Time for another purchase update!  I’ve been a little slow in posting about my latest transactions and I don’t want to fall further behind.

I’ve got 3 new buys to cover.  Each stock was purchased in the first third of May.

Stock prices accelerated to the downside as we opened up the month of May, so I scooped up a few shares of stocks that looked attractive.

All the stocks I bought already existed within my Portfolio.  Thus, one could say I’ve just been solidifying my positions.

Let’s see what I bought and get some purchase details…

 

STORE Capital (STOR)

STOR is a basically a new holding for me.  I only established a position in STOR in early March.  Since then the price has dropped over 10%, so I thought it would be nice to add some shares and reduce my cost basis.  I also wanted to continue growing this rather small position.

I added STOR to my Portfolio with the thought that it could produce better dividend growth than a pair of REITs that I recently removed – W. P. Carey (WPC) and Omega Healthcare Investors (OHI).  OHI had issues beyond just dividend growth though, including poor dividend safety.

On 5/6/22, I bought 20 shares of STOR at $26.90/share, for a total of $538.00.  This was a 39.5% increase in the size of my position.

The stock yielded 5.72% at my purchase price (better than double my current Portfolio average of 2.65%).

I now own 70.646 STOR shares.  The purchase lowered my STOR cost basis to $29.26/share.

This purchase increased my annual forward dividend income by $30.80 – a healthy boost.

In terms of my Portfolio value for STOR, it still remains firmly seated in my bottom 10 rankings.  It stands as the 4th smallest position in my Portfolio of 57 stocks.  The stock is tightly sandwiched in between fellow REIT National Retail Properties (NNN) and Utility stock Pinnacle West Capital (PNW).

 

Starbucks (SBUX)

Here’s a stock that has been on my watchlist for 2-3 months now.  It’s been in a pretty consistent decline ever since 2022 began, too.

The stock dropped well below the price targets I’d set in these past couple months, so I wanted to make sure I added some shares, even if it didn’t move the needle much on the size of my position.

My last SBUX purchase was in late 2019 (at $81.55/sh.).  Surprising to me, I was able to pick up this current batch of shares at an even lower price.

On 5/9/22, I added 5 shares of SBUX to my holdings at $74.75/share, for a total of $373.75.  This was a 4.15% increase in the size of my position.

The stock yielded 2.62% at my purchase price (essentially on par with my current Portfolio average).

I now own 125.493 shares of SBUX.  The purchase raised my SBUX cost basis a bit, up to $59.65/share.

This purchase also boosted my annual forward dividend income by $9.80.  I’ll take it.

SBUX is currently my 27th largest holding.  It sits just below JPMorgan Chase & Co. (JPM), but well ahead of Air Products & Chemicals (APD).

Shortly after I bought SBUX, the stock price dropped below $70.  Should the stock get there again, I’ll consider making another similarly-sized purchase.

 

Visa (V)

One of my favorite holdings is V.  While the dividend yield of V is easily under 1%, the stock makes up for it with some nice capital appreciation over the long-term.

I made a couple of small additions to my V position last November, when the price approached, then crossed below $200.  Similar levels were reached this past March, but I missed out on adding at that time.

The stock recently revisited those levels yet again early this month, so I took it upon myself to add once more.  Ultimately, I’d like to get my V position up to the 100-share level.

On 5/9/22, I added 2 shares of V at $192.50/share, for a total of $385.00.  This was a rather small 2.29% increase in the size of my position, but it keeps my position growing.

The stock yielded a meager 0.78% at my purchase price (less than a third of my current Portfolio average).

I now possess 89.237 shares of V… on my way to 100!  The purchase resulted in my V cost basis rising to $79.42/share.

This purchase also boosted my annual forward dividend income by $3.00.  It’s not much, I know, but I’ll take every bit I can get.

In my Portfolio value rankings, V is just outside my Top 10, coming in as my 11th largest holding.  It trails Aflac (AFL) by just a bit, but has a decent cushion ahead of Johnson & Johnson (JNJ).

Any further price declines in V could easily result in an additional purchase by me.

 

Summary

I added shares in three of my existing Portfolio holdings during the early part of May.

The majority of my investment went into STOR, as I look to build that position.  I also added to SBUX for the first time in a while, and to V after a pair of additions last November.

The trio of purchases resulted in a net investment of $1,296.75 into my Portfolio, bumping up my forward dividend income by $43.60 in the process.  The effective yield of this group of buys was 3.36%.

I could see myself adding to these positions again should their share prices drop further.  There seems to be a good possibility of further declines given the turbulence in the stock market.

 

Are you waiting for some market stabilization before committing capital to stocks, or are you buying on the way down?  Please share in the comments!