Welcome to the portfolio, ONEOK


I didn’t receive any dividends today, but I did ensure I’ll receive a few more in the future by adding a share of ONEOK (OKE) to my portfolio.

The company, which gathers, processes, stores and transports natural gas in the Good ol’ USA, isn’t exactly an income machine, but it has some nice divi numbers – a yield of 4.68%, 14 straight years of dividend increases and an average dividend growth rate of 18.5% over the course of the last three years, although that growth has slowed a bit of late.

OKE currently pays a quarterly dividend of $0.615 in Feb., May, Aug. and Nov., good enough for a $2.46 annual dividend payment per share. I bought my share, which created a brand new position in my portfolio, for $51.98, which is almost 12% off its 52-week high ($42.79-$59.47).

I’m not sure how much it will grow its dividend in the future (the payout ratio is super high) but I like OKE’s ability to serve as an income machine for my portfolio for years to come. I have plenty of Mastercard and American Airline types in my portfolio – companies with low yields, super low payout ratios and lots of room to grow – so it’s nice to have a steady cash catalyst to help me build my passive income stream now. 

My portfolio was boosted in a couple other ways, too, hence the triple graphic at the top of this post. In addition to capital appreciation of $63.82, I deposited $100 into my Robinhood account. I don’t track daily gains and losses, or pay much attention to them, but it’s fun to try and take steps to increase the value of my portfolio every single day. Capital gains, while out of my control, do the trick in that regard, so they’re worth mentioning here.

I’m not going to get a dividend tomorrow, either, so I’m going to have to figure out how I’m going to keep the momentum going. I may make another deposit. I quite possible will make another purchase and maybe my account will appreciate a bit again.

Who knows?

Thanks for reading. See ya tomorrow.