35-year-old dividend investor makes almost $1,000 a month and shares his ten stock picks – 'I'm very happy with that'
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Dividend stocks are in the spotlight right now as Wall Street analysts expect them to rebound in 2025 due to changing market preferences. Bank of America analyst Ohsung Kwon expects dividends from S&P 500 companies to rise 10% by 2025. But which dividend stocks are safe and reliable for long-term investors? Let's look at a case study for ideas.
Earlier this month, a dividend investor shared his income report and milestone on r/Dividends – a discussion board for income investors with more than 644,000 members. He said his average monthly dividend income this year was $1,000.
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The investor said these revenues were about 30% more than last year.
The screenshots of the investor's portfolio showed that his average monthly dividend income was around $978 or $11,742 per year.
“I'm very happy with that!” he added.
The 35-year-old investor said the current value of his portfolio is $485,000. He also shared screenshots of his portfolio holdings. Let's take a look at some of his largest positions.
Broadcom
Number of shares: 220
According to the portfolio screenshots he shared, the investor held 220 shares of Broadcom (AVGO), one of his largest holdings. Over the past year, AVGO shares are up about 113%.
Fidelity UCITS SICAV – Fidelity US Equity Income Fund
Number of shares: 4,092
Fidelity US Quality Income UCITS ETF Inc USD (FUSD) was the second largest holding in the investor's portfolio in terms of dollar value. Over the past twelve months the fund has risen by 16%.
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Microsoft
Number of shares: 91
Microsoft (MSFT) was another low-yielding technology dividend stock in the portfolio that generated about $1,000 per month. In a note, Stifel recently said that Microsoft is poised for growth in 2025 thanks to AI monetization. The company raised its price target for MSFT from $500 to $525.
Arbor Realty Trust
Number of shares: 2,731
According to Benzinga Pro, New York-based mortgage REIT Arbor Realty Trust (ABR) has a dividend yield of just over 12%. Last month, the company posted third-quarter profit that topped Wall Street estimates.
British American Tobacco plc
Number of shares: 932
British American Tobacco plc (BATS) was another high-yield dividend stock in the portfolio. The company has been paying dividends since 1984.
Oracle Corporation
Number of shares: 160
Shares of Oracle (ORCL) rose 62% in 2024 through December 28. Monness, Crespi, Hardt & Co. However, they recently downgraded the stock from Neutral to Sell with a $130 price target, citing valuation concerns.
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JPMorgan Chase
Number of shares: 106
The investor, who earned about $1,000 a month in dividends, had 106 shares of JPMorgan in his portfolio. The bank has increased its dividend every year since 2009.
Real Estate Income Company
Number of shares: 420
Realty Income (O), one of the most famous monthly dividend stocks among Redditors, was also part of the portfolio, as the investor owned 420 shares of the REIT. Realty Income increased its dividend by 0.2% earlier in December.
BlackRock
Number of shares: 19
The investor had 19 shares of Blackrock (BLK) in his portfolio. Earlier this month, Citi said in a note that BlackRock was one of the top asset managers heading into 2025. The company has a buy rating on the stock.
Altria Group
Number of shares: 358
Tobacco giant Altria (MO) was recently upgraded to Buy from Neutral. Analysts believe that the company will benefit from lower corporate taxes, tariffs and strict border controls under the incoming Republican administration. The price target was raised to $65. According to Benzinga Pro, Altria has a dividend yield of 7.8%.
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This article, A 35-Year-Old Dividend Investor Makes Nearly $1,000 a Month Shares His Ten Stock Picks – 'I'm Very Happy With That' originally appeared on Benzinga.com
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