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The following is a list of stocks that are approaching an inflection point, based on moving average trends. For this article, we define an inflection point as the convergence between the 50-day and 200-day moving averages.

When these two moving averages cross, it often represents a shift in investor sentiment. If the 50-day MA moves above the 200-day MA (bullish), it's called a "Golden Cross" signal. If, on the other hand, the 50-day MA crosses below the 200-day MA (bearish), it's called the "Death Cross".

To compile this list, we started with a universe of dividend-paying stocks that have recently seen the SMA50 move above the SMA200 (i.e. a bullish signal). We then narrowed down the list by only focusing on stocks that have boosted their quarterly dividend payments over the last three years.

We're not going to go into detailed analysis for each company. The goal here is to give a starting point to a dividend investor looking for momentum ideas.

Dividend histories sourced from AOL Money, dividend yield and moving average data sourced from Finviz.



The list has been sorted by the average increase in quarterly dividend payments,

1. Lowe's Companies Inc. (LOW): Home Improvement Stores Industry. Market cap of $35.16B. Dividend yield at 1.73%. SMA50 at $22.97 vs. SMA200 at $22.84 (price at $25.48). Aug 2008 dividend per share at $0.085, Aug 2009 dividend increased to $0.09, and Aug 2010 dividend increased to $0.11. Short float at 0.91%, which implies a short ratio of 0.91 days. The stock has gained 9.69% over the last year.

2. Covidien plc (COV): Medical Instruments & Supplies Industry. Market cap of $22.73B. Dividend yield at 1.74%. SMA50 at $42.53 vs. SMA200 at $42.28 (price at $45.91). Sep 2008 dividend per share at $0.16, Sep 2009 dividend increased to $0.18, and Sep 2010 dividend increased to $0.2. Short float at 0.4%, which implies a short ratio of 0.61 days. The stock has lost -4.21% over the last year.

3. General Dynamics Corp. (GD): Aerospace/Defense Products & Services Industry. Market cap of $26.86B. Dividend yield at 2.36%. SMA50 at $67.38 vs. SMA200 at $66.21 (price at $71.1). Dec 2008 dividend per share at $0.35, Dec 2009 dividend increased to $0.38, and Dec 2010 dividend increased to $0.42. Short float at 1.03%, which implies a short ratio of 1.97 days. The stock has gained 6.85% over the last year.

4. Republic Bancorp Inc. (RBCAA): Regional Banks Industry. Market cap of $501.93M. Dividend yield at 2.39%. SMA50 at $21.57 vs. SMA200 at $21.55 (price at $23.97). Nov 2008 dividend per share at $0.121, Nov 2009 dividend increased to $0.132, and Nov 2010 dividend increased to $0.143. Short float at 7.45%, which implies a short ratio of 28.8 days. The stock has gained 20.76% over the last year.

5. Monsanto Co. (MON): Agricultural Chemicals Industry. Market cap of $35.78B. Dividend yield at 1.68%. SMA50 at $60.71 vs. SMA200 at $57.86 (price at $66.71). Dec 2008 dividend per share at $0.24, Dec 2009 dividend increased to $0.265, and Dec 2010 dividend increased to $0.28. Short float at 1.24%, which implies a short ratio of 0.91 days. The stock has lost -17.51% over the last year.

6. Eaton Vance Corp. (EV): Asset Management Industry. Market cap of $3.65B. Dividend yield at 2.34%. SMA50 at $30.34 vs. SMA200 at $30.27 (price at $30.81). Oct 2008 dividend per share at $0.155, Oct 2009 dividend increased to $0.16, and Oct 2010 dividend increased to $0.18. Short float at 6.94%, which implies a short ratio of 9.22 days. The stock has gained 4.51% over the last year.

7. Lancaster Colony Corporation (LANC): Food Industry. Market cap of $1.61B. Dividend yield at 2.28%. SMA50 at $52.39 vs. SMA200 at $52.3 (price at $57.91). Nov 2008 dividend per share at $0.285, Nov 2009 dividend increased to $0.3, and Nov 2010 dividend increased to $0.33. Short float at 13.72%, which implies a short ratio of 25.41 days. The stock has gained 19.85% over the last year.

8. West Pharmaceutical Services, Inc. (WST): Medical Instruments & Supplies Industry. Market cap of $1.41B. Dividend yield at 1.61%. SMA50 at $38.35 vs. SMA200 at $37.7 (price at $42.21). Dec 2008 dividend per share at $0.15, Dec 2009 dividend increased to $0.16, and Dec 2010 dividend increased to $0.17. Short float at 6.26%, which implies a short ratio of 14.15 days. The stock has gained 8.7% over the last year.

9. UMB Financial Corporation (UMBF):
Regional Banks Industry. Market cap of $1.71B. Dividend yield at 1.85%. SMA50 at $38.29 vs. SMA200 at $37.62 (price at $42.24). Oct 2008 dividend per share at $0.175, Oct 2009 dividend increased to $0.185, and Oct 2010 dividend increased to $0.195. Short float at 5.77%, which implies a short ratio of 15.84 days. The stock has gained 11.42% over the last year.

10. Carlisle Companies Inc. (CSL): Rubber & Plastics Industry. Market cap of $2.49B. Dividend yield at 1.66%. SMA50 at $36.74 vs. SMA200 at $35.5 (price at $40.89). Nov 2008 dividend per share at $0.155, Nov 2009 dividend increased to $0.16, and Nov 2010 dividend increased to $0.17. Short float at 4.18%, which implies a short ratio of 6 days. The stock has gained 19.53% over the last year.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Source: 10 Breakout Stocks Boosting Dividend Payments