Recent buy – Omega Healthcare Investors

It has been a while, but I initiated a new buy! The volatility of the last weeks made some stocks a lot cheaper. One stock that already was cheap became more interesting and I couldn’t pass up anymore. I bought Omega Healthcare Investors.

 

logo-ohi

I followed Omega Healthcare Investors (OHI) for a while now. It was clear to me that I liked the future and the fundamentals of the stock, but I wasn’t sure about the price. Now, with the election of the new US president and the price decrease of the REIT market as a whole OHI came into very interesting waters. The company now trades under NAV value, something that I really like in a REIT. The company has a great history of increasing dividends and it now sports a high yield of 8,4% compared to an average yield somewhere around 6%! A yield that the company is increasing with $ 0,01 per quarter at the moment, so there is some nice growth involved also.

 

Purchase

I purchased 39 shares of OHI for a price of $ 28,89 a share. Together with my fees of $ 12,07 this gives a cost basis per share of $ 29,20 for a total of $ 1.138,78.

This buy adds $ 95,16 of forward dividends per year to my portfolio or € 87,10 in Euro’s. After taxes that netts me € 74,03 per year in dividends. My forward income excluding taxes for my portfolio is now € 353,32 per year.

My next step in my journey has been made. The size of my portfolio has grown somewhere around 12% and my dividend has grown even more! I’m happy. 🙂

What do you think of this purchase? Do you have OHI in your portfolio? And did you make any recent purchases in this market? Don’t hesitate to comment below!

3 thoughts on “Recent buy – Omega Healthcare Investors”

  1. I like this buy. I already own 100 shares of OHI, but I’m getting really close to picking up more shares. I’m torn between buying now or waiting until after the next interest rate discussion, which is a few weeks away.

    1. I had the same thought, but I think that the interest rate increase is already priced in. Also, with the last interest rate increase prices of REITS went up instead of down. Probably because an increase was priced in also and it was as expected, so people where actually relieved.

      That’s why I bought now, but of course you never know what happens!

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