A person’s character is determined by how they behave when no one else is looking and during
difficult times. In much the same way, we can learn a lot about a company’s management when they face adversity. One metric I look at closely during a downturn is cash generation relative to earnings. The ability of a company to grow its dividend throughout the economic cycle is highly dependent on the management’s ability to generate cash in a downturn.
Below are several select companies with a management confident enough to increase their cash dividends:
Calamos Asset Management, Inc. (CLMS) is a globally diversified investment firm offering equity, convertible, defensive equity, fixed- income and alternative investment strategies, among others. February 3rd the company increased its quarterly dividend 27% to $0.095/share. The dividend is payable on March 4, 2011 to shareholders of record on February 18, 2011. The yield based on the new payout is 2.3%.
Aetna (AET) is one of the nation’s leading diversified health care benefits companies, serving approximately 35.4 million people. February 4th the company raised its quarterly dividend to $0.15/share, up from an annual dividend of $0.04/share. The dividend is payable on April 29, 2011 to all shareholders of record as of the close of business on April 14, 2011. The yield based on the new payout is 1.6%.
Temple-Inland Inc. (TIN) is a manufacturing company focused on corrugated packaging and building products. February 4th the company increased its quarterly dividend 18% to $0.13/share, payable March 15, 2011, to shareholders of record March 1, 2011. The yield based on the new payout is 2.2%.
Bemis Company, Inc. (BMS) is a major supplier of flexible packaging and pressure sensitive materials used by leading food, consumer products, healthcare, and other companies worldwide. February 4th the company raised its quarterly dividend 4.3% to $0.24/share. The dividend is payable on March 1, 2011, to shareholders of record at the close of business on February 15, 2011. This marks the 28th consecutive year that the Company has increased its dividend payment. The yield based on the new payout is 2.9%.
Avista Corp. (AVA) is an energy company involved in the production, transmission and distribution of energy as well as other energy-related businesses. February 4th the company increased its quarterly dividend to $0.275/share. The common stock dividend is payable March 15, 2011, to shareholders of record at the close of business on Feb. 18, 2011. The yield based on the new payout is 4.7%.
Jack Henry & Associates, Inc. (JKHY) is a leading provider of computer systems and electronic payment solutions primarily for financial services organizations. February 4th the company increased its quarterly dividend 11% to $0.105/share. The dividend is payable on March 10, 2011, to stockholders of record as of February 22, 2011. The yield based on the new payout is 1.3%.
Owens & Minor, Inc. (OMI) is a leading national distributor of name-brand medical and surgical supplies and a healthcare supply-chain management company. February 7th the company increased its quarterly dividend 13% to $0.20/share. The dividend is payable on March 31, 2011, to shareholders of record as of March 15, 2011. The yield based on the new payout is 2.6%.
Boardwalk Pipeline Partners, LP (BWP) provides interstate transportation and storage of natural gas. February 7th the partnership raised its quarterly distribution to $0.52/unit. The distribution is payable on February 24, 2011, to unitholders of record as of February 17, 2011. The yield based on the new payout is 6.3%.
Infinity Property and Casualty Corporation (IPCC) is a national provider of personal automobile insurance with a concentration on nonstandard auto insurance. February 8th the company increased its quarterly dividend 28.6% to $0.18/share. The dividend is payable on March 25, 2011 to holders of record on March 11, 2011. The yield based on the new payout is 1.2%.
Nationwide Health Properties, Inc. (NHP) is a real estate investment trust (REIT) that invests primarily in healthcare real estate in the United States. February 8th the company raised its quarterly dividend to $0.48/share. The dividend will be paid on March 4, 2011 to stockholders of record on February 18, 2011. The yield based on the new payout is 5.1%.
L-3 Communications (LLL) is a prime contractor in C3ISR (Command, Control, Communications, Intelligence, Surveillance and Reconnaissance) systems, aircraft modernization and maintenance, and government services. February 8th the company increased its quarterly dividend 12.5% $0.45/share. This is the seventh consecutive annual increase in L-3’s quarterly dividend rate. The board has also declared the next dividend payable on March 15, 2011 to shareholders of record at the close of business on March 1, 2011. The yield based on the new payout is 2.2%.
3M (MMM) operates as a diversified technology company worldwide. February 8th the company raised its quarterly dividend 5% to $0.55/share. The dividend is payable on March 12, 2011, to shareholders of record at the close of business on February 18, 2011. The yield based on the new payout is 2.5%.
The Northeast Utilities (NU) engages in the energy delivery business for residential, commercial, and industrial customers in Connecticut, New Hampshire, and western Massachusetts. February 8th the company raised its quarterly dividend to $0.275/share. The dividend is payable on March 31, 2011, to shareholders of record as of the close of business on March 1, 2011. The yield based on the new payout is 3.3%.
Wyndham Worldwide Corporation (WYN) encompasses approximately 7,210 franchised hotels and approximately 612,700 hotel rooms worldwide. February 9th the company increased its quarterly dividend 25% to $0.15/share. The yield based on the new payout is 2.0%.
Service Corporation International (SCI) is the largest provider of deathcare products and services in North America. February 9th the company increased its quarterly dividend 25% to $0.05/share. The dividend is payable on April 29, 2011 to shareholders of record at the close of business on April 15, 2011. The yield based on the new payout is 2.2%.
