An exceptionally high dividend yield is often a sign of financial distress... and a sign that dividend cuts are a lot more likely
than dividend hikes.
There is no stronger signal a company can send to the investing public
than a dividend hike.
Not exact matches
Telus Corp. (TSE: T), the third - largest carrier, jumped to the highest in more
than five months after
hiking its quarterly
dividend as third - quarter profit surpassed estimates, driven by growth in both its wireless and wireline operations.
Apart from the S&P Pan Asia
Dividend Aristocrats, both the Dow Jones
Dividend Indices and the S&P Pan Asia REIT Index maintained yield spreads of more
than 2 % after three rate
hikes.
PG's current yield of more
than 3 % after its recent
dividend hike supports that conclusion.
It's been my mantra all along that saving more
than half of one's net income and investing intelligently in companies that continue to
hike dividends regularly is a surefire path to success and wealth.
BHP Billiton more
than doubled its
dividend putting my YoC for 2017 to around 4 %, Rio Tinto's YoC lies at around 4.2 % after a nice
hike of 70 %.
Assessing how it's all going to impact long - term cash flows and
dividends is far more important
than the next mini-rate
hike.
T's yield is now 5.0 %, less
than last year despite the
dividend hike in the meantime.