There were seven dividend growth stocks that raised dividends last week. One of them, MSA Safety is a newly minted dividend king.
The companies that increased dividends over the past week include:
|
Company
|
Symbol
|
Yield
|
New Rate
|
Increase
|
P/E
|
Years Annual Increases
|
10 year Dividend Growth
|
|
NACCO Industries
|
NC
|
2.87%
|
0.1925
|
1.32%
|
6.11
|
35
|
13.47%
|
|
MSA Safety
|
MSA
|
1.50%
|
0.4300
|
2.38%
|
26.40
|
50
|
5.50%
|
|
Chesapeake Utilities
|
CPK
|
2.11%
|
0.4400
|
8.64%
|
20.48
|
17
|
6.49%
|
|
Microchip Technology
|
MCHP
|
1.76%
|
0.3675
|
0.14%
|
15.19
|
20
|
0.75%
|
|
RLI Corp
|
RLI
|
1.39%
|
0.2400
|
4.35%
|
30.00
|
45
|
5.55%
|
|
Cardinal Health
|
CAH
|
3.97%
|
0.4859
|
1.00%
|
9.29
|
24
|
14.33%
|
|
Farmers & Merchants Bancorp
|
FMCB
|
2.04%
|
7.2500
|
1.40%
|
9.90
|
55
|
2.68%
|
This is not an automatic list to buy of course. I would review each company, and determine if it makes sense from a fundamentals point of view. This would include reviewing trends in earnings, dividends, payout ratios, revenues, and gaining an understand of the company's business model.
The job is not done just by reviewing fundamentals however. The investor also needs to come up with a conclusion whether the stock is fairly valued at the moment. If it is not, then the investor may come up with a price at which the security may be attractive.
The other thing to consider is that valuation is relative. When evaluating companies, we compare them to other companies with promising fundamental and valuation characteristics. Then, we strive to pick the company or companies with the best values in the investors opportunity set.
While this sounds like a lot of work on the surface, with practice, it becomes almost a second nature.
Relevant Articles:
- Dividend Increases Outpace Dividend Cuts in 2020
- Dividend Kings List for 2020
- Dividend Aristocrats Keep Performing Well in 2020
- How to read my weekly dividend increase reports