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CEO of a privately held materials science company engaged in the development of new materials for promising energy related applications. From the midwest (Go Blue!), but lucky enough to live in a nice climate today. Great family with three kids - when I'm not coaching or watching their numerous... More
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Chumpmenudo's Investment Portfolio
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  • TEVA & Their Dividend

    From the earnings call with their CEO:

    "I'm particularly pleased to announce today that Teva's Board of Directors elected to increase the company's quarterly dividend by 15%. This increase in our dividend reflects the Board's and management's optimism about the future of our business and Teva's commitment to reward our shareholders. Additionally, as you may have noticed we repurchased approximately $0.5 billion of our stock in the fourth quarter for a total of approximately $1.2 billion in 2012.

    Overall, we returned over $2 billion or 58% of our free cash flow to our shareholders in 2012 through dividends and share repurchases. Teva remains committed to invest in the future of our company. Today as part of our reshape program announced late last year we are announcing our intention to sell our injectable manufacturing facility in Irvine, California. Our desire is to supply more of our products from our more cost-effective locations thereby beginning to optimize our entire network. We currently have five FDA approved sterile manufacturing sites from which to supply product including our new state-of-the-art facility in Godollo, Hungary. Our goal is to sell the Irvine plant to a buyer with a strategic long-term interest in the facility who will continue to manufacture for Teva as we work towards moving these products other locations in our network."

    Long TEVA

    Tags: TEVA
    Feb 08 3:47 PM | Link | Comment!
  • "Hybrid" Dividend Growth Portfolio Update

    Well, 2012 is over, and I've updated the Chumpmenudo Hybrid Dividend Growth portfolio.

    With all the fiscal cliff drama at year's end, stocks were pretty volatile. The last trading day of the year saw a nice uptick in the portfolio, and 2013 is off to a good start.

    Looking back, I started converting my traditional IRA to what I call a "hybrid" dividend growth portfolio in June - August this past year. I'm buying two groups of stocks, and following different "rules" for the two groups. The core holdings are comprised of dividend Champions and Aristocrats, and are stocks I'd like to hang on to into retirement. I don't have full positions in all of these, but intend to have, and add additional names in the coming years as I approach retirement.

    The second group, I call the non-core group, and is also comprised of dividend stocks, but the requirements for this group are less rigorous, and I favor undervalued stocks above all else when selecting holdings for this non-core group. These stocks I expect to appreciate, and will reduce my positions or sell completely when they reach or exceed fair value.

    The goal of the portfolio is to out perform the S&P 500 in all types of markets, and throw off an increasing dividend yield every year.

    Here is a summary of the portfolio for December 31, 2012:

    (click to enlarge)

    Of the 28 total holdings, 12 are core holdings comprising around 40% of the portfolio, and 16 are non-core comprising (with cash) the other 60% of the portfolio.

    So how did the portfolio do versus my stated goal/benchmark? Probably too soon to tell, but so far, pretty well. Here is a performance summary:

    I've managed to construct a portfolio with a weighted average beta of 1.02, about equal to the S&P, but with a superior yield to the S&P (3% vs. 2.12%), and better capital appreciation. It should be noted, of course, that this is just for the last four months of the year, and is too short a time to draw any conclusions.

    I'll continue to monitor, manage, and tweak in 2013, and we'll see what happens.

    Tags: Retirement
    Jan 04 4:12 PM | Link | 2 Comments
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