As part of my monitoring process, I review the list of dividend increases every week. This exercise is helpful in monitoring the progress for existing holdings in my dividend growth portfolio. It is also a helpful exercise to uncover hidden gems for further research.
I like to review the press releases, and see if I can see something that jumps at me. The tone of press releases, the rate of change in dividends, when compared to historical averages and growth in fundamentals, gives me a very decent approximation if management is bluffing or is simply staying the course.
I usually focus on the companies that have managed to increase dividends for at least a decade. During the past week, the following companies raised dividends for their shareholders:
McDonald's Corporation (MCD) operates and franchises McDonald's restaurants in the United States and internationally. Its restaurants offer various food products and beverages, as well as breakfast menu.
McDonald’s increased their quarterly dividend by 7% to $1.38/share. This marked the 45th consecutive annual dividend increase for this dividend aristocrat. McDonald’s has managed to grow the dividends at an annualized rate of 8.40% over the past decade.
Earnings increased from $5.27/share in 2011 to $6.31/share in 2020.
The company is expected to earn $9.04/share in 2021.
The stock is selling for 27.07 times forward earnings and yields 2.26%.
Lockheed Martin Corporation (LMT) is a security and aerospace company that engages in the research, design, development, manufacture, integration, and sustainment of technology systems, products, and services worldwide. It operates through four segments: Aeronautics, Missiles and Fire Control, Rotary and Mission Systems, and Space.
The company raised its quarterly dividend by 7.70% to $2.80/share. This was the 19th year of consecutive annual dividend increases for this dividend achiever.
Lockheed Martin has managed to grow dividends at an annualized rate of 14% over the past decade.
Earnings increased from $7.81/share in 2011 to $24.40/share in 2020.
The company is expected to earn $26.83/share in 2021.
The stock is selling for 12.83 times forward earnings and yields 3.25%.
Artesian Resources Corporation (ARTNA) provides water, wastewater, and other services in Delaware, Maryland, and Pennsylvania.
The company raised its quarterly dividend by 2.50% to 26.75 cents/share. This was the 25th consecutive annual dividend increase for this dividend champion. Artesian Resources has managed to grow the dividends at an annualized rate of 2.90% over the past decade.
Between 2011 and 2020, the company managed to grow earnings from 83 cents/share to $1.79/share.
Artesian Resources is expected to earn $1.75/share in 2021.
The stock sells for 22.10 times forward earnings and yields 2.7%.
Ingredion Incorporated (INGR) produces and sells starches and sweeteners for various industries. It operates through four segments: North America; South America; Asia Pacific; and Europe, Middle East, and Africa.
The company raised its quarterly dividend by 1.60% to 65 cents/share. This is the 11th year of consecutive annual dividend increases for this dividend achiever. Over the past decade, the company managed to grow dividends at an annualized rate of 16.30%. However, the company has slowed down on the pace of annualized dividend growth in the past three years.
Between 2011 and 2020, Ingredion’s earnings went from $5.32/share to $5.15/share.
Ingredion is expected to earn $6.63/share in 2021.
The stock is selling for 13.39 times forward earnings and yields 2.93%.
Accenture plc (ACN) is a professional services company, provides strategy and consulting, interactive, and technology and operations services worldwide.
The company hiked its quarterly dividend by 10.20% to 97 cents/share. This is the 16th year of consecutive annual dividend increases for this dividend achiever. Over the past decade, the company has managed to grow dividends at an annualized rate of 14.80%.
Between 2011 and 2020, the company managed to grow earnings from $3.39/share to $7.89/share.
The company is expected to earn $10.11/share in 2022.
The stock is selling for 33.92 times forward earnings and yields 1.13%.
The First of Long Island Corporation (FLIC) operates as the holding company for The First National Bank of Long Island that provides financial services to small and medium-sized businesses, professionals, consumers, municipalities, and other organizations.
The company raised its quarterly dividends by 5.13% to 20 cents/share. This is the 26th year of consecutive annual dividend increases for this dividend champion. Over the past decade, the company has managed to grow dividends at an annualized rate of 7.20%.
Between 2011 and 2020, the company managed to grow earnings from $0.98 share to $1.72/share
The company is expected to earn $1.83/share in 2021.
The stock is selling for 11.05 times forward earnings and yields 3.77%.
Relevant Articles:
- Five Dividend Growth Stocks Delivering Raises To Shareholders
- Three Dividend Growth Stocks In the News
- Three Dividend Growth Stocks Rewarding Shareholders With Higher Payouts
- Seven Dividend Growth Stocks Rewarding Shareholders With Raises
