The goals of an income portfolio are much different than those of a capital appreciation portfolio. The good news is an income portfolio consisting of quality dividend growth stocks can not only succeed, but excel during a market downturn. Dividend investors are focused on building a stream of steadily rising income from solid companies. While many panic when their portfolios decline, income investors see a downturn as an incredible buying opportunity as they are look for sustainable growing dividends.
Below are several stocks trying to entice investors with higher cash dividends:
American Realty Capital Properties Inc. (ARCP) owns and acquires single tenant, freestanding commercial real estate that is net leased on a medium-term basis, primarily to investment grade credit rated and other credit worthy tenants. January 12th the company increased its monthly dividend to $0.7333 per share. Distributions will continue to be paid on the 15th day of each month to stockholders of record at the close of business on the 8th day of such month. The yield based on the new payout is 8.3%.
Pentair Inc. (NYSE:PNR) operates as a diversified industrial manufacturing company worldwide. January 12th the company increased its quarterly dividend 10% to $0.22 per share. The dividend is payable February 10, 2012 to shareholders of record at the close of business on January 27, 2012. The yield based on the new payout is 2.4%.
Shaw Communications Inc. (NYSE:SJR), a diversified communications company, provides broadband cable television, Internet, digital phone, telecommunications, and satellite direct-to-home (DTH) services primarily in Canada and the United States. January 12th the company increased its monthly dividend 5% or $0.05 per share. The yield based on the new payout is 4.7%.
SMF Energy Corporation (NASDAQ:FUEL) offers specialized transportation and distribution services for petroleum products and chemicals. January 12th the company increased its quarterly dividend 15% to $0.01725 per share payable to holders of record of the Company's common stock at the close of business on February 14, 2012, to be paid on March 9, 2012. The yield based on the new payout is 2.2%.
Williams-Sonoma Inc. (NYSE:WSM) operates as a specialty retailer of home products. January 12th the company increased its quarterly dividend 29% to $0.22 per share. The dividend is payable on February 24, 2012 to shareholders of record as of the close of business on January 27, 2012. The yield based on the new payout is 2.6%.
Genesis Energy LP (NYSE:GEL) operates in the midstream segment of the oil and gas industry in the Gulf Coast area of the United States. January 11th the company increased its quarterly distribution 3.0% to $0.395 per unit. The distribution is payable on February 14, 2012, to Common Unitholders of record at the close of business on February 1, 2012. The yield based on the new payout is 5.4%.
ACE Limited (NYSE:ACE) provides a range of insurance and reinsurance products to insureds worldwide. Jamuary 9th the company increased its quarterly dividend 34% to to $0.47 per share. The dividend is payable on January 31, 2012, to shareholders of record at the close of trading on the New York Stock Exchange on January 10, 2012. The yield based on the new payout is 2.7%.
Selecting stocks with increasing dividends is critical for an income growth strategy. The above list contains stocks that recently raised their dividends and those expected to in 2012; 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: No position in the aforementioned securities. See a list of all my dividend growth holdings here.
- 12 Dividend Stocks Delivering The Secret To Success
- 12 Dividend Stocks For A Rainy Day
- 9 High-Yield Managed Distribution Policy Funds
- The Elite Dividend Stocks List
- Dividend Stocks Poised To Beat Inflation
- High Yield Dividend Stocks in Gurus' Portfolio
- Top dividend stocks of Warren Buffett
- Top dividend stocks of George Soros
About the author: