Diversified Industrial Technology Company 3M Completes The Dividend Yield Passive Income Portfolio

Despite the small correction within the financial markets, the asset prices for high-quality dividend growth stocks are still high. We need a bigger correction to get back to normal prices but the current forces are too strength. It’s a process of valuation adjustments – stock yields come down to bond yields.

Last Friday, I put 15 shares of the industrial conglomerate into the Dividend Yield Passive Income (DYPI) Portfolio. I bought the company at 110.27 which resulted into a total purchase amount of $ 1,654.05. Below is a graph of the latest earnings and dividend developments from the recent five years.

Earnings and Dividends of MMM 3M

3M Company is a diversified technology company with a presence in the industrial and transportation; health care; consumer and office; safety, security and protection services; display and graphics, and electro and communications businesses. 3M manages its operations in six business segments: Industrial and Transportation; Health Care; Consumer and Office; Safety, Security and Protection Services; Display and Graphics, and Electro and Communications. 

MMM is also not cheap but compared to other dividend champions lower valuated. The current P/E amounts to 17.42 while the forward P/E is calculated at 15.02. Investors get a yield of 2.30%.

Dividend Yield Passive Income Portfolio (Click to enlarge)

Latest Portfolio Transactions (Click to enlarge)

The 3M position is the eleventh biggest position within the DYPI-Portfolio. The portfolio has now 34 constituents and was funded on October 04, 2012. I plan to purchase each week one stake at cost between $1 to $2k. As a result, the cash reduced from $100k to $51. It’s a strategy of slow purchase and if the markets go further strong up, I need to close my acquisition process and rest on cash. The current valuation is too high to get good long-term yields.

What happened with my current holdings? They realized a gain of 10.24 percent. Because of the high cash amount (around 50 percent of the portfolio is still not invested), the portfolio performance life-to-date amounts to 5.46%.

The new stake will give me around $37 bucks per year in additional dividend income. The full year estimated passive dividend income is now at $1,718.

Here is the income perspective of the portfolio:

Sym	Name	P/E Ratio	Dividend Yield		Buy	# Shrs	Income	Value
TRI	Thomson Reuters C	16.66	3.68		28.90	50	$64.50	$1,761.50
LMT	Lockheed Martin C	12.28	4.05		92.72	20	$86.00	$2,141.20
INTC	Intel Corporation	12.02	3.68		21.27	50	$44.25	$1,196.15
MCD	McDonald's Corpor	18.74	2.91		87.33	15	$44.10	$1,504.35
WU	Western Union Com	9.9	2.73		11.95	100	$45.00	$1,645.00
PM	Philip Morris Int	18.13	3.56		85.42	20	$67.18	$1,882.40
JNJ	Johnson & Johnson	23.69	2.86		69.19	20	$49.80	$1,736.40
MO	Altria Group Inc	17.06	4.69		33.48	40	$69.20	$1,483.60
SYY	Sysco Corporation	20.09	3.18		31.65	40	$44.00	$1,392.80
DRI	Darden Restaurant	16.23	3.76		46.66	30	$60.00	$1,584.90
CA	CA Inc.	13.21	3.66		21.86	50	$50.00	$1,370.00
PG	Procter & Gamble	17.63	2.91		68.72	25	$57.20	$2,047.00
KRFT	Kraft Foods Group	21.14	3.51		44.41	40	$80.00	$2,280.40
MAT	Mattel Inc.	19.72	2.84		36.45	40	$51.60	$1,825.20
PEP	Pepsico Inc. Com	21.04	2.62		70.88	20	$43.00	$1,651.60
KMB	Kimberly-Clark Co	22.31	2.95		86.82	15	$45.45	$1,552.65
COP	ConocoPhillips Co	10.19	4.2		61.06	20	$52.80	$1,250.60
GIS	General Mills In	17.89	2.7		42.13	30	$39.60	$1,469.40
UL	Unilever PLC Comm	21.71	2.96		39.65	35	$44.91	$1,513.05
NSRGY	NESTLE SA REG SHR	19.11	3.2		68.69	30	$65.31	$2,049.00
GE	General Electric	17.53	3.04		23.39	65	$46.80	$1,529.45
ADP	Automatic Data Pr	23.79	2.37		61.65	25	$41.50	$1,746.25
K	Kellogg Company C	25.42	2.71		61.52	25	$43.75	$1,611.25
KO	Coca-Cola Company	21.94	2.49		38.83	40	$41.80	$1,689.60
RTN	Raytheon Company	11.71	3.07		57.04	20	$41.00	$1,334.60
RCI	Rogers Communicat	13.65	3.46		51.06	30	$48.69	$1,390.50
GPC	Genuine Parts Com	19.79	2.47		77.06	20	$40.44	$1,628.00
TSCDY	TESCO PLC SPONS A	N/A	4.05		17.98	70	$49.63	$1,212.40
APD	Air Products and	16.87	2.79		85.71	15	$39.45	$1,408.95
GSK	GlaxoSmithKline P	19.27	4.45		52.16	30	$70.38	$1,589.10
WMT	Wal-Mart Stores	15.04	2.27		79.25	20	$34.72	$1,546.20
BTI	British American	17.81	3.67		114.6	13	$53.82	$1,466.53
CHL	China Mobile Limi	10.5	1.98		55.32	25	$26.33	$1,330.50
mmm	3M Company Common	17.41	2.22		110.27	15	$36.75	$1,654.05
							$1,718.95	$54,474.58
							Average Yield	3.16%
							Yield On Cost	3.49%

41 Stocks And Funds Hiked Dividends Last Week

Stocks with dividend hikes from last week originally published at “long-term-investments.blogspot.com”. Last week, additional 41 stocks and funds announced to raise dividends. The average dividend growth amounts to 34.59 percent. On the list are some big Players from the financial sector like JP Morgan Chase or W.R. Berkley. Also the tech giant Hewlett-Packard raised its dividend by 10 percent despite the operational problems. Twelve companies announced to pay a first dividend ever and ten stocks reduced its payments last week.

