Dividend Growth Investor: Eighteen Companies Rewarding Shareholders With a Raise
Whether the market moves up or down, stocks are just fractions of a business. Some of those businesses decide to use their excess cash flows to reward the owners of that business by paying a dividend.
Over time, they have more cash coming in to go out to shareholders. These dividend growth stocks are a fraction of the overall market. But they offer safe, consistent returns for patient investors. That makes for a simple strategy to beat the market over time.
Recently 18 companies have announced dividend increases .The increases have been as small as a 1.6 percent increase in the dividend to an 18 percent rise.
The largest rise came from Sherwin-Williams (SHW). The painting retailer is increasing its payout from $0.61 to $0.72 per share. It’s also the 45th year the company has paid an increased dividend to its owners.
With a current yield of 0.9 percent, the yield isn’t large. But long-term holders will make a great return thanks to the dividend growth over time.
Another company increasing its payout now is the Coca-Cola Company (KO). The beverage manufacturer pays a 3.3 percent dividend, and just increased its payout by 5.4 percent.
Coca-Cola has also raised its dividend for the past 62 years. Today’s buyers will likely see more decades of dividend growth ahead.
To view the full list of companies raising their dividends now, click here.