New positions in KO and CLX

As I attempt to manage my dividend portfolio publicly I will be making posts about stocks I purchase and stocks I sell. Last week I made a few adjustments to my holdings to better represent my long term view. I felt that I was being a little too speculative with my position in Vanguard FTSEEuro (VGK) when I could swap it out for two long term plays that I was more comfortable with. Each of these stocks are always showing up in my top dividend list and have increased their dividend for over 35 years.

I also believe each is well positioned to benefit from global growth, emerging markets and new trends. Over the next 10 years I expect each of these stocks to be worth much more than they a are today. I also expect each to continue to pay and raise dividends.

Here’s a quick breakdown of each stocks dividend fundamentals with dividend history charts from our graph tool.

Clorox (CLX)
Currently Clorox yields 3.2% and has boosted dividends for 35 consecutive years. Dividend growth has been strong averaging around 10% over the last 3 years. The payout ratio is just 62% and the free cash flow yield is 4.4%.


Coca-Cola (KO)
KO is yielding 3.2% and has increased its dividend for 51 years. KO has a 5 year dividend growth rate of 8.5% and a payout ratio of 56% with a free cash flow yield of 4.8%.


Alright Coke fans, I’m in the club!


  1. R2R

    Great trades, DL.
    I’ve been looking at KO closely the past couple of weeks. Wish I had more reserves in my capital to pick some up.

  2. Nice buys! I also like KO at these prices. I haven’t given Clorox a lot of thought, but I’ll look into it. Have a great day

  3. DL,
    I own both of these. I’ve owed Coke for about 17 years and CLX I’m currently building a position with a DRIP. I’m hoping to build the CLX position to about 2k-3k and let it ride. Solid brands and products, yet plenty of room for growth. Great looking DG charts.

  4. Zach,

    Great buys here. Solid brands!

    I haven’t looked at CLX in a while due to balance sheet concerns, but KO is about as solid as they come. And the yield right now is pretty attractive compared to its historical norm.

    Best wishes!

    • Dividend Ladder

      You are right the dividend yield is pretty strong despite the multiple on these stocks. Historical yield is a great valuation data point.

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