Please assign a menu to the primary menu location under MENU

Dividend Updates

Dividend Update – January 2018

Passive Income Report January 2018. Dividend passive income, buys and sells, reinvesting.

January 2018 is in the books. There has been a lot of activity in my portfolio since last January and the dividend results this year show it. At least one of everything happened within the past year pretty much. I made some buys and sells, seen dividend increases and cuts, and the market has made some big turns. So let’s see the details of how January went for me.

 

Dividends

CSCO– $6.58

GE– $4.59

CINF – $6.77

CAH – $5.15

O – $3.48

LTC – $3.30

 

January dividends, add up to $29.87 which represents a 26.9% decrease from last year where I made $40.85. Below are some charts from my portfolio page to better visualize the results.

 

January Monthly Dividends 2018

 

As you can see from January 2017’s dividend post, I was paid out by 4 companies. This year I was paid by 6. So why the decrease in dividend income? For one, there was a big dividend cut from GE. They cut their dividend by 50%. My position with them was small anyway so I decided to hold on the stock anyway to wait and see what happens. I know it will probably be years before the stock rebounds, but at least I can DRIP dividends at these very low costs.

 

I also had one sell last year that paid out in January. My sell of HASI, a REIT with a higher yield paid me $20 last January. That is where the main decrease came from. I don’t really consider that a decrease though. The stock was volatile and I questioned the safety of the dividend and the company long term. For the past few years, they have traditionally increased their dividend every December, but have not done so this year. Only time will tell, but so far I am happy to have gotten out when I did. I was able to reinvest that capital into more high quality stocks. This is why I consider it not a decrease, because the dividend payment from this capital just moved to different months.

 

Some of the new buys I made over the course of the year paid out in January. Nice to see payments this month from CAH, O, and LTC. Both O and LTC pay dividends monthly, so they should help add a bit of growth every month going forward even though my positions in them are still fairly small.

 

January Yearly Dividends 2018

 

I am not worried seeing a decrease to start off the year. The moves I made in my portfolio over the past year have increased its diversification, safety, and hopefully overall long term growth. I am looking forward to seeing my dividend income after the first quarter to get a better representation if the portfolio optimization is working. Hope you are all off to a great start this 2018! Best of luck going forward!

 

How did your portfolio perform in January? Did you start the year off with growth or a decrease? Your comments are always welcome below.

 

52 Comments

    1. Yeah I was able to come up with a little cash to make a buy. The utilities sector was getting hit hard well before this correction. Figured that was a nice place to start and add a new position to my portfolio.

    1. I agree. I would much rather have a solid company I don’t need to watch as much than something I am watching every day. Helps you sleep better at night I guess. Seems like all of the optimization moves I have made worked out so far. Guess we will see. Cheers!

    1. Funny the timing of your post then haha. Looking at yearly results and even quarterly results, the plan has not let me down yet. Just need to stay smart and it will work itself out in the long term. Thanks for stopping by and commenting!

  1. Good stuff Daze. We both own CSCO and O. I’m sure you will beat the $1000 milestone. Did you buy anything? I stayed passive during the last days. Utilies and REITs are close to fair value, while I find the rest of the market trading at a premium. Nordic stocks are cheaper though.

    1. Glad to be a follow shareholder. Yeah REITs and Utilities were getting hit hard even before the pull back. I went the utility route so I’ll post about that probably next week. These kinds of dips are what long term investors live for. Did you buy anything recently?

    1. Yeah I have been fortunate to only be caught with a few dividend cuts over the past few years. None from core positions. Way more increases which is what we want to see. Just means next year’s growth will be even greater. Thanks for the comment!

    1. Yeah you have too many other things going on at the same time. I know the feeling. Seems like I never have time to do half the stuff I want to do. But as long as you are still growing and investing, its a win for the long term. I appreciate you stopping by and commenting!

    1. Haha those were my thoughts exactly. Always a bright side. I was able to beat January’s dividend income on the first day of February this year with just one stock. The year and growth should pick up nicely now that January is over. Looking forward to seeing how it plays out.

    1. Hey, haven’t heard from you in a little while. Hope you are doing well. You and me both. But I believe they will work out for the best long term. All optimizations have made the portfolio safer and slightly more well diversified. Only time will tell I guess as we hope for the best.

  2. I’m sure the changes you made to your portfolio will work out for you. Still all most $30 is Great! For myself this is the first January since starting so I have no comparison yet. I received 8.92 Euro which is about my average monthly amount. I’m looking forward to my February since this might be a record month for me.

