tag:blogger.com,1999:blog-6097510160054715524.post4191228539148925833..comments2024-01-03T21:42:28.979-08:00Comments on DivGro: Recent Buy: HPFerdiShttp://www.blogger.com/profile/05008021146951839361noreply@blogger.comBlogger18125tag:blogger.com,1999:blog-6097510160054715524.post-89419600043935886602014-12-14T07:13:56.607-08:002014-12-14T07:13:56.607-08:00That's an excellent entry point -- much better...That's an excellent entry point -- much better than mine! Congratulations on joining the dividend growth investing journey!FerdiShttps://www.blogger.com/profile/05008021146951839361noreply@blogger.comtag:blogger.com,1999:blog-6097510160054715524.post-73139165522976565022014-12-13T18:53:08.943-08:002014-12-13T18:53:08.943-08:00I Just Started my Dividend Journey and bought my f...I Just Started my Dividend Journey and bought my first stock on Friday its HP at $60.49 Montynoreply@blogger.comtag:blogger.com,1999:blog-6097510160054715524.post-15402438495927518432014-11-23T22:26:16.395-08:002014-11-23T22:26:16.395-08:00Surely, interest of less than 1% does not beat inf...Surely, interest of less than 1% does not beat inflation! That means the savings are losing value over time... <br /><br />The life insurance sounds interesting, though I can't quite understand how that works. Is there an age when it kicks in? I have a colleague from Germany -- I'll ask him if he knows about this.<br /><br />Take care!FerdiShttps://www.blogger.com/profile/05008021146951839361noreply@blogger.comtag:blogger.com,1999:blog-6097510160054715524.post-30890556476796726842014-11-23T10:42:02.661-08:002014-11-23T10:42:02.661-08:00Here in Germany we have a 'special relationshi...Here in Germany we have a 'special relationship' towards stocks in gereral.<br />Most people like to bring their money to the local bank to get interest of less than 1%!.<br />The majority of all Germans has a life insurance in which they spend a huge sum of their income to have some money back when they retire.<br />We are far away from IRA's, ROTH's or 401's like you in the States!<br />AlexAnonymoushttps://www.blogger.com/profile/17847835281820655524noreply@blogger.comtag:blogger.com,1999:blog-6097510160054715524.post-19705685629301965662014-11-21T05:36:01.438-08:002014-11-21T05:36:01.438-08:00Hi Alex -- thanks for stopping by and congratulati...Hi Alex -- thanks for stopping by and congratulations on your purchase! Good to have you as a fellow shareholder. I'm wondering why you say the ideas behind DGI are not so popular in Germany? Are there other investment vehicles that hedge against inflation and could eventually provide stable, passive income to afford financial independence? FerdiShttps://www.blogger.com/profile/05008021146951839361noreply@blogger.comtag:blogger.com,1999:blog-6097510160054715524.post-5353243298063762862014-11-21T01:05:41.399-08:002014-11-21T01:05:41.399-08:00Today I also bought 27 shares of HP @ $80.6! It wa...Today I also bought 27 shares of HP @ $80.6! It was my second US dividend growth investment. Earlier this year I bougth shares of Realty Income (O). <br />I like the ideas behind DGI, but they are not so popular here in Germany.<br />Thanks for your great work over there!<br />AlexAnonymoushttps://www.blogger.com/profile/17847835281820655524noreply@blogger.comtag:blogger.com,1999:blog-6097510160054715524.post-6579720689924672332014-11-18T13:26:35.161-08:002014-11-18T13:26:35.161-08:00Yes, not sure why HP is not more popular... I thin...Yes, not sure why HP is not more popular... I think its a real hidden gem! The price has declined even further and the stock is now yielding 3.53%. Even better buy now!<br /><br />Cheers<br />FerdiSFerdiShttps://www.blogger.com/profile/05008021146951839361noreply@blogger.comtag:blogger.com,1999:blog-6097510160054715524.post-75577803330283843602014-11-17T13:20:03.331-08:002014-11-17T13:20:03.331-08:00Not sure why HP isn't more popular among the d...Not sure why HP isn't more popular among the dividend growth investor blogs. It currently sports a great valuation, nice yield and extensive dividend raise history. With oil depressed it seems like any energy play is the way to go these days. Thanks for sharing.DivHuthttp://divhut.comnoreply@blogger.comtag:blogger.com,1999:blog-6097510160054715524.post-52559715615592950132014-11-17T08:40:22.831-08:002014-11-17T08:40:22.831-08:00Hi writing2reality
