August 2023 Dividend Stock Purchases

As I'm writing this blog post on Friday, August 25, the weather here in Central Wisconsin isn't too bad: It is sunny today and the high temperature is expected to be 88 degrees Fahrenheit. This is much better than just a couple of days ago, when the temperature topped 100 degrees!

With that aside, I anticipate that my capital deployment for August 2023 is complete. Thus, now is a good time to discuss my stock purchases for the month. Let's dive in.

The first stock purchase that I completed for the month of August was 0.5 shares of Alphabet (GOOGL) at an average price per share of $128.52. This brought my position in the advertising giant to 20 shares, which I am happy with for now as I shift my focus toward building a position in Chipotle Mexican Grill (CMG).

My next stock purchase that I executed during the month was 0.5 shares of Amazon (AMZN) at an average cost of $128.30 per share. Just as is the case with GOOGL, my AMZN position is now in a decent spot at 20 shares. That's why I plan on pausing incremental purchases in the e-commerce and cloud juggernaut for the time being.

The first dividend stock purchase that I made for the month of August was 30 shares of Brookfield Asset Management (BAM) at an average price per share of $34.89. As a leader within the alternative asset management space, BAM is diversified across so many of the mega-trends that will define the future of the global economy. These include renewable energy, data centers, and artificial intelligence. The transaction added $38.40 to my net annual forward dividends, which equates to a 3.67% net dividend yield.

My next dividend stock purchase that I completed during the month was 15 shares of VICI Properties (VICI) at an average cost of $30.02 per share. Interested readers can check out my buying rationale for the stock in my August 2023 Dividend Stock Watch List blog post. This buy boosted my net annual forward dividends by $23.40, which works out to a 5.2% dividend yield.

The third dividend stock purchase that I executed for the month of August was three shares of AbbVie (ABBV) at an average price per share of $153.05. Again, curious readers can visit my August 2023 Dividend Stock Watch List blog post for the investment thesis. The transaction lifted my net annual forward dividends by $17.76, which is equivalent to a 3.87% net dividend yield.

My next dividend stock purchase that I made during the month was two shares of Lowe's (LOW) at an average cost of $224.37 a share. Once again, readers can peruse my August 2023 Dividend Stock Watch List blog post for a better understanding of why I like LOW. This decision increased my net annual forward dividends by $8.80, which equates to a 1.96% dividend yield.

The fifth dividend stock purchase that I completed for the month of August was two shares of Hershey (HSY) at an average price per share of $215.05. Readers can find my investment thesis in a Motley Fool article on the stock published earlier this month. The transaction bumped up my net annual forward dividends by $9.536, which works out to a 2.22% net dividend yield.

My next dividend stock purchase that I executed during the month was eight shares of Iron Mountain (IRM) at an average cost of $60.79 a share. Intrigued readers can scan my recent Motley Fool article on the stock (and Energy Transfer and FedEx) for my investment thesis. This buy helped my net annual forward dividends to climb by $21.20, which is equivalent to a 4.36% dividend yield.

The seventh and final dividend stock purchase that I made for the month of August was 17 shares of Leggett & Platt (LEG) at an average price per share of $27.73. My buying rationale is as simple as the fact that LEG is a beaten-down Dividend King with a reasonably safe dividend considering the current economic environment that it is facing. The decision boosted my net annual forward dividends by $31.28, which equates to a 6.64% net dividend yield.

Concluding Thoughts:

During the month of August, I put $3,921.12 of capital to work. Against the $150.376 in net annual forward dividends that were added to my portfolio, this works out to a 3.84% weighted average dividend yield.

Dividend announcements in August (e.g., Medical Properties Trust's dividend cut) collectively reduced my net annual forward dividends by $25.43. As a result, my net annual forward dividends grew from almost $4,085 at the start of the month to nearly $4,210 heading into September.

Discussion:

How did you fare in regard to capital deployment in August 2023?

Did you open any new whole-share positions as I did with BAM?

Thanks for reading and please feel free to comment below!

