Daily dividend news for investors in dividend stocks

Time to Rotate to High Yielding Industrials?

Many investors, such as Warren Buffet, praise defensive investing. As Buffett’s mentor Benjamin Graham recommended, investing with a margin of safety can be highly valuable in especially inflationary environments. Defensive investing in some sectors, like Industrials however, doesn’t usually provide the best returns in bull markets. As markets exit from the recession, it is not surprising to see that the risky Industrial stocks with low dividend yields benefit from the uptrend more than the Industrial stocks with high dividend yields do. However, we believe investors should be cautious of the upcoming inflationary environment. Like Jim Rogers and Ray Dalio, we are concerned about the Fed’s inflationary monetary policy, and we think investors should pick defensive... more


Stocks With Low Correlation to the S&P 500, Are Upward Trending and Pay a Dividend

We scanned 100% of the stock and equity funds listed on the Nasdaq and NSYE as of 2011/05/02 for multiple criteria over the past 52-weeks in search of securities that have a correlation of 0.60 or less with the S&P 500 index, positive linear regression slope over 1, 3, 6 and 12 months, and have a current dividend yield greater than zero. There were 11 stocks that passed that filter: K: Kellog AGL: AGL Resources BMR: Biomed Realty REIT BMY: Bristol Myers Squib DTE: DTE Energy LLY: Eli Lilly GIS: General Mills LINCR: Lincare Holdings PEP: Pepsico PGR: Progressive They require further study, of course, before being selected, but this may be a fruitful list for some -- and, of course, there may be stinkers in the... more

SeekingAlphaStock symbol(s): AGL,BMR,BMY,DTE,GIS,K,LLY,LNCR,PEP,PGR

Top Five Under The Radar Dividend Growers (BMS, CTL, DBD, NWN, CINF)

Investing in dividend-yielding stocks can be extremely rewarding, especially if you find some companies that are fully committed to returning capital to investors. Past history is the single best way to judge whether a company is truly committed to returning capital to their shareholders. Many high-profile dividend-yielding stocks are talked about frequently in the media, but there are plenty of hidden gems waiting to be uncovered. Let's take a look at five companies that don't get much press, but that have consistently raised dividend payouts year after year. 5. Bemis Company (NYSE:BMS): This consumer goods packaging company is far from flashy, but it has been consistently solid for a long period of time. Bemis has delivered 27 consecutive years of dividend increases. The... more

iStockAnalystStock symbol(s): BMS,CINF,CTL,DBD,NWN

Investing in High Dividend Yielding Utilities

Recently, we compiled a list of top 30 U.S. Financial Stocks and showed that high dividend yielding financial stocks performed better than low dividend yielding ones in the last 52-week period. In another study, we showed that the average return of high dividend yielding stocks was 13.04% between 1927 and 2009. Dividend stocks beat the overall market by an average of 1.36% per year in that period. We prefer high dividend stocks since they generally perform better and usually increase dividend payments over the next 5-10 years. Some sectors contain many high dividend stocks and may appear attractive to dividend lovers. In these sectors stocks' performances are usually more robust and correlated with higher dividend yields within. Utilities sector is one of the high dividend... more


2 Dividend-Payers for Tuesday: Abbott and Kellogg

Over the years I have been invited to a number of parties that required I bring a gift to be used for a community game. In this game, each attendee gets to either pick a gift from the center pile to unwrap or may choose to take an already unwrapped gift from another person. As more gifts are opened, the choice to take one of the un-wrapped presents from another person, versus one of the unknown, still-wrapped presents, becomes harder and harder. What do you do: Take one of the known gifts or take a chance on an unwrapped one?How you answer this question is a pretty good indicator of how you will choose your investments. If you find yourself wanting to open the pretty package because all the other gifts don’t excite you, then our “2 Stocks for Tuesday” are not for you. On... more

