The Dividend Kings List for 2014

The dividend kings list includes companies which have managed to raise dividends for at least 50 years in a row. This is a huge accomplishment, since it shows a business model that has endured the destructive forces of several recessions, oil shocks, wars, market crashes and changes in technology. I would strongly encourage every dividend investor to study the success of each of those companies, in an effort to learn about the characteristics that made each company able to afford rewarding shareholders with a raise for over half a century.

There were two companies, which became dividend kings in 2013 – Colgate Palmolive (CL) and Nordson Corp (NDSN). This brings the total number of components to 17, which I believe is a record. There were no deletions in 2013, as no components cut distributions. The two new additions include:

Colgate-Palmolive Company (CL), together with its subsidiaries, manufactures and markets consumer products worldwide. The company operates in two segments: Oral, Personal and Home Care; and Pet
Nutrition. Over the past decade, the company has managed to raise dividends by 11.40%/year. Currently, shares are overvalued at 26.70 times earnings and yield 2.10%. Check my analysis of Colgate-Palmolive for more information on the company.

Nordson Corporation (NDSN) engineers, manufactures, and markets products and systems for dispensing and processing adhesives, coatings, polymers, sealants, biomaterials, fluid management, testing and inspection, surface treatment, and curing. Over the past decade, the company has managed to raise dividends by 8.10%/year. Currently, shares are overvalued at 21 times earnings and yield 1%.

Given the fact that the next companies that are close to the 50 year mark have only raised distributions for 48 years in a row, it looks like there won’t be any additions until sometime in 2016. If there is a change in the list prior to that, it would only be because a component cuts or freezes distributions.

The other components of the index include:

Name	Symbol	Dividend Streak Yrs	10 year Div Growth	10 year EPS Growth	P/E	Yield
American States Water	AWR	59	5.6%	7.7%	17.35	2.9%
Cincinnati Financial	CINF	53	6.4%	6.9%	14.2	3.3%
Colgate-Palmolive Co.	CL	50	11.4%	8.9%	26.9	2.1%
Diebold Inc.	DBD	60	5.4%	-3.5%	-	3.4%
Dover Corp.	DOV	58	9.8%	15.9%	16.85	1.6%
Emerson Electric	EMR	57	7.7%	7.8%	24.66	2.5%
Genuine Parts Co.	GPC	57	6.2%	7.0%	18.3	2.6%
Johnson & Johnson	JNJ	51	10.8%	6.0%	21.07	2.8%
Coca-Cola Company	KO	51	9.8%	9.4%	20.49	2.8%
Lancaster Colony Corp.	LANC	51	6.9%	2.5%	21.77	2.0%
Lowe's Companies	LOW	51	29.2%	10.0%	23.28	1.4%
3M Company	MMM	56	6.8%	9.8%	20.69	2.5%
Nordson Corp.	NDSN	50	8.1%	20.1%	20.72	1.0%
Northwest Natural Gas	NWN	58	3.7%	3.2%	18.57	4.4%
Procter & Gamble Co.	PG	57	10.6%	9.6%	20.33	3.0%
Parker-Hannifin Corp.	PH	57	13.4%	23.6%	19.94	1.4%
Vectren Corp.	VVC	54	2.5%	1.4%	22.61	4.0%

Again, this list is not a recommendation to buy these shares. Businesses do change over time, as models are subjects to competitive pressures and constant changes in the business environment.

Relevant Articles:

- The Dividend Kings List Keeps Expanding
- Colgate-Palmolive (CL) Dividend Stock Analysis 2012
- Eleven Dividend Kings, Raising dividends for 50+ years
- A long streak of dividend growth is an indication of a business with exceptional fundamentals
- Complete List of Articles on Dividend Growth Investor