Well, September didn’t really go anywhere in terms of the market. With a Presidential election just over a month away, and corona virus still disrupting much of the world – a stagnate market isn’t all that bad. Dividend income was close to a record high and net worth actually achieved a grand result this month.
September Dividend Income
This month I received $2,724.73 in dividend income! On average, I was paid $35.39 from 77 different companies! This month’s dividend income is a fantastic 12.35% increase over September 2019.
That’s a equates to $299.41 more dividend income than last September! This is a nice change, and a trend I hope will continue!
Dividend Income - September 2020
|01/09/20||J M Smucker Co||SJM||22.50|
|01/09/20||W W Grainger Inc||GWW||45.90|
|02/09/20||Cracker Barrel Old Country Store, Inc.||CBRL||13.00|
|03/09/20||Discover Financial Services||DFS||49.72|
|04/09/20||Honeywell International Inc.||HON||24.30|
|08/09/20||Johnson & Johnson||JNJ||103.61|
|09/09/20||United Parcel Service, Inc.||UPS||37.37|
|10/09/20||Exxon Mobil Corporation||XOM||172.59|
|10/09/20||Raytheon Technologies Corp||RTX||7.13|
|10/9/2020||Otis Worldwide Corp||OTIS||1.00|
|10/09/20||Emerson Electric Co.||EMR||14.00|
|10/09/20||IBM Common Stock||IBM||105.95|
|11/09/20||Walgreens Boots Alliance Inc||WBA||23.88|
|15/09/20||Realty Income Corp||O||73.34|
|15/09/20||Stag Industrial Inc||STAG||14.40|
|15/09/20||Main Street Capital Corporation||MAIN||11.28|
|15/09/20||DuPont de Nemours Inc||DD||2.10|
|15/09/20||Old Republic International Corporation||ORI||16.80|
|17/09/20||Prudential Financial Inc||PRU||57.88|
|17/09/20||Home Depot Inc||HD||171.24|
|21/09/20||Dominion Energy Inc||D||70.50|
|25/09/20||Lockheed Martin Corporation||LMT||12.00|
|30/09/20||Canadian National Railway||CNI||2.59|
|30/09/20||Travelers Companies Inc||TRV||22.10|
|30/09/20||American International Group Inc||AIG||3.20|
|30/09/20||Crown Castle International Corp||CCI||9.60|
|30/09/20||Universal Health Realty Income Trust||UHT||6.90|
|01/09/20||Wells Fargo & Co||WFC||6.30|
|09/09/20||UNILEVER N.V. Common Stock||UL||16.90|
|15/09/20||International Paper Co||IP||15.37|
|15/09/20||Stanley Black & Decker, Inc.||SWK||10.59|
|15/09/20||Tyson Foods, Inc.||TSN||10.08|
|15/09/20||Weingarten Realty Investors||WRI||3.60|
|22/09/20||UnitedHealth Group Inc||UNH||16.25|
|25/09/20||Kraft Heinz Co||KHC||10.80|
|29/09/20||T. Rowe Price Group Inc||TROW||15.30|
|30/09/20||Digital Realty Trust, Inc.||DLR||15.94|
|30/09/20||Union Pacific Corporation||UNP||34.84|
|09/09/20||Tractor Supply Company||TSCO||6.22|
|16/09/20||Duke Energy Corp||DUK||41.15|
|22/09/20||BHP Group PLC||BBL||38.54|
|25/09/20||Suncor Energy Inc.||SU||3.13|
|28/09/20||Schwab US Dividend Equity ETF||SCHD||216.38|
|30/09/20||Invesco Preferred ETF||PGX||2.97|
|∑ = 2,724.73|
Here is a chart of my passive dividend income progress over the last 5 years.
The dividend portfolio has been updated.
Here are the dividend stock purchases I’ve made between September 2019 and 2020 that have added to this dividend income growth.
September’s dividend income covers all my expenses for the month!
September Dividend Growth (Dividend Increases)
Here are the realized dividend increases I earned this September. Dividend growth has been a little lack luster this year, but I do have a small ray of sunshine to report.
This September I received 9 dividend increases! And 2 companies that increased their dividend over 10%!
Dividend Increases - September 2020
Name Ticker New Div Old Div % Increase Shares Addl Income J M Smucker Co SJM 0.90 0.88 0.023 15 1.20 W W Grainger Inc GWW 1.53 1.44 0.063 20 7.20 Kroger Co KR 0.18 0.16 0.125 211 16.88 Target Corporation TGT 0.68 0.66 0.030 57 4.56 Walgreens Boots Alliance Inc WBA 0.47 0.46 0.022 50 2.00 Hershey Co HSY 0.80 0.77 0.040 22 2.73 Stanley Black & Decker, Inc. SWK 0.70 0.69 0.014 18 0.72 Tractor Supply Company TSCO 0.40 0.35 0.143 15 3.00 Duke Energy Corp DUK 0.97 0.95 0.021 40 3.20 ∑ = 41.49
September’s dividend increase adds a respectable $41.49 in annual dividend income. The nine dividend increases are the equivalent of investing an extra $1185.43 of new money at 3.5% yield! Without a doubt, I’m thrilled with the increases this month.