Expected Dividend Increases for September 2023

As I'm writing this blog post on Saturday, August 19, it is expected to reach a high of 92 degrees Fahrenheit today here in Central Wisconsin. That's about 10- to 15 degrees hotter than my ideal temperature, but I'll make the most of it!

With that aside, I have received all but one dividend raise thus far for the month of August. Once Altria Group (MO) announces the 4.3% increase in its quarterly dividend per share to $0.98 as I expect on Thursday, August 24, I will update it. But without further ado, let's look back on the payout increases that I have received so far and preview raises that I am expecting for September 2023.

Actual Dividend Increases for August 2023

Dividend Increase #1: Iron Mountain (IRM)

After almost four years of freezing its dividend to deleverage and get down to its target payout ratio, Iron Mountain hiked its quarterly dividend per share by 5.1% to $0.65. This was certainly a welcomed dividend announcement as I wasn't sure whether it would come this year or the next!

Across my 13 shares of IRM, my net annual forward dividends rose by $1.638 due to this announcement.

Dividend Increase #2: Essential Utilities (WTRG)

Essential Utilities declared a 7% increase in its quarterly dividend per share to $0.3071. This was basically in line with my expectation of a raise to $0.3070.

My net annual forward dividends edged $0.804 higher across my 10 shares of WTRG as a result of this declaration.

Dividend Increase #3: Main Street Capital (MAIN)

Main Street Capital announced a 2.2% bump in its monthly dividend per share to $0.235, which was precisely what I anticipated.

Across my 30 shares of MAIN, my net annual forward dividends grew by $1.80 due to this announcement.

Dividend Increase #4: Simon Property Group (SPG)

Simon Property Group declared a 2.7% increase in its quarterly dividend per share to $1.90. Again, this was what I expected.

My net annual forward dividends were boosted by $1.80 across my nine shares of SPG as a result of this declaration.

Dividend Increase #5: Spirit Realty Capital (SRC)

Spirit Realty Capital announced a 1% raise in its quarterly dividend per share to $0.6696. Across my 20 shares of SRC, my net annual forward dividends inched $0.528 higher due to this announcement.

Dividend Increase #6: Altria Group (MO)

Just as expected, Altria Group upped its quarterly dividend per share by 4.3% to $0.98. Across my 24 shares, this boosted my net annual forward dividends by $3.84.

Dividend Cut: Medical Properties Trust (MPW)

Medical Properties Trust slashed its quarterly dividend per share by 48.3% to $0.15. I'm somewhat surprised it took this long for it to play out. But as bitter sweet as the cut is, I think it will be viewed as a positive in a few years.

Across my 64 shares of MPW, my net annual forward dividends plunged by $35.84 from this dividend declaration.

Expected Dividend Increases for September 2023

Expected Dividend Increase #1: Realty Income (O)

The first dividend increase that I'm expecting in September 2023 is from Realty Income. My best guess is that O will declare a 0.2% increase in its monthly dividend per share to $0.256.

If this raise plays out as expected, my net annual forward dividends would increase by $0.144 across my 24 shares of O.

Expected Dividend Increase #2: W.P. Carey (WPC)

The next dividend raise that I anticipate for next month will be from W.P. Carey. I believe WPC will announce a 0.2% bump in its quarterly dividend per share to $1.071.

Across my 14 shares of WPC, my net annual forward dividends would rise by $0.112 from such an announcement.

Expected Dividend Increase #3: American Tower (AMT)

The third dividend bump that I'm predicting in September 2023 is from American Tower. I project that AMT will declare a 1.9% increase in its quarterly dividend per share to $1.60.

My net annual forward dividends would grow by $0.72 across my six shares of AMT due to such a dividend declaration.

Expected Dividend Increase #4: VICI Properties (VICI)

The next dividend increase that I am expecting for next month will be from VICI Properties. My best guess it that VICI will announce a 7.7% hike in its quarterly dividend per share to $0.42.

Across my 48 shares of VICI, my net annual forward dividends would soar by $5.76 as a result of such an announcement.

