During the steep 8% sell of of the S&P 500 this past Monday I picked up shares of global branded alcoholic beverage company, Diageo (DEO) at $58.61, where they were off 10%. Diageo is the company behind products like Guinness Stout, Crown Royal Whiskey, Baileys, and Smirnoff Vodka. Mmmm.....
At a 5.4% yield Diageo was hard to pass up. To read a brief post about why I bought the stock now, please visit The DIV-Net and read my regular Wednesday post titled 'Diageo, Happy Hour On The Cheap'.
For more great information on Diageo from The DIV-Net, check out Dividend Growth Investor's post from August 22, titled "Diageo Dividend Analysis". I'll likely talk further about why I like Diageo in future posts on the moneygardener. Diageo now makes up 3% of my portfolio.
3 comments:
Money Gardener
Being a dividend growth investor, I'm very interested in your opinion on my latest post.
http://nocommunism.blogspot.com/2008/09/pissing-off-fellow-bloggers-dividend.html
Feel free to comment!
Hi Nelson, I enjoyed that post, a little birdie emailed it to me. I can't believe I'm being ripped on by a guy that still lives with his Mom.
You make some good points but I don't believe I fall into your stereotype very well. I don't automatically sell when a company cuts its dividend (I didnt' sell BAC). Also, I don't really pay that much attention to yield when I evaluate a company for purchase. I do feel that one can become overly fixated on some aspects of dividend growth investing to a fault. I feel that my strategy, while based on the frame of dividend growth investing, is much more flexible than how you describe it.
Great read though....
MG,
Thanks for the link. I am looking at DEO but unfortunately I don't want to leverage my dividend exposure.
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