Thursday, October 14, 2021. I like pay raises. I like them so much that I like to get new ones every month! I’m going to go thru our holdings alphabetically and see who has raised us in recent times and note those here for you… but, really, for me and my wife. I haven’t told her about our recent dividend increase “pay raises” in a while.
Charting each one and going down the list… I see AFG has raised here in October from $2.00 a share to $2.24 a share. That $.24 a share increase is a 12% pay raise, and our yield to us at our purchase price is now 3.58%. That’s a good number! BST has just raised to us from $2.24 a share a year ago to the new current $3.00 a share. That’s a $.76 a share increase for a whoppin’ 33.9% “pay raise.” Yes! I love it! Our yield on our purchase price is, get this now, 6.61%! That’s what I’m talking about! BSTZ has likewise raised our dividend from $1.38 a share to its new current $2.30 a share for an incredible 66.67% “pay raise.” Wow! Our yield on our purchase price is now a truly amazing 8.33%. That is totally awesome! I am blown away!
Now, to be honest, I was advised by a newsletter service to buy FXO, which I did. It’s dividend has been in decline, and is now down to $.80 a share from $.92 a share a year ago. But, it has appreciated, since our purchase by 84% and its current yield to our purchase price is still 3.16%, so I’m willing to hold for now.
I’ve been keen on IIPR ever since a good friend kept touting it. I looked into it and bought 3 times my usual first purchase amount. It has raised from $4.23 a share one year ago to its present $6.00 a share which is a 41.8% dividend increase. Our yield on our purchase price is currently 4.80%. Honestly, where are you ever going to find returns like these? I’ve got another on the advice of a newsletter. It’s dividend has been in something of a bit of a decline over the past year from a high of $1.45 a share to its present $1.40 a share, which isn’t so bad. But, it has also appreciated 80.6% since purchase and the yield to us at that price we paid is 3.59%. Again, a perfectly fine number. A much more recent purchase of ours is MGP which just raised from $1.95 a year ago to a present $2.08. That’s a $.15 increase for a 6.67% raise. Our yield at our cost of not too very long ago is at 5.35%. Again, a very fine number.
I am going to sell our shares of MJ. They are simply not doing the job for which I hired them. The dividend has been going in the entirely wrong direction. Price has been in a steady decline, and we have a gain of some 16%, but our current yield is now 1.94%. I’m selling. I have to be away tomorrow, but I’ll put the order in before I leave the house, or it can wait until Monday. That will open up a new place in the portfolio for a suitable replacement. I’ll start looking for one asap.
Microsoft, MSFT, has raised us from $2.24 a share to now $2.48 a share. That’s a 10.71% dividend increase. Our yield on purchase is now 1.18%. We have realized an increase from SCHD which was paying us $1.89 a share a year ago, but has raised us to $2.23 a share for a 18% increase. Our yield on that amount we paid for our shares stands at 4.03% at this time. Not bad at all! On the other hand, we also hold shares of SCHV and that has not done as well. It cut us recently. It was paying $2.04 a share one year ago, and is only $1.38 a share now. That still yields to us 2.65% and we have a 34% gain in the value of our holding, but I am losing patience with this one, and it may go.
The average dividend per share of our holdings was $2.82 and has risen the past 12 months to a current $3.10 a share on average. That’s a $.28 a share increase, or 10%. The dividend yield of our portfolio stands at 3.90% at this time, and is growing rapidly. It could conceivably be paying us anywhere between 7.5 and possibly 8% in about 7 years time from now.
I’ll close on this note… between my wife’s retirement income and my own… we don’t even need the income our retirement investments is generating… yet. Inflation is rearing its ugly head, and the day may come.
Harold F Crowell