23 Stocks With Expected Dividend Growth Over The Next 3 Months

Consecutive dividend growth measures the number of years in which the corporate has increased dividends. Everything that a company needs to do is to hike dividends each 12 months or less.

Today I will highlight some special stocks that must increase dividends within the next 3 months in order to keep its dividend grower status alive. 23 companies are on the attached list of which 12 are recommended to buy. The bad thing is that only 4 have a really attractive forward looking P/E ratio of less than 15. The market is still expensive!

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3 Best And Worst Performing Dividend Champions In 2013

We're coming to the year-end and I would like to review the performance of the best and worst stocks from the Dividend Champions list.

The best performing stocks increased by 60.77 percent over the whole year while the worst performer declined by 17.34 percent.

In total, we can summarize that the year 2013 was a good year for all investors. Big money came in due to the monetary policy and helped to boost stocks at all-time highs.

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5 Dogs Of The Dividend Aristocrats Index

The Dogs of the Dow Jones strategy gained a major popularity within the recent years. The strategy is very simple: You only need to invest money into the 10 cheapest stocks of the Dow Jones, measured by expected growth and price to earnings ratios.

This investment rule can also be used for other indices or adjusted by several criteria. 

Toady I've used the formula in order to find the cheapest stocks from the Dividend Aristocrats index. The index has 54 constituents with more than 25 years of consecutive dividend growth.

I selected only those stocks with a forward P/E of less than 15 as well as future earnings growth of 5 percent for the next five years. Only eleven stocks fulfilled these criteria. The top five results by dividend yield ratio are listed below.

In general, I'm a real fan of long-term dividend growth stocks but due to the low interest policy of the Federal Reserve, stock prices also skyrocket and valuations are really high. It's not good to buy highly valuated stocks.

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3 Stocks Warren Buffett Would Pick In His Earlier Years

I've released earlier this week an article about Warren Buffett's latest portfolio moves. Warren acts very cautious. 

He hold much cash and makes only a few big moves per year. People can say that he is a really lazy guy but also a smart investor when you look at his long-term performance.

If you copy Warren Buffett's investment style and cover his latest trades very tight, you will definitely make no bigger return. 

How was it possible to create a $50 billion net worth over 50 years, only by trading stocks?

Warren invested in his earlier year’s money into companies with operational problems. In addition, they were very small compared to the market potential. He bought the potential leaders in a growing market.

Looking into the past doesn’t help us to find new stock ideas. I've always look at higher capitalized stocks because of the bigger degree of safety. But large capitalized stocks are also stocks with modest or slow growth. 

Today I present you 3 long-term dividend growers (stocks that have raised dividends over 25 years or more), with the following criteria:

- Market capitalization under USD 2 billion

- Dividend Payout Ratio below 50 percent

- Debt-To-Equity less than 0.5

- Forward P/E fewer than 20

You can find a company overview of the three results below. I don't own any of them but believe that they cover some values inside.

These are the results:

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5 High-Yield Dividend Champions

Stocks with a very long history of consecutive dividend growth built a great trust relationship to their long-term owners. 

One investment category with the longest dividend streaks are Dividend Champions. Those stocks have raised dividends over a period of more than 25 years without an interruption.

Today I will present you the highest yielding stocks from the Dividend Champions List. On the list are 105 U.S. listed companies but only five of them are High-Yields, stocks with over 5 percent dividend yield.

Please don't focus on high yielding stocks. It's also dangerous to invest money into the top paying shares on the market. Some could cut their dividends if the cash flow weakens. We've seen this process with Pitney Bowes. Not enough: The top yielding stocks have underperformed the market this year!

However, below is a detailed compilation of the highest yielding Dividend Champions. Feel free to submitt some comments on your thoughts.

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10 Dividend Champions With Very Low Payout Ratios - The Next Big Dividend Grower?

Dividend Champions with low payout ratios and small debt figures originally published at long-term-investments.blogspot.com. Dividend Champions are stocks with a very long history of consecutive dividend hikes. They have achieved to boost dividends year over year for more than 25 years without an interruption.

