Acquisition KMB

It has been a while since I pulled a trigger and bought something into the portfolio, so you know I’ve been itching, but keeping myself composed seeking for further opportunities I made a buy. Kind of premature buy as I thought I got in a fair value at the time, thought only to notice a few days later could have gotten at a bit cheaper price if I would have waited a bit longer. The catalyst here is that the company is based from Dallas, Texas and the area has been going through some challenges to say the least. Though, as you know it, where there is a weakness, there is an opportunity in the stock market. Either way very happy with the pickup here, the stock should rebound once the area gets cleaned up. Plus, this one is a forever type of buy as I love the company products and I foresee many more years of dividend check coming my way.

Company Overview: 

Kimberly-Clark Corp was founded in 1872 and is headquartered in Dallas, TX. Essentially, the company with its subsidiaries, manufactures and markets personal care, consumer tissue, and professional products worldwide. The company is well known for its various products and brands including Kleenex, Huggies, Kotex, Depend, and Scott. Kimberly-Clark operates in four segments: Personal Care, Consumer Tissue, K-C Professional, and Other and Healthcare. The Personal Care segment offers disposable diapers, training and youth pants, swimpants, baby wipes, feminine and incontinence care products, and other related products under the Huggies, Pull-Ups, Little Swimmers, GoodNites, DryNites, Kotex, U by Kotex, Intimus, Depend, Plenitud, Poise, and other brands. The Consumer Tissue segment provides facial and bathroom tissues, paper towels, napkins, and related products under the Kleenex, Scott, Cottonelle, Viva, Andrex, Scottex, Neve, and other brand names. The K-C Professional segment offers wipers, tissues, towels, apparel, soaps, and sanitizers under the Kleenex, Scott, WypAll, Kimtech, and Jackson Safety brands. The company sells household use products directly to supermarkets, mass merchandisers, drugstores, warehouse clubs, variety and department stores, and other retail outlets, as well as through other distributors and e-commerce. It also sells products for away-from-home use through distributors and directly to manufacturing, lodging, office building, food service, and public facilities.

Statistics:

  • Dividend Yield: 3.2%
  • 3Yr Dividend Growth Rate: 4.7%
  • Payout Ratio: 62.4%
  • P/E: 20.37
  • Consecutive Years of Dividend Raises: 44
  • Dividend Payout: Quarterly

I purchased 9 shares of Kimberly-Clack Corp. (KMB) for the price of $122.00 per share for a total investment of $1,098.00 adding around $34.92 to my annual dividend income.

It is the 6th time I am initiating a stock acquisition this year. This transaction is my additional purchase of KMB shares into the portfolio. As of today, I now hold a total of 19.24 shares of the company. Additionally, KMB ownership stake represents to be around 2.1% of my total portfolio value.

Conclusion:

Portfolio “The Dividend Machine” has been updated with link > here.

Thank you for reading & have a great day!

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4 Comments

  1. blogsandmarkets on September 10, 2017 at 02:44

    Very good buy. A good dividend aristocrat

    • DividendVet on September 10, 2017 at 13:57

      Much appreciated. The way I think is that people will always need to buy tissues and toilet paper, no matter what day and age it might come to be.

      Take care.

  2. Dividend--Portfolio on September 11, 2017 at 09:39

    KMB is one of those solid dividend companies that it probably is in a lot of investor’s portfolios. I think you made a great buy Div Vet. I don’t yet own KMB, but I imagine it will one day be in my portfolio as well.

    • DividendVet on September 13, 2017 at 21:11

      Yeah, this is as boring of a business as they come, but dividends never bore me. 🙂 Plus, if you use tissues why not support a business by buying a peace of it if you buy the products from certain company. That is capitalist at its finest.

      Thanks for your thoughts.

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