Recent Buy – General Mills (GIS)
I can’t believe it has been so long since I made a purchase. My last stock purchase was back in early May. Had a few big expenses hindering my purchases since then, but it is nice to be back on track and making some moves in my portfolio. Last week I hinted at making a new purchase in my June 2017 Stock Poll Results. I selected one of those 8 stocks from the poll that I thought had great value at these prices and picked up a few shares. If you haven’t already figured it out, I purchased 9 shares of General Mills (GIS) at $56.59. You can find more info on GIS below.
Annual Dividend: $1.92
Years Paying/ Increasing: 13 years
Dividend increase from prior year: 8.33%
Payout Ratio: 62.7%
P/E Ratio: 20.83
I already had GIS in my portfolio before this buy. Actually, they were the first stock I purchased since starting this site so I am happy to finally be able to add to my position. You can find the details of the first buy here. The reasons for adding more to my current position are the same as buying them in the first place. Since I have already posted about that, feel free to review that post. Comes down to great dividend yield, history of increasing dividends, good financials, and manageable payout ratio. This new buy will also lower my overall cost basis. As shown in the results of the poll, GIS is very popular amongst the DGI community, ranking 3rd from the list of 8 choices. Only losing by 2 votes to the winner CSCO.
With these new shares, I now own 25 (not including any partials from dividends already reinvested) in my portfolio. As shown above, GIS has a dividend yield of 3.42% or $1.92 annually. This will add another $17.28 to my yearly dividend income.
What do you think of this buy? Do you like GIS and do you currently own any? Do you have any other companies that are on your watch list or any other companies you would choose over them?