


Intel - Why It's Poised For Rebound, And Why You Should Be There When It Does - Alex Jordan weighs in on Intel and weather or not you should hold on or not. - Seeking Alpha

AT&T (T) Dividend Stock Analysis - How does this telecom titan's dividend hold up under close scrutiny? - My Financial Independence Journey

Five Stocks With Big Dividends You Should Buy Today - Michael Fowlkes had some high yield dividend stock picks for us. - Market Intelligence Center

Pepsi (PEP) Stock Analysis - Dan Mac brings us another fine dividend stock analysis, this time were taking a close look at Pepsi. - Dividend Growth Stock Investing

11 Great Dividend Growth Stocks With Low Debt

11 Great Dividend Growth Stocks With Low Debt

11 Great Dividend Growth Stocks With Low Debt - 'Dividend Yield' shares some great dividend stocks with low debt ratios. - Long Term Investments

Considering High-DGR Dividend Growth Stocks - David van Knapp explains why you should be looking at stocks with a high DGR vs other stocks with higher yields. - Seeking Alpha

My Dividend Zone - Integrator explains his 'sweet spot' for dividend investing. - Financially Integrated


August Dividend Income Updates From Fellow Bloggers

• Spice Mind
• Compounding Income
• Exponential Dividends
• Passive Income Pursuit
• All About Interest
• DivGro
• Dividend Tactics
• Dividend Growth Machine
• Dividend Mantra
• Hellosuckers

Recent Buy - Altria (MO)

Earlier this week I added to my position in the tobacco giant Altria (MO).  I purchased 35 shares at $34.08 which brings my total position to 95 shares. Last year Altria had raised its dividend by 7.3% so I was pretty happy with the 9.1% dividend raise that was announced by Altria recently so I decided to make a purchase before the ex-div date next week. Altria was founded in 1919 and has increased it's dividend for 45 years straight making it a dividend champion. Altria also announced that it will expand its share buyback plan by $700 million to $1 billion in a year from the current annual buyback plan of $300 million.

Altria Group, Inc., through its subsidiaries, engages in the manufacture and sale of cigarettes, smokeless products, and wine in the United States and internationally. It offers cigarettes primarily under the Marlboro brand; smokeless tobacco products under the Copenhagen, Skoal, Red Seal, Husky, and Marlboro Snus brand names; cigars principally under the Black & Mild brand; and pipe tobacco.

Altria Stock Chart

Altria Basic Statistics

• Ticker Symbol: MO
• PE Ratio: 15.65
• Yield: 5.7%
• Dividend Growth 10yr:  11.4%
• Payout Ratio: 80%
• Market cap: $68 B
• Website: http://www.altria.com

Normally an 80% payout ratio is a bit above my screening criteria however during a recent conference call, the company stated that one of their goals is to payout about 80% of its adjusted EPS via dividends.

Altria Dividend History

August Dividend Income

My dividend income for August comes to $170.13 which is almost as much as the $171.61 that I made in April which was my largest dividend total ever. This was quite an improvement over last quarter where I earned $142.53 and more than double what I made last August. I made one purchase this month and also enjoyed two dividend increases.

Dividend Increases

Clorox (CLX) - From .64 to .71 per share quarterly
General Mills (GIS) - From .33 to .38 per share quarterly

August Purchases

Chevron (CVX) - 10 shares @ $121.47

Some of my most recent stock purchases have been stocks that pay dividends in the month of September so it will be interesting to see how things go next month.