Expected Dividend Increase #5: Philip Morris International (PM)

The fifth dividend raise that I anticipate in September 2023 is from Philip Morris International. I believe PM will declare a 3.1% raise in its quarterly dividend per share to $1.31.

My net annual forward dividends would be lifted by $3.36 due to such a declaration across my 21 shares of PM.

Expected Dividend Increase #6: Verizon Communications (VZ)

The next dividend increase that I'm predicting for next month will be from Verizon Communications. I project that VZ will announce a 1.9% increase in its quarterly dividend per share to $0.665. 

Across my 45 shares of VZ, my net annual forward dividends would grow by $2.25 from such an announcement.

Expected Dividend Increase #7: U.S. Bancorp (USB)

The seventh dividend raise that I am expecting in September 2023 is from U.S. Bancorp. My best guess is that USB will declare a 4.2% boost in its quarterly dividend per share to $0.50.

My net annual forward dividends would rise by $2.08 across my 26 shares of USB due to such a declaration.

Expected Dividend Increase #8: Microsoft (MSFT)

The next dividend increase that I'm anticipating for next month will be from Microsoft. I believe MSFT will announce an 8.8% raise in its quarterly dividend per share to $0.74.

Across my five shares of MSFT, my net annual forward dividends would grow by $1.20 from such an announcement.

Expected Dividend Increase #9: Starbucks (SBUX)

The ninth dividend boost that I am predicting in September 2023 is from Starbucks. I project that SBUX will declare a 7.5% raise in its quarterly dividend per share to $0.57.

My net annual forward dividends would increase by $1.60 across my 10 shares of SBUX due to such a declaration.

Expected Dividend Increase #10: Lockheed Martin (LMT)

The final dividend hike that I'm expecting for next month will be from Lockheed Martin. My best guess is that LMT will raise its quarterly dividend per share by 6.7% to $3.20.

Across my four shares of LMT, my net annual forward dividends would surge higher by $3.20 from such an announcement.

Concluding Thoughts:

My net annual forward dividends have shrank by $25.43 in August. Excluding the cut from MPW, my net annual forward dividends would have grown by $10.41.

Looking ahead to September, my net annual forward dividends could rise by $20.426 if the 10 raises that I expect pan out as a whole. That would be equivalent to investing $680.87 in capital at an average 3% dividend yield.

Discussion:

How was your August for payout raises?

Did you receive any first-time dividend increases during the month as I did with SRC?

I appreciate your readership and welcome your comments below!

September 2023 Stock Watch List

As I'm writing this blog post, it is Monday, August 7. The workweek has just begun, but I'm definitely looking forward to a three day weekend that I am taking beginning on Friday. The temperatures here in Central Wisconsin are going to range from the high-70 degrees Fahrenheit to high-80 degrees Fahrenheit during that time. Paired with a mostly sunny forecast with occasional showers, this is ideal weather for summertime.

By the time this blog will be published, August will be half over. That means now isn't a bad time to look ahead to September. Here are three stocks that I am putting on my watch list for the month.

Image Source: Pexels

Stock #1: Chipotle Mexican Grill (CMG)

The first stock on my watch list for September 2023 is Chipotle Mexican Grill (CMG). Interested readers can check out my investment thesis on the stock (and Lowe's) in this recently published Motley Fool article.

CMG opens hundreds of restaurants each year, yet it has closed no restaurants for the last three quarters. This impressive key stat is why management believes the company is at less than half of its total restaurant potential in North America. As amazing of an investment as CMG has been in recent years, this still gives it plenty of market-beating upside over the next five- to 10-years from the current $1,890 share price (as of August 7, 2023).

Stock #2: Kinder Morgan (KMI)

The next stock on my watch list for next month is Kinder Morgan (KMI). Curious readers can peruse my investment thesis on the stock (and Altria Group) from a June 2022 Motley Fool article as the long-term story is intact.

The global demand for crude oil, natural gas, and gasoline isn't going anywhere for at least the next few decades. In fact, total aggregate demand is almost certainly going to rise as global economic growth continues. The company's 6.5% dividend yield looks to be sustainable, which makes it a buy at the current $17 share price (as of August 7, 2023).

