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IBM Position Increase For The Dividend Yield Passive Income Portfolio

Published 10/21/2013, 02:47 AM
Updated 07/09/2023, 06:31 AM

Last Friday I increased my IBM stake for the third time since I funded the Dividend Yield Passive Income Portfolio virtual.

I purchased only 4 shares at $173.78. The total purchase amount was only around $700. I think that the stock price can fall further.

As of now, the position is still the biggest constituent in the portfolio with a 3.4 percent share. I think it makes sense to grow the position to five percent or so but that’s a question for the future.

IBM’s forward P/E is in a single digit range at 9.51 and growth for the next five years of 9.77 is predicted by analysts.

The current yield is still not high, only at 2.19 percent but the dividend payout is also only at a ratio of 24.60 percent. IBM buys many own shares to boost the current earnings per share growth in a successful way.
Latest Portfolio Transactions
Latest Portfolio I
Latest Portfolio II
For readers who are new to the matter and my dividend growth philosophy: I funded a virtual portfolio with 100k on October 04, 2012 with the aim to build a passive income stream that doubles each five to ten years. I plan to purchase each week one stock holding until the money is fully invested. The total number of constituents is expected at 50 – 70 companies and the dividend income should be at least at $3,000 per year.

Stock holdings of the portfolio are up 8.88 percent since the date of funding. The cash position is at $25,376 and should let the dividend income grow over time when it’s invested.
Latest Portfolio Performance

Here is the income perspective

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