Dividend Stocks, My 1st Quarter Results

Progress of Dividend Stocks

 In February, I wrote Choosing Dividend Stocks to explore parameters that you can use to select dividend-paying stock investments.  I started with the S&P 500 Dividend Aristocrats, a list of publicly-traded companies that have consistently increased their dividends over the last 25 consecutive years. An updated list, as of March 18, can be found here.

Based on the parameters I referenced in that post, I chose to invest in Avery Dennison Corp. (AVY) – maker of beverage labels, retail tags and vehicle graphics- and Bemis Co. Inc. (BMS) – maker of flexible packing and pressure sensitive material for labels, decoration and signage.

At the time of my initial purchase of these companies, Avery Dennison was $28.03/share. It offers a dividend yield of 5.70% and will pay an annual dividend this year of $1.64 per share.  Bemis was $22.85/share.  The dividend yield is 3.80% and annual dividend is $0.90 per share.

So far, my 2009 investment has appreciated 5.9% and I have made $15.77 in dividend payments on top.  My gain is not realized yet because I still own the stock, but I expect continued growth of these stocks into the second quarter.  I have also purchased them with a long-term outlook so, unless I get wind of distress at one or both of these companies, I plan to hold on to them.    

In addition, my dividend payment was based on my original investment in these stocks. I purchased additional shares after the dividend payment.  Thus, my next quarterly dividend payment will be based on a higher number of shares.  This is in addition to other investments I have in stocks, but the other investments were made prior to January 1 and have mixed results.  I may report on that later, but I don’t find it worth it to hash out here now. 

Here is a snapshot of my progress with these companies:

 

 

AVERY DENNISON

BEMIS

Yield

5.70%

3.80%

Annual Dividend

$1.64/share

$0.90/share

My Total Divs.

1st Qtr

$15.77

 

 

 

1st Buy Price (1.22)

$28.03

$22.85

2nd Buy Price

(3.31)

$22.28

$20.80

Value a/o Fri. (4.24)

$29.76

$24.18

My % Gain

5.9%

 

Have you done any dividend stock investing this year?  What parameters have you used to choose dividend stocks?  What is your experience with dividend stocks in this market?  Please share your comments in the comment section below.    

MAKE MONEY MONDAYS is a forum to discuss ways in which you can create additional sources of income.  I try to focus on particular ideas and steps you can take to create alternative income and passive income sources. If you like what you see here, please use the orange icon at the top right to
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