Week 4: gobbling up some General Motors stock

General Motors purchase

There’s all kinds of uncertainty swirling around the auto industry these days. Tariffs have gotten people all worked up, carmakers are slowly but surely moving toward an all-electric future and come on, before long we won’t even be driving the damn things … they’ll be driving themselves.

The thing is, though, as exciting as the future seems, no one knows when it’ll get here … or how bumpy the road to an all-electric, autonomous future will be.

Like I said … lots of uncertainty.

It can be a scary word – uncertainty – especially if you’re considering investing in one of the handful of companies in the industry. That’s why I don’t use it. Instead, I prefer to look at the current state of things as an opportunity. The big boys (Ford, General Motors, etc.) are reinventing themselves … or at least getting ready to. The growing pains may be just that (painful), but I think the opportunity associated with throwing some cash their way easily outweighs the risks. I could be wrong – it wouldn’t be the first time and most certainly won’t be the last – but I’m feeling pretty right this time around.

This week’s purchase: General Motors

I put my money where my mouth is this week, too, scooping up 15 shares of General Motors. I’m up to 20 at an average cost of $37.56. It’s easily the biggest position I have (which doesn’t mean much considering I’m 4 weeks into my march toward a $1,000,000 portfolio and only have three positions at this point).

One month into the march

So, here we are … four weeks (about a month) into my march toward a $1,000,000 portfolio. I’ve made daily $20 deposits and a couple more for $500 a pop, the first of which I used to get started.

Here are the links to my first three weeks: Week 1, Week 2, Week 3

Overall, I’ve invested $1,520 of my hard-earned cash. I have three positions – 20 shares of General Motors, 12 shares of Fifth Third Bank and 10 shares of AT&T – that will produce $62.32 worth of dividends in the next year.

I haven’t received a dividend just yet, but am scheduled to get my first – $2.88 from Fifth Third Bank – Monday. My 10 shares of AT&T will earn me $5.10 in August and the 20 shares of General Motors will get me another $7.60 in September.

The next step

Now, to keep my streak of monthly income increases alive and well, I need to get my FITB position, or maybe even a new one in another company that pays quarterly along the same schedule, to dish out more than $7.60 in October. If I decide to add to my Fifth Third share count, I’ll need 20 to get the job done. With its $0.24/share quarterly divi, 32 shares would earn me $7.68.

March with me

Looking to get started? Start with Robinhood: http://share.robinhood.com/benjams352

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2 Comments

  1. I’ve been following your march for about 2 years now and very much enjoy reading these updates.

    I like hearing some of your analysis that you provide when you talk about a new stock you’ve chosen to invest in. I would really enjoy hearing even more of that. I know you’re busy, but I would love to read a series of posts exploring and analyzing particular stocks that are candidates for a dividend growth portfolio. At the end you could indicate whether you plan to eventually add that stock to your portfolio, or under what circumstances you would. (Maybe you could even take suggestions from readers on which stocks to analyze!) I just love looking at different stocks and would love to hear your take on a few.

    Again, I enjoy what you’re putting together and I’m only leaving a recommendation because I want to hear even more of what you’ve got to say.

    March on!

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