Wednesday, January 24, 2018

Goal Reached!

This is my current annual income, after purchasing 29 shares of ORI and 13 shares of SO.

Having reached my goal with the purchase of ORI, I decided to double-down on SO.  I know the P/E is not acceptable using my criteria, nor is the payout ratio, but I also know that SO is only out of favor because of redistribution in the utility sector, and that SO benefits greatly from the Trump tax cuts.  I also know that YD sold all his SO (I'm assuming for the tax harvesting) and dropped it into AT&T.  This is speculation on my part, I think the yield is worth the risk, despite SO's nuclear infrastructure, which would have occurred with or without the tax cuts.  I think that there are safer options out there, but I am chasing the yield so I can fit the part of the somewhat desperate mid-life investor :)

I would really like to spend next week's investment on O, since REITs are currently sinking due to rising interest rates, but I do plan to hold onto my requirement of keeping staples the largest part of my portfolio.  I am keeping an eye on P&G after their loss from earnings, but will also be watching the possible ADM/Bunge merger, earnings for my other staples, and the possible addition of Wal-Mart or Smuckers.  

I will be updating my charts today, and will take some time later to comment further.  I've been busy the past 3 weeks and need to research some things and digest it.

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