Meter Updates

November 2016 Dividend Meter Update

November 2016 Dividend Meter Reading

The needle on the Dividend Meter rose only slightly in November.  What could have been a really great month was diminished by HCP’s recent dividend cut and related spin-off of QCP.  Here’s a summary of last month’s activity notes from the history tab of the spreadsheet:

11/15/2016 $6,730.07 Added new savings, bought 20 shares of AMGN in regular brokerage account, establishing a new position and raising meter reading $80.00
11/14/2016 $6,650.07 Sold 55 QCP (spin-off shares from HCP), used proceeds and a small amount of accumulated dividends to buy 29 shares of OHI, raises meter reading $70.76
11/8/2016 $6,579.31 ADP dividend increase, raises meter reading $3.20
11/8/2016 $6,576.11 SIX dividend increase, raises meter reading $27.84
11/4/2016 $6,548.27 HCP spins off QCP, cutting dividend to $1.48/share, keeping HCP, likely selling QCP soon due to “dividend cut”, lowers meter reading $228.78
11/3/2016 $6,777.05 AWR dividend increase, raises meter reading $16.87
11/3/2016 $6,760.18 SBUX dividend increase, raises meter reading $24.00
11/3/2016 $6,736.18 Bought 12 shares DPS with new savings, raises meter reading $25.44

Four dividend increases and two additional savings deposits were required in November to make up for HCP’s dividend cut.  As is customary with the Dividend Meter portfolio, stocks that cut their dividend are sold and replaced with an alternative investment. HCP essentially packaged up the lower quality, high risk HCR ManorCare assets, and spun them off into a new REIT:  Quality Care Properties (QCP). With the higher quality assets remaining in HCP, I decided to only sell the spin-off shares of QCP and keep the parent, HCP.

Last month, I mentioned enhancing the spreadsheet by adding a column to import EPS (earnings per share), and another column to calculate dividend payout ratio. The idea has inspired an even more ambitious project!  I’m building an amazing “watch list” spreadsheet that will include earnings per share, payout ratio, declaration date of last dividend increase, percentage increase of last dividend raise, track a few hundred quality dividend growth stocks, and automatically provide buy and sell indicators based on the “Dividend Yield Theory“.  Here’s a screenshot preview:

Dividend Stocks Watch List

The initial research for this project has already led to a new position being added to the actual Dividend Meter portfolio:  Amgen, Inc. (AMGN). The work on this spreadsheet will take a few weeks to complete, and when ready, the sheet will be made available to anyone who is interested for a small monthly subscription fee. To be notified of the Watch List’s availability, please either Register or complete a Contact Us form.

 

 

October 2016 Dividend Meter Update

October 2016 Dividend Income

As we enter the final quarter of 2016, the needle on the Dividend Meter broke the $6,700 barrier in October!  Here’s a quick summary of last month’s activity:

10/28/2016 $6,710.74 AFL dividend increase, raises meter reading $5.92
10/27/2016 $6,704.82 Bought 28 shares of SBUX in regular account with new savings, raises meter reading $22.40
10/19/2016 $6,682.42 Sold 10 shares of AAPL, bought 38 shares of OGE, raises meter reading $23.18
10/18/2016 $6,659.24 Bought 8 shares of ADP in regular brokerage acount with new savings, raises meter reading $16.96
10/18/2016 $6,642.28 Bought 23 shares F with accumulated dividends in IRA Rollover #2, raises meter reading $13.80
10/16/2016 $6,628.48 OHI dividend increase, raises meter reading $9.88

Looking ahead to November, dividend increase announcements are expected from AWR, SBUX, and ADP.   Next month, I also plan to enhance my spreadsheet by adding a new column to import EPS (earnings per share) to calculate a dividend payout ratio – stay tuned.

