Several companies raised distributions over the past week. There were only two companies however which not only announced increases in distributions, but also have boosted dividends for over 5 years in a row. Dividend Growth Investors, who seek consistency in dividend increases could take a note on this companies for further research:
Piedmont Natural Gas Company, Inc. (PNY), is an energy services company, that distributes natural gas to residential, commercial, industrial, and power generation customers in portions of North Carolina, South Carolina, and Tennessee. This dividend champion raised its quarterly distributions by 3.60% to 29 cents/share. This marked the 33rd consecutive annual dividend increase for Piedmont. The company offers a 5% drip discount to investors who enroll in its drip plan and elect to automatically reinvest dividends. Yield: 3.90% (analysis)
Equity LifeStyle Properties, Inc. (ELS) is a publicly owned real estate investment trust (REIT). The firm engages in the ownership and operation of lifestyle oriented properties. The company raised its quarterly distributions by 25% to 37.50 cents/share. This marked the seventh consecutive annual dividend increase for this REIT. Yield: 2.60%
Two other companies which I expect to see increasing dividends in March include PepsiCo (PEP) and Air Products and Chemicals (APD), based off their pattern of historical dividend increases.
PepsiCo, Inc. (PEP) manufactures, markets, and sells various foods, snacks, and carbonated and non-carbonated beverages worldwide. PepsiCo has managed to boost distributions for 38 years in a row. Over the past decade the company has managed to increase dividends by 13% per year. (analysis)
Air Products and Chemicals, Inc. (APD) provides atmospheric gases, process and specialty gases, performance materials, equipment, and services worldwide. Air Products and Chemicals has managed to raise dividends for 28 years in a row. Over the past decade the company has managed to raise dividends by 10% per year. (analysis)
Currently, Piedmont Natural Gas (PNY) looks attractively valued. I would initiate a position in the company when it yields above 4% when funds are available. Equity LifeStyle Properties (ELS) has a very low yield, especially given the fact that as a REIT it has to distribute almost all of its income to shareholders. At $1.50/share in annual distributions, the payout is well covered from 2010’s FFO of $4/share. There is room for growth in distributions, however there might be better opportunities in the REIT sector.
Full Disclosure: Long APD and PEP
Related Articles:
- Dividend Stocks Showing Investors the money
- Twelve Dividend Stocks Growing Distributions
- Nineteen Consistent Dividend Growth Stocks raising dividends
- Sixteen Consistent Dividend Payers Raising Dividens
Popular Posts
-
I review the list of dividend increases every week, as part of my portfolio monitoring process. I leverage several of my dividend investing...
-
I review the list of dividend increases every week, as part of my review process. I focus my attention on companies that raised dividends i...
-
Back in September 2023, Microsoft increased quarterly dividends by 10% to $0.75/share. This was the 19th year of consecutive annual dividend...
-
I review the list of dividend increases every week, as part of my portfolio monitoring process. I leverage several of my dividend investing...
-
Charlie Munger died today at the age of 99. While that is sad news, the knowledge he shared with the world will live forever. Charlie Munge...
-
Microsoft (MSFT) generated $1.15/share in Free Cash Flows in 1999 and managed to grow that to $3.45/share in 2012. That's a 200% growth ...
-
I review the listings of dividend increases every week, as part of my monitoring process. This exercise helps me review existing holdings an...
-
Microsoft (MSFT) and Altria (MO) grew Free Cash Flow/share at roughly the same rate between 2012 and 2022 Each company has delivered differe...
-
Investor returns are a function of: 1. Dividends 2. FCF/Share Growth 3. Change in valuations The first two items drive the fundamental retu...
-
Hormel Foods Corporation (HRL) develops, processes, and distributes various meat, nuts, and food products to retail, foodservice, deli, and ...