Dividend Dolphin

It was a long time ago that I sold some stocks, but yesterday I did. I sold my total position (3 shares) in Abbvie (ABBV). I bought the ABBV shares last January for a price of $62.75 a share and sold them at $81.50, which is almost a capital gain of 30%. In dollars that is. As I live in The Netherlands, I look at my investments in Euros. And because the dollar has weakened tremendously since January, my actual capital gains are just 12%. When I add the dividends I received the "profit" I made was 14%. Why did I sell? Well, mostly because of the surge in shareprice ABBV made yesterday. I expect that that shareprice >$80 won't last very long. I still like ABBV though, so if the price comes down a quite a bit I might another batch of shares. For now I expanded on one of my other positions, which I will write about in another blog.

As a dividend growth investor most of the time you buy shares and keep them for a very, very long time and collect those dividends. But sometimes you have to sell some of those shares. Today I had to sell Target (TGT) after just owning them for 1 week. Last week I bought TGT at $66.80 per share at the beginning of the markets after Donald Trump was elected president. In one day the shares rose to about 71 dollars and stayed there until yesterday. And TGT went ex dividend last monday as well. Today TGT presented it 3rd quarter figures pre market and those figures are quite good. Today the TGT shareprice rose again to 77 dollars plus. That's a 18% increase compared to my buying price. So today, after just owning the shares for a week, I sold my (4) TGT shares again for $77.25 per share. At the current quarterly dividend this profit equals more than 17-18 times dividend payment or 4.5 years of dividend payment. This is a 15.6% profit. Adding the dividend into the equation of $0...