07-01-2014, 01:36 AM
Added a starter position in PG to my wife's portfolio today. That cash sitting there earning nothing was bugging me. She has less time to retirement than I and needed to get the compounding machine rolling. Bought at a little over $79 with commission yielding 3.25%. Last 4 quarter's GAAP earnings gave a P/E just under 20 (my limit). If it corrects further, I'll just reinvest at a higher yield and, if cash is available, add another small block.
Also added to KRFT in the beginning of June. KRFT is starting to behave like GIS -- up a few points and then sit there for a long while. In the meantime, a yield over 3.5% and reinvesting. Not a fast grower but I think management has a plan to grow earnings and is working it from the advertising and new products coming out that I've seen.
Also added to KRFT in the beginning of June. KRFT is starting to behave like GIS -- up a few points and then sit there for a long while. In the meantime, a yield over 3.5% and reinvesting. Not a fast grower but I think management has a plan to grow earnings and is working it from the advertising and new products coming out that I've seen.
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“While the dividend itself is merely a rearrangement of equity, over time it's more like owning an apple tree. The tree grows the apples back again and again and again, and the theoretical value of the tree doesn't change just because of when the apples are about to fall.” - earthtodan
“While the dividend itself is merely a rearrangement of equity, over time it's more like owning an apple tree. The tree grows the apples back again and again and again, and the theoretical value of the tree doesn't change just because of when the apples are about to fall.” - earthtodan