    And since I doubled my position in O with a buy I made yesterday I should see those results in March.
    Mr. Robot recently posted…January 2018 Dividend ReportMy Profile

    1. I do love monthly dividend payers like O. With those in your portfolio, you never see zero months. And it helps the growth a little bit each month all else equal. Good luck on making February a new record high. I’ll be following along with you.

  3. You did good Daze. I’m glad you took advantage of the dip as well. I just finished my last trade on the dip, don’t remember how many times I’ve said this in the past few days 😉

    Anyway, I picked up more DUK and O this morning. Market seems to be recovering but still more than half way down from record highs of a week or two ago.

    let’s what happens!

    1. Glad to see you and so many others in the community taking advantage of the dips. Perfect time to open new positions or finally be able to build up any core positions. May have to hold off on any buys for a little, but hope to be back at it as soon as I can once tuition is paid. Can’t wait to see what happens!

  4. Hi DD. Your dividend portfolio has really done well over the last few years. Congrats on the sharp upward trend! I also am getting hammered by GE, but I’m confident they can turn it around. Just hoping it happens in my lifetime 😂.

    I’m looking at O but right now I don’t have the investment capital to buy. It will be my next purchase – I see real value in REITs right now. Happy investing!

    1. Let’s hope they can turn it around. At least in the meanwhile, we can DRIP the dividends at these low prices. O is a fantastic choice. I picked up some myself last month to double my position. The price is even lower now than when I bought it too. All REITs seem to be getting hit hard, as are Utilities. Lack of capital is always my problem too. Good luck finding some to spare and picking up some shares of O.

  5. Sometimes you have to restructure your portfolio a bit to make it better, even if it means a short term decrease in dividends on certain months. My recent restructuring of my portoflio lowered my dividend income for the Mar-Jun-Sept-Dec month set. This was offset by my new pruchases, which increased my dividends for every other month. So I did end up with increased forward annual dividends. I think you’re are doing a great job! Keep up the good work! 🙂
    My Dividend Dynasty recently posted…January 2018 Dividend IncomeMy Profile

    1. I know what you mean. I see you did some restructuring of your own in that last post. Especially picking up some shares of O that pay monthly will even out the “loss” of dividends in those other months over the course of the year. So it really isn’t a loss, just realized in other months. And you portfolio is stronger for it. Smart play.

    1. I wanted to sell HASI sooner, but I held it through the dividend date last year so I had to wait till the month was over and it paid me out. Too late to sell GE now. But being able to DRIP at such low prices is nice for the time being. Rack up a few shares before the prices hopefully goes back up in a few years. I’ll take the lead where I can get it haha. Still plenty of time left this year my friend!

    1. This correction is the perfect time to buy. Picked up a few shares the other day. Should add some nice dividend income. Just will pay me in the March schedule. Every little bit counts. Thanks for stopping by and commenting!

  6. Daze, Sorry about GE. I think they make great products. I’m hoping they can get a management team to steer them in the right direction. I’m jealous of that CSCO dividend. That is one company I wish I woulda got my hands on back when it was at $29. Congrats on the great month!

    1. Not too worried about GE. My position is smaller so it didn’t hurt as much as others. Love my CSCO stock, but I agree with you on it. I should have bought more a long time ago too. CSCO was actually the first dividend stock I ever bought back in like 2015 or so. Cost basis around $28. No cash on hand at the time so could only afford about 20 shares. Oh well, can’t dwell in the past. I appreciate your comment!

  7. Hey DD,

    congrats on your numbers – restructuring the portfolio is necessary from time to time. The journey to FI is a long one. I did a restructuring myself at the end of 2017.
    The effect is a lower dividend income in specific months, but that’s natural.
    No doubt your annual dividend income will be higher in 2018 than 2017 and that’s essential in the end.

    My dividend income increased about 65% in Jan 2018 yoy. That was a nice way to start the year. The overall porfolio value took a hit due to the REIT sector getting dragged through the mud, a strong EUR and the flash crash on the 5th. – but that’s all backround noise for me as long as my companies are generating healthy profits and keep paying solid dividends…

    Greets,
    DividendSolutions

    1. That is the perfect way to start off the year! 65% increase is awesome. But like you said, drowned out the background noise and be smart. It isn’t a loss until you sell and market fluctuations shift portfolio value. Just keep buying quality. Seems like your strategy is working for you.