September Dividend Cuts (Dividend Decreases)
Sadly, those increase barely scratch the surface of the dividend decreases I received this month. Every 4 months (until things change) this section is going to be a gut punch.
Below are the realized dividend decreases I received this September.
Dividend Cuts - September 2020
Name Ticker New Div Old Div Div Decrease Shares Lost Income BP plc BP 0.32 0.63 -0.32 52 -16.38 Invesco Ltd. IVZ 0.16 0.31 -0.16 50 -7.75 Wells Fargo & Co WFC 0.10 0.51 -0.41 60 -24.60 Weingarten Realty Investors WRI 0.18 0.40 -0.22 20 -4.30 Harley-Davidson Inc HOG 0.02 0.38 -0.36 20 -7.20 Boeing Co BA 0.00 2.05 -2.05 53 -108.65 Suncor Energy Inc. SU 0.16 0.35 -0.19 20 -3.75 Delta Air Lines, Inc. DAL 0.00 0.40 -0.40 115 -46.00 Ford Motor Company F 0.00 0.15 -0.15 354 -53.10 Marriott International Inc MAR 0.00 0.48 -0.48 10 -4.80 Goodyear Tire & Rubber Co GT 0.00 0.16 -0.16 55 -8.80 Molson Coors Beverage Co Class B TAP 0.00 0.57 -0.57 48 -27.36 ∑ = -312.69
This month I received 12 dividend decreases! This sums up to $312.69 of lost dividend income this period!
That’s the equivalent of shredding $8,934 instead of investing it at a 3.5% yield. Like I said, this will be terrible for quite some time. And while I’m tempted to remove this section and just move on, I won’t. I think it’s important that I’m reminded (and whom ever else is reading this) that dividend cuts are awful events and reinforces just how important diversification is to the portfolio.
The total net dividend decrease for September was ($271.20 [increase – decrease]).
Net worth is continuing to slowly crawl it’s way up.
Let’s do the numbers…
So, after last month’s big spending and paying for some final fitments for the house, we got hit with a large, but expected bill. Our property tax bill for our new home is no longer managed by a lender anymore and we needed to pony up. Fortunately it is something we had planned for so it’s not an out of the blue bill, but there went $4k.
Other than that, cash outflows is still low during these covid times. Food costs have increased a bit, but we are buying better foods in an attempt to be healthier as well as keep things interesting and not eating out at all.
Not a lot going on here other than paying the property taxes. I have been looking at rental properties potential around our new area. While the homes are less expensive here, the condition of the homes and the neighborhoods are a questionable. However, I will keep looking for great deals.
Our rental property is still performing well. The tenant just re-upped a new two year lease and is paying their bills on time. No complaints.
Dividend cuts/suspensions have impacted results this year considerably. To that point, I started tracking my dividend growth monthly in September of 2018. Until February 2020 my average monthly dividend growth had been $76.91 (not bad). Fast forward to today, my monthly average dividend increase has become an average decrease of ($4.93). Five months of decreases has destroyed a year and a half worth of increases. Ugh.
I don’t have an immediate plan to end this pain and sell any of the large companies that are causing the majority of this “dividend drag” (e.g. BA, DIS, F). I’m still waiting until after the virus – or more so, our reactions to the virus to subside. Until then, I will keep putting money to work every month and look for the best values I can find. However, I suspect I’ll default to safer, dividend aristocrat names, in many different sectors, for the time being.
I feel your pain about the dividend decreases. My portfolio was hit in the same way and I’m doing the same as you – waiting until this COVID-19 emergency settles down. Until then I’m looking at some of my still-well-performing stocks and directing a bit more of the dividend reinvesting to those.
Hi Ernest! I think it’s the best play we have at the moment. When life returns to normal or the new normal, then it will be time to really evaluate the damage done to our holdings. I suspect (aka hope) business will improve dramatically for a lot of the companies that had to suspend.
77 Companies. Speechless. Inspirational.
Wow very solid dividend income for Sep. Congrats!
Nice job there Blake! Healthy dividends for sure. That’d cover more than half of our monthly expenses!
Don’t sweat those grocery expenses during COVID—healthy foods are a lot better way to get through this than many other unhealthy, depressive activities!
Speaking of food… We went to our first fast food restaurant since COVID this weekend. It was amazing and a great break from the health food 😉