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20 Dividend Standouts Currently Cheaper Than Pandora

Earlier this week, Pandora Media (P) became the latest money-losing tech company to go public. Despite previously exhausting all conceivable profit models and stating in its IPO prospectus that it expects “to incur operating losses on an annual basis through at least fiscal 2012,” Pandora still managed to dump 14.7 million shares for $16 apiece, good for a $2.56 billion valuation.

After an initial pop, shares have already ducked well below their IPO level, closing Thursday’s session trading at just $13.26. That’s still good for a $2.12 billion market cap, and that’s still far too high. (The more customers the company acquires, the more money it loses… call me a capitalist, but that doesn’t sound like a business deserving of a multi-billion dollar valuation.)

Looking for stable alternatives to Pandora? Maybe something that not only makes money, but returns it to shareholders in growing increments year after year? Below are 20 companies that currently have a smaller market cap than the Internet radio station, despite increasing their dividend output every single year dating back to at least 1975 — the year of Pandora founder Tim Westergren’s tenth birthday.

Given a couple billion dollars and the option to buy either Pandora or one of these profitable companies (and keep the leftover cash), which would you choose? Currently, investors are inexplicably voting for Pandora.

American States Water (AWR) has raised its dividend every year since 1955, the second-longest active streak among publicly-traded companies. The $627 million utility holding company last increased its payout in April, giving its shareholders a 7.7% raise. Shares of AWR closed Thursday’s session with a 3.34% dividend yield.

ABM Industries (ABM) has increased its dividend output every year dating back to 1968. The $1.18 billion facility services company last gave its shareholders a raise in December 2010, hiking its dividend by 3.7%. Shares of ABM currently yield 2.53%.

Black Hills Corporation (BKH) has grown its dividend every year dating back to 1970, the longest active streak among publicly-traded companies. The $1.19 billion diversified energy company company last increased its payout in January, when it gave shareholders a 1.4% raise. Shares of BKH closed Thursday’s session with a 4.84% dividend yield.

California Water Service Group (CWT) has increased its dividend output every year dating back to 1968. The $755 million utility holding company last gave its shareholders a raise in January, hiking its dividend by 3.4%. Shares of CWT currently yield 3.40%.

Connecticut Water Service (CTWS) has raised its dividend output every year dating back to 1970. The $217 million water utility holding company last boosted its payout in February, giving its shareholders a 2.2% raise. Shares of CTWS closed Thursday’s session with a 3.74% dividend yield.

Diebold (DBD) has increased its annual dividend output every year dating back to 1954, the longest active streak among publicly-traded companies. The $1.92 billion self-service and security company last gave its shareholders a raise in February, hiking its dividend by 3.7%. Shares of DBD currently yield 3.80%.

H.B. Fuller (FUL) has raised its dividend every year dating back to 1970. The $1.07 billion specialty chemicals company last gave its shareholders a raise in April, hiking its dividend by 7.1%. Shares of FUL closed Thursday’s session with a 1.39% dividend yield.

Investors Real Estate Trust (IRET) has improved its dividend output every year dating back to 1972. The $691 million REIT last increased its payout in November 2009, when it gave shareholders a 0.3% raise. Shares of IRET currently yield 7.95%.

Lancaster Colony (LANC) has raised its dividend every year going back to 1963. The $1.63 billion specialty foods company last increased its payout in November 2010, giving shareholders a 10% raise. Shares of LANC closed Thursday’s session with a 2.23% dividend yield.

Middlesex Water Company (MSEX) has increased its dividend output every year dating back to 1973. The $287 million operator of water utility and wastewater systems last gave its shareholders a raise in November 2010, hiking its dividend by 1.4%. Shares of MSEX currently yield 3.97%.

Mine Safety Appliances (MSA) has increased its dividend every year going back to 1972, the longest active streak among publicly-traded companies. The $1.26 billion manufacturer of health and safety products last boosted its payout in February, when it gave shareholders a 4.0% raise. Shares of MSA closed Thursday’s session with a 3.02% dividend yield.

Northwest Natural Gas (NWN) has grown its dividend every year dating back to 1956, tied for the third-longest active streak among publicly-traded companies. The $1.18 billion natural gas distribution and storage company last gave its shareholders a raise in November 2010, hiking its dividend by 4.8%. Shares of NWN currently yield 3.94%.

SJW Corp. (SJW) has increased its dividend output every year since 1968. The $424 million holding company for a handful of water and real estate endeavors last improved its payout in January, giving shareholders a 1.5% raise. Shares of SJW closed Thursday’s session with a 3.02% dividend yield.

Stepan Company (SCL) has grown its dividend every year going back to 1968. The $681 million manufacturer of specialty and intermediate chemicals last increased its payout in October 2010, when it gave shareholders an 8.3% raise. Shares of SCL currently yield 1.55%.

Tennant Company (TNC) has improved its dividend total every year dating back to 1972. The $714 million manufacturer of cleaning solutions and specialty floor coatings last gave its shareholders a raise November 2010 when it upped its payout by 21% — one of its biggest dividend hikes to date. Shares of TNC closed Thursday’s session with a 1.82% dividend yield.

The Gorman-Rupp Company (GRC) has raised its dividend every year dating back to 1973. The $640 million pump and motor control company last boosted its payout earlier this year when it split its stock and gave shareholders a 7.1% raise. Shares of GRC currently yield 1.18%.

Tootsie Roll Industries (TR) has increased its dividend output every year since 1966. The $1.02 billion confectioner gives investors a raise each year by handing out additional shares while keeping its cash dividend flat. Shares of TR closed Thursday’s session with a 1.10% dividend yield.

United Bankshares (UBSI) has improved its annual dividend total every year dating back to 1974. The $1.03 billion bank holding company last gave its shareholders a raise in November 2009, hiking its dividend by 3.7%. Shares of UBSI currently yield 5.10%.

Universal Corporation (UVV) has raised its dividend every year since 1972. The $867 billion tobacco company last improved its payout in November 2010, when it gave shareholders a 2.1% raise. Shares of UVV closed Thursday’s session with a 5.13% dividend yield.

Washington Real Estate Investment Trust (WRE) has increased its dividend output every year dating back to 1973. The $2.06 billion DC-based REIT last gave its shareholders a raise in February, hiking its dividend by 0.3%. Shares of WRE currently yield 5.55%.

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Dynamic Dividend
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Rating: 3.3/5 (12 votes)

Comments

hschacht
Hschacht - 3 years ago
If "cheaper than Pandora" is the new yardstick, almost anything is "cheaper".

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