  8. Only had O and CSCO pay me dividends in January so it was definitely an off month for me. No worries on the decrease from last year. It seems you made the right choice by getting out of a stock that was more risky and diversified the proceeds into your portfolio. Looking forward to seeing how the rest of the year will treat you.
    Dividend Portfolio recently posted…Google AdsenseMy Profile

    1. Both O and CSCO are quality choices. Glad to see them paying you as well. The rest of the year should pick up. I don’t foresee any more months that have decreases this year, granted everything stay equal. I always appreciate you stopping by and commenting!

  9. Nice charts div daze – I’m a little jealous seeing dividends paid every month, as opposed to every 6 months here in Australia! Although it does mean when they do eventually come, they are relatively juicy payments… keep up the good growth!

    1. Depends on the company I guess. Some do monthly but few and far between. Most are quarterly which is normal. Not sure if that is what you were referencing or not. But guess it doesn’t matter when they pay out, as long as they do and we can grow those payments. Thanks for your comment!

  10. Never fun seeing a year over year decrease but as long as your overall total exceed 2017 you know you are headed in the right direction. No doubt, new purchases will boost that income lost from GE and HASI. Feb. is giving us some better pricing for many stocks we hold. I’m continuing to make my monthly buys as usual. Keep it up!!!
    DivHut recently posted…Dividend Income Update January 2018My Profile

    1. Yeah I see you have been making some buys. I was able to come up with some capital as well that I could make a few with. Nice finally seeing a little market correction we can take advantage of. Looking forward to seeing how those new buys effect the growth on my portfolio this year. Always appreciate you stopping by and commenting!

    1. I think going forward and seeing growth every other month, will reaffirm my optimizations. Gunning for 1k this year! Lets see what happens.

  11. Dividends can go up and down from month to month when you make changes to your portfolio. The important thing is your yearly dividend. As long as it grows at a good rat of 7% year over year, I would worry about it.

    For me January started well, but the last week wiped out everything. With this market, we just have to sit tight.
    Leo T. Ly recently posted…My $263K DIY Investment LessonsMy Profile

    1. Not too worried about it. Seems every year I have one month of decrease and the rest are relatively good growth rates. Haven’t seen the market like this for so long. But nice to finally see a correction to make some buys on stocks that have been long on my watch list. Thanks for your input.

  12. Great progress to kick off the new year! REITs are a bit risky but the enticing part is ofcourse the high yield. I try to put these securities in my tax advantage account.

    1. Yeah that is the smart play. They get taxed at a higher rate so putting them in a tax advantage account is smart. Risk is what grants higher return, but you have to leverage it right. Know your limits on how much risk you are willing to handle. And diversify to make your portfolio a little safer. I appreciate the input.

    1. I couldn’t agree more. The market swings just make for more appealing buying opportunities. And we can use this opportunity to average down or find a good entry point on something we have had our eye on for a while. Just need to be smart about it and not follow suit in a sell off. Thanks for stopping by and commenting!

  13. The adjustments you made should strengthen your portfolio for the long run – nice work. I had an increase of just under 7% for the month. I’d like to do better, but not all months will be great. I forecast a much better performance for myself in February.
    I agree that seeing an increase in the annual total at year’s end is the best indicator of your progress. From your charts, you are obviously seeing tremendous progress in that regard.
    We share CAH and O from you list of January dividend payers. I recently picked up some O under $50. I enjoyed the update, DD.
    Engineering Dividends recently posted…Recent Buy – XOMMy Profile

    1. Glad to see you started he year off with growth. I agree, some months are greater than others in that regard. I foresee February being quite large on the growth front too. Nice you were able to pick up some O for under $50. Think my last buy of it was around $53. But should even out long term so not too worried about it. Thanks for the comment!

  14. Thanks for sharing, Dividend Daze! It’s awesome to see the progress from your “Total by year” income chart since 2015. I’m hoping to end up somewhere around your total for 2016. It sounds like you made the right decision to add safety and diversification to your portfolio. My portfolio is starting to get a little heavy in the utilities and financial sectors. I plan to add some tech and healthcare this year to balance things out. Keep it up!

    1. Thanks for following along and stopping by to comment. I need to keep further diversifying myself. Healthcare and Financial are the sectors that are still lacking currently for me. But the base is still being built up and core stocks being bought. Just takes time.

Leave a Response

CommentLuv badge