Selling Some Nike Stock and Re-Balancing Portfolio

I am in the process of selling some shares of Nike. I feel that it is at a good price and I would like to re-balance my portfolio a little.  I honestly have too many shares in one company and feel that I should diversify better. Once it goes through I will probably get back around $32,000 and I will invest that money in around 6 different companies; AT&T, PepsiCo, Altria, Philip Morris International, Anheuser-Busch and Bristol-Myers Squibb.

Right now, AT&T is at an attractive price in the low 30’s. If the Time Warner merger gets approved I feel the stock will pop, which would be great for me. I also really like this company because of its strong dividend yield. It is currently at 6% and is a dividend aristocrat. Having that distinction means a company has increased the dividend payout for a minimum of 25 consecutive years.

PepsiCo is another great company that is at an attractive price. It is currently in the high 90’s, but I feel that is undervalued. Most analyst feel that the price target is around $116. That is close to a 20% upside potential. What I really like about this company is the fact it is not just a beverage corporation. For example, they own Fritos, Ruffles, Doritos, Lays, Quaker, Aunt Jemima, etc. This is truly well-diversified company and a dividend that is continuously growing each year and should average around 6% to 9% annually. This stock is worth being in anyone’s portfolio.

Altria is a great dividend stock that has rewarded shareowners for years. Some individuals may be turned off by owning a tobacco stock, but I have always loved a little sin. Besides, if you are investing in the stock market the primary goal is to make money. Leave your morality at the door and cash in. Altria is at nearly its 52-week low and currently has a 5% dividend yield. I believe now is the time to buy.

Philip Morris International is a spin-off of Altria and has dropped in value hard in April. Right now it is in the low 80s and I will definitely pick up some additional shares. The dividend is currently over 5% yield and a solid income stock. I have a small position right now and will definitely increase my position.

Anheuser-Busch is another sin stock that is a true leader in their industry. I have been wanting to buy shares in this company for a few years now and it is finally at a good entry point. The dividend is currently at over 5% yield and should be able to increase its dividend more many years to come.

Finally, I will add to my position to Bristol-Myers Squibb. I recently sold some shares a few months ago, but the price has dropped nearly 17% so I will definitely add to my position. There are some talks that this company could be bought by the end of this year. I feel that I really cannot lose at the current price point.

Once I receive my check from Nike I will start to re-balance my portfolio a little and these stocks I mentioned above are on my watch list. What stocks are you considering right now?

2 thoughts on “Selling Some Nike Stock and Re-Balancing Portfolio”

  1. I’ve been watching Vaalco energy, small company very low price point, but has shown very strong earnings and given the recent uptick in oil prices per barrel I think it’s gonna be a breakout soon.

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