Investors should be looking for consistent and
stable dividend growth and not the absolute highest level of dividends.
He recommends investors look for «consistent and
stable dividend growth,» noting that the Dividend Aristocrats, the stocks in the S&P 500 that have paid dividends for at least 25 years, have «produced higher returns than the market with lower volatility.»
• Stable earnings growth in the last 20 years (correlation at least 0.8 out of 1.0) • Yearly earnings growth in the last 5 years at least 5 percent on average •
Stable dividend growth in the past (correlation at least 0.9 out of 1.0) • Yearly dividend growth in the last 5 years at least 5 percent on average • No decreasing dividends for at least 10 years • Positive outlook for the earnings of the next business year
Not exact matches
The reemergence of a prevailing consensus might be positive if it means more predictable earnings
growth and more
stable dividends for an otherwise schizophrenic sector.
From July 2016 to the end of second - quarter 2017, more than 80 percent of the companies listed in the S&P 500 declared
dividends, as
stable oil prices, low wage
growth and a weaker US currency have all added to the overall corporate profits.
Bottom line: General Dynamics may not come from the most
stable industry, but the company's low payout ratio and strong
dividend growth still makes it worth considering for income investors.
If the stock price remains
stable I will not sell the entire position due to the attractive
dividend growth rate but instead prune it back by selling some shares to capitalize on the gains and reinvest the proceeds to help with income and diversification.
However, with 38 high quality
dividend growth stocks in my portfolio my main concern remains a
stable, predictable and growing
dividend pay - out.
My investing strategy is divided into two segments: the core portfolio built with strong &
stable stocks meeting all our requirements, and the second part called the «
dividend growth stock addition» where I may ignore one of the metrics mentioned in principles # 1 to # 5 for a greater upside potential (e.g. riskier pick as well).
I wanted to build up a large solid base of boring,
stable long time
dividend payers and raisers first, which I'm still not done doing, and then add the more «exotic» higher
growth names down the line.
The consumer staples sector may become more appealing as investors look to invest in companies with
stable earnings,
growth potential and generous
dividends.
If the current
dividend yield is
stable through the years and there is
dividend growth, this also implies that on top of receiving more
dividend income, your holding has also grown in value.
At any rate, though, Atwood trades for just a 5.6 P / E right now, and earnings are at least expected to be
stable, so given the ultra-low payout ratio, I think we'll see
dividend growth above 10 % / year for several years to come.
With a
stable and predictable revenue stream (more than 95 % of cash flows secured under long - term contract or similar arrangements), Enbridge expects to offer an attractive annual
dividend growth rate of 10 % through 2020.
Moreover,
dividend stocks are often more
stable, less - cyclical stocks which mean they hold up better than high - flying
growth stocks in a bear market.
The positive of PEP is its
stable of top brand names and consistent
dividend growth history.
Given the company's exceptionally strong market position, its track record in the past decades, the strong financial fundamentals and the
stable growth prospects I am quite optimistic that the company will grow earnings per share and
dividends quite nicely over time.
Their goals are far more modest; they are looking for
stable and consistent
dividend growth that will outpace inflation over time.
I use Robinhood to build a
stable «
Dividend Growth Investment Fund».
Ultimately, you want to find a
dividend stock that is
stable, consistent, in a positive
growth industry and belonging to a well managed company.
In other words, the
dividend growth investing strategy has proven incredibly
stable over the years.
Investors looking for both
growth and income are generally looking for companies with
stable earnings
growth that pay a solid
dividend.
Depending on your specific needs and risk tolerance, you may want to consider
stable and mature companies with big
dividend yields like AT&T, or younger businesses with attractive potential for
dividend growth such as Nike.
Sales are
stable right now with
Dividend Growth (I sell about 1 copy a day) and the 2014 Best
Dividend Stocks continues to roll as my picks are doing as good or better than my benchmark.
Some indices are designed with the specific purpose of absolute high yield, some focus on
stable, consistent
dividend growth and others encompass a bit of both.
This U.S. consumer manufacturer has a well - established
stable of products and a long record of earnings
growth and
dividend increases.
The nominal
dividend growth of the S&P 500 index has been remarkably
stable at 5.5 % per year (annualized).
So called high
dividend stocks are usually from companies that have
stable cash flows but relatively little or moderate
growth potential.
- Seven Year Revenue
Growth Rate: 5.8 % - Seven Year EPS
Growth Rate: 9.4 % - Seven Year
Dividend Growth Rate: 14.9 % - Current
Dividend Yield: 2.43 % - Balance Sheet: Reasonable Leverage,
Stable Currently, Walmart's $ 77 share price appears to be fairly valued for an expectation of 10 % long - term returns.
Based on these objectives, I anticipate
dividend growth to approximate earnings
growth in the coming years keeping the payout ratio fairly
stable.
Stable,
dividend growth stock.
Realty Income Corp. has one of the most consistent
dividend and
growth records of any REIT covered in this article.Their tenant base is very
stable, and many of their tenants» businesses are reasonably recession resistant.However, recent rent increases have been hard to come by, which could pressure their ability to continue to raise
dividends.
If the current
dividend yield is
stable through the years and there is
dividend growth, this also implies that on top of receiving more
dividend income, your holding has also grown in value.
While
stable companies with less potential for
growth may afford to maintain a high
dividend payout ratio, new companies or emerging markets may not be able to do this.
It has had a remarkably
stable NOMINAL
dividend growth rate of 5 % per year since the 1950s (actually, since the 1940s).
These stocks have
stable, continued
dividend growth, so they are a great place to start.
She notes
dividend growers «can provide the right combination of value and
growth» because they tend to have financial strength and
stable earnings
growth.
While we expect our clients» portfolio values to trend higher over the long run, focusing on
dividend growth provides a more
stable estimate of what matters most in retirement: Portfolio Income.
- Seven Year Revenue
Growth Rate: 10.5 %
Dividend Stock Report - Seven Year EPS
Growth Rate: 7.3 % - Seven Year
Dividend Growth Rate: 11.2 % - Current
Dividend Yield: 2.84 % - Balance Sheet:
Stable
As monopolies in the markets they operate utilities offer
stable growth and excellent
dividends.
Rising
dividend payments — Mostly large, financially
stable companies meet the defensive duo criteria of increasing and regular
dividend payments, owing to their steady revenue and earnings
growth, and strong cash positions.
Dividends are usually paid by large
stable companies, and typically not by those which are in their rapid
growth stages.
Time for a step - change... Overall, it's a pretty
stable core business, so management needs to start milking it for cash to return to shareholders (via
dividends / buy - backs), or else accelerate
growth by ramping up its leverage & acquisition pipeline / spending (more acquisitions, bigger acquisitions, or both...)-- at this point, I'd still prefer a bet on the latter.
When a
growth stock starts paying a
dividend it means that management believes profits are
stable enough.
Dividend growth has not followed overall economic
growth, which has been (relatively)
stable in terms of real dollars.
The S&P 500
dividend nominal
growth rate has been remarkably
stable.
Since as I previously mentioned,
growth is hard to come by in this sector,
stable dividends would tend to be an important component attracting investor interest.
In fact, it's a
stable blue chip stock with less
growth potential but a consistent
dividend yield.
Companies that consistently grow their
dividends tend to be high quality with long histories of profit and
growth, strong fundamentals and
stable earnings, and management teams with conviction.
Companies that consistently grow their
dividends tend to be high quality, with strong fundamentals, long histories of profit and
growth, and generally
stable earnings.