Air Products and Chemicals, Inc. (NYSE:APD) provides atmospheric gases, process and specialty gases, performance materials, equipment, and services worldwide. The company increased the quarterly dividend on the company’s common stock by 10.90% to 71 cents per share. This marked the 31st consecutive year that Air Products has increased its dividend payment. Over the past decade, this dividend champion has raised distributions by 11.80%/year. Between 2003 and 2012, the company’s earnings rose from $1.81/share to $5.53/share. Analysts expect earnings to hit $5.78/share in 2013, and increase to $6.40/share by 2014. Currently the stock is attractively valued at 15.70 times earnings and yields 3.20%. I plan on adding to my position in the stock within the next couple of months. Check my analysis of Air Products & Chemicals for more information.
Raytheon Company (NYSE:RTN) provides electronics, mission systems integration, as well as a range of mission support services in the United States and internationally. The company’s Board of Directors voted to increase the company's annual dividend payout rate by 10 percent, from $2.00 to $2.20 per share. This marked the ninth consecutive year that Raytheon Company has increased its dividend payment. Over the past decade, the company has raised distributions by 25.40%/year. Between 2003 and 2012, the company’s earnings rose from $0.88/share to $5.67/share. Analysts expect earnings to decline in 2013 to $5.33/share, and increase to $5.54/share by 2014. Currently the stock is attractively valued at 10.30 times earnings and yields 3.90%. While the dividend is sustainable and has room to grow, the focus on budget cuts in the company’s biggest customer might not bode well for long-term profitability.
Williams-Sonoma, Inc. (NYSE:WSM) operates as a specialty retailer of home products. The company’s Board of Directors has authorized a 41% increase in the company’s quarterly cash dividend to $0.31 per share. This marked the eighth consecutive year that Williams-Sonoma has increased its dividend payment. Over the past five years, the company has raised distributions by 14.60%/year. Currently the stock is trading at 20.80 times trailing earnings and yields 2.50%. The trailing earnings per share over the past four quarters nets to $2.39. Analyst projections for 2013 and 2014 are for earnings growth to $2.78 /share and $3.17/share. Between 2004 and 2012, the company’s earnings rose from $1.36/share to $2.27/share. I am going to add Williams-Sonoma to my list for further analysis.
Full Disclosure: Long APD