Hello everyone, in September 2020, the market were very volatile and there was a small correction on the technology stocks. Realistically, when the market dipped, as a dividend investor, we went shopping for more dividend income. As a result, we were very busy of buying and selling stocks in September. In addition, since July 2020, we started to add more growth stocks to our portfolio. Ideally, we wanted to bring our ratio 80/20 between dividend and growth stocks. Also, we continued to purchase shares of Shopify for our growth stocks.
For the month of September 2020, $24,750 cash were added into our accounts (both retirement and taxable accounts). Basically, the money were used for buying below transactions and covered the low margin in our taxable account. In addition, we wanted to maintain the 25% margin in our taxable account.
In September 2020, there were total 19 transactions (4 sells and 15 buys). The total amount of the four ‘Sell’ transactions were $28,553. As a result, we lost $297.83 dividend income from the selling of these stocks.
This month, the total amount $24,101 were used to purchase dividend stocks to increase our annual dividend come by $1054.19. The rest of the money were deployed to buy growth stocks. See the list below for all transactions were made in September 2020:
| Date | Number of Share | Ticker | Amount | Dividend |
|---|---|---|---|---|
|
Sept 01/2020 |
Buy 12 |
TSE:WCN |
$1569.63 |
$11.88 |
|
Sept 01/2020 |
Buy 2 |
TSE:SHOP |
$2698.82 |
|
|
Sept 01/2020 |
Buy 19 |
TSE:BNS |
$1070.57 |
$68.40 |
|
Sept 01/2020 |
Buy 26 |
TSE:BEP-UN |
$1515.39 |
$61.10 |
|
Sept 01/2020 |
Buy 10 |
SBUX |
$855.59 |
$18.90 |
|
Sept 08/2020 |
Sell 100 |
LVGO |
-$12,444.77 |
|
|
Sept 08,2020 |
Buy 60 |
ARKG |
$3524.55 |
|
|
Sept 18/2020 |
Buy 200 |
JMIA |
$1544.95 |
|
|
Sept 21/2020 |
Buy 2000 |
CVE:DOC |
$3998.95 |
|
|
Sept 25/2020 |
Sell 114 |
TSE:VFV |
-$8888.71 |
-$152.94 |
|
Sept 25/2020 |
Sell 63 |
TSE:KL |
-$4022.01 |
-$41.58 |
|
Sept 25/2020 |
Sell 20 |
MMM |
-$3197.73 |
-$103.30 |
|
Sept 25/2020 |
Buy 30 |
TSE:GSY |
$1806.99 |
$54.00 |
|
Sept 25/2020 |
32 |
TSE:RY |
$3010.63
|
$138.24 |
|
Sept 25/2020 |
77 |
ABBV |
$6811.40 |
$363.44 |
|
Sept 25/2020 |
47 |
TSE:T |
$1107.91 |
$54.99 |
|
Sept 25/2020 |
100 |
TSE:CPX |
$2935.99 |
$204.00 |
|
Sept 25/2020 |
10 |
V |
$1974.62 |
$12.00 |
|
Sept 25/2020 |
24 |
O |
$1442.54 |
$67.24 |
Waste Connections is the premier provider of solid waste collection, transfer, recycling and disposal services in mostly exclusive and secondary markets across the US and Canada. The company also provides inter-modal services for the rail haul movement of cargo and solid waste containers in the Pacific Northwest. It is leading provider of non-hazardous exploration and production, or E&P, waste treatment, recovery, and disposal services in the US.
Currently, WCN is paying $0.98 or 0.71% of dividend annually. It has a 5-Year Dividend Growth Rate of 16.60% as of today. We liked the business of the company and the growth of this company. As a result, we added another 12 shares of WCN to our existing holdings and increased our dividend income by $11.88 annually.
The Bank of Nova Scotia provides various banking products and services in Canada, the United States, Mexico, Peru, Chile, Colombia, the Caribbean and Central America, and internationally.
Currently, BNS is paying $3.60 or 6.35% dividend income per year. During the past 5 years, the average Dividends Per Share Growth Rate was 6.40% per year. We believed that BNS was undervalued. Therefore, we add 19 more shares to our large holdings of BNS . Annually, this purchase increased our dividend income by $68.40.
Brookfield Renewable Partners operates one of the world’s largest publicly-traded renewable power platforms. Its portfolio consists of approximately 19,300 MW of capacity and 5,301 generating facilities in North America, South America, Europe and Asia.
