Ever since last year, I felt that the market was so overvalued I barely bought anything, sat on cash buying absolutely nothing. I continued to study market to even broader, even the dark side of the market, shorting frauds/hypes. Unbelievable how things have changed so rapidly over these last few months and finally seeing some great individual stock bargains. These are the times to buy the greatest businesses in the world! So in order to put some money to work I bought some JPMorgan Chase & Co. (JPM) or basically the bank that owns and runs the world. If anyone knows how to make money, its banks, especially with their financially engineered contractual obligations such as mortgage loans, car loans, business loans, etc… where banks get largest interest payments back to them beginning of customer contract amortization schedule. Wonderful business at a wonderful price!
JPMorgan Chase & Co. was formed in 2000 when JPMorgan & Co. merged with Chase Manhattan Corporation. Company is a financial holding company. The Company is engaged in investment banking and financial services. Its segments are Consumer & Community Banking, Corporate & Investment Bank, Commercial Banking and Asset Management. The Consumer & Community Banking segment offers services to consumers and businesses through bank branches, automatic teller machines (ATMs), online, mobile and telephone banking. The Corporate & Investment Bank segment, comprising Banking and Markets & Investor Services, offers investment banking, market-making, prime brokerage, and treasury and securities products and services to corporations, investors, financial institutions, and government and municipal entities. The Commercial Banking segment provides financial solutions, including lending, treasury services, investment banking and asset management. The Asset Management segment comprises investment and wealth management. The JP Morgan brand is used for investment and private banking while the Chase brand is used for credit card services, retail, and commercial banking. It is the largest bank in the United States in term of assets.
- P/E: 9.7
- Dividend Yield: 4.2%
- 10Yr Dividend Growth Rate: 20.1%
- 5Yr Dividend Growth Rate: 16.2%
- 3Yr Dividend Growth Rate: 21.5%
- Payout Ratio: 39.0%
- Consecutive Years of Dividend Raises: 9
- Dividend Payout: Quarterly
- Debt/Equity Ratio: 2.24
I purchased 12 shares of JPMorgan Chase & Co. (JPM) for the price of $85.70 per share for a total investment of $1,028.40 adding around $43.20 to my annual dividend income.
This is the 1st time I am initiating a stock acquisition this year. This transaction is my first ever purchase of JPM stock shares into the portfolio. Currently, JPM ownership stake represents to be around 0.9% of my current portfolio value. When looked at the stock price chart, I was able to buy in 2017 price levels, were even lower, but no need to be greedy. I will add to this position further as I would like to have at least $3k in this position to compliment my WFC position. Time will tell when I will add to it due to current uncertainties. Lets hope for lower prices, which in correlation, represent higher dividend yields to be locked in.
The Portfolio “The Dividend Machine” has been updated with link ➡ here.
Thank you for reading & have a great day!