The
British drug manufacturer GlaxoSmithKline is the next stock purchase for my
Dividend Yield Passive Income Portfolio (DYPI). I bought 30 shares at $52.16,
the ADR version of the British stock.
The total purchase amount was $1,569.80
and represents roughly 1.5 percent of the full portfolio value.
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| Dividend Yield Passive Income Portfolio (Click to enlarge) |
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| Latest Portfolio Transactions (Click to enlarge) |
GlaxoSmithKline
discovers, develops, manufactures, and markets pharmaceutical products,
over-the-counter medicines, and health-related consumer products worldwide. It
offers pharmaceutical products in various therapeutic areas comprising
respiratory, anti-virals, central nervous system, cardiovascular and
urogenital, metabolic, antibacterials, oncology and emesis, dermatology, rare
diseases, immuno-inflammation, vaccines, and HIV. The company provides prescription
medicines to treat a range of conditions, including infections, depression,
skin conditions, asthma, heart and circulatory disease, and cancer.
GSK
is one of the world’s leading drug manufactures with a solid non pharmaceutical
division. It sells also oral care products and is the second biggest global
player behind Colgate. The current dividend yield is above the 5 percent mark
at 5.29 percent and the price to earnings ratio amounts to 18.90. The stock
started to gain more momentum which resulted in a year to date gain of 21.81
percent.
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| Earnings and Dividends From GlaxoSmithKline GSK |
The
new GSK stake gives me $70.35 dividend income. The full portfolio dividend
income is now estimated at $1,405.61. I plan to increase the total number of
stocks by the end of the year to 50-70. As a result, the dividend income should
grew to $3,000 to 4,000.
All
I need to do is to hunt further for stocks with a yield over 3 percent. As of
now, the acquisition process was successful done with a yield on cost of 3.26%.
The
DYPI-Portfolio was funded virtual on October 04, 2012 with 100k. Each week, I
try to put one stock into the portfolio with a solid dividend growth history as
well as an attractive yield. It’s a slow buying process but in line with my
strategy to show you how long-term dividend investing works.
Not
all stocks will deliver a great performance over the time but I believe that
the huge amount of stockholdings should result in an adequate annual return of
at least 8 percent of which 3 percent are dividends.
Because
of the slow purchase process and the high cash amount, the full portfolio
performance is up 4 percent since the date of funding. A deeper look at the
stockholdings shows that the core performance is at 8.46 percent, a value
better than the Dow Jones, Nasdaq and S&P 500.
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| Portfolio Performance (Click to enlarge) |
Here is the income perspective of the portfolio:
Sym
|
Name
|
P/E Ratio
|
Dividend Yield
|
|
Buy
|
# Shrs
|
Income
|
Value
|
TRI
|
|
13.3
|
3.88
|
|
28.90
|
50
|
$64.25
|
$1,659.00
|
LMT
|
Lockheed Martin C
|
11.35
|
4.38
|
|
92.72
|
20
|
$86.00
|
$1,979.40
|
INTC
|
Intel Corporation
|
11.68
|
3.79
|
|
21.27
|
50
|
$44.25
|
$1,170.00
|
MCD
|
McDonald's Corpor
|
18.72
|
2.91
|
|
87.33
|
15
|
$44.10
|
$1,513.35
|
WU
|
Western Union Com
|
8.69
|
3.07
|
|
11.95
|
100
|
$45.00
|
$1,458.00
|
PM
|
Philip Morris Int
|
18.2
|
3.55
|
|
85.42
|
20
|
$67.18
|
$1,906.20
|
JNJ
|
Johnson & Johnson
|
23.15
|
2.86
|
|
69.19
|
20
|
$48.80
|
$1,702.40
|
MO
|
Altria Group Inc
|
17.46
|
4.81
|
|
33.48
|
40
|
$69.20
|
$1,442.80
|
SYY
|
Sysco Corporation
|
19.15
|
3.16
|
|
31.65
|
40
|
$44.00
|
$1,392.00
|
DRI
|
Darden Restaurant
|
15.54
|
3.92
|
|
46.66
|
30
|
$60.00
|
$1,529.70
|
CA
|
CA Inc.
|
13.23
|
3.84
|
|
21.86
|
50
|
$50.00
|
$1,299.00
|
PG
|
Procter & Gamble
|
17.38
|
2.99
|
|
68.72
|
25
|
$57.20
|
$1,927.50
|
KRFT
|
Kraft Foods Group
|
18.65
|
3.93
|
|
44.41
|
40
|
$80.00
|
$2,036.80
|
MAT
|
Mattel Inc.
|
19.46
|
2.88
|
|
36.45
|
40
|
$51.60
|
$1,786.00
|
PEP
|
Pepsico Inc. Com
|
21.22
|
2.6
|
|
70.88
|
20
|
$43.00
|
$1,650.20
|
KMB
|
Kimberly-Clark Co
|
22.51
|
2.93
|
|
86.82
|
15
|
$45.45
|
$1,546.80
|
COP
|
ConocoPhillips Co
|
8.68
|
4.48
|
|
61.06
|
20
|
$52.80
|
$1,178.20
|
GIS
|
General Mills In
|
18.09
|
2.67
|
|
42.13
|
30
|
$39.60
|
$1,490.40
|
UL
|
Unilever PLC Comm
|
21.3
|
2.95
|
|
39.65
|
35
|
$43.89
|
$1,493.80
|
NSRGY
|
NESTLE SA REG SHR
|
19.69
|
3.11
|
|
68.69
|
30
|
$65.31
|
$2,094.84
|
GE
|
General Electric
|
16.26
|
3.28
|
|
23.39
|
65
|
$46.80
|
$1,443.65
|
ADP
|
Automatic Data Pr
|
23.29
|
2.49
|
|
61.65
|
25
|
$41.50
|
$1,664.75
|
K
|
Kellogg Company C
|
24.64
|
2.66
|
|
61.52
|
25
|
$43.75
|
$1,642.50
|
KO
|
Coca-Cola Company
|
22.16
|
2.47
|
|
38.83
|
40
|
$41.80
|
$1,684.00
|
RTN
|
Raytheon Company
|
10.7
|
3.46
|
|
57.04
|
20
|
$41.00
|
$1,204.00
|
RCI
|
Rogers Communicat
|
14.72
|
3.32
|
|
51.06
|
30
|
$48.69
|
$1,479.60
|
GPC
|
Genuine Parts Com
|
18.24
|
2.68
|
|
77.06
|
20
|
$40.44
|
$1,500.80
|
TSCDY
|
TESCO PLC SPONS A
|
230
|
4.11
|
|
17.98
|
70
|
$49.63
|
$1,227.45
|
APD
|
Air Products and
|
15.4
|
3.06
|
|
85.71
|
15
|
$39.45
|
$1,283.85
|
GSK
|
GlaxoSmithKline P
|
18.93
|
5.29
|
|
52.16
|
30
|
$70.35
|
$1,564.80
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$1,405.61
|
$42,875.69
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average Yield
|
3.28%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Yield On Cost
|
3.26%
|
