In an article earlier this year I highlighted the American Funds top dividend stock holdings across six of its largest funds. At the time the 10 stocks provided an average yield of 4.8%. Since the portfolio was created (1/31/2011) the picks have handily beaten the market. I will review the performance and note changes to the top 10 as of June 30, 2011. Also, while it doesn't meet the 3% minimum yield threshold, there is a significant increase in Microsoft (MSFT) holdings across the funds. Why American Funds ? The American Funds mutual fund family continues to be one of the dominant fund managers despite some recent performance issues. It claims seven of the world's largest 15 mutual funds with those funds holding over $600 billion in assets. Because American Funds now updates holdings... more
The Board of Directors of PerkinElmer, Inc. (NYSE: PKI), declared a regular quarterly dividend of $0.07 per share of common stock on July 25, 2011. This dividend is payable on November 11, 2011, to all shareholders of record at the close of business on October 21, 2011.... more
Energy sector stocks were among the best performers in 2010. IShares S&P Global Energy (IXC) gained 38.1% during the last 12 months, beating the S&P 500 (SPY) by a large margin. We prepared a list of 15 energy companies that pay fat dividend checks regularly. All companies on this list have a market capitalization above $900 million, P/E ratio lower than 28, and dividend yield of at least 4.5%. These 15 stocks returned 24.6% (including dividends) during the past 12 months, beating government bonds by a large margin. Stock Yield (%) Recent Price (USD) AmeriGas Partners, L.P. (APU) 6.4% 44.54 Buckeye Partners, L.P. (BPL) 6.1% 64.4 Calumet Specialty Products (CLMT) 7.8% 23.8 Eni S.p.A. (ADR) (E) 4.5% ... more
Forward Air Corporation (Nasdaq: FWRD) today announced that its Board of Directors has declared a quarterly cash dividend of $0.07 per share of common stock. The dividend is payable to shareholders of record at the close of business on August 24, 2011 and is expected to be paid on September 8, 2011.... more
This makes sense: dividend-paying stocks not only tend to outperform non-dividend paying stocks over the long-term -- by a whopping 10% to 4% margin, according to Ned Davis Research -- but they're also especially attractive during hard times. Noted investor and dividend expert Jeremy Siegel calls dividend stocks "bear market protectors and return accelerators." Their heightened yields tend to bolster portfolios, particularly during difficult times. But not all dividend stocks are created equal. To help you find the best ideas, I compiled a diverse group of high-quality dividend payers. Read on to see their names, and discover what makes them so attractive right now.... more
The ETF industry continues to expand at an impressive rate, with dozens of new products debuting every month and the size of the lineup quickly approaching the 1,300 mark. While each new month generally brings a number of new product launches, it also brings some important milestones for ETFs that have debuted in the past. While some investors have no problem jumping into newly-launched products, others may hesitate to put assets in products that don’t yet have a track record. For those investors facing explicit or self-imposed “age restrictions,” the first year of operations can give investors a good idea of the risk/return profile that can be expected. During the month of July, 25 various exchange traded funds will celebrate their first birthday. Many of the ETFs that launched... more
Hercules Technology Growth Capital, Inc. (Nasdaq: HTGC), the leading specialty finance company devoted to addressing the capital needs of venture capital and private equity-backed technology-related companies, including clean technology, life sciences and lower middle market companies at all stages of development, announced today it has scheduled its second quarter financial results conference call for Thursday, August 4th, 2011, at 2:00 p.m. PT (5:00 p.m. ET). Hercules will release the company's financial results after market close that same day.... more
As investors, we want to earn the highest possible return possible. However, the uncertainty of today's environment really makes it difficult to forecast future returns. One way to make sure we earn our keep is to focus on dividends. That way, we get paid cash in quarterly installments and are not at the mercy of Mr. Market's mood swings.
Frontier Communications (NYSE: FTR) pays a juicy 9.6% dividend yield, which ensures multiple repeat appearances on dividend investors' radars. This raises the question: Is the dividend sustainable? Let's take a look at the company to make a more informed decision.
Making a splash
After paying a quarterly dividend of $0.25 for six years, Frontier cut its dividend to $0.1875 last September. This followed its acquisition of Verizon... more
"Dividends?" he asked. "I'm trying to make my clients wealthy. You don't do that waiting for tiny checks in the mailbox every quarter."
Even then, I had enough horse sense to know he was wrong. Paying attention to dividends is exactly how you become wealthy over time.
Wharton professor Jeremy Siegel made a wonderful discovery in his book The Future for Investors. The greatest long-term returns typically don't come from the most innovative companies, or even companies with the highest earnings growth. They come from companies that happen to crank out dividends year after year. Simply put, since the 1950s, "the portfolios with higher dividend yields offered investors higher returns."
Market commentary regularly centers around price gyrations, yet dividends have historically... more
One of the nastier consequences of the financial crisis of 2008 was an almost instant contraction of credit. While consumer credit contracted as expected, commercial lending evaporated as well. American businesses, primarily small and mid-market businesses, were cut off from access to capital, preventing them from expanding and in some cases even staying afloat.
But at the same time, something magical also happened. While banks refused to lend the cash the Federal Reserve had pumped into the system to keep them afloat, business development companies (BDCs) and other private equity entities stepped up to fill that space. So, in addition to providing liquidity to cash-starved businesses, they also made lots of money and created billions of dollars in value.
One company that's... more