COMPANY	DESCRIPTION	SYMBOL	AMOUNT
REALITY INCOME	ORDINARY DIVIDEND (O)	O	18.15
PROCTOR & GAMBLE	QUALIFIED DIVIDEND (PG)	PG	20.45
PEOPLES UNITED FINANCIAL	QUALIFIED DIVIDEND (PBCT)	PBCT	36.24
CLOROX	QUALIFIED DIVIDEND (CLX)	CLX	13.49
WGL HOLDINGS	QUALIFIED DIVIDEND (WGL)	WGL	16.8
GENERAL MILLS	QUALIFIED DIVIDEND (GIS)	GIS	20.9
AT&T	QUALIFIED DIVIDEND (T)	T	44.1

August Dividend Total - $170.13

Recent Dividend Increases

Dividend investors would be wise to focus not just on a stock's current yield, but also on the long-term growth potential of its dividends. That's because strong businesses that consistently raise their dividend payouts reward shareholders with a steadily rising income stream that essentially equates to a raise every year. Below are some stocks which have increased their dividends recently.


American Financial Group, Inc. (AFG) - Announced that its Board of Directors has approved an increase in the Company's annual dividend from $0.78 to $0.88 per share of common stock. The increased dividend, when declared, will be paid on a quarterly basis of $0.22 per share of common stock beginning in October 2013. The new dividend rate represents a 12.8% increase over the annual rate paid thus far in 2013. The Company has increased its dividend in each of the last eight years.

Gap Inc. (GPS) - Announced that its Board of Directors intends to increase the company’s annual dividend per share from $0.60 to $0.80 beginning in the third quarter of 2013. This represents a 60 percent increase over the fiscal 2012 dividend per share of $0.50. The announcement underscores the company’s commitment to distributing excess cash to shareholders.

Altria Group, Inc. - (MO) - Announced that its Board of Directors voted to increase Altria's regular quarterly dividend by 9.1% to $0.48 per common share versus the previous rate of $0.44 per common share. The quarterly dividend is payable on October 10, 2013 to shareholders of record as of September 16, 2013. The ex-dividend date is September 12, 2013.

Main Street Capital Corp - (MAIN) - Private equity firm Main Street Capital announced today its fourth-quarter monthly dividend schedule of $0.16 per share, a 3% increase in the monthly payout to investors from the $0.155 per share paid last quarter. Main Street Capital Corporation is a business development company specializing in equity, equity related, and debt investments in small and lower middle market companies.

Medtronic - (MDT) - The board of directors of Medtronic, Inc. approved a cash dividend of $0.28 per share of the company`s common stock. The quarterly dividend represents a 7.7 percent increase over the prior year. The dividend is payable on October 25, 2013, to shareholders of record at the close of business on October 4, 2013.



Full Disclosure: I have a position in Altria Group Inc (MO). You can see a list of all my dividend growth positions here.

Recent Buy - Chevron (CVX)

Today I opened a position in Chevron. I purchased 10 shares at $121.47 giving my portfolio it's 20th position. Chevron has been under some selling pressure as it approached their 2nd quarter earnings and continued to drop after a disappointing 2nd quarter due mostly from lower realized international liquids pricing. Since then the stock has dropped about $5 which doesn't exactly make it undervalued but I think it's fairly valued at this point and in this market that's not bad. Chevron has increased its dividend for 26 consecutive years, making it a dividend champion, i.e. more than 24 years of consecutive increases. It's strong companies that have a serious commitment to their dividend that I strive to hold in my portfolio and I think Chevron exemplifies that.

Chevron is involved in virtually every facet of the energy industry. From exploration to production and transportation of crude oil and natural gas as well as refining , marketing and distribution of transportation fuels and lubricants. Chevron generates power, produces geothermal energy, provides renewable energy, manufactures and sells petrochemical products and energy efficiency solutions.

CVX Basic Statistics

• Ticker Symbol: CVX
• PE Ratio: 9.93
• Yield: 3.3%
• Dividend Growth 10yr:  9.6%
• Payout Ratio: 30%
• Market cap: $237 B
• Website: http://www.chevron.com

Captain's Picks

Captain's Picks is a collection of various articles that have caught my eye recently. I think you may find them interesting. Here's this weeks crop .... 

