2012's Final Dividend Machine - Republic Services, Inc. RSG
When you return from Christmas
celebrations, you might want to consider adding this week’s dividend machine
company to your income portfolio quickly because it goes ex-dividend. If you own Republic Services, symbol RSG, by
December 28, 2012, you will receive their quarterly dividend of $.235 on
January 16, 2013.
I do not actually believe anyone
should rush into buying a stock.
However, investing on a regular basis leads to a well balanced
portfolio, so if you are in the habit of adding to your income portfolio on a
weekly basis, or even a monthly basis, and RSG is a good fit, this would be a
good time to buy. Buying this close to the dividend means you
tie up your principle for a very short time before you get a paycheck.
RSG is not an investment that will
provide covered call income. It is a pretty boring company. RSG has been a steady dividend payer and has
increased the dividend every year for 5.7 years. The stock closed on Christmas Eve. at $29.74. Their annualized dividend yield at that price
is 3.16%. RSG manages debt well; their
D/E ratio is .92.
The table below presents the
dividend machine fundamentals for RSG.
DIVIDEND MACHINE
|
12/24/2012
|
||
Republic Services
|
RSG
|
||
Price when
profiled
|
$29.74
|
||
Last 4
Qtrs Earnings
|
$1.71
|
||
Last 4
Qtrs Dividends
|
$0.94
|
||
Current
Qtr Dividend
|
$0.24
|
||
Annualized
Div Yield
|
3.16%
|
||
No. Years
Div Increase
|
5.7
|
||
Debt/Equity
ratio
|
92.00%
|
||
I will be back in 2013 to continue
to share my income investing strategy and share my picks with you. I have not yet decided on the format for
2013. One of my goals for 2013 is to
analyze and publish reports on how the two portfolios (2011 Dividend Machines
and 2012 Dividend Machines) performed.
After all, without measuring results, this strategy is incomplete.
Very
Truly Yours,
