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In compiling the Dividend Champions list (found here), I get to see which companies are nearing the anniversaries of their previous dividend increases. Since most of these firms raise their payout about the same time every year, I can say with some confidence that they are likely to do so again. Based on last year's announcements, I'm expecting the following companies to announce dividend increases between now and the anniversary of their previous increase:

Dividend Champions (25 or more years):

No.

2/28

Qtrly

%

LY

Company

Symbol

Yrs

Price

Yield

Rate

Inc.

Ex-Div

H.B. Fuller Company

FUL

41

21.55

1.30

0.0700

2.94

4/27/10

Procter & Gamble Co.

PG

54

63.05

3.06

0.4818

9.50

4/28/10

Dividend Contenders (10-24 years):

No.

2/28

Qtrly

%

LY

Company

Symbol

Yrs

Price

Yield

Rate

Inc.

Ex-Div

Tanger Factory Outlet

SKT

17

26.65

2.91

0.1938

1.31

4/28/10

People's United Financial

PBCT

17

13.18

4.70

0.1550

6.90

4/29/10

Dividend Challengers (5-9 years):

No.

2/28

Qtrly

%

LY

Company

Symbol

Yrs

Price

Yield

Rate

Inc.

Ex-Div

Raytheon Company

RTN

6

51.21

2.93

0.3750

20.97

4/1/10

Watsco Inc.

WSO

9

64.58

3.22

0.5200

8.33

4/13/10

Coca-Cola FEMSA

KOF

7

73.06

1.58

1.1560

127.56

4/21/10

Donegal Group Inc. A

DGICA

8

12.76

3.61

0.1150

2.22

4/29/10

Donegal Group Inc. B

DGICB

8

18.50

2.22

0.1025

2.50

4/29/10

Empresa Nacional/Elec.

EOC

7

52.19

2.95

0.7690

45.64

4/29/10

Southern Company

SO

9

38.11

4.78

0.4550

4.00

4/29/10

Notably, the expected increases include the next two companies likely to graduate from Challenger to Contender status (Watsco and Southern Company). Obviously, April is not a big month for annual dividend increases, considering that the last two months featured projections for 39 and 30 companies, respectively, to boost their payouts. Currently, at least 26 Champions, Contenders, and Challengers are expected to boost dividends in May (or sooner), so April seems to represent a temporary lull in overall activity.

Although I'm basing this listing on April ex-dividend dates, there may be other companies that announce increases to be paid in April or later. (Companies announce dividend declarations anywhere from two days to six weeks before the ex-dividend date.) Not all of these companies will meet the strict standards of every investor, but they may be appropriate for portfolio diversification. Potential investors should do more research before committing funds.

Source: 10 Companies Expected to Increase Dividends in April