On July 26, 2023, I bought additional 4 shares of GAP inc (NYSE: GPS) stock, paying $9.89 per share for our long-term dividend stock portfolio
The Gap, Inc., commonly known as Gap Inc. or Gap, is an American worldwide clothing and accessories retailer. Gap was founded in 1969 by Donald Fisher and Doris F. Fisher and is headquartered in San Francisco, California. The company operates four primary divisions: Gap, Banana Republic, Old Navy, and Athleta.
We are now holding 8 shares of GPS in our stock portfolio.
With its yearly dividend of 0.51 cents per share, this latest buy has a dividend yield of 5.15% and will pay us an additional $2.04 every year (after tax). Awesome! GPS is paying a dividend in the following months: January, April, July, and October
Using dollar-cost averaging our average cost per GPS share is $9.81
To finance this purchase I was actually selling a put option, and bought this stock from the premium received. See: Sold 2 Put Options on GPS Stock – 2.2% potential income return in 30 days (26.75% annualized)
92 shares to go once we will be able to start selling covered calls and generate extra income from GPS stock. I don't have a set time frame when to get there, as I'm planning to buy these stocks from the put options premiums. It could take some 1-2 years once I will get there, or much sooner if the stock will get assigned.
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