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Summary

  • What appears to be a safe investment in a federally insured CD or money market, may not even be covering inflation.
  • Growth stocks don't always grow. The astute conservative investor turns to solid dividend paying stocks with a track record of growing their dividends each year.
  • Below are several companies that have recently elected to send more cash to their shareholders in the form of increased dividends.

If your goal is to accumulate wealth for a comfortable retirement, then there is no risk-free path. Throughout time every angle has been tried and failed. What appears to be a safe investment in a federally insured CD or money market, may not even be covering inflation. Growth stocks don't always grow. The astute conservative investor turns to solid dividend paying stocks with a track record of growing their dividends each year.

Below are several companies that have recently elected to send more cash to their shareholders in the form of increased dividends:

Walgreen Co. (NYSE:WAG) operates a network of drugstores providing consumer goods and services, pharmacy, and health and wellness services. August 6th, the company increased its quarterly dividend 7.1% to $0.3375 per share. The dividend is payable September 12, 2014 to stockholders of record on August 21, 2014. The yield based on the new payout is 2.2%.

Bank of America Corporation (NYSE:BAC) provides various banking and financial products and services. August 6th, the company increased its quarterly dividend 500% to $0.05 per share. The dividend is payable September 26, 2014 to stockholders of record on September 5, 2014. The yield based on the new payout is 1.3%.

Monsanto Company (NYSE:MON) provides agricultural products for farmers worldwide. August 5th, the company increased its quarterly dividend 14% to $0.49 per share. The dividend is payable October 31, 2014 to stockholders of record on October 10, 2014. The yield based on the new payout is 1.7%.

Main Street Capital Corporation (NYSE:MAIN) is a business development company specializing in long-term equity, equity related, and debt investments in small and lower middle market companies. August 5th, the company increased its monthly dividend 3.0% to $0.17 per share. The dividend is payable October 15, 2014 to stockholders of record on September 19, 2014. The yield based on the new payout is 6.6%.

Leggett & Platt, Incorporated (NYSE:LEG) designs and produces a range of engineered components and products worldwide. August 5th, the company increased its quarterly dividend 3.3% to $0.31 per share. The dividend is payable October 15, 2014 to stockholders of record on September 15, 2014. The yield based on the new payout is 3.7%.

Burger King Worldwide, Inc. (NYSE:BKW) operates and franchises fast food hamburger restaurants under the Burger King brand name. August 1st, the company increased its quarterly dividend 14% to $0.08 per share. The dividend is payable August 26, 2014 to stockholders of record on August 12, 2014. The yield based on the new payout is 1.2%.

Union Pacific Corporation (NYSE:UNP) Union Pacific Railroad Company provides rail transportation services in the United States. July 31st, the company increased its quarterly dividend 10% to $0.50 per share. The dividend is payable October 1, 2014 to stockholders of record on August 29, 2014. The yield based on the new payout is 2.0%.

Marathon Petroleum Corporation (NYSE:MPC) is engaged in refining, transporting, and marketing petroleum products primarily in the United States. July 31st, the company increased its quarterly dividend 19% to $0.50 per share. The dividend is payable September 10, 2014 to stockholders of record on August 20, 2014. The yield based on the new payout is 2.4%.

The Hartford Financial Services Group, Inc. (NYSE:HIG) provides insurance and financial services to individual and business customers primarily in the United States and Japan. July 31st, the company increased its quarterly dividend 20% to $0.18 per share. The dividend is payable October 1, 2014 to stockholders of record on September 2, 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 recommended 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 LEG in my Dividend Growth Portfolio and long MAIN in my High-Yield portfolio. See a list of all my dividend growth holdings here.

Source: 9 Stocks Sending More Cash To Shareholders With Increased Dividends