Achieving a 10% yield on cost -  How to determine what the YOC of your investment will be after 10 years. - My Financial Independence Journey

Where is the economy going? - Marc Lichtenfeld and Oxford Club Chief Investment Strategist Alexander Green discuss the latest economic data, his Gone Fishin’ Portfolio and specific sectors in the market that he likes right now. - Get Rich With Dividends

Four reasons to stay away from a dividend stock - Dividend investing is not without it's risks, here's four tell tale signs to avoid a dividend stock. - Julian Close

ADP Dividend Fact Sheet -  This week we have a nice dividend breakdown of the dividend champion Automatic Data Processing (ADP) complete with the usual assortment of informative charts and stats. - Dividend Engineering

Retire at 30? Can this be done ? - Is it possible that one can retire at such an early age ? Here's some tips and examples that shows it can be possible in some cases. - Get Financially Integrated

10 Cheap High Yield Dividend Aristocrats - 10 of the cheapest high yielding stocks from the S&P High Yield Dividend Aristocrats Index are revealed after some screening criteria.- GuruFocus


July Dividend Income Updates

• Spice Mind
• Compounding Income
• Exponential Dividends
• Passive Income Pursuit
• All About Interest
• Dividend Growth Machine
• DivGro
• Dividend Growth Investing And Retiremen
• Dividend Tactics
• Dividend Mantra

July Dividend Update

My dividend income for July comes to $135.27 which is considerably less than the $171.61 that I made last quarter in April. This was simply due to some of my dividends paying off a day or two earlier in June (WMT and UHT) rather than July. Some times this happens when the pay dates are so close to the beginning of the month. Regardless, this is a huge improvement over last years total of $68.93 for the month of July.

Dividend Increases

Reality Income (O) - From 0.181 to 0.182 per month

July Purchases

General Mills (GIS) - 22 Shares @ $49.12
McDonalds (MCD) - 11 Shares @ $98.00

I'm looking forward to August which could be my best month ever, we'll have to wait and see though. My purchases in August may be put on hold though as I go through some medical issues and need the capital to pay some hospital bills. Wow that stuff is expensive.

COMPANY	DESCRIPTION	SYMBOL	AMOUNT
SYSCO	QUALIFIED DIVIDEND	SYY	18.48
HATTERAS FINANCIAL CORP	ORDINARY DIVIDEND	HTS	38.5
REALITY INCOME	ORDINARY DIVIDEND	O	18.15
PIEDMONT NATURAL GAS	QUALIFIED DIVIDEND	PNY	21.08
GLAXOSMITHKLINE	QUALIFIED DIVIDEND	GSK	12.66
ALTRIA	QUALIFIED DIVIDEND	MO	26.4

Recent Buy - McDonalds (MCD)

Today I opened a new position in McDonalds (MCD). I purchased 11 shares at $98. McDonalds was under some selling pressure after last weeks earnings miss so I was lucky enough to get in under $100. MCD has increased its dividend for 36 consecutive years, making it a dividend champion, i.e. more than 24 years of consecutive increases. It's because of this stellar record that McDonald's stock is held by so many dividend growth investors, and that's why I am adding it to my portfolio.

McDonald’s Corporation franchises and operates McDonald's restaurants in the United States, Europe, the Asia/Pacific, the Middle East, Africa, Canada, and Latin America. Its restaurants offer various food items, soft drinks, coffee, and other beverages, as well as breakfast menus. As of December 31, 2012, the company operated 34,480 restaurants in 119 countries worldwide and serve 69 million customers each day.

MCD Basic Statistics

• Ticker Symbol: MCD
• PE Ratio: 18.18
• Yield: 3.1%
• Dividend Growth 10yr:  9.2%
• Payout Ratio: 55%
• Market cap: $98 B
• Website: http://www.mcdonalds.com 

Captains Picks

Captain's Picks is a collection of various articles that have caught my eye recently. I think you may find them interesting. Here's this weeks crop .... 

Colgate Palmolive Stock: An Essential Core Holding In Your Portfolio - Tim wrote a nice article about the strength of this blue chip dividend stock and why it belongs in your portfolio.