September 2016 Dividend Meter Update

September 2016 Dividends

The needle on the Dividend Meter rose $240.74 during September!  Here’s a summary of last month’s activity from the history tab of the spreadsheet:

9/30/2016 $6,618.60 OGE dividend increase, raises meter reading $16.72
9/14/2016 $6,601.88 GMRE officially declares .20 quarterly dividend, raises meter reading by $160.00
9/14/2016 $6,441.88 Bought 11 shares of OHI with accumulated dividends in IRA Rollover #1, raises meter reading $26.40
9/6/2016 $6,415.48 VZ dividend increase, raises meter reading $5.00
9/6/2016 $6,410.48 Sold 400 DAKT in IRA Rollover#2, bought 200 GMRE and 147 SNR, lowers meter reading $7.20, but manually inputing zero for GMRE until official dividend declaration
9/6/2016 $6,417.60 Sold 800 DAKT in regular account, bought 75 VZ and 82 SIX, raises meter reading $39.74
9/1/2016 $6,377.86 Bought 12 PPL with accumulated dividends in IRA Rollover #2, raises meter reading $18.24

You may notice the summary of activity is in reverse order from previous months.  After a year of recording every transaction and dividend change to the Dividend Meter portfolio, the history tab was getting quite lengthy.  I reversed the order, placing the most recent transactions at the top so you don’t have to scroll to see current activity.

Another Dividend Cut, Another Sale

While Daktronic’s (DAKT) most recent dividend announcement of 7 cents per share indicates a dividend increase, the company in fact implemented a cut to the total dividend payout.  Two quarters ago, DAKT actually cut it’s regular dividend from 10 cents a share to 6 cents, but paid a 4 cent special dividend, which kept the total payout at 10 cents – a payout that I’ve enjoyed for nearly a year while holding the position.  DAKT’s most recent earnings report was solid and beat expectations – I was surprised they didn’t pay another special dividend to keep the total payout at 10 cents.  At least the stock price ran up leading to the earnings report, allowing me to sell the position and buy other stocks with higher dividend yields.  With the sale proceeds from DAKT, I added to positions that were newly established last month: Six Flags (SIX), and Verizon (VZ).

Added Two Speculative REITs

With a portion of the sale proceeds from DAKT, I also purchased small positions in two new REIT stocks: New Senior Investment Group (SNR) and Global Medical REIT (GMRE).  Speculative high-yield plays make me nervous, but the two stocks were chosen after researching many high-yield dividend stocks, ranging from 5% to 10%.  SNR is a dedicated senior housing play, and GMRE is a new IPO, run by CEO David Young, whose experience with HCP and GE Capital enticed me to take a chance on two hundred shares.  As a reminder, do your own due diligence!

See you all here next month, or perhaps in person at the MoneyShow Conference in Dallas from October 19 – 21? If any fellow “Meterites” would like to meet up for a beer at the Conference, drop me a line…

August 2016 Dividend Meter Update

August Dividends

August was a quiet month for the Dividend Meter portfolio. Only two spreadsheet entries we’re added, yet the annual dividend income meter reading moved up by more than one hundred dollars.  Here’s what happened in August:

8/19/2016 $6,303.12 Sold 54 COP, bought 67 MET with proceeds and about $350 of accumulated dividends
8/29/2016 $6,359.62 Bought 25 VZ (new position) with a combination of new savings and accumulated dividends

It’s been several months since ConocoPhillips cut its dividend, and I’ve finally finished selling the last remaining shares from the portfolio. The proceeds from the sale of COP were combined with accumulated cash dividends and used to purchase 67 additional shares of Metlife (MET) at $40.11 per share on August 19th.  COP was also removed from the “watch list” and replaced with Verizon (VZ) on the spreadsheet.

Later in the month, I decided to go ahead with establishing a new position in VZ, using a combination of new savings and accrued dividends. 25 shares of VZ were purchased  on August 29th at $52.47 per share.

Improving Spreadsheet Performance

If you follow my investment spreadsheet from the Member’s Club, you may have noticed a change this month. Instead of freezing up while dividend figures are imported (check out the screenshot below), the calculations and meter chart load very quickly upon opening the Google sheet. Later this month, I hope to publish a video tutorial showing how to do this, but it’s really easy to insert a new column with the dividend amount for each stock hard-typed in the cells. All of the other cells that contain calculations can point to this new column of data, improving spreadsheet performance immensely.  The reality is dividend increases or decreases really don’t happen that frequently, so it’s unnecessary to wait for an import to finish before other cells are computed.  I still import the dividend automatically, but now it’s for reference – if a dividend change is identified by the import column, I simply change the cell with the hard-typed dividend amount manually.

Freezing Investment Spreadsheet