I'm playing a bit of catch up with news as I've been exceedingly busy the last few weeks. I wanted to get to Verizon's (NYSE:VZ) 1st Quarter Results for 2012, which can be found in detail here, as they illustrate a positive problem I'm currently facing.
With double digit earnings growth, continued uptake of their FioS service, and ongoing success in wireless, they are executing well on all fronts. Combine that with a dividend yield that's just north of 5% (5.06% to be precise), and it's hard not be happy about the stock. In addition, as I bought into it when it was at a relative week point, I've enjoyed some strong capital gains as well.
All that said, I'm heavily overweight in the telecom sector, due to my participation in the TELUS stock plan, and having over 10% of my portfolio in company stock alone. When I take a look at both companies, it's hard for me not to want to hold on to them both, rather than sell my gains and reinvest in areas with more potential growth. TELUS has provided more guidance on the dividend increase front, while Verizon is just a far larger company and provides me with US equity exposure.
I want to diversify out of telecom, but how to do so is starting to become a bit of a complex problem. A good one, mind you, but still a problem.
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