SeekingAlphaStock symbol(s): ABT,K

Dividend Scan: AHC, SU, CGNX, STIR, CBOE, GXP, EMR

As the U.S. market continued to trend flat, several companies declared their future dividend plans. Some notable dividend payers are discussed here. A.H. Belo Corp. (NYSE: AHC) shares added 0.36 percent, or 3 cents, to trade at $8.29 as it announced a quarterly dividend of 6 cents per share. The dividend is payable on June 3, 2011 to shareholders of record on May 16, 2011. Suncor Energy Inc. (NYSE: SU) raised its quarterly dividend by a penny to 10 cents per share. Shares lost 3.66 percent, or $1.69, to trade at $44.48. Cognex Corp. (Nasdaq: CGNX) shares jumped 16.46 percent, or $5.11, to trade at $36.16 as it boosted its dividend by a penny to 9 cents per share. Stag Industrial, Inc. (NYSE: STIR) shares added 0.08 percent, or 1 cent, to trade at $12.92 as it declared a... more

iStockAnalystStock symbol(s): CGNX,EMR,GXP,SU

Invest in These Top Dividend Raisers

Grabbing the bird in hand Of course, it's always good to get a nice dividend payout right now. With interest rates near record lows, many investors have had a tough time making ends meet by drawing income from their investment portfolios. Until the Federal Reserve stops its game of chicken with inflation and begins the inevitable cycle of rising rates that typically accompanies an economic recovery, savers will have a hard time getting enough income from traditional sources like bonds and bank CDs. With income-hungry investors in desperate straits, the popularity of the highest-yielding investments available has shot through the roof. But even though top-yielding stocks pay you a nice-sized check on a regular basis, they may not deliver the goods over the long haul.... more

The Motley FoolStock symbol(s): DOW,HPQ,IP,BPL,CIM,CQP,NLY

Dividend Champions Smackdown XIII

In previous installments of the Smackdown series, I screened the Dividend Champions list of companies that have paid higher dividends for at least 25 straight years (which can be found here. ) using factors such as yield, payout ratio, and, most recently, the Price/Sales ratio. This time, I decided to start with the newest column, the Premium or Discount to the Graham Number, which can be located in column T. This is a basic measure of "fair value" that was developed by Benjamin Graham, the "father of value investing." The Graham Number is a relatively simple calculation, in that it involves use of a company's Earnings Per Share and its Book Value Per Share (or BVPS). Since Graham felt that 15 was a reasonable Price/Earnings ratio and that 1.5 was a reasonable Price/Book Value ratio,... more


28 Consistent Dividend-Paying Companies to Consider

There was a record number of consistent dividend payers that announced dividend increases over the past week. As a result, in order to make this information more readable, I have segregated the stocks that raised distributions into four groups: Dividend champions, dividend achievers, potential dividend achievers and master limited partnerships. Dividend Champions Dividend champions are companies which have raised distributions for over 25 consecutive years.Johnson & Johnson (JNJ) engages in the research and development, manufacture, and sale of various products in the healthcare field worldwide. The company operates in three segments: Consumer, Pharmaceutical, and Medical Devices and Diagnostics. Johnson & Johnson raised its quarterly dividend by 5.60% to 57 cents/share. This... more


Communications, Basic Materials, And Technology Lead in Dividend Increases

We are already one month after the first Quarter (ending March 30th). This is usually when the financial results come in and the sector reviews are published. We have been receiving great news from the stock markets since mid April. Companies such as DuPont (DD), MacDonaldís (MCD), Celestica (CLS), Xerox (XRX), Apple (AAPL), General Electric (GE) (and more) are reporting increased revenues and profits. On the other hand, companies such as Morgan Stanley (MS), Kimberly-Clark (KMB), RadioShack (RSH), and Nintendo (NTDOF.PK) have unveiled disappointing results. But what is happening in the Dividend world? Are dividend stocks increasing their dividend payouts again? Letís take a look at the dividend by sector quarterly review: Dividend Review Q1 2010 vs Q1 2011 There is definitely a wind... more

SeekingAlphaStock symbol(s): APD,FCX,INTC,IP,LLTC,OMC,PBI,TWX