Philip Morris Dividend Stock Analysis - Dan Mac does another great dividend stock analysis, this time he sets his eyes on the tobacco giant PM. 

Microsoft Dividend Fact Sheet - 'Dividend Engineering' breaks down the facts of Microsoft as a dividend stock and if it makes sense to buy at current levels.

Highest Yielding Stocks With Dividend Growth - 'Dividend Ladder' reveals the top dividend stocks based on his screening criteria. There's some very strong names on this list.

How To Accumulate Your Nest Egg - There are a few basic ways to grow your nest egg, 'Dividend Growth Investor' covers them in this piece.

A 25 Year Investment Case Study Of Chevron - Joshua Kennon illustrates the power of dividend investing with a 25 year case study of what a $100,000 investment in Chevron would have
returned.

June Dividend Income Updates

My Financial Journey

Spice Mind

Compounding Income

Dividend Mantra

Exponential Dividends

Passive Income Pursuit

All About Interest

Dividend Growth Machine

Accumulating Assets

Recent Buy - General Mills (GIS)

Today I added to my position in General Mills (GIS). I purchased another 22 shares at $49.12 raising my total shares to 55. General Mills, Inc. manufactures and markets branded consumer foods worldwide. The company also supplies branded and unbranded food products to the foodservice and commercial baking industries.  This dividend achiever has paid dividends since 1898, and has increased them for ten years in a row.

It was a difficult task trying to find an undervalued stock for the month of August. I had some other stocks on my watch list I thought about buying but those seemed a bit overpriced (CLX for example). I don't believe GIS is undervalued at this price by any means but I don't think I will look back and regret this trade in 20 years. I have given up on trying to time the market.

GIS Basic Statistics

• Ticker Symbol: GIS
• PE Ratio: 17.54
• Yield: 3.1%
• Dividend Growth 10yr:  8.7%
• Payout Ratio: 47%
• Market cap: $31.46 B
• Website: www.generalmills.com

GIS VS S&P 500

The annual dividend payment has increased by 8.70% per year over the past decade, which is slightly higher than the growth in EPS. A 9% growth in distributions translates into the dividend payment doubling almost every eight years on average. If we look at historical data, going as far back as 1986, one would notice that the company has managed to double distributions every eight and a half years on average. GIS recently approved a 15% increase in the dividend rate effective with the August 1, 2013 payment. The increase will bring the payments up from $.33 to $.38 per share.

June Dividend Update

My dividend total for June comes to $149.49 which is a big improvement over the $98.26 that I made last quarter in March and nearly double what I made last June where I earned $78.60. This is partially due to two of my stocks moving payments to this month.

Dividend Increases

Johnson & Johnson (JNJ) - From 0.61 to 0.66 per quarter
Universal Health Realty Income Trust (UHT) - From 0.62 to 0.625 per quarter

June Purchases

AT&T (T) - 62 Shares @ $34.69
Piedmont Natural Gas (PNY) - 32 Shares @ $34.31

I predict that July's totals will be less than last quarter due to the sale of MMT, and the fact that WMT and UHT paid in June rather than July. My recent purchase of more PNY shares will help lessen the reduction in dividend income. It looks like I've now safely passed the $100 mark for every month now. Baby steps ....

DESCRIPTION	SYMBOL	AMOUNT
ORDINARY DIVIDEND (UHT)	UHT	31.25
ORDINARY DIVIDEND (O)	O	18.12
QUALIFIED DIVIDEND (AVA)	AVA	17.69
QUALIFIED DIVIDEND (JNJ)	JNJ	11.22
QUALIFIED DIVIDEND (LO)	LO	15.4
QUALIFIED DIVIDEND (WMT)	WMT	15.98
QUALIFIED DIVIDEND (INTC)	INTC	39.83

June Dividend Total - $149.49

Captain's Picks

Captain's Picks is a collection of various articles that have caught my eye recently. I think you may find them interesting. Here's this weeks crop ....

