As it turns out I was not able to sit on the sidelines too long after my purchase of Emerson Electric last week. On Friday I was paid, which means I had $400 readily available to invest since I have a portion of my paycheck automatically deposited into the checking account linked to Sharebuilder. I have been watching a lot of stocks over the last month or so as a result of the Greece turmoil and the general pullback in the market that recently occurred, which has caused a lot of great dividend growth stocks to become discounted. I purchased one of the stocks on these watch lists, the question is…which stock was it?
This Sunday, I woke, poured my morning cup (or two or three) of coffee and turned on the television. I began flipping through the channels to see what I could watch before I fired up my laptop to begin blogging. I stumbled across a classic, Office Space, and had to watch the rest of the movie. It is one of those movies I have to watch to the finish line, regardless of whether I started watching at the beginning, middle or the end. Even though I have watched the movie time and time again, there was something different about watching it this weekend.
The market hit a nice turn again for the worse, after a earnings have started to be released for companies. I saw the red, the deep red and I had to put in a nice little limit order on a stock, where it was already down over 6% from a price I recently looked at it… I didn’t really thing it would get lower… lower it did. Now let’s take a look at the purchase.
The month of July has been a very unusually favorable month – especially if you have capital! We have seen the market go up and down, similar to last month, except this week, recently, the market has been on a bigger slide, opening up, of course, great dividend stock buying opportunities. Given the new opportunities unfolding in front of our eyes, it of course leaves us to really pin point down to which stocks are we really looking to purchase into. Lets see what is on our July watch list!
I have been compiling some cash recently and had enough to establish a great entry-level position in a company. Over the last few months, there have been many events impacting the market and pushing the price of some great companies lower and lower. So I wanted to make this purchase count and pick up a rock-solid dividend paying stock, one that I now think should be included on Lanny’s infamous foundation stock listing. Unfortunately, the title gave it away. See why I decided to invest in Emerson Electric this week.
What a month it has been for the market and it seems like every day there was a development that caused the stock market to toss and turn. Heck, the turbulent market allowed the two of us to purchase shares of Norfolk Southern Corporation and Lanny to continue to decrease his average cost basis per share in Canadian Imperial. The buying hasn’t stopped with us, as many other dividend growth investors in the community have purchased some solid companies as well. Through all of this, one Dividend Aristocrat’s stock price continues to fall (Down 13.4% YTD!) and pop up on my personal stock screener. So I thought “why not analyze the company to see if I should use my excess capital to purchase shares?” Now, it is time to put Emerson Electric (EMR) through the Dividend Diplomats’ Stock Screener!
Finally… a trigger has been pulled, the market has had a pull back and Bert, the Jewish one, did not also purchase the same stock I did this time around, joking Bert. I had been eager to add to my dividend income producing stocks, and the time for me was right. Since I am an auditor in the financial institutions realm and don’t have too much exposure to banking – that is what step I ended up taking. Let’s take a look at the purchase.