Diebold, Inc. (DBD) is a global leader in providing integrated self-service delivery and security systems and services. February 9th the company increased its quarterly dividend 3.7% to $0.28/share. The dividend is payable on March 7 to shareholders of record on February 21. This marks the company's 58th consecutive annual increase. The yield based on the new payout is 3.5%.
Occidental Petroleum Corporation (OXY), the fourth largest U.S. oil and gas company, is an international oil and gas exploration and production company with operations in the United States, Middle East/North Africa and Latin America regions. February 9th the company raised its quarterly dividend 21% to $0.46 per share quarterly dividend will be payable on April 15, 2011, to stockholders of record as of March 10, 2011. Oxy has raised the dividend every year since 2002, raising it 268 percent over the period. The increase brings the company’s compound annual dividend growth rate since 2002 to 15.6 percent. Oxy has paid quarterly dividends continuously since 1975. The yield based on the new payout is 1.9%.
Thomson Reuters (TRI) is the world's leading source of information for businesses and professionals in the financial, legal, tax and accounting, healthcare, science, and media markets worldwide. February 10th the company increased its quarterly dividend to $0.31/share. The dividend is payable on March 15, 2011 to shareholders of record as of February 22, 2011. This dividend increase marks the 18th consecutive annual dividend increase by the company. The yield based on the new payout is 3.1%.
Textainer Group Holdings Limited (TGH) is the world’s largest lessor of intermodal containers based on fleet size. February 10th the company raised its quarterly dividend 7.4% to $0.29/share. In continuing our record of providing shareholders with sizeable and increasing cash distributions, we have now raised our quarterly payout a total of seven times since going public in October 2007 for a cumulative dividend of $3.29 per common share. The yield based on the new payout is 3.4%.
AGL Resources Inc. (AGL) is an Atlanta-based energy services company, serves approximately 2.3 million customers in six states. February 10th the company raised its quarterly dividend to $0.45 per share is effective for the dividend payable March 1, 2011 to shareholders of record at the close of business on February 18, 2011. The yield based on the new payout is 4.8%.
Selecting stocks with increasing dividends is critical for an income growth strategy. The above list contains stocks that recently raised their dividends; it is not a list of recommend buys. As always, due diligence should be performed before buying or selling any stock. For a list of stocks with a long string of consecutive cash dividend increases, see this
list.
Full Disclosure: Long MMM. See a list of all my income holdings here.
Related Posts
-
Who is Charles Mangum and Why Should We Listen to Him?
-
Never Confuse Desires With Goals
-
5 Lessons Learned About Investing
-
International Diversification Begins At Home
-
What Determines A Dividend Stock's Yield
Tags: [AET] [AGL] [AVA] [BMS] [BWP] [CLMS] [DBD] [IPCC] [JKHY] [LLL] [MMM] [NHP] [NU] [OMI] [OXY] [SCI] [TGH] [TIN] [TRI] [WYN]
Linked here is a detailed quantitative analysis of T. Rowe Price Group Inc. (TROW). Below are some highlights from the above linked analysis:
Each Sunday I highlight the Carnivals I participated in over the past week, along with any notable articles that I came across. For those readers not familiar with carnivals, it's where personal finance bloggers submit their best articles of the week with one blog serving as the host. The entries are separated into various categories such as Investing, Credit, Debt, Budgeting, Frugality, Wealth Building, Money Management, Financial Planning, Insurance, Taxes, The Economy, Real Estate, et. al. Below are the carnivals that I participated in this week, along with a link to my article:
A photograph captures a moment in time. Seconds after the flash dims a tree could have fallen on the object of the photo or the sad looking man in the photo could have been told he just won a million dollars. In much the same way a dividend stock analysis is a snapshot in time, but the real question for the savvy dividend investor is 'where is the stock headed?' Here are four important directional metrics that I look for when updating my stock database...
Linked here is a detailed quantitative analysis of Hormel Foods Corp. (HRL). Below are some highlights from the above linked analysis:
The Pocket Change Portfolio (PCP) was first introduced on September 13, 2008 as a real money dividend income portfolio funded by the "pocket change" earned from my various online endeavors. Each month I report on the portfolio's progress and update its holdings.
This is the third installment in a multi-part series that looks at different sectors that have traditionally been very friendly to dividend investors. Each of these sectors have attributes that make the companies in them potentially desirable to long-term buy-and-hold dividend growth investors. Understanding these attributes will hopefully help us to select the very best companies for our income portfolios. Last week we looked at Financial Services Sector. This week we are looking at Industrial Materials...
Linked here is a detailed quantitative analysis of Lowe's Companies, Inc. (LOW). Below are some highlights from the above linked analysis:
Once again it is time for a goals/progress update. I am pleased to report that annualized dividend income increased in January, extending the streak to 7 consecutive months of increases after June 2010's decline. Since I began publicly tracking annualized dividend income in November 2007, it has increased in 36 of the last 38 months.
Linked here is a detailed quantitative analysis of Southside Bancshares Inc. (SBSI). Below are some highlights from the above linked analysis:
I am pleased to announce the addition of D4L-Forums as the latest feature available to subscribers of the D4L-Premium Services.