Your Retirement Income Is On Sale - Dividend Growth Investor
Three High Quality Dividend Growth Stocks On My Radar - Dividend Mantra
McDonald's Appealing Below $100 - Dividend Monk
Top Dow Dividend Growers - Dividend Ladder
Dividend Opportunities From Rising Interest Rates - Financially Integrated
General Mills (GIS) Dividend Stock Analysis - My Financial Independence Journey
Dividend Investing, Make A Lot Of Money Without A Lot Of Work - Conservative income Investor

Get Rich With Dividends Podcast

Recently while looking for new podcasts to listen to I ran across a new podcast that covers dividend investing specifically. I listened to all of the episodes in a row so I guess I really liked it and I think you will enjoy it as well. It's hosted by Marc Lichtenfeld and it's called "Get Rich With Dividends". Marc Lichtenfeld is the Editor of the Ultimate Income Letter and Associate Investment Director of the The Oxford Club and contributes frequently to The Oxford Club Communique, The Ultimate Income Letter and Investment U. Marc is also the editor of The Oxford Club Systems Trader and FirstLine Investor Alert. He is also the author of Get Rich with Dividends.

Marc lends his perspective in podcast form about once a week and offers an enjoyable show that's about 30min long or so. Some examples of topics include "Tech Stocks For Your Dividend Portfolio" and "Great Yields With No Taxes". Since the podcast is updated regularly Marc can discuss the weeks market news which I enjoy. The show also features industry leading guests to offer their  insights. If your interested at all about dividend investing (since your here on this site I suspect you are) then why not check it out?

Click here to listen on iTunes

 

Recent Buy - Piedmont Natural Gas (PNY)

This week I purchased more Piedmont Natural Gas (PNY). Piedmont Natural Gas Company, Inc., an energy services company, engages in the distribution of natural gas to residential, commercial, industrial, and power generation customers in North Carolina, South Carolina, and Tennessee. It also operates energy-related businesses, including unregulated retail natural gas marketing, regulated interstate natural gas storage, and intrastate natural gas transportation.

I used $1100 of new capital to purchase 32 more shares at $34.31 which added $38.44/year to my dividend income.

As you can see from the chart below PNY has been able to limit stock depreciation even during the last two recessions which is one reason I like PNY so much. I like to think of PNY as a defensive stock.

PNY currently has a P/E ratio of 17.87 with a 3.60% dividend yield and has a long tradition of consistent dividend growth although the growth is a bit lower than I like at just under 5% growth but that's not too shabby.

Top 35 Dividend Growth Stocks E-Book Realeased

Dan Mac over at Dividend Stock Investing has released his new E-book on Amazon and is available for FREE for the next 3 days (June 16,17 and 18)! It's definitely worth a look. The book is available in Kindle format. Don't have a Kindle ? Don't fret, you can still read the book through Amazons own online "Cloud Reader" or there are other ways to read it here.

35 Top Dividend Growth Stocks is divided into two parts.  Part One provides an introduction to the dividend growth strategy, why dividend growth stocks make good investments and the goals of dividend growth investors.  In Part Two I discuss my criteria for dividend growth stock selection.  The highlight of the book is where you can find out the 35 dividend growth stocks I am using to build my portfolio, company descriptions and my reasons for choosing these companies as long term investments.

Download the book for free from Amazon and feel free to leave him a review.

Captains Picks

These are some of the articles I've been reading this week. Enjoy ...

The 5 Best Dividend Stocks of 2020 - The Motley Fool

Coca Cola: Fairly Valued in Low $40′s for 2013 -  Dividend Monk 

PepsiCo (PEP) - A great dividend stock for long-term investors - Dividend Growth Investor

Johnson & Johnson – Dividend Fact Sheet - Dividend Engineering
Dividend Income Update - May 2013 - Dividend Mantra

High Yield Dividend Champion Portfolio Update - Scott's Investments

AGNC - Dividend Yield Is Bigger Than My Understanding Of The Company - The Dividend Guy
The Fun Thing About Planting Dividend Trees -  The Conservative Income Investor