Dividend Growth Investment for March 2025

Good Morning,

I wanted to let you know that I made a large investment this morning into an attractively valued dividend achiever. The company's stock has been beaten down a little, but I believe it offers an attractive entry at the current valuation. The company's share price is largely flat in the past 3+ years, while earnings per share have been increasing. So has the dividend. The P/E ratio appears low, while expected growth would likely be good as well. The combination offers a good entry in my opinion to add to my existing position. I believe it offers an attractive risk/return opportunity today.

That doesn't mean the stock price cannot decrease from here as well of course. I may consider adding further to it again if that were to occur, subject to the fundamentals remaining in tact, my entry criteria still being met and provided the company does not have an above average position weight allocation in the portfolio. From a risk management perspective, I likely have another potential add to this company (besides today), before I hit my risk limits on how much I want to bet on a single company based on total investment cost.

I believe the last time I made an investment in this company was around 5 years ago, at much lower prices. However, the company has managed to grow earnings and dividends per share, and is now available at a good valuation. Further, it's weight in the portfolio has declined, given the new contributions I have been making to the portfolio, as well as the portfolio growth enjoyed in the period. Thus I am going to increase my position in the entity.

This is likely going to be the main investment I make this month. While I am likely to nibble on an existing holding or two, this is going to be the main investment I make this month. This is after I made another big investment last month as well. (for the constraints imposed on this newsletter portfolio that is).