Stock #3: Lockheed Martin (LMT)

The third stock on my watch list for September 2023 is Lockheed Martin (LMT). Readers can take a look at my Motley Fool article from November 2021 on the stock (and Enterprise Products Partners, Magellan Midstream Partners, British American Tobacco, and Verizon Communications) for the investment thesis.

Basically, military defense spending is practically guaranteed until the end of time. As the largest defense contractor in the world, LMT is primed to keep growing as a result. This should support a growing dividend as well, which makes the stock and its 2.7% dividend yield a buy at the current $450 share price (as of August 7, 2023).

Concluding Thoughts:

September 2023 should hopefully be another month of capital deployment between $3,000 and $3,500. I'm very much looking forward to adding to my positions in at least two quality dividend payers and opening a position in one of the best growth stocks on the planet in CMG in September!

Discussion:

Are any of the stocks mentioned above on your watch list for September 2023?

If not, what stocks are you interested in for next month?

Thank you for reading and please leave your comments below!

July 2023 Dividend Income

As I'm writing this blog post on Friday, August 4, the weather here in Central Wisconsin is looking great for this weekend. The high temperatures are expected to reach into the low- to mid-80 degrees Fahrenheit range, which is great for this time of year!

Given that the month of July is over, now would be a good time to take a look at my dividend income for the month. Let's dig in!

During July 2023, I received $258.02 in net dividends. This equates to a 15.8% quarterly growth rate compared to the $222.78 in net dividends collected in April 2023.

Stacked up against the $176.10 in net dividends received in July 2022, my net dividends climbed by 46.5% on a year-over-year basis.

Digging in deeper, I collected $247.95 in net dividends from 30 stocks within my Robinhood portfolio. I also received $9.90 in net dividends from four stocks in my Webull account. Finally, I collected $0.17 in net dividends from eight stocks within my M1 Finance portfolio.

My net dividends received were lifted higher by $35.24 from April 2023 to July 2023, which was the result of the following activity in my investments accounts:

I collected an extra $0.03 in net dividends from American Tower (AMT) within my Robinhood portfolio. This was due to the 0.6% increase to the quarterly dividend per share announced in May.

My net dividends received from JPMorgan Chase (JPM) were $6.02 higher in my Robinhood and M1 Finance accounts, which was the result of the timing of the dividend payment.

I collected an additional $4.06 in net dividends from Comcast (CMCSA) within my Robinhood portfolio. This was due to my May 2023 purchase of another 14 shares.

My net dividends received from U.S. Bancorp (USB) grew by $6.24 in my Robinhood account, which was the result of my June 2023 purchase of another 13 shares.

I collected an extra $0.15 in net dividends from Main Street Capital (MAIN) within my Robinhood portfolio. This was due to the 2.2% dividend increase back in May.

My net dividends received from Realty Income (O) were an additional $1.79 in my Robinhood account, which was the result of my April 2023 purchase of another seven shares.

I collected $0.08 more in net dividends from Medtronic (MDT) within my Robinhood portfolio. This was due to the 1.5% dividend raise declared in May.

My net dividends received from W.P. Carey (WPC) surged higher by $7.50 in my Robinhood account, which was the result of my June 2023 purchase of seven more shares and the 0.2% dividend raise announced in June.

I collected an additional $0.30 in net dividends from Leggett & Platt (LEG) within my Robinhood portfolio. This was due to the 4.5% dividend increase declared in May.

My net dividends received from GSK plc (GSK) grew by $0.23 in my Robinhood account, which was the result of the variability of the dividend payment.

I collected an extra $6.35 in net dividends from Philip Morris International (PM) within my Robinhood portfolio. This was due to my April 2023 purchase of five more shares.

My net dividends received from FedEx (FDX) rose by $0.44 in my Robinhood account, which was the result of the 9.6% dividend hike announced in April.

I collected an additional $0.80 in net dividends from Albemarle (ALB) within my Robinhood portfolio. This was due to my May 2023 purchase of two more shares.

