GuruFocus Premium Membership

Serving Intelligent Investors since 2004. Only 96 cents a day.

Free Trial

Free 7-day Trial
All Articles and Columns »

7 Stocks Building Shareholder Returns with Higher Dividends

Dividends4Life

Dividends4Life

52 followers

It's human nature for new income investors to focus on yield. Many eventually learn that above average yields often carry an above average risk of a dividend cut, loss of invested capital or both. People involved in extreme sports/hobbies, such as base jumping, hang gliding and shark diving, do things to minimize risk and protect themselves. In much the same way those investing in dividend stocks, can do certain things to increase their chance of success. One method is to focus on stocks that consistently increase their dividends.

Below are several stocks building shareholder returns through higher dividends:

Phillips 66 (PSX) operates as an energy manufacturing and logistics company. It operates in four segments: Midstream, Chemicals, Refining, Marketing and Specialties. May 7, the company increased its quarterly dividend 28% to $0.50 per share. The dividend is payable June 2, 2014 to stockholders of record on May 19, 2014. The yield based on the new payout is 2.4%.

Cardinal Health Inc. (CAH), a health care services company, provides pharmaceutical and medical products and services in the U.S. and internationally. May 7 the company increased its quarterly dividend 13% to $0.34250 per share. The dividend is payable July 15, 2014 to stockholders of record on July 1, 2014. The yield based on the new payout is 2.1%.

PepsiCo Inc. (PEP) operates as a food and beverage company worldwide. May 6 the company increased its quarterly dividend 15% to $0.655 per share. The dividend is payable June 30, 2014 to stockholders of record on June 6, 2014. The yield based on the new payout is 3.0%.

Microchip Technology Inc. (MCHP) engages in developing, manufacturing, and selling semiconductor products for embedded control applications. May 6, the company increased its quarterly dividend 0.1% to $0.3555 per share. The dividend is payable June 3, 2014 to stockholders of record on May 21, 2014. The yield based on the new payout is 3.0%.

Chesapeake Utilities Corp (CPK) operates as a diversified energy company in three segments: Regulated Energy, Unregulated Energy and Other. May 6, the company increased its quarterly dividend 5.2% to $0.405 per share. The dividend is payable July 7, 2014 to stockholders of record on June 16, 2014. The yield based on the new payout is 2.6%.

Baxter International Inc. (BAX) develops, manufactures, and markets products for people with hemophilia, immune disorders, infectious diseases, kidney diseases, trauma and other chronic and acute medical conditions. May 5, the company increased its quarterly dividend 6.1% to $0.52 per share. The dividend is payable July 1, 2014 to stockholders of record on June 6, 2014. The yield based on the new payout is 2.8%.

Airgas Inc. (ARG) supplies industrial, medical and specialty gases, and hardgoods. May 1, the company increased its quarterly dividend 15% to $0.55 per share. The dividend is payable June 30, 2014 to stockholders of record on June 13, 2014. The yield based on the new payout is 2.1%.

Selecting stocks with increasing dividends is critical for an income growth strategy. The above list contains stocks that recently raised their dividends; 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: Long PEP in my Dividend Growth Portfolio. See a list of all my dividend growth holdings here.

Related Posts
- Three Keys For Successful Dividend Growth Investing
- 12 Dividend Stocks With A Quick Payback
- 9 High-Rated Dividend Stocks With Above Target Returns
- 9 High-Yielding Utilities With A Growing Dividends
- 3 Styles Of Successful Dividend Investing

About the author:

Dividends4Life
Visit Dividends4Life at:
http://www.dividend-growth-stocks.com/

Rating: 5.0/5 (1 vote)

Voters:

Comments

Please leave your comment:


Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial
FEEDBACK