BEP has been paying a quarterly dividend since 2013. At the current share price and an annual $2.26 dividend payment, the dividend yield is 3.73%. Its investment objective is to deliver long-term annualized total returns of 12%–15%, including annual distribution increases of 5–9% from organic cash flow growth and project development. We liked the growth of the company and the clean energy sector. As a result, we added another 26 shares of BEP to our existing holdings that would increase our dividend income by $61.10 annually.
Shopify Inc., a commerce company, provides a cloud-based multi-channel commerce platform for small and medium-sized businesses in Canada, the United States, the United Kingdom, Australia, and internationally. It is a commerce platform that allows anyone to easily sell online, at a retail location, and everywhere in between.
The growth for Shopify revenue is enormous since 2016:
- For the quarter ending June 30, 2020 Shopify revenue was $0.714B, a 97.34% increase year-over-year.
- For the twelve months ending June 30, 2020 Shopify revenue was $2.080B, a 60.45% increase year-over-year.
- Annual revenue for 2019 was $1.578B, a 47.05% increase from 2018.
- Annual revenue for 2018 was $1.073B, a 59.4% increase from 2017.
- Annual revenue for 2017 was $0.673B, a 72.94% increase from 2016.
We are very with bullish the growth with Shopify. Because of the stock has a great run this year, we are buying only 2 share this month at the cost of $2698.92. We will continue to add more positions in the future.
Starbucks Corporation, together with its subsidiaries, operates as a roaster, marketer, and retailer of specialty coffee worldwide. The company operates in four segments: Americas; China/Asia Pacific; Europe, Middle East, and Africa; and Channel Development. Its stores offer coffee and tea beverages, roasted whole bean and ground coffees, single-serve and ready-to-drink beverages, iced tea, and food and snacks; and various food products, such as pastries, breakfast sandwiches, and lunch items.
Currently, the company pays an annual dividend of $1.64 per share, with a dividend yield of 1.95%. It has grown its dividend for the last 9 consecutive years and is increasing its dividend by an average of 20.57% each year. At the movement, Starbucks pays out 57.95% of its earnings out as a dividend.
We added another 10 shares of Starbucks to our existing holdings that would increase our dividend income by $18.90 annually.
Jumia is an e-Commerce company operating in Africa. E-Commerce is the future of retail. Once upon a time, this company was labeled as the “Amazon of Africa”.
In reality, Africa wasn’t quite ready for an e-commerce boom because of its internet infrastructure and consumers were reluctant buying things online. However, the pandemic in March 2020 started the digital revolution boom in Africa. Companies already started deploying 5G internet in Africa. African consumers started shifting their mind to buy things online.
This was a speculative buy for us. We bought another 200 shares of Jumia to average down our long term holdings.
CloudMD Software & Services Inc., a technology company, provides SaaS based health technology solutions to medical clinics in Canada. The company provides digital technologies that connect doctors and allied health care providers to their patients. It also engages in retailing of prescription drugs, over-the-counter drugs, and other front store items through primary care clinics and pharmacies, as well as provide clinical, medical reviews, and compounding services.
The company is a growth company with the revenue increased by 163% in the last quarter. If you like Livongo and TeleDoc, then this company is a smaller version of these companies. CloudMD is a growth stock which does not pay dividend. This is our speculative play for us because there are many risks involving this new company. We bought 2,000 shares of DOC with the believe that this company could become a major player in Tele-Health one day.
goeasy Ltd. is a Canadian company headquartered in Mississauga, Ontario, that provides non-prime leasing and lending services through its easyhome and easyfinancial divisions. With a wide variety of financial products and services including unsecured and secured instalment loans, goeasy aspires to help put Canadians on a path to a better financial future as they rebuild their credit and graduate to prime lending.
The company has been paying dividend since 2004. At the movement, GSY pays an annual dividend of $1.80 per share, with a dividend yield of 2.95%.
During the past 10-year period, the first annual payment was CA$0.3 in 2010, compared to CA$1.8 last year. Dividends per share have grown at approximately 18% per year over this time.
goeasy Ltd. pays out 30% of its earnings out as a dividend.
It’s rare to find a company that has grown its dividends rapidly over 10 years which becoming one of our favorite financial stocks. We added another 30 shares of goeasy to our existing holdings that would increase our dividend income by $54 annually.
