Regulated utilities have long been a core staple in dividend portfolios, courtesy of their high-yields, safe payouts, slow but steady dividend growth, and very low volatility. But while most people focus on the biggest and well-known names in the sector, such as Duke Energy (DUK), Southern Company (SO), and Consolidated Edison (ED), there are [...]
When it comes to world class long-term wealth compounders, often the best choice isn’t the next great hyper-growth tech stock, but something far duller. Take, for example, industrial companies such as 3M (MMM), which have legendary track records of consistent outperformance and dividend growth that span over half a century. Emerson Electric (EMR) is [...]
Historically, industrial dividend growth stocks such as engine maker Cummins (CMI) have done a great job of enriching long-term investors, especially if you’ve reinvested the dividends. For example, Cummins has delivered an annualized total return of 15.4% since mid-1995, nearly doubling the S&P 500’s 8.5% annual total return. However, Cummins has fallen on [...]
With interest rates still near record lows income investors are naturally drawn to super high-yield stocks, such as Nordic American Tankers (NAT), which until recently was offering a seemingly mouth-watering payout of 10.8%. But one of the most important factors to successful long-term dividend investing is risk management, and the realization that Wall Street [...]
Dividend reinvestment plans, or DRIPs, are one of the most effective tools for income investors to build wealth. History has shown that a long-term, buy-and-hold approach to stocks is hands down the best way for regular people to grow their investment accounts and achieve financial independence. But what many people don’t realize is [...]
When it comes to high-yield dividend stocks, regulated utilities are a favorite among conservative investors living off dividends in retirement and for good reason. They usually offer generous, secure, and consistently (albeit slowly) growing yields; as well as some of the lowest volatility you can find in the stock market. But nearly a [...]
Target (TGT) is a popular holding across many dividend growth investors' portfolios. After all, few companies can match Target's impressive track record. With over 100 years of operating history, Target has proven to be one of the most durable companies in the world. The company also holds the title of being a [...]
Pearson (PSO) is one of the largest publishers of education textbooks and materials in the world. The iconic company’s roots can be traced back to 1844, and its well-known publishing operations began in the 1920s. In addition to its extensive operating history, Pearson had increased its dividend above the rate of inflation for [...]
Catastrophes such as hurricanes, tornados, and floods are never pleasant, and they can make or break insurance companies. The year 2016 saw its fair share of disasters, including record-breaking snowfall throughout the East Coast in January, severe flooding in Louisiana, wildfires in California, and Hurricane Matthew. Cincinnati Financial (CINF) is an insurer that [...]
Asset management is a great business, given that the stock market has historically risen by a 9.1% CAGR since 1871. In other words, the assets from which management fees are derived are generally rising, allowing for exponential growth in earnings and cash flow - the building blocks of any great dividend growth stock. [...]
Costco Wholesale (COST) has proven itself one of the best dividend growth stocks of the last two decades, nearly doubling the S&P 500’s annualized return. However, now with founder James Sinegal retired from the CEO position (he remains on the board) and the rise of major disruptive rivals such as Amazon (AMZN), the company’s [...]
Over the past decade, alternative assets (private equity, real estate, hedge funds, and complex debt instruments) have become increasingly popular, with assets under management nearly quadrupling. The future is bright as well. PricewaterhouseCoopers expects total alternative assets to reach close to $14 trillion by 2020, growing by about 9% annually. Given the complex [...]
When it comes to dividend growth stocks, there are few better core holdings for one’s portfolio than the legendary dividend kings, companies that have raised their dividend for 50+ straight years. Investors can view all of the dividend kings here. These are companies that have not just proven to have an ability to steadily [...]