Latest Buy: DPS

Today I put some capital to work. The last time I bought something was back in July. The market pulled back the last few sessions due to the debt ceiling soap opera. The cheaper stocks get, the happier I am, because cheap stocks mean great future returns.

Today's buy:

• 35 shares of Dr Pepper Snapple Group Inc. (DPS) @ $43.70

This purchase will add $53.20 to my annual dividend income.

I already had a position in DPS, and decided to average down. The stock seems fairly valued. Management is expecting 2013 EPS to hit the $3.04 - $3.12 range. That means a forward PE between 14 and 14.4 which seems fair for this company. DPS is one a the few consumer staples that doesn't seem fully valued at the moment. The whole sector has been quite expensive the last few months.

On a different note, Coca-Cola's stock also pulled back. Buying now gives me an 3% entry yield which is something you don't get to often with Coke shares. I might pick up some shares of this great company in the near future. I'd love to have a position in Coca-Cola!

Thanks for reading. 

Latest buy: DPS

Finally, a little correction in the market! Why is this a good thing? I'm an investor in the accumulating phase of his life. I want my stock be as cheap as possible now, so I can buy the most dividend income and future profit with my dollars today.

When I walk into a supermarket and I see there is a big sale going on, I'm a happy guy. When stocks become cheaper, I'm a happy guy. I'd love it if stocks slide lower from here.

Today I decided to put some capital to work.