I have been building a position in JNJ for several years now and have enjoyed hopefully as you have a nice increase in appreciation as well as strong dividend increase. My question is specific to long term buyers and holders. Do you continue to buy at this level or wait for a pullback and plow back in.
I am long on JNJ but also want to be as diligent as possible with my investment dollars.
i bought back in 2002 for about 41 share. It was on the day where it was reported have problems in the commonwealth of PR. That day it feel 10 points so i scooped up a couple of hundred shares, wasn't sorry.
I bought and held for 10 years starting in 1997 as a JNJ employee. Now with over 2500 shares I will continue to sit on it and reinvest divs for the next 25 years. Love it and think its one of the best Div Aristocrats around.
besides the astute posts here there is another consideration to keep in mind. To yourself now......how many shares do you own? What percentage of your portfolio is that? If its like 20 or 30% , you might consider selling and buying something else just to balance the portfolio. Just don't buy "something else" unless you do the research and are comfortable with that purchase. In the meantime 'HOLD' and collect the dividend. As far as pullbacks, yes there will be those.....guaranteed but JNJ's pullbacks are sneaky. Down $1, up $0.75, down $1.50, up $1.25........that's their pullback.
I own it just a few months shy of 20 years, paid around 9.35 split adjusted price, div are great , will not sell because I still believe JNJ is a great company, and taxes, plus where else am I going to park the money, but I (IMHO) would wait for a pullback (they always happen) before adding more. If I am here 20 years form now, maybe I can say the same thing about Starbucks, another one of my long term holds
For what it's worth...on Friday, April 12th, Jim Cramer of "Mad Money" said JNJ is a buy. His exact words were, "it's going to rocket to $100.00". On that date JNJ was $82.50 per share. On Monday, April 15th, I bought some at $82.55. Like I said, for whatever it's worth! Some take Cramer's suggestions with a grain of salt. We all must do our own due diligence!