Ready for new month after record haul

Last month was a a great one for my Dividend Farm.

I earned a single-day record $12.41 in dividends on the first day of November – a number that propelled me to a single-month record of $45.27 by the time the calendar flipped to December.

It was great to finally get over the $40-plus mark in monthly dividend income. Now comes the challenge of maintaining that momentum and getting to the point where I get more than $40 every month.

Right now, I earn more from the stocks that pay quarterly in February, May, August and November than the other two groups. Companies like AT&T and Verizon, which combine to pay me more than $10 a quarter, are a big reason for that.

That said, to help me reach my goal of growing my dividend income month over month, I probably need to lay off buying companies that pay in February, May, August and November until I can catch up with the quarterly payers that shell out cash on the other two schedules.

Make sense?

Anyway, I’m not sure I’ll get back to $40 this month, but I got off to a good start today.

Today’s Dividends

Costco: I received a $0.50 dividend for the one share of COST I own. I’m glad to see the wholesale retailer is finally starting to get some love. I’ve owned it for awhile now and, well, it’s done literally nothing (except dish out a $7 special dividend) … until the last month or so. Costco is up more than $22 over the course of the last 30 days (14.19%).

Kroger: I earned a $0.25 dividend for the two shares of KR ($0.125/share) I own. Kroger is a lot like Costco in the sense that, well, it tanked when Amazon bought out Whole Foods. I guess people thought every man, woman and child was going to suddenly drop what they were doing and run to Whole Foods. It didn’t turn out that way and it, at least for now, appears people are starting to see there are a lot of good companies out there. Competing with Amazon doesn’t have to be a death sentence … just look at Walmart.

Goodyear: I picked up a $0.14 dividend for the one share of GT I own. The dividend might seem like a whole lot of nothin’ on the surface, but it’s one of my favorites for one reason: potential. With a yield of 1.73%, it has a payout ratio of just 14.47%. Translation: the tire and rubber giant has a ton of room to grow its dividend … something it’s done to the tune of 26.52% annually over the course of the last three years.

Boeing: I received a $1.42 dividend for owning a single share of BA. Boeing has been on a monster run, and I’m happy I’ve been able to go on that run right along with it … even if I only own one share. That one share has appreciated by more than $100 (59%) in less than a year. That, my friends, is one helluva run.

Intel: I got a $0.55 dividend from INTC ($0.2725/share). I own three shares, but only two of them earned me the dividend as I picked up the other one just yesterday as part of my DIY DRIP for November. That said, it’ll be nice to have that extra $0.27 or so when next quarter rolls around.

Grainger: I received a $1.28 dividend for my share of GWW. I’m a big fan of the company’s dividend. Its $5.12 annualized payment represents a 2.31% yield with a 60.95% payout ratio. It’s also been boosting its dividend for 45 consecutive years.

Ford: I own two shares of F and picked up a $0.30 dividend because of it ($0.15/share). Ford isn’t a huge part of my portfolio. My two shares are valued at less than $30, but I might be forced to change that soon. You can’t argue with a dividend yield of nearly 5% and EPS growth of 62.50% (last quarter verses the same quarter from 2016).

Cummins: I received a $1.08 dividend for the one share of CMI I own. If you’re looking to add an industrial to your portfolio, let me suggest Cummins. The company has a great dividend ($4.32 annualized with 2.58% yield and 43.86% payout ratio). It grew its earnings per share by more than 50% last quarter verses the same quarter from 2016, too.

Starbucks: I earned a $0.30 dividend for owning one share of SBUX. I’ve owned Starbucks for a year and, well, my single share hasn’t moved a muscle. Fortunately, the dividend’s different. The recent $0.05 increase represented a double-digit boost. I’m happy anytime I get a raise, but really happy when that raise is 10% or more.

In all, the nine companies paid me a combined $5.82 today. I’ll take it. Who wouldn’t?

March on!

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