Dividend-News

Daily dividend news for investors in dividend stocks


Dividend Watchdog: How Safe Are These 8 Yields?


Continuing our Dividend Watchdog series at Investment Underground, we examined a few dividend stocks. Today, we uncovered 8 stocks with rock solid yields. In today's volatile markets, income investors should take a look at the list below. As always, use the list below as starting point for your own due diligence. Abbott Labs (ABT): Long deemed a "dividend champion" having not only paid but also increased its payouts for 39 straight years. The 3.74% current yield is well above average and the 62% payout ratio suggests future sustainability. In recent years the dividend growth rate has slowly been increasing, from an 8.8% average increase in the 10 year average to the 10.6% average increase in the 3 year average. It might not be poised for huge growth, but ABT does allow for a... more


SeekingAlphaStock symbol(s): AAPL,ABT,AZN,CMCSA,CMCSK,DTEGY,MDT,MSFT,PG,S,T,VZ,XOM,YHOO

9 Safe, Unsurprising Dividend Tycoons for 2011

Many investors fear that a continued fall is forthcoming. Low-beta, high-yield equities are probably a safer bet than treasuries (TLT) or the US dollar (UUP). We put together a list of high-yielders that are selling at a discount, and should be able to weather 2011's storms. This is what we found:JP Morgan Chase (JPM) quickly took advantage of allowable dividend increases by bumping its quarterly mark up to $0.25 from $0.05. This actually isn’t that far off from the pre-recession $0.38 quarterly payout. Add in the 5% payout ratio and the future outlook for this financial powerhouse appears to be promising. The 2.1% current yield isn’t that attractive, but then again the $8 Billion common share buyback should be factored in to the shareholder value equation. Some might not be keen on... more


SeekingAlphaStock symbol(s): AVP,FTR,IBM,JPM,PG,T,WFC,WMT,XOM

Is Sysco's Dividend Safe?

Here, we'll highlight a given company and its closest competitors to see just how safe their dividends are, with a little help from three crucial tools: The interest coverage ratio, or earnings before interest and taxes, divided by interest expense. The interest coverage ratio measures a company's ability to pay the interest on its debt. An interest coverage ratio less than 1.5 is questionable; a number less than 1 means that the company is not bringing in enough money to cover its interest expenses. The EPS payout ratio, or dividends per share divided by earnings per share. The EPS payout ratio measures the percentage of earnings that go toward paying the dividend. A ratio greater than 80% is worrisome. The FCF payout ratio, or dividends per share divided by free cash... more


The Motley FoolStock symbol(s): SYY,KR,SVU,WMT

HJ Heinz: Dividend Dynamo or Blowup?

Let's examine how HJ Heinz (NYSE: HNZ) stacks up in four critical areas to determine whether it's a dividend dynamo or a disaster in the making. 1. YieldFirst and foremost, dividend investors like a large yield. But if a yield gets too high, it may reflect investors' doubts about the payout's sustainability. If investors had confidence in the stock, they'd be buying it, driving up the share price and shrinking the yield.... more


The Motley FoolStock symbol(s): HNZ,MKC,MDLZ,CAG

6 Dividend Stocks Ready to Explode Higher

We took at look at stocks with dividends poised to explode higher. These names all have the cash, forward-thinking management and shareholder-friendly policies to return cash to stakeholders. Here's what we discovered:Stryker (SYK): Stryker revenues exceeded $7 billion for the first time in 2010 on the backs of aging boomers needing hip replacements. The company acquired the neurovascular business of Boston Scientific (BSX), smartly leveraging its patent portfolio to expand into this less mature market. A commitment to its employees has earned Stryker a place among the 100 Best Places to Work. We think shares should fetch around $80 apiece in 2012 using a 10% discount rate to arrive at this estimate.Stryker announced a first quarter dividend of $0.18. This is only the second year that... more


SeekingAlphaStock symbol(s): CSCO,INTC,SB,SSL,SYK

7 Dividend Stocks Bucking the Down-Trend

Markets have been dismal lately but it's reassuring to know there are still some stocks that are able to flourish in this bearish environment. Here is a list of stocks from the TradingStockAlerts Free Stock Screener that are exhibiting strong bullish trends and offer a... more


SeekingAlphaStock symbol(s): BFR,BOBE,CATO,CHT,ELRC,KOF,TNH

7 High Yield Rallying Stocks Generating Significant Cash Flows

To construct this list we looked for securities with the following characteristics: - Dividend yield above 2% - Trading above the 20, 50 and 200 day moving averages - Generating significant levered free cash flow relative to current market cap Interactive Chart: Press Play to compare changes in analyst ratings over the last two years for the top six stocks mentioned below. Analyst ratings sourced from Zacks Investment Research. Your browser does not support iframes. We also created a price-weighted index of the stocks mentioned below, and monitored the performance of the list relative to the S&P 500 index over the last month. To access a complete analysis of this list's recent performance, click here. Given these data points and your knowledge about the markets, which of these... more


SeekingAlphaStock symbol(s): IPHS,LINC,LMT,NOC,NZT,PRM,XTXI

15 Undervalued Dividend-Paying Stocks With Improving Cash Flows

If you are looking to boost your portfolio’s total return, this article might offer an interesting starting point. To construct this list we looked for companies with the following three characteristics: - TTM payout ratio < 3-year average payout ratio - TTM Operating cash flow/revenue > 3-year average operating cash flow/revenue - Expected annual dividend per share > most recent FY dividend per share Once we had gathered a universe of over 50 stocks, we compared the current price vs. the analysts’ target price (used as a proxy for fair value) and kept those with the most potential upside. Interactive Chart: Press Play to compare changes in analyst ratings over the last two years for the top six stocks mentioned below. Analyst ratings sourced from Zacks Investment Research.... more


SeekingAlphaStock symbol(s): COLB,EWBC,HOT,JOY,KBR,MAR,NDSN,PII,RBCAA,SMG,SUSQ,V,WFC,...

5 Great Dividend Stocks Chosen by the Experts

Despite a tough year for emerging markets (think China), maybe it’s still international stocks. Maybe it’s the outpouring of love we’ve seen for social networking companies like LinkedIn and the upcoming prospects for Facebook.... more


The Motley FoolStock symbol(s): SDY,RDY,TOT,GSK,LLY

Better Than 10% Yield ... In This Environment?

The current financial headwinds abound: The stock market may be heading for a seventh consecutive week of losses ...  The BRIC nations are trying to stave off inflation by tightening monetary policy, which is in turn putting a squeeze on commodities and risk assets ... The PIIGS across the pond are up to their ears in a large pile of debt laden slop that's sending capital on a flight to quality. The last several rounds of economic data show a deceleration in the momentum of the economic recovery (is it a soft patch, or the start of another recession cycle?) ...  The European Union is trying to figure out how they can throw more money at Greece without triggering a "credit event" default that would send shock waves throughout the global banking system ... Leading... more


iStockAnalystStock symbol(s): AAPL,VZ