Weekly Sharebuilder Purchases – MCD, DE, CVX

I’m reporting my automatic purchases for this week (01/07):

I Bought:

$500 of MCD
$500 of DE
$500 of CVX

I used $1500 in new capital and added $44.39/year to my dividend income.  This is an average yield of  3.0%.

My forward 12-month dividend income increased to $8771.02.

Note:

These are all three stocks that I believe are at fair value.  They also happen to be below my average weight currently.  It’s still very difficult to find value in this market currently.

However, I will continue to make consistent weekly purchases regardless of what the market is doing.  My purchases until April might be a little lower than the last half of 2013 due to getting ready for taxes.

Picture:

Just for some fun and to add some color I will be posting pictures of places I’ve been to.  It’s also motivation to reach FI so I can travel and do what I want to when I want to.

This is a picture while walking in downtown Santa Fe, New Mexico last year.

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Comments

  1. says

    Yeah AAI, good values are hard to come by in US stocks right now. I’m updating my wish/watch list (posted tomorrow) and looking forward to a down turn. I like your plan to consistently buy assets, and dollar cost average down. It sure beats what most people do with their hard earned cash. Cheers
    -Bryan

    • says

      Hi Bryan,

      It’s getting very difficult to find companies at decent values for sure. I just plan to keep DCAing into stocks I already own for a while unless we see a nice downturn or I find a good value.

      Thanks for stopping by!

  2. says

    Hi Brent, good luck in the Yakezie challenge! I will be subscribing and am looking forward to following your investing strategy!

  3. says

    Good purchase!
    I´ll purchase MCD also next week.

    On my blog I had this week a survey: Which company to buy best next week.
    They had the choice between six companies.
    For McDonald’s have voted 45% of the persons. :-)

    regards
    D-S

  4. says

    I haven’t done any research on Wendy’s, but I’m feeling ( no data here, mind you) an upward trend. Any thoughts? I still love MCD, don’t get me wrong.

    What’s the long term EPS growth look like for DE?

    • says

      I recently did an analysis of DE on my site and they had a historical 10 year CAGR of EPS of 27.5%. Most recently from 2011 to 2012 they grew EPS by 16%. Also, Value Line projects 7.5% growth in the coming 5 years.

      All in all I think DE is a pretty solid company to own for the long term. And I personally like the current valuation.

    • says

      @Wallet,

      I haven’t looked into Wendy’s much myself. A quick look from E*Trade shows a P/E of 89 and a payout ratio of 177%. These are both big red flags. They also don’t have a very long history of increases. There may be an explanation but I haven’t done enough research.

      It looks like Dan has already answered your other question.

      @Dan,

      Thanks, I also like DE here and will keep averaging into shares until I have a full position.

      Thanks for stopping by!

  5. says

    I think you made some great buys here which will not disappoint over the long term. I actually think CVX and DE offer pretty decent values at today’s price points. MCD I think is pretty fair valued as well, though no bargain. I think over the long term, all three will perform very well for you!

    • says

      I already own KO, MO, and PM. I own KMI instead of KMR. If I add another tech company then IBM, QCOM and CSCO will be on my watchlist. I’m not touching insurance any more so I’m not interested in AFL. I like O but I don’t want to add more REIT exposure at this time.

      Thanks for stopping by!

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