Chasing the Yield

News

Johnson & Johnson (JNJ): The U.S. military has offered to provide some Johnson & Johnson’s (J&J) JNJ.N coronavirus vaccines for South Korean troops, the defence ministry said on Monday, as South Korea struggles with a shortage of COVID-19 shots. The offer came days before President Moon Jae-in is due to visit Washington for his first summit with U.S. President Joe Biden, amid calls for Moon to secure more and faster deliveries of U.S.-made vaccines. https://www.msn.com/en-us/news/world/us-military-offers-jandj-vaccines-for-south-korean-troops/ar-BB1gP375Johnson & Johnson has cut by half expected deliveries of COVID-19 vaccines to the European Union this week, an EU official told Reuters on Monday, compounding supply problems the company has faced since it began shipping doses to the bloc in April. Under its contract with the EU, J&J has committed to shipping 55 million doses of its one-shot vaccine in the second quarter. But midway through the quarter, it had delivered less than 5 million doses, less than 10% of its target. https://www.reuters.com/world/europe/jj-cuts-vaccine-deliveries-eu-by-half-this-week-eu-source-2021-05-17/The GAVI Vaccine Alliance said on Friday it has agreed to buy 200 million doses of Johnson & Johnson’s COVID-19 vaccine, as it seeks to fill a big shortfall in the COVAX vaccine-sharing programme caused by India suspending exports. “As a one dose vaccine, the J&J vaccine has particular relevance for places with difficult infrastructure, making it a very important addition to the portfolio,” said GAVI CEO Seth Berkley said in a statement announcing the signing of an advanced purchase agreement with the U.S. drugmaker. https://www.reuters.com/business/healthcare-pharmaceuticals/gavi-signs-covid-19-vaccine-supply-deal-with-jj-2021-05-21/

Pending changes to the tax law

AT&T 2022 dividend cut may not be a bad thing

10 questions retirees get wrong

$32 billion flowed into bank stocks this year. A record.

Target reports huge jump in sales and store visits

Microsoft will discontinue Internet Explorer

The Fed lowers expectations for job growth in May

Dividend

* Telefonica (TEF) announced its next dividend of $0.17134 per share, bringing the company’s total payout over the last twelve months up 6.3%.* Old Republic (ORI) announced its next dividend of $0.22 per share, in line with the company’s previous payout.* Community Bank (CBU) announced its next dividend of $0.42 per share, in line with the company’s previous payout.* Orchid Island Capital (ORC) announced its next dividend of $0.065 per share, in line with the company’s previous payout.* MDU (MDU) announced its next dividend of $0.2125 per share,

The Yield

In addition to news and dividend information, on this episode, I cover my Low Yield portfolio.

It was a volatile week with the markets ending on an up note. All the markets were down overall for the week. Much of the downturn seemed related to the news cycle where inflation was rearing its ugly head and the gas pipeline operation stoppage. This week was another fine example of why I don’t buy for stock price but for dividend yield.

Wall Street Journal reports on inflation… again

WSJ searching for the pin that will pop the current economic bubble

Consumer prices rising a result of government COVID-19 response

Large U.S. banks poised to loosen requirements to get credit cards

Johnson & Johnson (JNJ): Norway should exclude the COVID-19 vaccines made by AstraZeneca and Johnson & Johnson from its inoculation programme due to a risk of rare but harmful side-effects, a government-appointed commission said on Monday. However, those who volunteer to take either vaccine should be allowed to do so, it said, stressing the importance of dispelling any vaccine hesitancy. https://www.reuters.com/world/europe/norway-should-exclude-jj-astrazeneca-covid-vaccination-scheme-says-commission-2021-05-10/Germany is lifting the prioritisation for giving Johnson & Johnson’s COVID-19 vaccine, Health Minister Jens Spahn said on Monday, adding that any adult who wants it will be able to receive the shot on a doctor’s advice. https://finance.yahoo.com/news/germany-lift-prioritisation-j-j-080939495.htmlThe U.S. Centers for Disease Control and Prevention said on Wednesday it had found more cases of potentially life-threatening blood clotting among people who received the Johnson & Johnson COVID-19 vaccine and sees a “plausible causal association.” The CDC said in a presentation the agency has now identified 28 cases of thrombosis with thrombocytopenia syndrome (TTS) among the more than 8.7 million people who had received the J&J vaccine. https://www.msn.com/en-us/health/medical/update-2-us-cdc-finds-more-clotting-cases-after-j-j-vaccine-sees-causal-link/ar-BB1gF6tEFriday J&J announced the World Health Organization (WHO) and the government of Sierra Leone have begun administering the Company’s Ebola vaccine regimen as part of a WHO early access clinical program aimed at preventing further spread of Ebola in West Africa. The vaccine regimen, developed by the Janssen Pharmaceutical Companies of Johnson & Johnson (Janssen) in collaboration with Bavarian Nordic A/S, is being donated to the WHO by Janssen for the purposes of the early access clinical program. Johnson & Johnson also announced that its Ebola vaccine regimen has received Prequalification from the WHO, which will help accelerate its registration in countries where Ebola is a persistent public health threat and facilitate broader access to people at risk of exposure to this virus. https://www.jnj.com/johnson-johnson-joins-world-health-organization-in-efforts-to-prevent-spread-of-ebola-in-west-africa

Other vaccine news: In interviews with Reuters, more than a dozen influential infectious disease and vaccine development experts said there is growing evidence that a firs...

