Cash Upgrades from These 3 Dividend Stocks

Investing in dividend stocks provides the investor with continuous feedback. As time passes dividend investors see their income steadily grow. You do not have to wait five to ten years to determine if the strategy is working. Each dividend and dividend increase provides the investor with reassurance that the strategy is working.

Below are three companies rewarding their shareholders with increased cash dividends:

Goodrich Corp. (GR) is one of the world’s largest providers of equipment, parts, and services to the large commercial, regional, business, and military jet markets. Tuesday, the company increased its quarterly dividend 8 Percent to $0.27/share. The dividend is payable January 4, 2010 to shareholders of record on December 1, 2009. The ex-dividend date is November 27, 2009. The current yield based on the new dividend is 1.90%.

Enterprise Products Partners LP (EPD) is an integrated provider of natural gas and natural gas liquids services, including processing, fractionation, storage, transportation, and terminalling. Thursday, the company raised its quarterly cash distribution rate paid to partners 13% to $0.515/unit. The cash distribution will be paid on Friday, November 6, 2009, to unitholders of record as of the close of business on Friday, October 30, 2009. The ex-dividend date is er 28, 2009. The current yield based on the new rate is 6.99%.

Duncan Energy (DEP) transports, markets, and stores natural gas, as well as in transporting and storing natural gas liquids (NGLs) and petrochemicals in the U.S. Yesterday, the company bumped its quarterly cash distribution rate paid to partners 5% to $0.44/unit. The cash distribution will be paid Thursday, November 5, 2009, to unitholders of record at the close of business on Friday, October 30, 2009. The ex-dividend date is October 28, 2009. The current yield based on the new rate is 8.31%.

Every CEO wants to tell you how good their company is. You can’t spend words. Increased cash dividends are a tangible sign of viability. For a list of stocks with a long string of consecutive dividend increases, see this list.

Full Disclosure: No position in the aforementioned stocks. See a list of all my income holdings here.

Comments

[jokingme:]

Your EPD numbers are incorrect.
Dividend raised to $.5525/ qtr not $.515.

Current yield is 7.5%.

Oct 16 09:23 AM

[notsosmart:]

i own the gas stocks.nice yields.

Oct 16 01:40 PM

[moose60061:]

I just checked EPD for last dividend and it shows a payout of .54 so there couldn't have been a 13% increase in it if it was raised to only .55


On Oct 16 09:23 AM jokingme wrote:

> Your EPD numbers are incorrect.
> Dividend raised to $.5525/ qtr not $.515.
>
> Current yield is 7.5%.

Oct 17 10:57 AM

[Be Rational...:]

D4L,

The dividend numbers you referred to belong to EPE - the general partner (GP) of EPD.

EPD announced a $0.5525 dividend this quater; a 5.7% increase over third quarter of 2008.

For those who are interested in MLPs, there is a subtle lesson in here -the GP is increasing the dividends at a faster rate than the MLP. :) You can see the same thing happening for ETE (GP of ETP) vs. ETP (Energy Transfer Partners).

D4L, given your penchant for holding good dividend paying stocks, I would have expected you to be holding EPD - any specific reason you don't want this in your portfolio?

You have been doing a very good job with your articles. Keep it up.


On Oct 17 10:57 AM moose60061 wrote:

> I just checked EPD for last dividend and it shows a payout of .54
> so there couldn't have been a 13% increase in it if it was raised
> to only .55

Oct 17 12:38 PM

[GimliJan:]

I own TPP which is merging with EPD. I am interested in the fact that TPP suspended the dividend payouts during the merger but EPD is continuing them? Any thoughts anyone?
I do like the fact that I am getting 1.24 shares of EPD and a good payout too!

Oct 17 01:46 PM