The patterns that this company's share prices fluctuate within are worth following if a secure income investment with capital appreciation is your goal.
I have a modest position but with a cost basis in the low 40s. I know it's unlikely we'll see those prices again but it would be nice to get the opportunity to add more sub-$65/ around a 4.2% yield.
I love O and thought I would never sell, but I am also facing the same dilemma as many of you. I am up about 40+%, and my current gains would be the equivalent of 10+ years worth of dividends. So I could sell now, take a nice profit, re-invest in something yielding 7+%, and wait for a pullback to go back to O. I do not see my portfolio without O for long periods of time, but if it reaches $75 it's going to be hard to justify not selling.
Did you buy it for the dividend or for a capital gain? I bought it for the long term and if it goes down $10, that just means the dividends will reinvest into more shares.
If O follows its pattern from 2018, the $.2265 dividend will be paid July, Aug, Sept, then increased another $.0005 to $.227 for Oct, Nov and Dec. If so, this will reduce the dividend growth rate from 4.12% in 2018 to 3.0% for 2019.BruceM
Have to disagree. Drip ALL THE TIME. it all averages out. You can’t time the bottom or the top. You will probably wait too long and miss out. Been dripping since 2010 and slowly getting rich.
Did some math. In since O has paid .1723 per month @ 38.75. Now I’m earning 7% based on the current dividend. Didn’t actually take a lifetime. My decision is hold. To sell is an unknown for me at this time. I could potentially invest in an issue which does not hold up well in a bearish market. If O goes down, I would buy some more.
I follow the same approach. Only as an alternative way of thinking: you could also take your 85% capital gain and invest into a higher current yield, which would earn you even more on your initial O investment (BPR with 7.2% current yield would give you >13% in your initial O investment)Anyway, too complicated for me - I stick with my winners :-) long and happy O
Many investments in my portfolio would be worth zero using your logic, but for some reason they are not. Instead they are worth a lot more than the original cost was.