Peter Drucker, one of the most notable management consultants and business visionaries of all-time, once wrote: “What gets measured gets managed.” Mr. Drucker is getting at several points. Perhaps most obviously, we are more likely to pay closer attention to something if we simply begin observing and examining it. By developing measurements of [...]
Dividend investing is part art, part science. Financial ratios make up most of the science behind investing. What exactly are financial ratios? For the purposes of this article, we define financial ratios as any number or calculation used by dividend investors to better understand an investment opportunity. Financial ratios are found throughout a [...]
Deere (DE) is one of Warren Buffett’s top dividend stocks and has increased its dividend 12 times since 2004. Falling crop prices have caused demand to drop sharply for Deere’s tractors and combines, but the best time to buy high quality dividend stocks is usually during periods of distress. Warren Buffett seems to think [...]
National Oilwell Varco (NOV) surprised many dividend investors with its decision to slash its dividend by 90% on April 11. Income investors could have avoided the cut by paying closer attention to the company’s main risk factors. The dividend cut announcement came shortly after the company’s CEO gave an investor presentation on March 22. [...]
Omega Healthcare Investors (OHI) is a real estate investment trust (REIT) with a high dividend yield over 6%. The company operates in the healthcare sector, which is generally one of the best stock sectors for dividend income because of its essential products and services. However, a high dividend yield can be a signal [...]
Intel (INTC) is one of the most dominant and pervasive technology companies in the world. The business essentially operates as a monopoly in its core computer and data center markets and has numerous competitive advantages that are virtually impossible to replicate by most companies. Intel also offers a healthy dividend payment that scores [...]
Cisco (CSCO) has been nothing short of an impressive dividend growth stock since it began paying dividends in 2011. The company’s quarterly dividend payment has increased from 6 cents per share in 2011 to 26 cents most recently, including management’s 24% boost to the dividend in February 2016. With a low price-to-earnings multiple, [...]
Monthly dividend stocks appeal to income investors for several reasons. Stocks that pay dividends monthly provide more predictable income and make it easier to budget, especially for those living off dividends in retirement. Most companies pay dividends on a quarterly schedule, which can result in a lumpier income stream. Monthly dividend stocks better match [...]
The dividend payout ratio is one of the most informative and popular metrics used to analyze the safety of a company's dividend. However, many investors do not realize the number of different ways that dividend payout ratios can be calculated and the other factors that should be considered when assessing the safety of a [...]
In the spirit of tax season, it's worth reviewing the differences between qualified dividends and ordinary dividends. While not the most exciting of subjects, understanding what you can do to maximize the amount of your dividends classified as qualified instead of ordinary can potentially save you thousands on your tax bill - and it only [...]
Flowers Foods (FLO) is a reliable company in the consumer staples sector that currently offers a reasonable valuation, a safe 3.2% dividend yield, and above-average dividend growth potential. The business has been very good to shareholders over the last decade as well. FLO’s stock delivered a 12.9% annualized return from 2006-2015, handily beating the [...]
H.B. Fuller (FUL) is a small cap dividend growth stock that few investors are familiar with. However, this dependable business has increased dividends paid for 46 consecutive years and is worth some attention. The company operates in a large and stable industry with strong growth prospects. Management is also shifting more of H.B. Fuller’s [...]
Fewer than 100 of the more than 10,000 publicly-traded companies have increased annual dividends for at least 26 consecutive years. National Retail Properties (NNN) is one of them. Perhaps more impressively, National Retail’s average annual total return for the past 25 years has been 14.8%, significantly outpacing the market to provide meaningful value for [...]
News broke this weekend that Valspar (VAL) agreed to be acquired by Sherwin-Williams (SHW) for $113 per share, representing a premium of 35% to Valspar's closing price on Friday. We own Valspar in our Long-term Dividend Growth portfolio and were pleased with this development. We had previously analyzed the coatings industry and published research on Sherwin-Williams and [...]
Digital Realty Trust (DLR) is a fast-growing real estate investment trust (REIT) that has raised its dividend every year since going public in 2004. While the company is far from having a long enough dividend growth history to quality as a member of the dividend aristocrats list, it has numerous attractive qualities. Digital [...]