Yes, we can only act on availa...Hi writing2reality<br /><br />Yes, we can only act on available information, which is how I rationalize my action :-). Also, HP could have had great earnings causing the price to pop 7%... you just don't know beforehand!<br /><br />Jason at Dividend Mantra has the same concern about HP's rapid payout increase over the last few years. A drop in earnings could make things challenging for HP. What I'm betting on is that with their low debt levels and reasonable current payout ratio of 43%, HP would be able to weather the storm for a few years. And if they hit a bump in the road, they can always return to smaller dividend increases for a while until things return to "normal". <br /><br />As a Dividend Champion, I have reasonable confidence in HP continuing to grow their dividend, and 3.21% is good enough for me for a long term investment...<br /><br />Take care<br />FerdiSFerdiShttps://www.blogger.com/profile/05008021146951839361noreply@blogger.comtag:blogger.com,1999:blog-6097510160054715524.post-29444504094155910152014-11-17T08:27:14.006-08:002014-11-17T08:27:14.006-08:00Hi Huw -- as mentioned above, HP doesn't seem ...Hi Huw -- as mentioned above, HP doesn't seem to be on the radar of most dividend growth investors. I've been following it for a while now, as it has topped my monthly dashboard for 6 months running. The past two months, it improved to 7 stars in my rating system, mainly because its stock price dropped to discount to fair value territory. <br /><br />I'm glad to have a UK-based reader! Personally, I'm focusing on stocks trading on U.S. exchanges, including foreign stocks trading as ADRs. <br /><br />Good luck with your investing!<br /><br />Cheers<br />FerdiS<br /><br />FerdiShttps://www.blogger.com/profile/05008021146951839361noreply@blogger.comtag:blogger.com,1999:blog-6097510160054715524.post-5457781584701676892014-11-17T08:22:43.765-08:002014-11-17T08:22:43.765-08:00Hi Dividend Mongrel!
BP is not currently on my w...Hi Dividend Mongrel! <br /><br />BP is not currently on my watch list as I look for a streak of dividend increases of at least 5 years. BP needs one more year of increases to become a candidate again. <br /><br />I think you may be right about continued weakness in oil prices. One reason seems to be geopolitical, which is a rather complex scenario that needs to play out first. Personally, though, I don't want to miss out on dividends while this happens -- and HP should weather the storm better than most, in my view. <br /><br />Thanks for commenting!FerdiShttps://www.blogger.com/profile/05008021146951839361noreply@blogger.comtag:blogger.com,1999:blog-6097510160054715524.post-28820054525745035002014-11-17T08:16:53.433-08:002014-11-17T08:16:53.433-08:00Ah yes, hindsight is always 20/20 on the timing. H...Ah yes, hindsight is always 20/20 on the timing. Happened to me before when trying to snag the dividend payment and the price turned around dropped on me!<br /><br />The real thing holding me back on HP is the huge increase in payout over the last couple of years. While strong increases are fantastic, they're burning up payout ratio at a unbelievable clip, so if any bump in the road occurs, they might be in a tight spot. Of course, this might be unfounded given their dividend increase history, but prior to a couple of years ago, their DG growth metrics weren't all that spectacular. From 1999-2009, they had an average increase of just 3.64%, with that number being pulled upward to 5.56% if you include 2010-2012. <br /><br />At the end of the day, they are a well run company and look to be rewarding shareholders in spades as a result of their success, so best of luck with this investment!writing2realityhttp://www.writeyourownreality.comnoreply@blogger.comtag:blogger.com,1999:blog-6097510160054715524.post-13009126497372078442014-11-17T08:13:43.892-08:002014-11-17T08:13:43.892-08:00Thanks, AFFJ -- you're right, several energy r...Thanks, AFFJ -- you're right, several energy related stocks are nearing bargain territory. That's one reason I decided to buy HP even though I'm overweight in Energy sector stocks. I think there's good value there...<br /><br />Take care!FerdiShttps://www.blogger.com/profile/05008021146951839361noreply@blogger.comtag:blogger.com,1999:blog-6097510160054715524.post-58752231395774596872014-11-17T08:10:40.746-08:002014-11-17T08:10:40.746-08:00Hi Jason -- thanks for stopping by!
