What Did You Buy Today?

[Dividend Watcher]

(11-20-2014, 11:17 AM)rapidacid Wrote: When inserted into my portfolio and using the metrics displayed in the screenshots TJX ranks as my 10th "best" equity and DIS is 22nd.

Both purchases are a bit of a departure for me as their current yields are the lowest in my portfolio aside from V. However they also boast 2 of the 3 bottom spots for payout ratio, and their next year EPS projections look great.

Both prices & P/E are high for their historical ranges but you've got to buy sometime.

ra, I think TJX is a great company. Their long-term performance is wonderful, I like their execution and format. I think management has great plans going forward. They started expanding in Europe, got stuck a little and retrenched and are slowly working their way back into that market. Something similar happened in Canada but their eyes are still on that market.

Ironically, I put TJX in my wife's portfolio in the middle of the Great Recession before I fully understood the DGI and buy & hold great companies maxims and sold it after a double. Then they split and bought Sierra Trading Post which I consider an under-appreciated asset. I rue that decision. I think they & ROST fill a niche between the dollar stores and full-line stores like Kohl's, Target, JCPenny & Macys.

I don't know how long you intend to hold it but 10 years from now you should be very happy with that decision. I hold ROST and TJX will be back in my wife's portfolio when cash is available and the price is right -- not that it's really overpriced too badly now. You're right, yield is very low. I consider it one of my capital gains plays with a dividend kicker but 10 years from now, it may be adding a significant amount to the dividend pile.

DIS -- what can you say; it's an American icon brand.