Summary
- On Friday, (JNJ) closed -6.22% after they voluntarily recalled a single lot of Baby Powder after trace levels of asbestos were found in tests.
- I explain why this dip was an over-reaction which I took as opportunity to add shares.
- My other purchase last week was (GD). These two purchases added approximately $62.48 of forward annual dividend income to the Blue Chip DRiP Portfolio.
- I've included fair value estimates and my "common sense" (hopefully) reasoning for each buy.
Hi, I’m Alan aka Blue Chip DRiP
Glad you're here. This is my 2nd post on SA. Feel free to read my first article here. In a nutshell, I grew up with a fantastic financial role model. My dad was a successful stock broker for 30+ years, and always preached the power of saving, compounding interest, and reinvesting dividends in high quality businesses. He’s now retired, easily living off of passive/ever-growing dividend income. Pops is "proof" that it works.
I’m 42 and married with 2 kids (ages 10 and 6). Unfortunately, I neglected my dad's wisdom for the better part of my life - sliding through my 20s and 30s "in the present" without much prep for the future.
In February 2019, I finally decided to get serious about my family's financial future. I made a monthly budget with my wife, figured out ways to increase our savings rate, got rid of unnecessary mental and physical clutter, and started investing in high-quality businesses that pay dividends. Ring a bell?
Primary Investing Goal
To nurture a safe and growing passive dividend income stream to help my wife and I live comfortably in retirement (oh yeah, and that college thing for the kiddos, too). I got into the game late, and lost many important years of compounding, so I’m trying to make up for lost time as I follow one of my favorite cycling quotes: “Draft off the intelligence of others.” - Author Unknown
Goals For My Articles
To create a "Win-Win" by sharing my personal financial journey with like-minded investors (as I know many of you are on similar paths). The accountability and scrutiny that comes with these posts will hopefully (selfishly) improve my investment decisions and aid in forward progress. Likewise I hope you gain some ideas and maybe a kick in the pants for your own research/purchases as we step towards our goals together.
