Dividend raise: Omega Healthcare Investors (+1,5%)

Twee weeks ago Omega Healthcare Investors (OHI) announced a raise in their quarterly dividend from $0,66 to $0,67. This raise adds about € 4 to my annual dividend income. Ka-ching!

Their dividend growth stalled for almost two years. Let's see if OHI can start to increase its dividend on a quarterly basis, which they used to do. Hopefully there's more to come!

So far I received 21 dividend raises in 2019. These raises combined have added almost € 60 to my forward annual dividend income. Maybe thare are more raises during the rest of the year. I'll keep you updated!

Did you like the dividend raise of O? Do you consider selling because of the low dividend growth rate?

Recent buy: JNJ

Recently I opened a new position in Johnson & Johnson (ticker: JNJ). I purchased 8 shares for around $ 132 per share. This purchase adds about € 30 to my annual dividend income which now stands at € 1.550.

I opened my position with the following things in mind:

• A solid dividend yield of 3%. Historically, this seems to be a decent entry point. 

• It  has been and still is a great dividend stock. JNJ increased its dividend for almost 60 years. During the last decade the dividend growth hovered around 7% per year.
• The payout ratio of 45% is more than safe.
• The balance sheet of JNJ is solid and the company still is one of the few companies in the world with a triple A credit rating.
• Obviously there are legal issues (J&J must pay $8B in a Risperdal case, but also cases around the U.S. opioid addiction epidemic.). However, this seems to be business as usual for JNJ as they have been in several lawsuits in their long history. Up until now, that has never stopped them from growing their revenues, profits and dividends, so I am not too worried about this now.

I don't expect this purchase to be a "big-hitter" in the sense that it will turn out to be a high growing dividend or share price. I see this purchase as a starter position in my quest to own shares in three dozens of the world's best companies. I believe JNJ is one of them. Depending on the future share price I will add shares on following occasions.

With this quarterly purchase I have completed my buys for this year. I wrote about my goals for 2019 earlier this year.

1. Quarter 1: AT&T
2. Quarter 2: Unilever
3. Quarter 3: Brookfield Renewable Partners
4. Quarter 4: Johnson & Johson

Finally, I will buy additional shares in the company where I work. I can buy shares once per year and I submitted a form to double my current position from around € 1.500 to € 3.000. This will add roughtly € 140 to my annual dividend income stream. I will write about this in a future post!

I hope I can increase the frequency of purchases next year (or increase the size of my purchases). I am still enthusiastic about my dividend growth portfolio and am motivated to keep working hard to fuel its growth.

What companies have you bought lately? Are you looking to invest JNJ at its current price?

Dividend report: September 2019

It's time to give an update of the dividends I received last month. Twelve companies decided to pay me a dividend for my ownership. Total dividends (after tax) are around €191, which is an increase of 25% compared to last year. The growth was fueled by solid dividend increases from BBL and UNP (raise 1 and raise 2), an addition to my existing position in Unilever earlier this year and my newest purchase of BEP.

You can see the breakdown in the table below.

It's the same message all over again. It's been my best September so far! I expect to hit my first $200 month next year (maybe in March, else in September). As of now, my annual dividend income hovers around € 1.525 before taxes. This is in line with last month. I expect to do another purchase in the coming days with fresh capital and received dividends combined.


I made a new tree chart of my portfolio which shows the weights of my positions but also the price performance during the last month. Green are the best performers, red are the worst. In this case UNA, KO, BAX and PM are red but they only decreased about 1 or 2% last month, so nothing bad. INTC, DE, RDS and IBM gained about 8 to 11%, that's nice!

September seems to be the month with a lot of dividend payers. How was your September?

New milestone: portfolio value of € 40.000!

This month I reached a new milestone with my dividend growth portfolio! It has nothing to do with dividends however. My portfolio reached a value of € 40.000,-. Since my last €10k milestone back in May 2018, I reached this new high in just 16 months.

The extra € 10.000,- has different sources, namely deposits, dividend and capital gains. The breakdown is as follows:

• 22% deposits
• 18% dividends
• 60% capital gains

The distribution is changing with each € 10k increment. Deposits make up less of the breakdown, whereas dividens and capital gains take up a higher percentage.

Let's see when the next milestone is due. Up to € 50k!

Dividend raise: Realty Income

Last week Realty Income (O) announced a raise in their monthly dividend from $0,2265 to $0,2270. This raise adds a whopping € 0,14 to my annual dividend income. Ka-ching!

All jokes aside, Realty Income increases their dividend on more than one occasion each year. This is actually its 5th raise this year. Hopefully there's more to come this year!

So far I received 20 dividend raises in 2019. These raises combined have added around € 56 to my forward annual dividend income. Of course I expect more raises during the rest of the year. I'll keep you updated!

Did you like the dividend raise of O? Do you consider selling because of the low dividend growth rate?

Dividend raise: Philip Morris (+3%)

Earlier this week Philip Morris (ticker: PM) raised its quarterly dividend from $1,14 to $1,17. This is a raise of almost 3%. It adds about € 2 to my annual dividend income (before taxes). 

Since my purchase of PM shares back in 2013, I've received six dividend raises. The compounded annual dividend growth rate of 3,7% is not exactly what I expected. Let's hope the dividend growth picks up, maybe after a merger with Altria. Who knows.

This year I've received 19 dividend raises that added over € 55 to my annual dividend income so far.

Are you a shareholder of PM? And what do you think about its dividend raise?

Brookfield Renewable Partners: Have Your Cake And Eat It Too

Brookfield Renewable Partners L.P. (BEP) is a globally diversified, multitechnology, owner and operator of renewable power assets. In my last article I wrote about ESG investing and whether Ecolab could be an addition to my portfolio. In this article I’ll take a dive into Brookfield Renewable Partners.

Business model
The business model of BEP is actually rather simple. They acquire and develop renewable power assets and businesses (mainly hydro, solar and wind), finance these assets with a mix of debt (investment grade basis) and equity and optimize cash flow and value utilizing their operating expertise. BEP locks in stable cash flows via long-term (usually 20-year), inflation-adjusted power purchase agreements (PPAs). These contracts are mostly entered into with utilities, distribution companies, and industrial users. Most of these counterparties have investment-grade credit ratings, and the weighted average remaining contract is for 16 years.

Read the rest of this article on Seeking Alpha!