My net dividends received from Automatic Data Processing (ADP) grew by $1.25 in my Robinhood account, which was the result of my March 2023 purchase of one more share.

Concluding Thoughts:

Having surpassed $250 in net dividends in July 2023, April 2023 should go down as my final month of sub-$250 dividend income. As I continue to allocate between $3,000 and $3,500 in capital each month to world-class dividend stock purchases, July or August 2023 could be my last month under $300 in net dividend income.

Discussion:

How was your dividend income in July 2023?

Did you receive any dividends for the first time last month?

Thanks for your readership and feel free to comment below!

July 2023 Dividend Stock Purchases

As I'm writing this blog post on Friday, July 28, the forecast for this weekend here in Central Wisconsin really couldn't be much better. The high temperatures are going to reach into the low-80 degrees Fahrenheit with light rain throughout the day.

With my capital deployments complete for the month, now would be a good time to highlight my dividend stock purchases in July 2023. Let's dive into it!

The first stock purchase that I made to start the month of July was a share of Amazon (AMZN) at a cost of $128.27. In the 15 months that I have been building my position in AMZN, I nearly have a 20 share stake (19.5 as of writing) in the tech giant. I will probably soon take a break from adding to my position for a while in favor of another growth stock in a different sector (hint: It's a restaurant stock). Interested readers can check out my investment thesis for the stock from April 2022.

My next stock purchase that I completed during the month was a share of Alphabet (GOOGL) at a price of $119.79. Like AMZN, my stake in GOOGL is almost built up to my satisfaction for now. Curious readers can peruse my investment thesis for GOOGL from last July.

The first dividend stock purchase that I executed in July was two shares of Automatic Data Processing (ADP) at an average cost per share of $229.18. My investment thesis for ADP remains the same as when I initially covered it on Motley Fool in April. The $10 in net annual forward dividends that the purchase added to my portfolio equates to a 2.18% net dividend yield.

My next dividend stock purchase that I made during the month was seven shares of Bristol Myers Squibb (BMY) at an average price per share of $61.95. The investment thesis for BMY is unchanged from when I last covered it in June (along with CVS Health and Thermo Fisher Scientific). This transaction boosted my net annual forward dividends by $15.96, which is equivalent to a 3.68% dividend yield.

The third dividend stock purchase that I completed in July was 15 shares of Verizon Communications (VZ) at an average cost per share of $32.96. My investment thesis is the same as it was two weeks ago when I wrote about the stock (and Altria Group). This purchase lifted my net annual forward dividends by $39.15, which works out to a 7.92% net dividend yield.

My next dividend stock purchase that I executed during the month was three shares of Texas Instruments (TXN) at an average price per share of $182.16. The investment thesis is unchanged since I last covered the stock in my May 2023 Dividend Stock Watch List blog post. The transaction raised my net annual forward dividends by $14.88, which equates to a 2.72% dividend yield.

The fifth dividend stock purchase that I made in July was five shares of RTX Corp (RTX), formerly known as Raytheon Technologies, at an average cost per share of $83.78. My investment thesis is the same as it was in June 2023 for my July 2023 Dividend Stock Watch List blog post. This purchase increased my net annual forward dividends by $11.80, which is equivalent to a 2.82% net dividend yield.

My final dividend stock purchase that I completed during the month was two shares of PepsiCo (PEP) at an average price per share of $190.75. The investment thesis for PEP (and Dollar General) remains the same as it was in my Motley Fool article from a week ago. The transaction lifted my net annual forward dividends by $10.12, which works out to a 2.65% dividend yield.

Concluding Thoughts:

I put $2,981.29 of capital to work in July 2023. Compared to the $101.91 in net annual forward dividends that were added from these purchases, this equates to a 3.42% weighted average net yield.

Coupled with the $12.344 in dividend increases that I received in July, this helped my net annual forward dividends surge from around $3,970 at the start of the month to nearly $4,085 heading into August.

Discussion:

How was your capital deployment during July 2023?

Did you open any new positions for the month?

I appreciate your readership and welcome your comments below!