My Dividend Growth Portfolio Update - November 2018

Dividend Growth Update - November 2018

I am sharing my dividend growth portfolio at the beginning of December 2018. Since then I have gradually invested in stocks which have proven records of paying dividends and most of them increase their dividends yearly. I am reinvesting all the dividends. My main trading platform is Robinhood. You can join for free and if you sign up following the link both you and me will get a free share. In my first referral, I received one JP Morgan Chase stock (Ticker: JPM). Below is my current portfolio holdings:

Portfolio Breakdown:

The following pie chart shows the breakdown of my stocks allocation by sector. I have chosen the sectors from Morningstar. The pie chart shows that my most investment is in the financial sector (25%), then the second majority is in the consumer sector with 24%. My third biggest is in the Technology sector (13%) which is followed by Healthcare (12%), Industrial (10%), and in the Communication sector (9%). I have invested a small percentage in Basic materials, Real Estate, and in the Energy sector with each around 2 to 3%.

Portfolio Performance Comparison:

My portfolio performances compared to Morning Star US Market Index fund in the following figure. The comparison shows that the performance is better than the index fund.

The following figure compares my portfolio with S & P 500 TR. The figure shows that my performance is exactly the same in the month of November 2018.

Source: Morning Star

Dividend Performance:

The chart below shows the performance of my dividends received from my holdings.

Source: Morningstar and Seeking Alpha

Dividend Meter:

In this month my annual dividend income decreased a little bit because I have sold some dividend shares and holding cash in order to buy some great dividend stocks with a big discount. The market was crashing in November especially tech stocks so I decided to lower my position in Western Digital (WDC) and Cypress Semiconductor (CY). Although I doubled my Apple (AAPL) position in this month. So my current annual dividend income is 773$ and my target is to get 70,000$ annually. Still, a long way to go. As I am young, I have a lot of time left to achieve this goal.

 Dividend Meter prepared using Google Sheet

My current yield is not that high. I believe that I should move it to 3%. However, I am planning to increase my yield on cost (YOC). That's why I have purchased some low yield stocks who has lots of potentials to grow the dividends. These stocks are Mastercard (MA), Visa (V), Microsoft (MSFT), Apple (AAPL), Southwest Airlines (LUV) etc. These stocks recently raised their dividends really aggressively. Thinking about long-term, I really have a great chance to raise my YOC.

Company Performance:

The table summarizes the performances of my stocks those I am currently holding. I am observing Colgate-Palmolive (CL) and Ally Financial (ALLY). I am not interested to hold them for long term. I will sell them when the market is bullish mode. 

Source: Morningstar & Seeking Alpha

Stocks Sold in November:

I sold some tech stocks in November. I sold 50% of my investment in Cypress Semiconductors (CY) and Western Digital (WDC). I have also sold all of my General Electric (GE) shares. I suffered 52% loss in GE. My worst investment ever.

Stocks Bought in November:

With that money that I got from selling, reinvested again in Apple (AAPL). I doubled my holdings in AAPL. I also initiate investing in Cedar Fair (FUN). In the coming months I am planning to invest in The Kraft & Heinz (KHC) and in JP Morgan (JPM) and Bank of America (BAC).