Recent Buy – MDT

I remained active in November with regard to Portfolio transactions.  It’s only one move this time, but it’s still worthy of providing an update on.

This is already my 6th time purchasing this stock in the past 6 months.  I only initiated my position at the beginning of June.

I haven’t always made my purchases of this stock at successively lower prices, but it’s been close.  With the price of the stock dropping it’s been a good opportunity to build out my position.

Let’s get to the specifics…

 

Medtronic (MDT)

Like plenty of other stocks in 2022, MDT is down over 20%.  MDT started the year at a price of $103.45.  Its most recent closing was at $79.12.

When I established my position back in June, I started at a price of $97.50.  If I liked it back then you can only imagine how I like it now.

While I’m not diving in head first, I am dipping my toes in the water.  My position has been growing with all the small additions over the past 6 months.

Not only is the stock becoming a more significant member of my Portfolio’s Healthcare sector, but of my Portfolio overall.

On 11/22/22, I bought 10 shares of MDT at $76.80, for a total of $768.00.  The stock was yielding 3.54% at that price… noticeably above my Portfolio average of 2.70% at the time.

My MDT position grew by 28.25%.  My share count climbed to 45.397 shares.

The purchase lowered my MDT cost basis to $88.13/share, which was a decrease of more than $3/share.

My Portfolio’s annual forward dividend income increased by $27.20 due to the buy.

With regard to Portfolio value, MDT has moved out of my bottom 10 and now stands as my 11th smallest holding in the Portfolio.  The stock sits behind Microsoft (MSFT), but ahead of Amdocs Ltd. (DOX).  I’d like to see MDT continue to move higher in my rankings.

With MDT being an existing holding, the number of stocks in my Portfolio held steady at 58.

 

Summary

I purchased a small batch of MDT shares in November.  I continued to build out this relatively new position since its price decline hasn’t yet stopped.

My MDT position increased by over 28% as a result of the buy.  Meanwhile, I was able to lower my MDT cost basis.

The purchase resulted in an investment of $768.00 into my Portfolio.  My forward dividend income increased by $27.20.

MDT will remain on my watchlist assuming the stock price continues to hover around the level it’s currently at.

 

What do you think of MDT trading below $80?  Have you added any MDT shares recently?  Is the stock on your radar at all?  Please share in the comments!

Posted on by Engineering Dividends

2 thoughts on “Recent Buy – MDT”

  1. MDT is interesting. They have a very long history of rewarding shareholders; however, the last 5 years or so has been pretty anemic. Dividend growth has remained strong though. I’ve been adding slowly on this dip and picked up a bit more yesterday actually. It might take a few more years before MDT can get a real growth trajectory going again but I believe they have the capacity to do so.

    1. On a P/E basis, it appears MDT hasn’t been this inexpensive since 2014. I like MDT’s long-term track record and think it can continue, so I’m viewing this pullback as a good time to add.
      I like the dividend growth from MDT as well.
      I’m willing to wait for an MDT recovery. Here’s hoping we look back on this time a few years from now and think what a wonderful time it was to buy.

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