Here in Central Wisconsin, the temperatures will reach into the upper-40 degrees Fahrenheit over the next few days. This is slightly above the average temperature for late-March.
Given that March 2022 is just days away from ending, I will be shifting my attention to the dividend growth stock purchases that I executed during the month.
Beginning with my retirement account, the $74.95 in net dividends that I collected from my Capital Income Builder (CAIBX) were reinvested. As I noted in my December 2021 Dividend Stock Purchases post, the only growth in my employer-sponsored retirement account going forward will come from dividends since I left my previous job last July.
My CAIBX share balance grew by 1.142 shares from 178.459 shares heading into March to 179.601 shares exiting the month. Assuming $2.13 in net annual forward dividends per share, my net annual forward dividends increased by $2.43. This works out to a 3.24% net dividend yield.
Moving to my taxable account, I started the month by purchasing four shares of VICI Properties (VICI) at an average cost of $27.68 a share. My reasoning for this purchase was outlined in a recent Motley Fool article for interested readers. The $5.76 in net annual forward dividends from this purchase equates to a weighted average net yield of 5.20%.
The next dividend stock that I opened a whole share position in was Starbucks. I bought eight shares of Starbucks (SBUX) at an average cost of $88.38 a share. I purchased SBUX because it's a classic dividend growth stock that has plunged 25% year-to-date. This was partially due to the correction of Nasdaq Composite stocks during that time, as well as concerns over employee unionization efforts at SBUX. Regardless, I believe that the investment thesis remains intact. Given the $15.68 in net annual forward dividends that I added from these purchases, this is equivalent to a 2.22% net dividend yield.
Another dividend stock purchase that I executed during the month was three shares of Air Products & Chemicals (APD) at an average cost of $227.69 a share. As I explained in a recent Motley Fool article, APD is one of the largest industrial gases stocks in the world. This is an industry that is set to experience meaningful growth in the years ahead, which should support growing dividends for decades to come. My purchase boosted my net annual forward dividends by $19.44, which works out to a weighted average net yield of 2.85%.
I also opened a whole share position in NextEra Energy (NEE), which like SBUX, I only owned fractional shares of within my M1 Finance account before this purchase. I purchased seven shares of NEE at an average cost of $80.93 a share. For those interested in my reasoning, I also discussed NEE in the article that I linked to in my paragraph above regarding APD. My transactions added $11.90 in net annual forward dividends to my portfolio, which equates to a 2.10% net dividend yield.
Another dividend growth stock that I opened a position in during March was U.S. Bancorp (USB). I purchased 13 shares of USB at an average cost of $55.43 a share. Readers that want to know more about my buying rationale for USB can check out my March 2022 Dividend Stock Watch List post, which is where I highlighted the stock. My purchases boosted my net annual forward dividends by $23.92, which is equivalent to a weighted average net yield of 3.32%.
Finally, I added a share of Kinder Morgan (KMI) at a cost of $17.45. This purchase added $1.11 to my net annual forward dividends, which works out to a 6.36% net dividend yield.
I deployed $2,880.33 in capital during March 2022 (including the net dividends that I received), which led to my portfolio adding $80.24 in net annual forward dividends during the month. This equates to a 2.79% weighted average net yield.
My net annual forward dividends surged $8.134 higher due to dividend announcements during the month as well. Along with my dividend stock purchases, this propelled my net annual forward dividends from just less than $2,490 heading into March to a bit less than $2,580 at the end of the month.
How was your March 2022 for capital allocation and dividend stock buys?
Did you open any new whole share positions like I did with SBUX, APD, NEE, and USB?
Thanks for your readership. I look forward to your comments in the section below!
Like the APD and SBUX pick up. SBUX is really have a tough time as of late. I guess it's a good time to average into that stock while prices are relatively depressed. Thanks for sharing.ReplyDelete
Thanks for the comment. SBUX's stock has definitely been pressured lately. But I think the unionization concerns are a bit exaggerated and the investment thesis will remain intact.
Love seeing you being able to keep contributing a hefty amount each month. I nibbled some on APD and SBUX during March as well, but not in too much size. Also great job passing $2,500 and nearly $2,600 in forward dividends.
Thanks for stopping by and your support of the blog over the years. Congrats on nibbling on APD and SBUX in March. I think we'll be quite pleased with our purchases several years from now. Keep it up!ReplyDelete