On June 24th, I added 30 shares of Magna International (NYSE: MGA) to The Dividend Beginner’s portfolio. Brexit managed to completely cave the stock as the corporation had just recently announced plans to build a 225,000-square-foot aluminum casting facility in Telford, U.K., that it said would create up to 295 jobs.
I purchased the shares at a $48.63, with a trading cost of $6.95 for a total cost basis of $1,465.85. The stock has pushed lower since then but I believe it’s a fantastic opening for a long-term position in this high-quality company which has been one of the top stocks in our monthly stock lists for a few months in a row.
My position in MG accounts for 3.08% of my portfolio value, and increases my exposure to the Industrials sector to 11.4%, which is about where I’m satisfied with it being as opposed to a few months ago where it was a pittance. If I were to increase my Industrial exposure at this point, I’d probably add to EIF.TO for the high yield in monthly payments and incredible metrics.
I still have no positions in Basic Materials, Consumer Staples, Healthcare, or Technology. This needs to be remedied soon as I’ve missed a humongous run up in precious metals (basic materials) for the year, after dropping Goldcorp Inc. after their latest dividend cut – I was fed up with their lack of shareholder appreciation.
My exposure to the Financial sector has finally fallen below 30%, as I continue to try my best to find stocks outside of this sector (it is one of the largest proponents of the TSX).