Jan 1, 2017

Dividend Income - December & Full Year 2016

Happy New Year 2017! The year 2016 is now officially over and out, but let's take a look back how it actually went. Holy Cow, I really made a bunch of purchases during the year, but also quite a few sale transactions. It looks like I closed out 6 positions for one reason or another. December 2015 was a record month with $157.40 income. Since then I have terminated positions in Avista Corp (AVA), Chevron Corp (CVX), ConocoPhillips (COP) and Textainer Group Holdings (TGH). I would say these were from medium to high yielding stocks, so there was definitely a gap to be filled. OK, good news is that I managed to collect more this December, but the bad news is that I missed my yearly goal $3,200. Here is the comparison table of December 2015 and 2016 dividends:

CompanySymbolDecember 2015December 2016
3M CompanyMMM08,88
Amgen IncAMGN09,00
Archer-Daniels Midland CoADM012,00
Canadian UtilitiesCU.TO05,20
Coca-Cola CoKO7,9210,51
Emerson Electric CoEMR9,519,60
Enbridge IncENB.TO6,9810,60
Eversource EnergyES7,1010,24
Gilead Sciences IncGILD3,876,58
Johnson & JohnsonJNJ12,7517,60
Lockheed Martin CorpLMT13,2014,56
Main Street Capital CorpMAIN13,6513,80
Norfolk Southern CorpNSC7,087,08
Old Republic InternationalORI7,4011,25
Pinnacle West CapitalPNW11,2511,79
Realty Income CorpO 6,097,07
Target CorpTGT5,6015,00
Unilever N.V.UNA.AS6,8714,72
Avista CorpAVA9,240
Chevron CorpCVX11,770
ConocoPhillipsCOP11,840
Textainer Group HoldingsTGH5,280
TOTAL
$157,40$195,48

All right, so the total this December was $195.48 This means 24,2% increase year over year. Generally speaking I would like to see at least 20% growth every month, so this was a good result for sure. Great progress with JNJ, TGT and UNA.AS thanks to dividend raises and additional shares bought. And of course MMM, AMGN, ADM and CU.TO as new investments compared to last year.

Total dividends during months 1-12 this year: $2,848.01. This is 9,5% increase from last year. Here are my dividends in a graph:
So, my goal for the year 2016 was $3,200 which is approximately 23% increase from 2015 total. Unfortunately I have to declare that I was able to complete only 89% of this goal. There are several reasons. Dividend sum from Fortum, still my biggest dividend payer of all, declined from 377€ to 319€. The positions I closed where typically higher yield than the new positions I opened. Not all companies in my portfolio were able to deliver dividend increase during 2016. I didn't have exact numbers how much new capital I'm going to invest, but I think I ended up investing a bit less than I thought I would. So as a result of all this I missed my goal in 2016.

Still, I'm excited about the new year 2017. I think it will be a lot better than 2016! I will announce my new dividend goal in the January dividend income report.     

All these companies except KO (next payment in April) and NSC (position closed) should pay again in March. Before next ex-dividend date I'm looking to buy additional shares at least in MMM, AMGN, CU.TO, GILD and UNA.AS.

Please note that I don't make any currency conversions here. I report dividends as they appear in their own currency. This time CU.TO and ENB.TO were paid in CAD and the rest in USD. Additionally all numbers are before taxes. This prevents currency fluctuations and tax hassles from affecting my progress.

Thanks for reading. Dividend Income page has been updated to include December dividends.

Disclosure: Long all stocks that paid dividend in December 2016 except NSC

Image courtesy of Areeya at FreeDigitalPhotos.net

10 comments:

  1. Didn't hit the goal but came pretty close! Good m/m increase for December as well so things are looking good for 2017.

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    Replies
    1. TITM, yes several developments led to situation where that goal was simply too much, but still completed approximately 90%. I really have a good feeling about 2017.
      Thanks for stopping by!

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  2. Hi DivLord,
    I think a 28% increase over this time last month is a reason to celebrate, so congrats!

    What were your reasons for selling NSC? Just curious as I didn't see a post about that.

    Best wishes for 2017,
    -DL

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    Replies
    1. Div Life, yeah I made a good income in Dec 2015, so I must be pleased with this increase.
      I was simply disappointed by NSC's dividend policy, or specifically dividend freeze policy. Combined with relatively low yield, I decided that I'd better move my funds elsewhere.
      Best wishes for 2017 to you too.

      Delete
  3. Hey great work still! You came very close and still had impressive growth, so I'd still be pleased with your results! I didn't hit my 2016 passive income goal either, though I also came close. It's the process that's important. Best of luck in 2017; I plan to post my 2017 goals today. Keep it up,

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    Replies
    1. PID, hah so we both missed our goals despite of good sprint in the end. But yeah it's the process that helped us to push higher.
      And then to set the goals for 2017, haha! I have to check your numbers. I also have some numbers already in my head.
      Best of luck in 2017 to you too!

      Delete
  4. You came close. Nothing wrong with setting a lofty goal and coming close. You did a fine job.

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    Replies
    1. Hunting, absolutely, you are right. I think the goal did its job here too.
      Thanks for your visit!

      Delete
  5. Maybe you didn't hit your goal for the year in terms of total dividends but you put up a very respectable year over year increase. Showing growth every month will put in you in a great position years down the road. Thanks for sharing.

    ReplyDelete
    Replies
    1. DH, it was a decent YoY increase all right. In 2017 I should hit 3K even if I stopped making new purchases right now. That's really a great position to be in.
      Thanks for your visit and comment.

      Delete