I Sold out completely of The Clorox Company (CLX)
15 shares @ $162.72 on 12/10/2018.
This decreased my forward 12-month dividend income by $46.08 to a total of $7,157.20
I also updated my portfolio page to reflect the change.
I did not sell out of The Clorox Company because I thought it was a bad business or if the dividend is at risk.
I sold this company for two reasons.
The first reason is that I felt that the stock was overvalued. At the time of sale, the company has a PE of about 28. This is compared to the normal PE of 20.9. I normally don’t sell if the stock valuation is fairly high. I only sell if it is extremely high in my view. I thought it was very high considering the low growth this company has to offer.
The second reason for this sell is because I thought I can invest the additional capital into a company that has higher earnings growth and higher dividend yield as well as dividend growth.
Which I have.
I do plan to own Clorox again once I find the share price to be undervalued and see more growth in earnings.
What do you think about the company? Plan on owning it or already do? or why not?
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