Only 105 stocks have managed this very important goal for long-term dividend growth investors. I like those stocks but some of them have a really high dividend payout ratio.

Earlier, I talked about the importance of the dividend growth rate and that it would be better to buy lower yielding stocks with a much higher growth rate than stocks with very big yields. Two main criteria for future dividend growth are the debt ratios and dividend payout figures.

This month, I started an article serial about dividend stocks with potential to boost dividends. Today I would like to present you Dividend Champions with the lowest dividend payouts. Only 10 income growth firms have a payout ratio of less than 20 percent. Seven of them are currently recommended to buy.

Most of them are modestly leveraged. Not low but also not too high but the right leverage ratio is also a question of the business model and the strong cash-flow of a corporate as well as the costs for growth.

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11 Great Dividend Growth Stocks With Low Debt

Great dividend paying stocks with low debt ratios originally published at long-term-investments.blogspot.com. Dividend growth is wonderful but it does not mean a good return in the end. Out there are also stocks that hiked dividends over 10 years or more but they delivered only a 3 percent annual return of which 2 percent are explainable to cash dividend payments.

A good dividend growth stocks is a pick that delivers adequate returns far above the expected inflation rate. Nobody knows which stock can give you this but one critical factor is the amount of debt. A low leveraged stock has more possibilities to grow in an easy way.

Today I would like to share some great dividend stocks with low debt ratios. Great dividend stocks are those stocks that have delivered good growth and high returns combined in the past.

I used a restriction of a debt to equity ratio of 0.5 percent. Eleven stocks fulfilled my criteria of which six are recommended to buy.

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2 Stock Buys For My Passive Income Portfolio: Cisco Systems And Target

The small sell-off on the market hit me a bit with my assets and I would like to increase two positions now for a very small amount.

First, I purchased Cisco Systems Shares at $23.55. I bought 40 shares which resulted in a total buying amount of $942 dollar. The stake war down around 10 percent and is now accounted with a book loss of 6.28 percent. I believe that the company is still healthy and should benefit from the growing web traffic.

The second purchase was the discount retailer Target. The position was down 11.74 percent and I decided to raise the stake by 60 percent. I bought 12 shares at $63.29. The total purchase amount was around $759. The average position is now down 7.89 percent.

Portfolio Overview I (Click to enlarge)

Portfolio Overview II (Click to enlarge)

Latest Portfolio Transactions (Click to enlarge)

I think both companies are great dividend growth stocks with a solid dividend in a low interest environment. The yield is around 2.7/2.8 percent and has additional potential to grow. Let’s look how they will develop in the future.

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For readers who are new to the matter and my dividend growth philosophy: I funded a virtual portfolio with 100k on October 04, 2012 with the aim to build a passive income stream that doubles each five to ten years. I plan to purchase each week one stock holding until the money is fully invested. The total number of constituents is expected at 50 – 70 companies and the dividend income should be at least at $3,000 per year.

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The full year estimated dividend income is now at $2,374. With still $32,000 in cash on the account, it’s still possible to reach my goal of $3,000 dividend income by the end of this year.

Portfolio Performance (Click to enlarge)

The portfolio holdings are up 5.33 percent since the date of funding. Due to the high cash amount and slow purchasing process, the full portfolio is only up 4.59 percent, a clear underperformance to the market. My strategy should perform better on rainy days, days we haven’t had during the past years. However, the strategy is not to make fast money on the market. I want to show you how you can build a portfolio with solid dividend growth stocks by eliminating the big risks and getting solid dividend cash payments per year. It’s a long-term strategy.