The Yield

News

Illinois Tool Works (ITW): Credit Suisse analyst Jamie Cook raised the firm’s price target on Illinois Tool Works to $261 from $242 and keeps an Outperform rating on the shares. The analyst believes Illinois Tool Works’ first quarter marks a turning point delivering on organic growth and incrementals with further upside to reposition the portfolio via M&A over the medium term. Illinois Tool Works beat Q1 consensus estimates on better revenues and margins while raising full year 2021 by 6% higher than the street, Cook adds. https://thefly.com/n.php?id=3294583

Target Corp. (TGT): Target Corp. will provide $5 coupons to customers and employees who receive Covid-19 vaccinations at CVS sites within Target stores. https://www.morningstar.com/news/dow-jones/2021050411261

Johnson & Johnson (JNJ): Poland has offered to buy Johnson & Johnson COVID-19 vaccines from Denmark, a government spokesman said on Wednesday, after Copenhagen excluded the shots from its vaccination programme over a potential link to blood clots. https://news.yahoo.com/poland-ready-buy-j-j-090405685.html

U.S. President Joe Biden made the decision to back a proposed waiver for COVID-19 vaccine intellectual property rights, the White House said on Thursday, denying that administration officials had been split on the issue. https://www.reuters.com/business/healthcare-pharmaceuticals/biden-made-decision-support-ip-waiver-covid-19-vaccines-white-house-2021-05-06/

Albemarle Corp (ALB): The world’s largest producer of lithium, posted a quarterly profit on Wednesday that easily beat Wall Street’s expectations on rising demand from the electric vehicle industry. The company reported first-quarter net income of $95.7 million, or 84 cents per share, compared with $107.2 million, or $1.01 per share, in the year-ago period. https://www.marketscreener.com/news/latest/Albemarle-profit-beats-expectations-on-rising-lithium-demand–33171325/

MDU Resources (MDU): CFRA raised their target to $38 from $32, reflecting a 16.9x multiple on projected 2022 EPS, equal to MDU’s 5-year average multiple. We raise our 2021 EPS estimate to $2.21 from $2.12 and keep 2022’s estimate at $2.25. MDU prints Q1 adj. EPS of $0.26 vs. $0.13, surpassing consensus by $0.11.

Consolidated Edison (ED): CFRA Maintains Sell Opinion On Shares Of Consolidated Edison. “We lift our 12-month target price to $66 from $61, a 15.3x multiple of our 2021 EPS estimate, a discount to peers. We lift our 2021 EPS estimate to $4.32 from $4.30 and maintain our 2022 estimate of $4.56. ED posts Q1 EPS of $1.44 vs. $1.35, beating the S&P Capital IQ consensus estimate by $0.08” http://bit.ly/CTY20210507ED

Markets: The S&P 500 and the Dow hit record highs on Friday, while megacap growth stocks drove a recovery on Nasdaq after U.S. jobs data eased concerns over prospects for rising rates. U.S. job growth unexpectedly slowed in April, likely restrained by shortages of workers, the Labor Department report on Friday showed. The report alleviated some concerns about rising inflation and potentially higher U.S. interest rates, which some investors worry would hurt growth companies with high valuations. https://finance.yahoo.com/news/us-stocks-p-500-dow-200126746.html

https://www.wsj.com/articles/dont-freak-out-yet-about-jobs-11620402047?mod=mhp

Dividends

* Leggett & Platt (LEG) announced its next dividend of $0.42 per share, a 5.0% increase over the company’s previous payout of $0.40.* SPHIX announced its next dividend of $0.02976 per share, bringing the fund’s total payout over the last twelve m...

Here is a recap of what happened with my portfolios in April 2021. My intention is to make this type of post a regular monthly post along with a special podcast segment. Here's the recap.

Telefonica (TEF) to Consider 25% Dividend Cut in Late 2021 to Prioritize Network Investments - This one is new to my portfolio so I will have to keep a close watch on this one.

Altria's (MO) long term dividend prospects could be in danger should the Biden Administration's proposals go through to ban menthol and reduce nicotine levels.

Coca-Cola (KO) appears to be in better shape as they reported their business volume returned to pre-pandemic levels. While this is not good for the nation's health it may be good for my portfolio.

8 of my holdings announced dividend changes. Overall it was good and increased my annual income .005%. Not massive but I'll take an increase over a decrease any day.

* Chevron (CVX) raised its dividend by 3.9% from $1.29/share to $1.34/share.* IBM (IBM) raised its dividend by .61% from $1.63/share to $1.64/share.* 1st Source Corporation (SRCE) raised its dividend 3.4% from $0.29/share to $0.30/share.* Johnson & Johnson (JNJ) raised its dividend 5% from $1.01/share to $1.06/share.* Artesian Resources Corporation (ARTNA) raised its dividend 1.5% from $0.2571/share to $0.261/share. * P&G (PG) raised its dividend 10% from $0.7907/share to $0.8698/share.* SPHIX-Fidelity High Income Fund lowered its dividend over the last 12 months .46% to $0.03172/share. * OZK (OZK) raised its dividend .9% from $0.2775/share to $0.28/share.

I will get into my individual portfolios starting this week so please stay tuned. If you like anything you see on the site or hear on the podcast please consider donating as that will help defray the cost of production.

Introduction to who I am and how I wound up doing this blog and podcast.