I just couldn’t help myself. I sold a put last Thursday (mentioned here) and I will be happy however that trade turns out. However, if NSC has a big run-up then I will miss out on owning additional shares.
So this morning I transferred a little cash from my options account to my DG portfolio and bought 30 more shares at $65.89/share. This brings my total to about 63 shares and reduces my cost/share to $67.08. This also increases my yearly dividend income by $60 and gets me closer to the $2400/year in forward dividends I am shooting for by the end of the year.
NSC is now my 2nd largest holding behind WM.
Great buy.
I think you’ll be very happy with this purchase as a long-term investor. Short-term, who knows what will happen with coal and transports…but long-term railroads are an efficient and cost-effective method of transporting goods.
NSC has fantastic numbers and the ratios are all wonderful.
Best regards.
Thanks DM. I agree with you. If railroads aren’t transporting coal then it will be other goods. They are here to stay long-term.
Nice purchase. My position in NSC is similar in size to yours and it also happens to be my 2nd largest holding. I think it is a solid long-term investment.
Thanks DGM. You had some nice pickups with INTC and NSC this month. Right now I’m not so worried with positions being a little overweight as I’m still aggressively building my portfolio. Good luck to the both of us!
Agree with the comments above, NSC is a solid buy. And I like your strategy. I put some consideration into weighing my overall portfolio / asset allocation, but don’t follow it by the book. Like you, when good deals come around, I do my best to jump on them, even if it means adding many more shares than anticipated. It’s better to place a good bet on a solid company than to miss the boat just b/c “I had too many shares already”.
Thanks for stopping by FI Fighter. As I mentioned above, I’m not too concerned about weights right now but I do keep an eye on them. Since I’m still in my building phase then these positions won’t be overweight for very long. NSC at these prices is too good to pass up.
NSC is a great company with huge upside potential. As a “dividend contender” this company has increased its dividends for over 11 years now, which is a plus for the long-term investors.
Hi Investing Early. Thanks for stopping by to comment. NSC has increased dividends for the last 11 years, has a payout ratio of 30% and a 5-year CAGR of 19.5%. The company will be around for a long time and should be able to continue paying as well as increasing dividends for the foreseeable future.
Great buy! I also picked some up yesterday to start my position in NSC.
Hi PIP,
Congrats on picking up NSC. I think you made a good choice. May it bring us both increasing dividend payments for a long time.