Finally, it’s time for the monthly dividend income update. My dividend income is meeting every goal and I can’t wait for May’s income to arrive. I’m expecting around $800 in income for this month. As always, you can check the updated info any time in the Dividend Income Spreadsheet and the Portfolio Spreadsheet. I also hope you enjoyed the interview I did.

Summary:

  • Dividend Income $355 or 2,880 NOK
  • Dividend Income increased 70%
  • 10 companies sent a check
  • Portfolio Action: Bought more Kimberly-Clark & Gjensidige. Sold Cisco
  • Project 1: 5-day finance-camp with Goldman Sachs, JPMorgan, and some hedge funds.
  • Traveling: 2 weeks trip to Japan

Once again, my dividend income is in the 3-digit range and the growth is insane. The following companies increased their dividend: Exxon Mobil Corporation increased their dividend by 6.5% which gave me +$3. Enbridge increased by 4.6% which gave me +$7 pf additional income. Tanger Factory Outlet (reviewing this case) increased by 2.2% and netted me +$3.

Dividends Received

  • CSCO   55.22 NOK
  • VER     96.09 NOK
  • GJF      830.70 NOK
  • O         158.82 NOK
  • D         96.83 NOK
  • OMC    84.32 NOK
  • SPOG  1,100 NOK
  • SOR     366 NOK
  • KMB    86.19 NOK
  • PEP      6.34 NOK

Portfolio Action

In total, this turned out to be 2,880 NOK or $355. I bought 17 shares of global tissue maker Kimberly-Clark for around $1,800. Further, I reinvested the dividend in Gjensidige and sold my position in Cisco after a 45% gain within a year. Cisco is a great company, but I feel the need to adjust my portfolio by adding a superb high-quality company which has a negative correlation with the overall market. I’ll use the gain from Cisco to hedge my portfolio. Doing this adjusts the overall risk while also increasing my expected dividend income. Follow along and you will be notified about the purchase. 

For May, I’m expecting around $800 in dividend income. I also noticed that Cardinal Health is dropping like a stone. For my comment on the case, I recently tweeted this:

Glad I did due diligence and sold Cardinal Health at $72.92 (Down 16% today and trades at $55). As I say, collecting Dividend Aristocrat for the sake of collecting isn’t a strategy you shouldn’t too. Prior history has nothing to do with the current status.

Project 1 – Finance Camp

At the start of August, I’ll participate in a global finance camp in Tokyo sponsored by Goldman Sachs, Bloomberg, JPMorgan, and all the other big boys. I just finished an interview here in Tokyo and I’m truly considering working here for a few years. However, while it’s cool to be able to enter the hedge fund or investment banking industry, there’s a major drawback – transportation and stress. I truly hate rush hour and if I start working here, I really need to find a place where I can avoid the hassle. It’s a huge opportunity cost which can’t be neglected.

Traveling

Stayed at a 5-star hotel courtesy of a friend who gave it to me for free! Went to Gifu, Osaka, and Kobe with some friends and enjoyed eating raw bear and doing many onsens.

The Party Aftermath:

Strong zeroes (0.5L) with 9% alcohol is super dangerous. Just look at these guys

Take care,

Stockles

 


12 Comments

Mr ATM · May 13, 2018 at 5:02 am

Haha liked the rush hour picture and the drunks. Though it could be a pretty awesome opportunity and experience to live and work in Japan. Better start learning Japanese too.

Regarding your Cisco sale, well l’m curious what you would buy to hedge the market. Also why even worry about hedging if you are buying it for dividends and long term?

I’ve just built a brand new stock portfolio in my health savings account. Will share details in a post.

    Stockles · May 14, 2018 at 2:16 pm

    Man, I’ve already started. Goldman Sachs said that I needed to speak at least basic Japanese so now using Memrise to learn it (great app!)

    Looking forward to posting the new company for sure. It’s not just about hegding, it’s also about that for tech, it’s so much easier to go with funds which I do with my DNB Technology fund.

    Yeah I saw that tweet. Eager to see what you buy!

      Mr. ATM · May 14, 2018 at 5:01 pm

      I’m going to check out that app you mentioned. I’m tired of just saying “So Desu Ka?” in all my conversations to pretend I understand what the other person is saying 😉 Thanks

        Stockles · May 14, 2018 at 9:51 pm

        Nani ga facku – Sugoi! hah. Great:) Much better than Duolingo or anything like that.

Mr. Robot · May 13, 2018 at 8:05 am

$355 and 70% growth, check yeah!

Love the pictures of Japan and the famous train people. It still amazes me that this is a real job. 🙂 You can’t argue their train punctuality though, recently there was an apology from the railroad that a train left 20 seconds early….

    Stockles · May 14, 2018 at 2:19 pm

    Glad you enjoyed the pictures Mr. Robot =) Man, so true. I’m still amazed that everyone puts so much soul and hardwork into everything without getting any reward such as tip or raise.

DutchIndependence · May 13, 2018 at 8:44 am

Cool update, love the extra photos at the end! Nice gains and I totally understand the CSCO sell, I did the same back in February to reposition my portfolio.
Keep up the great work!

DI

    Stockles · May 14, 2018 at 2:21 pm

    Hi DutchIndependence!

    Thanks man! Highly appriciate it! Cool, interesting to hear that you also sold CSCO. A few guys on SA said stuff like “terrible mistake and such…” but I think it’s okey to sell CSCO now if one can replace the money into something more attractive

Dividend FIREman · May 13, 2018 at 1:57 pm

Nice summary Stockles. Congrats on getting out of CAH when you did. I think the stock is now undervalued and will ultimately recover, but management seems determined to make it harder than it should be to exploit their competitive advantage.

I own Cisco and it has done well for me so far. I’m looking forward to your post on your new purchase – that is an interesting move.

    Stockles · May 14, 2018 at 2:25 pm

    Hi Dividend FIREman!

    Thanks man 🙂 Yeah, maybe if you look at the fundamentals and historical prices, but I think the concept of the “middle-man” might fade away. Atleast the competision is harder with Amazon and general e-commerce. In so, I think that the recent value-drop might show the true value of CAH and one should be very carefull about using prior prices and fundamentals when analyzing CAH. Well, we just have to wait and see I suppose. Thanks for commenting!

Dividend Daze · May 14, 2018 at 12:53 pm

Glad you had a good time in Japan. Looks really fun. Your dividend growth this year has been amazing. Sad seeing CAH go from a 13% increase to making 3% increases in their dividend. Guess you got out at a good time.

    Stockles · May 14, 2018 at 2:23 pm

    Hi DD,
    Yeah man. It’s crazy how fast this is going. I’m quite sure I’ll hit $3000 this year (and note that I always neglect the dividends from my index-funds).

    Seems so. But I must say that I think it’s interesting to see the connection between decreased dividiend growth and falling EPS -> Lower stock price -> lower shareholder return.

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