There has been a plethora of posts about dividend stocks lately. Quite a few have pointed out that many stocks that offer dividends now yield more than Treasuries or corporate bonds. Others tout the advantage of dividends being able to add to total return in a choppy, range-bound market. For a good round up of the latest articles on this topic, you can visit the Investing Ideas page at Seeking Alpha and check out the section on dividends.
The following list is from this weekend's screen of those stocks that just raised their dividend last week and yet are still more or less in the value stock category.
|Symbol||Name||New Dividend Yield||New Annual Dividend||Old Annual Dividend|
|BOBE||Bob Evans Farms, Inc.||2.91%||0.80||0.72|
|ESLT||Elbit Systems Ltd.||2.30%||1.18||N/A|
|SSI||Stage Stores, Inc.||2.49%||0.30||0.20|
|MGPI||MGP Ingredients, Inc.||1.36%||0.10||0|
|PZE||Petrobras Energia Participaciones SA||3.70%||0.57||0.35|
|SPIL||Siliconware Precision Industries Company, Ltd.||6.21%||0.30||N/A|
Despite having the financial wherewithal to be able to raise their dividends, most of these stocks have been spurned by investors. There isn't really a strong stock chart in the whole bunch though some of them (see SSI, for example) show signs of beginning upside reversals.
So actually, these stocks are good candidates for the watch list of anyone who considers themselves to be value investors. Raising dividends, reasonable valuation, not over-priced, not being chased by the momentum crowd -- these are all characteristics that might be attractive to patient investors. And remember, pulling in some income while waiting for the capital gains to arrive is not such a bad strategy.
Disclosure: no positions in any of the stocks listed