Here is the income perspective of the portfolio

Sym	Name	P/E Ratio	Dividend Yield		Buy	# Shrs	Income	Value
TRI	Thomson Reuters C	25.77	3.83		28.90	50	$64.75	$1,697.00
LMT	Lockheed Martin C	13.92	3.71		92.72	20	$92.00	$2,474.60
INTC	Intel Corporation	12.21	3.98		21.27	50	$45.00	$1,133.50
MCD	McDonald's Corpor	17.51	3.22		87.33	15	$46.20	$1,443.90
WU	Western Union Com	11.38	2.63		11.95	100	$47.50	$1,806.00
PM	Philip Morris Int	16.34	4.09		85.42	20	$68.78	$1,683.80
JNJ	Johnson & Johnson	19.32	2.92		69.19	20	$50.80	$1,743.20
MO	Altria Group Inc	15.65	5.14		33.48	40	$70.40	$1,376.00
SYY	Sysco Corporation	19.22	3.46		31.65	40	$44.40	$1,281.60
DRI	Darden Restaurant	14.95	4.37		46.66	30	$61.50	$1,423.50
CA	CA Inc.	12.86	3.4		21.86	50	$50.00	$1,480.00
PG	Procter & Gamble	19.98	3.02		68.72	25	$58.20	$1,928.75
KRFT	Kraft Foods Group	17.31	3.76		44.41	40	$80.00	$2,128.40
MAT	Mattel Inc.	18.45	3.26		36.45	40	$53.60	$1,649.20
PEP	Pepsico Inc. Com	18.63	2.79		70.88	20	$44.20	$1,585.20
KMB	Kimberly-Clark Co	19.62	3.44		86.82	15	$47.55	$1,395.90
COP	ConocoPhillips Co	11.3	3.94		61.06	20	$52.80	$1,364.00
GIS	General Mills In	17.6	2.79		42.13	30	$41.10	$1,475.70
UL	Unilever PLC Comm	17.93	3.53		39.65	35	$47.01	$1,340.15
NSRGY	NESTLE SA REG SHR	17.88	3.36		68.69	30	$65.31	$1,957.80
GE	General Electric	17.14	3.2		23.39	65	$48.10	$1,505.40
ADP	Automatic Data Pr	25.07	2.35		61.65	25	$42.50	$1,828.25
K	Kellogg Company C	23.15	2.95		61.52	25	$44.50	$1,505.75
KO	Coca-Cola Company	20.14	2.8		38.83	40	$42.80	$1,534.00
RTN	Raytheon Company	13.09	2.77		57.04	20	$42.00	$1,512.20
RCI	Rogers Communicat	11.17	4.02		46.5	50	$83.30	$2,067.00
GPC	Genuine Parts Com	17.64	2.69		77.06	20	$42.12	$1,573.20
TSCDY	TESCO PLC SPONS A	230	3.99		17.08	110	$75.68	$1,903.00
APD	Air Products and	22.16	2.6		85.71	15	$40.50	$1,544.85
GSK	GlaxoSmithKline P	19.57	4.61		52.16	30	$71.13	$1,550.10
WMT	Wal-Mart Stores	14.15	2.49		79.25	20	$36.16	$1,451.80
BTI	British American	15.54	4.11		111.13	23	$96.14	$2,366.24
CHL	China Mobile Limi	10.82	4.05		55.32	25	$55.95	$1,394.50
MMM	3M Company Common	17.98	2.17		110.27	15	$37.43	$1,725.60
TUP	Tupperware Brands	17.63	2.38		80.98	15	$29.40	$1,232.40
IBM	International Bus	13.07	1.95		197.09	16	$57.60	$2,928.48
HAS	Hasbro Inc.	19.23	3.2		44.09	30	$45.60	$1,439.70
T	AT&T Inc.	25.53	5.37		34.47	30	$53.70	$1,002.30
WAG	Walgreen Co. Comm	21.96	2.27		44.25	30	$34.20	$1,483.80
AFL	AFLAC Incorporate	8.19	2.38		59.39	20	$28.00	$1,167.60
TGT	Target Corporatio	15.3	2.38		68.69	32	$48.32	$2,025.28
CSCO	Cisco Systems In	12.74	2.62		25.12	90	$55.80	$2,119.50
DE	Deere & Company C	9.47	2.35		84.11	15	$29.10	$1,239.15
RGR	Sturm Ruger & Co	11.64	3.5		51.65	20	$38.52	$1,080.60
LO	Lorillard Inc Co	13.49	5		42.3	30	$65.00	$1,320.90
							$2,374.64	$72,869.80
							Average Yield	3.26%
							Yield On Cost	3.44%

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