Yes, as menti...Hi Jason -- thanks for stopping by!<br /><br />Yes, as mentioned in my post, HP has been at the top of my monthly dashboard for 6 months running. And its the only stock that earns 7 stars in my rating system, which is reserved for the very best. <br /><br />I appreciate your concern about the rapid dividend raises. Hopefully, HP's very strong financials would see them through a period of oil price decline. HP owes practically nothing and EPS payout ratio is still low at 43%. <br /><br />Interestingly, HP is one of the stocks that is flying below the radar of most dividend growth investors. I'm betting its one of those hidden gems, so I'm happy to be an investor here. With the 7% drop since my purchase, I think it is even more compelling...<br /><br />Cheers<br />FerdiSFerdiShttps://www.blogger.com/profile/05008021146951839361noreply@blogger.comtag:blogger.com,1999:blog-6097510160054715524.post-71021533386896944722014-11-16T23:21:39.749-08:002014-11-16T23:21:39.749-08:00Hi Divgro,
I haven't come across this company...Hi Divgro,<br /><br />I haven't come across this company before, but their numbers are looking very impressive. A fantastic dividend history, a nice yield and growth rate, encouraging projections, and all at a fair price. It looks like you have a very nice investment there.<br />I'm based in the UK, so I'm focused on bringing up shares in the FTSE All-share for now, but I'm always open to buying shares overseas moving forward.<br /><br />All the best!<br />Huw<br />Huwhttp://financiallyfreebyforty.blogspot.co.uk/noreply@blogger.comtag:blogger.com,1999:blog-6097510160054715524.post-35280073762658248752014-11-16T21:35:58.809-08:002014-11-16T21:35:58.809-08:00Hey Divgro,
HP is definitely a great buy right now...Hey Divgro,<br />HP is definitely a great buy right now and I have also been watching BP.I haven't pulled the trigger yet because I have a gut feeling that oil prices might weaken a little more throughout the 2014. The only thing related to oil in my portfolio is SDRL but I would like to add and energy giant like CVX or XOM as well. Let's see what happens and good luck on your investment. Anonymoushttps://www.blogger.com/profile/00096005621734845090noreply@blogger.comtag:blogger.com,1999:blog-6097510160054715524.post-39122247339117135792014-11-16T20:54:25.976-08:002014-11-16T20:54:25.976-08:00With oil prices dropping, so are the prices of man...With oil prices dropping, so are the prices of many stocks oil related companies. There are a lot of great bargains out there in this sector right now. Going with a dividend champion is not a bad idea...I like the buy.<br /><br />Thanks for sharing your purchase. AFFJA Frugal Family's Journeyhttps://www.blogger.com/profile/05093532273552790517noreply@blogger.comtag:blogger.com,1999:blog-6097510160054715524.post-91832203870655519392014-11-16T19:47:38.708-08:002014-11-16T19:47:38.708-08:00Ferdi,
Nice buy here!
I actually took a look at ...Ferdi,<br /><br />Nice buy here!<br /><br />I actually took a look at HP recently for DTA and concluded the valuation was pretty compelling. Great history of dividend raises and seems to operate at a super high level. <br /><br />The only thing that concerned me was that they just very recently started paying out such a big dividend, so I worry if it might get cut if this oil price decline is protracted. In addition, most of their operations are in the US, so they're not quite as diversified as I'd like to see. <br /><br />Seems like a great buy. I recently went with a different oil services stock, but HP has a fantastic history. If I were to buy a driller, it would be HP. And I may pick up shares at some point here. <br /><br />Best regards. Dividend Mantrahttp://www.dividendmantra.comnoreply@blogger.com