I am running a little late on posting this update. Since I am a little behind I decided to combine both of these new positions in this post. I have been on the lookout for some new investment ideas and think that I have some good ones here. This will be broke down into 2 different sections, each representing a new position that I have established in my More Dividends Fund. Without further adieu, let’s get right into it.
Walmart stock has definitely been beaten up lately. A lot of people like to make the comparison between Walmart and Amazon but to me there is no comparison. The business models of the two businesses are different. Walmart has traditionally been known as a retailer that sells items at the lowest prices. They grew their business on this idea and built supercenters in major cities all across the world. Lately I have been reading about their new strategy that I really like.
Walmart has appeared to be a step behind in the e-commerce business but they are in the process of implementing a very smart way to utilize the internet to their advantage. They are implementing a new store concept called “Neighborhood Marketplace”. In this new store concept it allows you to order your groceries online and then go and pick them up at the Neighborhood Market location. I think this is a great way to use the internet to their advantage.
Walmart is a great company with a long history of paying dividends. The companies stock has been very beat up the past year with it being down more than 20%. I don’t for see the company going away anytime soon, so I decided it was a great time to open a position in Walmart.
I look forward to finding more opportunities in the future to build onto this position but only if i can get it cheaper than my cost basis.
This company is one that I learned about because they own Georgia Power, which is my local provider of electricity. Upon doing a little research I learned that this Southern Company actually owns quite a few major Power companies throughout the south east. The company has been paying dividends for decades. Over that same time the stock has continued to go up in price.
The company has continued to make good solid business decisions that will allow them to continue to grow. One acquisition that I really like is them pursuing Atlanta Gas and Light. It will allow them to increase their market share in power but it will also allow them to capitalize on natural gas once the prices go back up.
Two great positions added to my portfolio. I see neither company going away anytime soon. I look forward to building onto these positions in time but I have to be in no hurry…. because I intend to hold them forever.