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2 Basic Material Dividend Growth Stocks To Buy
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Published Tue, 28 Feb 2012 15:51:49 -0500 on Seeking Alpha
High dividend stocks are trading at historically high PE ratios. Utility stocks' forward PE ratios are around 13-14, whereas they have historically been around 10-12. That's why we turn our attention to dividend growth stocks. These stocks usually have dividend yields between 2% to 4%. Although they are not yielding as much as high dividend stocks with dividend yields above 5%, they still beat the 2% yielding 10-year Treasury bonds. Additionally, these companies usually have more room to increase their dividends at higher rates over a long period of time. Therefore, dividend growth stocks are attractive options for those investors who are willing to wait for higher dividend payouts in the future. In this article, we are going to discuss in detail two large-cap US basic material dividend growth stocks: ConocoPhillips (COP) and E. I. du Pont de Nemours and Company (DD). Both companies have over $10 billion market cap,... Read more


