Dividend Income Report :: February 2019

Dividend Income Report - Hourglass

Like sands through the hour glass, so are the days of our lives.

For those that grew up in the 70’s and 80’s, you might remember that catch phrase from the daytime soap opera Days of Our Lives. It was ingrained in my head as my mom watched the show religiously.

I mention that because the blog has been a bit quiet lately and despite all of the best intentions to get back to writing and sharing updates about my dividend journey, the days have slipped away one by one until an entire month had elapsed. There have been a lot of happenings lately and I’ve got some additional posts to share on some of the topics that have been keeping me occupied (it has to do with another source of passive income).

Other happenings are not nearly as exciting–such as traveling for work, putting the finish touches on one global system implementation while launching another major, global project, and other day to day joys.

Needless to say, I am well overdue for the next installment of my dividend income report so let’s get to it!

February 2019 Dividend Income Summary

While January ended my historic run of two consecutive months exceeding $500 in dividends, I knew that it would be a short-lived setback as the quarter opening month is my slowest.

However, while the dividend payouts resumed, I will share a bit later that the buying opportunities were not as plentiful. While I did make a couple of purchases during February, I found that I was being a bit more conservative and/or cautious with deploying new capital.

In hindsight, I am sure part of that was because my wife took a leave from her job to help a family member with some health issues so I was a bit more cautious with our funds. In addition to that, or maybe a result of, was that I also had a more conservative view on my price targets for positions I was watching.

Fortunately, that didn’t slow down the dividends and February brought in $547.47 in dividend income that was broken down as follows:

  • Brokerage: $452.93
  • IRA: $94.54
  • Retirement: $0.00

Let’s look at all of the individual dividends received:

Brokerage Account:
TickerFebruary 2018February 2019
YoY Growth150.69%
AAPL66.1577.50
ABBV83.55130.56
ABT30.9736.03
CBRL--28.15
CLX--7.78
CMS--17.07
GIS--33.33
PG--18.23
SBUX--14.58
T--52.65
VZ--15.39
WSM--21.66
Total180.67452.93

Here are the numbers from the holdings in my Rollover IRA:

Rollover IRA:
TickerFebruary 2018February 2019
YoY Growthbroken calculator
EPR--17.14
MAIN--9.98
O--16.25
SBRA--24.41
SPG--20.72
STAG--6.04
Total0.0094.54

All of these dividends were reinvested and have added an additional $23.55 in projected annual dividend income!

It is always nice to see that projected income growing simply by reinvesting dividends, as now those dividends will be earning future dividends–and that is what really fuels this DGI fire!

February 2019 Purchases

With everything that I had going on during February and into early March, I wasn’t watching the stock market nearly as much and had not done a lot of advanced research to determine my potential buy orders.

As a result, things were pretty quiet and I only made two purchases late in the month for one of the smallest amounts of new capital being deployed since starting this DGI portfolio. The two purchases totaled $1,607.50 of new capital.

As a quick recap of the February purchases:

February 2019 Stock Purchases

The purchases break down as follows, including the amount of additional PADI generated:

  • PEP :: 10 shares @ $116.00/share that added $37.10 in PADI
  • KO :: 10 shares @ $44.75/share that added $16.00 in PADI

Overall, these purchases raised my projected annual dividend income by a meager $53.10.

In all reality, that is not a bad number but I say that it is meager as it is well off the average that I need to maintain if I hope to reach my 2019 goals. I’m going to have to hustle the rest of the way to reach my targets.

February 2019 Dividend Raises

While I thought January was great with 8 7 dividend raises (I mistakenly recorded the ABBV raise from late 2018 after seeing a release on SeeklingAlpha and not properly vetting the details), I was thrilled to see February surpass that with 9 dividend raises!

There were an impressive 3 double-digit raises, led by the King Whopper from Home Depot with a 32.04% increase! The other double-digit raises were from NextEra Energy at 12.61% and Prudential Financial at 11.11%.

Here you can see the impact of these raises:

February 2019 Dividend Raises

Apologies for the small size of the image, but I had to shrink things down in order to fit all of the details on one screen! Not a bad problem to have if you ask me!

These nine raises combined resulted in an increase of $60.21 in projected annual dividend income.

Due to the mistake I made in January’s reporting of the ABBV raise, I did not set a record as I had thought but fortunately the results here in February checked in at a solid 2nd place in terms of overall PADI increase.

I’m not expecting nearly as much excitement in the month of March as it looks to be a really quiet month for raises. Maybe there will be some pleasant surprises, however I am only expecting to see increases from General Mills and Williams-Sonoma. There may be an increase from BlackRock as well.

Summary

With February disappearing in the blink of an eye and half of March nearly gone as well, I am hoping that things will begin to return to some semblance of normal and I can get back into my routine. Part of that will include being a bit more active with the stock purchases, however I definitely don’t want to chase any prices.

Despite having felt removed from things, I am thrilled that the dividends continued to roll in and the summary below will show that through the first two months of the year I have already exceeded the dividends received in all of 2017!

February 2019 Dividend Summary

I’m definitely liking the trend in that chart and I am excited to begin filling in that gap covering March and April.

