Saturday, February 1, 2014

Recent Buy Chevron Corporation CVX

31th January 2014 I Bought 60 shares of CVX at $111.85 per share plus comission.

Chevron Corporation (Chevron) manages its investments in subsidiaries and affiliates and provides administrative, financial, management and technology support to the United States and international subsidiaries that engage in fully integrated petroleum operations, chemicals operations, mining activities, power generation and energy services. Upstream operations consist primarily of exploring for, developing and producing crude oil and natural gas; processing, transportation and regasification associated with liquefied natural gas; transporting crude oil by international oil export pipelines; transporting, storage and marketing of natural gas, and a gas-to-liquids project. Downstream operations consist primarily of refining crude oil into petroleum products; transporting crude oil and refined products by pipeline, marine vessel, motor equipment and rail car, and manufacturing and marketing of commodity petrochemicals, plastics for industrial uses and fuel and lubricant additives.

Yesterday Chevron reported Q4 earnings of $2.57 per share, $0.01 worser that the Estimate of $2.58; revenues fell 7.3% year/year to $56.2 bln vs the $71.26 bln consensus. As a result, the share price fell sharply, I thought of taking advantage of it and I bought Chevron to my portfolio. I still believe that Chevron are able to pay a growing dividends to its owners.

CVX is a Dividend Champion with an 26 year streak of dividend increases. (DividendChampions.xls) It pays quarterly dividends of $1.00 per share in March, June, September and December.

CVX's earnings per share has moved steadily upwards, except a big dip in 2009.

Some ratings for CVX:

    Yahoo:  Mean Recommendation 2.1, 1y Target Est 132.09
    Reuters: Mean Rating 2.09
    Morningstar:  (****)

My last purchase 60 shares of CVX increases €132.44 ($178.80) of expected annual dividend net income, which increases my portfolio projected annual dividend net income to €6468.32. With purchase price $111.85 plus commission my starting yield on cost is 3.57%.

Full Disclosure: Long CVX


  1. Nice purchase DividendHawk. I've bought some RDS this week. Good luck with your shares of Chevron!

  2. Nice buy Hawk. I have held CVX for years and have always been impressed with the ROE and my returns. I was watching it yesterday, but picked up Unilever instead. Three of my friends bought CVX though, so you're in great company :o) Have a great weekend

  3. Nice buy DH! I also purchased some more shares, but not nearly as many as you. This is a great price to get into CVX. Over a 3.5% yield that should continue to grow in the 7-10% range. Not bad at all.

  4. Nice purchase DH! I think the yield combined with potential future dividend growth sets you up well. The recent dips have created several buying opportunities for DG investors.