I finally took the plunge and started a very small position in JNJ (5 shares @ $91.00). This is the 9th holding in my portfolio which gives me an additional $15 of income every year. I am looking to add more to this position in the next few weeks/months. It’s great to be in a position where I do not care if the stock goes up or down. If it goes higher, I will make other purchases. If it goes lower, I will average down and be ecstatic to own more shares of this great company: fifty-two years of dividend growth!
It’s liberating not trying to time the market. No more wondering if this is the bottom or if it’s time to sell before a fearful market crushes fragile gains. I like this strategy of consistently making purchases. It keeps me engaged and motivated. It’s also very exciting watching the slow growth in my passive income. I calculated it out to be $1425.38 over the next year. My portfolio value might get wrecked in this correction, recession, or what have you (ran out of buzz words), but I will see that $1425.38 go up and up. I control that by saving and consistently investing. That is what I focus on.
I am not even close to finishing my position in JNJ. Johnson and Johnson is a company that I would gladly be overweight in. I want JNJ to be a core holding for my portfolio. Depending on what the market gives me, I will try to get this up to 50 shares in the next two months. I will look elsewhere if the price rises and won’t lose any sleep.
Other stocks that might get in the way of me adding to JNJ would be: MDLZ, WBK, PG, PEP, or TD.
I am still undecided about what I think of Westpac Banking Corp (WBK). It’s an Australian bank that pays a semi-annual dividend. It looks oversold to me and is still in a steep decline. The dividend history, however, is fairly sporadic The yield is tempting too at 6.78%. Here is a snowflake picture of WBK provided by simplywall.st. (Love that site! https://simplywall.st)
I still want to finish up my 9th arrow though. It just might get delayed if I think there is a better deal to be had. Hopefully everyone is having a great holiday weekend after taking advantage of this eccentric market.