The good thing is that dividend growth is definitely stronger established than dividend cuts.

4 Latest Dividend Paying Stocks With High Yields

Investing money into dividend paying stocks can be a good investment strategy especially if you want revenue coming in reliably. Dividend paying stocks can perform better than the overall market during the times in which stock prices are weak. 

A stocks that pay dividends are generally more conservative and have stronger cash flows.

Dividends, a process of returning actual cash to shareholders, also provide an indication of the strength underlying business of the stock. Investors who want to invest in these stocks should pay attention to how those companies pay their dividends. I have collected some of the best dividend paying stocks which can be beneficial for you.

PetroLogistics LP (NYSE: PDH) –

PetroLogistics LP owns and operates the world’s largest propane dehydrogenation facility. The company is located in the vicinity of the Houston Ship Channel. The company has an annual production capacity of approximately 1.45 billion pounds of propylene. It derives its sales from three different sources: propylene sales, Hydrogen sales and mixed stream of butane and butylenes and heavier hydrocarbons sales.

It has a market capitalization of 1.93 Billion, EPS is 0.33, P/E ratio is 41.78 and the dividend yield is 10.30% at the annual dividend payout of 0.67.

Sandridge Mississippian Trust I (NYSE: SDT) –

Sandridge Mississippian Trust I is a statutory trust. It was created to acquire and hold the Royalty Interests for the benefit of Trust unitholders. It conveyed to the trust the Royalty Interest in specified oil and natural gas properties in the Mississippian formation in Alfalfa, Garfield, Grant, Major and Woods counties in Oklahoma.

The company has a market capitalization of 361.20 Million, EPS is 2.85, P/E ratio is 4.53 and the dividend yield is 18.31% at the annual dividend payout of 0.59.

Newcastle Investment Corp. (NYSE: NCT) –

Newcastle Investment Corp. is a real estate investment and finance company. It invests in and actively manages a portfolio of real estate securities, loans, excess mortgage servicing rights and other real estate related assets. Its segments include unlevered CDs, unlevered excess MSRs, and Resource. On May 15, 2013, the company announced the spin-off of New Residential Investment Corp.

It has a market capitalization of 1.46 Billion, EPS is 2.85, P/E ratio is 2.01 and the dividend yield is 15.38% at the annual dividend payout of 0.22.

Resource Capital Corp. (NYSE: RSO) –

Resource Capital Corp is a finance company that focuses primarily on commercial real estate and commercial finance. The company conducts its operations as a real estate investment trust. The company invests in a range of asset classes, which include commercial real estate-related assets such as commercial real estate property, whole loans, A-notes, B-notes, mezzanine loans, commercial mortgage back securities and investments in real estate joint ventures as well as commercial finance assets.

The company has a market capitalization of 739.91 Million, EPS is 0.72, P/E ratio is 9.24 and the dividend yield is 12.01% at the annual dividend payout of 0.20.

The Final Thoughts –

Dividend paying stocks are beneficial for investors in several ways. When you invest in these you will get a good income. When the value of the share rise by 4% and the company pays you a 3% dividend you benefit from a 7% profit minus the tax. Thus investing with the best dividend paying stocks are helpful to generate more income for you.

Dividendinvestor provides additional data related to dividends.

Dividend Weekly World Yield Stock Report 21/2013 | Free PDF Download

Attached is the current Dividend Weekly, a weekly yield and performance report of the world's best dividend paying stocks. Find on over 30 pages the best and highest dividend yields worldwide. The report is available as free PDF download.

The Dividend Weekly is a weekly published Fact Book with focus on dividend stocks. With this book, investors get a full overview of major leaders and laggards. In addition, they get a feeling of which dividend stocks are popular and which ones are the best investment opportunities in markets that are going up and down.

The book has the following items:

- Best 1-Week Performing Dividend Stocks
- Best Dividend Stocks Year-To-Date
- Best Yielding Stocks At New Highs
- Most Recommended Dividend Stocks
- Overbought Dividend Stocks
- Most Shorted Dividend Stocks
- Best Dividend Aristocrats in Canada and USA
- Stocks With Dividend Growth From Last Week
- Best Yielding Stocks From the World's Leading Stock Exchanges and Indices
- Ex-Dividend Stocks For Next Week

Here is the full book for free read and download:  

17 High Yields With Additional Potential To Grow Dividends

High yielding stocks with low payout and debt ratios originally published at "long-term-investments.blogspot.com". Yesterday, I made a screen of Dividend Contenders with low long-term debt to equity ratios as well as slim payouts.

Today I like to widen the latest screen to High-Yields with a market capitalization over USD 300 million. Most of the high yielding stocks are full of debt. The only companies with a smaller amount of loans are such with a lower capitalization. The risks are much higher for those shares. I also needed to lower my screening guidance because of the small amount of results. These are my new criteria:

- Market Capitalization over USD 300 million

- Dividend Yield over 5 percent

- Long-term debt to equity above 0.6

- Payout ratio under 50 percent

Now, twelve stocks fulfill these criteria. Six of the results have a current buy or better rating.