With roots tracing back to the 1860s, Royal Bank of Canada (RY), or RBC, is one of the oldest and largest banks in the world. The firm is well-diversified across businesses, geographies, and client segments, serving 16 million customers across Canada, the U.S., and more than 30 other countries.
RY is paying $4.32 or 4.57% of dividend annually for the current year. It has a 5-Year Dividend Growth Rate of 7.30% as of today. The earning of the last quarter was excellent so we believed this was an opportunity to add another 32 shares of RY to our existing holdings. Our dividend income increased by $138.24 annually.
Telus (TSE:T NYSE:TU)
TELUS Corporation, together with its subsidiaries, provides a range of telecommunications products and services in Canada. It operates through Wireless and Wireline segments. The company’s telecommunications products and services comprise wireless and wireline voice and data services; data services, including Internet protocol; television services; hosting, managed information technology, and cloud-based services; healthcare solutions; customer care and business services; and home and business smart security solutions.
Currently, the company is paying $1.17 or 4.95% of dividend annually. It has a 5-Year Dividend Growth Rate of 8.00% as of today. We added another 47 shares of T to our existing holdings from the money we sold our KL shares. Our dividend income increased by $54.99 annually.
The company is paying $4.72 or 5.49% of dividend annually for the current year. It has a 5-Year Dividend Growth Rate of 20.70% as of today. We saw the opportunity of buying AbbVie below $88.00. To get the money to buy AbbVie, we sold our VFV ETF shares. The money were used to buy another 477 shares of ABBV to our existing holdings. Our dividend income increased by $363.44 annually. However the sell of VFV decreased our income by $152.94. Therefore, the net income only increased by $210.50 annually.
Capital Power Corporation develops, acquires, owns, and operates power generation facilities in Canada and the United States. The company generates electricity from various energy sources, including natural and landfill gas, coal, wind, waste heat, solid fuels, and solar. It owns approximately 6,200 megawatts of power generation capacity. The company was founded in 1891 and is headquartered in Edmonton, Canada.
CPX is paying $2.05 dividend or 7.01% for the current year. It has a 3-Year Dividend Growth Rate of 7.1% as of today. We added a new position of 100 shares of CPX from the money we sold our KL shares. Our dividend income increased by $204.00 annually.
Visa Inc. operates as a payments technology company worldwide. The company facilitates commerce through the transfer of value and information among consumers, merchants, financial institutions, businesses, strategic partners, and government entities. It operates VisaNet, a processing network that enables authorization, clearing, and settlement of payment transactions. In addition, the company offers card products, as well as value-added services.
The company is paying $1.20 dividend or 0.61% for the current year. It has a 5-Year Dividend Growth Rate of 20% as of today. When the stock dropped below $200/share, we saw the opportunity to acquire a top notch company at a reasonable price. Therefore, we added another 10 shares of Visa to our existing holdings from the money we sold our MMM shares. Our dividend income increased by $12.00 annually. However, the sell of MMM decreased our income by $103.30 .
Realty Income, The Monthly Dividend Company, is an S&P 500 company dedicated to providing stockholders with dependable monthly income. The company is structured as a REIT, and its monthly dividends are supported by the cash flow from over 6,500 real estate properties owned under long-term lease agreements with commercial tenants.
To date, the company has declared 601 consecutive common stock monthly dividends throughout its 51-year operating history and increased the dividend 107 times since Realty Income’s public listing in 1994 (NYSE: O). Realty Income is paying $2.81 or 4.78% annually for the current year. It has a 5-Year Dividend Growth Rate of 4.6% as of today. Patiently waiting and when the stock dropped below $60/share, we added another 24 shares to our existing holdings. Annually, this purchase increased our dividend income by $67.24. We will continue to monitor this company because we still want to add more shares of the Monthly Dividend Income.
Conclusion
In September, our focus was to increase more dividend income. In conclusion, we bought total of $23,000 of dividend stocks comparing to $11,768 spent to buy growth stocks. The ratio is 2:1 between dividend stocks vs growth stocks. We are still keeping the plan of using the profit from growth stocks to buy more dividend stocks for income. With all the selling and buying, we were able to increase our dividend income by $756.36. For the next few months, we will concentrate on increasing our dividend income.
Thanks for reading. How was your September? Did you buy anything?
Sam