Seeking Alpha
Long only, value, growth at reasonable price, dividend income
Profile| Send Message|
( followers)

On April 8, 2013, I presented a shopping list from my stock universe, with some target buy prices based on dividend yield. It's time to revisit that list of stocks. Several recent dividend increases are reflected in the table below, with target buy prices adjusted upward.

The annual dividend is listed along with what the target price would yield at the current dividend. The stocks are ranked according to the number of consecutive years they have raised their dividend. (For example, Coca Cola has raised its dividend every year since 1963.)

Company (Ticker) Target

Div

Yield

Diebold, Inc. (NYSE:DBD)'5428.751.15

4.0%

Dover Corp. (NYSE:DOV)'5646.671.403.0%
Genuine Parts Co. (NYSE:GPC)'5771.672.153.0%
Procter & Gamble (NYSE:PG)'5768.742.4063.5%
Emerson Electric Co. (NYSE:EMR)'5746.861.643.5%
3M Company (NYSE:MMM)'5972.572.543.5%
Johnson & Johnson (NYSE:JNJ)'6375.432.643.5%
Coca-Cola Co. (NYSE:KO)'6332.001.123.0%
Illinois Tool Works Inc. (NYSE:ITW)'6350.671.523.0%
RPM International (NYSE:RPM)'7422.50.904.0%
Kimberly-Clark Corp. (NYSE:KMB)'7581.003.244.0%
Clorox Co. (NYSE:CLX)'7781.142.84`3.5%
McDonald's Corp. (NYSE:MCD)'7788.003.083.5%
Sysco Corp. (NYSE:SYY)'7728.001.124.0%
Piedmont Natural Gas (NYSE:PNY)'8027.561.244.5%
AFLAC Inc. (NYSE:AFL)'8340.001.403.5%
McCormick & Co. (NYSE:MKC)'8745.331.363.0%
National Retail Prop (NYSE:NNN)'9031.601.585.0%
Realty Income Corp. (NYSE:O)'9543.402.175.0%
PennantPark Inv Corp. (NASDAQ:PNNT)'9610.671.1210.5%
Enterprise Products Prt (NYSE:EPD)'9753.602.685.0%
WP Carey Inc. (NYSE:WPC)'9965.603.285.0%
Urstadt-Biddle Prop (NYSE:UBA)'9920.001.005.0%
Plains All American (NYSE:PAA)'0046.002.305.0%
Norfolk Southern Corp. (NYSE:NSC)'0157.142.003.5%
Southern Co. (NYSE:SO)'0245.112.034.5%
NuStar Energy LP (NYSE:NS)'0246.104.389.5%

AGL Resources Inc. (NYSE:GAS)

'03

37.601.884.5%
Natural Resource Prt (NYSE:NRP)'0422.002.2010.0%
General Mills Inc. (NYSE:GIS)'0443.421.523.5%
Westar Energy Inc. (NYSE:WR)'0427.201.365.0%
Starwood Property Tr (NYSE:STWD)'0926.291.767.0%
Nucor Corp. (NYSE:NUE)'0936.751.474.0%
Eaton Corp. PLC (NYSE:ETN)'1056.001.683.0%
Linn Co. LLC (NASDAQ:LNCO)'1036.233.088.5%
Intel Corp. (NASDAQ:INTC)'1020.00.904.5%
Bristol-Myers Squibb (NYSE:BMY)'1028.001.405.0%
Prospect Capital Corp. (NASDAQ:PSEC)'1010.561.3212.5%
General Electric Co. (NYSE:GE)'1119.00.764.0%
Paychex Inc. (NASDAQ:PAYX)'1126.401.325.0%
LTC Properties (NYSE:LTC)'1237.201.865.0%
PPL Corp. (NYSE:PPL)'1229.401.475.0%
Apple Inc. (NASDAQ:AAPL)'12406.6712.203.0%
Annaly Capital Mgt (NYSE:NLY) 14.401.8012.5%

As of June 7, 2013, six stocks traded below the target price:

  • Annaly at 13.49 is 6.32% below the target price. (I am long NLY. Since April 8, I purchased a few more shares at 14.19. I may buy a few more at 13.15, which would be a 13.5% yield.)
  • Prospect Capital at 10.26 is 2.84% below the target price. (I am long PSEC. Since April 8, I bought a few more shares at 10.38. I may buy a few more at 9.81, which would be a 13.45% yield.)
  • Starwood raised its dividend and at 25.55 is 2.81% below the new target price. (I am long STWD. Since April 8, I bought a few shares at 25.65. I may buy a few more at 23.74, which would be a 7.75% yield.)
  • Southern Company raised its dividend and at $44.44 is 1.49% below the new target price. (I am long SO. I have not made any additional purchases of SO since April 8, but I may buy a few more shares at 42.31, which would be a 4.8% yield.)
  • PPL Corp at 29.29 is .37% below the target price. (I am long PPL. Since April 8, I bought a few shares at 29.80. I should have been more patient. I may buy a few more at 28.00, which would be a 5.25% yield.)
  • WP Carey at 65.54 was just under the target buy price of 65.60. (I am long WPC. Since April 8, I bought a few shares at 66.72--again, I should have been more patient. I may buy a few more at 62.52, which would be a 5.25% yield.)

Some of the stocks have traded below the target price since April 8, but have rallied above the target price. The stocks that closed above but near the target price on June 7 were:

  • NuStar at 47.10 was 2.17% above the target buy price of 46.10. (I am long NS. Since April 8, I bought a few shares at 45.87. I may buy a few more at 43.85.)
  • Natural Resource Partners at 22.50 was 2.27% above the target buy price of 22.00.
  • Realty Income at 44.83 was 3.29% above the target buy price of 43.40. (I am long O. Since April 8 I sold a few shares at 49.72 and I bought a few shares at 44.33. I may buy a few more shares at 42.60.)
  • Clorox raised its dividend and at 84.47 is 4.1% above the revised target buy price of 81.14.

All the other stocks as of June 7 were more than 5% above the target buy price.

This is presented not as a recommendation to buy any of these stocks, but rather as a suggestion for some possible stocks to study. Everyone's situation is different. Do your own due diligence.

I would enjoy hearing what's on your shopping list!

Disclosure: I am long GPC, JNJ, NNN, O, WPC, PNNT, SO, NS, NRP, STWD, ETN, LNCO, PSEC, LTC, PPL, NLY. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article.

Source: Shopping List Revisited