The three legs of the dividend tripod only added $136.86 in total PADI. Unfortunately that is below my targeted monthly average required to reach my goal and I am going to have to turn that around soon if I want to achieve my goal of receiving $4,500 in dividends from just my brokerage account.

My PADI is just shy of $4,200 for my brokerage account, and while I am happy with that, it is a long way off from my goal of reaching $6,500.

On a positive note, feeling so far away from my goals does not discourage me. It actually motivates me to work even harder and focus on what I need to do in order to be successful.

Time will tell.

How was your month of February?

19 thoughts on “Dividend Income Report :: February 2019”

  1. nice dd.

    Interesting I look forward to hearing about your other passive income venture.

    A solid month of dividends and huge yr over yr growth rate. Love that abbv dividend. Its huge!

    Congrats on all those raises as well. We will see about general mills, it would be awesome if they raised it but they may still be digesting the blue buffalo deal.

    keep it up and welcome back.
    cheers

    1. Thanks Rob, I’ve got some more work travel coming up but hope to have some time while on the road to write about the new source of passive income.

      I am definitely liking that ABBV dividend, and the growth from last year is purely from reinvested dividends and raises. Not too bad to see a ~56% increase without adding a dime of additional capital.

      On the raises, you’re right about GIS. When writing this I simply looked up the chart that I maintain on which months each holding has historically announced their raises, but GIS has been holding steady as they continue the BB integration. That means it will probably be an even quieter month than I was expecting.

  2. Congrats on an awesome month. Looks like you hit a new monthly dividend record. Tons of new companies paying you this year that you didn’t have last year. Those are some serious growth numbers. Looking forward to seeing how the rest of the year goes for you since so much new capital has been added. Cheers!

    1. Thanks Daze, and you’re right about the new record–at least when not taking into consideration the dividends from my index funds in retirement accounts. When counting those, last December was by and far my record. My wife is now getting back to work and I will be looking to ramp up the capital again.

    1. Thanks DR, and I will get a post out about the passive income stream soon!

      Ugh, clearly I have not been doing a good job of tracking–or more specifically remembering–dividend raises. I did record the BLK raise back in January, but according to my chart I noticed that I had them down as March being when they typically announced a raise. Need to slow down and improve my focus, and retention of information. Thanks for pointing that out!

  3. Divvy D –

    Excited to read your upcoming posts. Also, that’s solid income and the motivation will hit hard when you want to start knocking out the figures to your goal. Further, great two punch combo with Pepsi and Coke. You got the two monsters!

    -Lanny

    1. Thanks Lanny, I had been trying to hold out for a price on PEP below $110/share but ultimately still felt comfortable with where they were at for a small add. Trying to build up some of the smaller holdings right now and be satisfied with what I consider a fair price.

  4. Really impressive month and it seems like a smart move to save some extra capital if you are the only source of income for the time being.

    Those dividend increases are also looking particularly large this month! 60 $ increase to projected annual dividend income from dividends raises alone is a huge amount in my opinion.

    1. Thanks DD! It is interesting because once I put money into the market, I tend to be a rather aggressive investor but I occasionally have a bit of a conservative nature before I commit new capital. Part of that is because I don’t ever want to withdraw funds from my investments until we are ready to retire.

      I was pretty happy with the forward income generated by those raises! Looks like March will be much more tame though.

    1. Thanks MDD! Looking forward to when these raises, reinvestments, and purchases has me knocking on the four-digit month like yourself!

  5. Hey DivvyDad, you’re building some great momentum and definitely going in the right direction – funny how you can feel so far away from a long-term goal but be performing fantastically today – keep that optimistic perspective!

    Just keep focusing on those dividends rolling in, and adding more funds at the right prices – the rest will take care of itself.

    Cheers, Frankie

  6. Congrats on the 150%+ growth in the brokerage account, not to mention the broken calculator growth on the rollover IRA lol. 150% YOY growth on that dividend base is absolutely incredible. Keep rolling that snowball down the compounding hill!

  7. I will just re-iterate what everybody already said – great month and amazing growth compared to last year DIvvyDad! Your strategy is really working.
    Congrats on those additions as well. Why choose between KO and PEP if you may have them both? Solid buys 🙂
    I was thinking that you are busy with something else, as I was missing notifications for new posts from you 🙂 I feel you, though, it is harder for me to find time to sit down as well lately 🙂
    Keep it up!
    BI

  8. Nearly $550 is fantastic! Also given the rebound in the markets since 2019 I think it’s prudent to be a bit more conservative with your purchase targets. Personally I’d rather hold a bit more cash now until I get to a comfortable chunk that’s ready to deploy and then start looking for fairly value best of breed companies if there’s excess cash just burning a hole in my brokerage accounts’ pocket.

  9. Outstanding progress as usual, DivvyDad. Nice growth, plenty of dividend raises…lots to smile about.
    Sorry I couldn’t comment on this post sooner, but my free time has been limited. Sounds like you are juggling a lot these days as well. Where did all our free time go?
    No ‘Additional Forward Dividend Income’ table this month? Maybe it’s just taking a break for now. 😀

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