Notable Dividend Raisers: Lennox International, Warwick Valley Telephone Company, Birner Dental Management Services, Cohen & Steers, Applied Materials, Medicis Pharmaceutical Corporation, Staples
Other than that few notable dividend increases occurred last week. The companies raising distributions were:
Lennox International Inc. (LII), through its subsidiaries, engages in the design, manufacture, and marketing of a range of products for heating, ventilation, air conditioning, and refrigeration markets in the United States, Canada, and internationally. The company raised quarterly distributions by 7% to 15 cents/share. This is the first dividend increase for the company since 2007. The stock yields only 1.30%.
Warwick Valley Telephone Company (WWVY) provides communication services to the residential and business customers in the United States. The company’s board of directors raised quarterly dividend by 9.10% to 24 cents/share. This is the second annual dividend increase for this company since 2009. The stock yields 7.30%.
Birner Dental Management Services, Inc. (BDMS), together with its subsidiaries, provides business services to dental group practices in Colorado, New Mexico, and Arizona. The company’s board of directors raised quarterly dividend by 17% to 20 cents/share. This is the first dividend increase for the company since 2008. The stock yields 5.10%.
Cohen & Steers, Inc. (CNS) manages income-oriented equity portfolios in the United States. The company’s board of directors doubled the quarterly dividend to 10 cents/share. Before you get too excited, investors should note that the new distribution is less than half of the highest quarterly distribution of 22 cents/share paid in 2008. The stock yields 1.70%.
Applied Materials, Inc. (AMAT) provides nanomanufacturing technology solutions for the semiconductor, flat panel display, solar, and related industries worldwide. The company’s board of directors boosted the quarterly dividend by 17% to 7 cents/share. This is the first dividend increase since 2007. The stock currently yields 2.30%.
Medicis Pharmaceutical Corporation (MRX), a specialty pharmaceutical company, engages in the development and marketing of products for the treatment of dermatological and aesthetic conditions in the United States, Canada, and Europe. The company raised its quarterly dividend by 50% to 6 cents/share. This was the first dividend increase since 2008. The stock currently yields only 1%.
Staples, Inc. (SPLS), together with its subsidiaries, operates as an office products company. The company sells various office supplies and services, business machines and related products, computers and related products, and office furniture. The company raised its quarterly dividend by 9% to 9 cents/share. This was the first increase in distributions since 2008. The stock yields only 1.50%.
I typically look for businesses with strong competitive advantages, which generate enough cash flows to not only grow the business, but also to pay increasing distributions. None of the companies mentioned above fit this criterion, as well as my ten year dividend growth requirement.
Full Disclosure: None
Dividend Growth Investor