On November 15, 2011, David Van Knapp published an article that gave me a “Eureka!” moment in my investing life. I am literally 10 to 15 years away from retirement, and my goal is to create a portfolio that in 10 years' time will be yielding 10% or more yield-on-cost (YOC). The article was called “Using the 10 x 10 Table to ‘Score’ Dividend Yields and Growth Rates.”
I used that “aha!” energy to create my own personal shopping list of dividend growth stocks, which I shared with the Seeking Alpha community in a follow-up article for a “10 x 10 x CCC Shopping List.” This shopping list uses David Fish’s Dividend Champions, Contenders and Challengers (CCC) list, found here, and plugs David Fish’s CCC choices into David Van Knapp’s original 10 x 10 chart, which is coordinated by yield and annual growth (the last 1-year growth rate).
Since November 15, overall market conditions, as well as potential dividend growth stock choices, have changed. David Fish has updated his “CCC” list on December 30, 2011 with new choices, updates to existing stocks and some deletions to our shopping list. As a result, the shopping list published in November is quite out of date.
Thus my “Eureka!” moment has given birth to a new series of updates, which will hopefully help you keep track of the best dividend growth stocks to achieve 10% YOC in 10 years. It is my goal to provide you a quarterly update on your 10 x 10 x CCC Shopping List.
I will also create two lists for your consideration. List #1 will use the most recent data available, which is the 1-year growth rate. List #2 will use the most conservative dividend growth rate among all published dividend growth rates (1-, 3-, 5- and 10-year).
PLEASE NOTE: for the lists below, I am not accounting for inflation when considering yield-on-cost. I am using a simple “plug in” on rounded-down numbers, based on David Van Knapp’s and David Fish’s information. Inflation, reinvestment or purchase of additional shares, as well as any future changes in an individual stock’s dividend growth rate, will affect each stock’s ability to reach the goal as stated in the chart.
Here are your choices for 1Q 2012:
10 by 10 x CCC Shopping List
MOST RECENT DATA (1-year growth rate)
Initial Yield |
2% |
3% |
4% |
5% |
6% |
7% |
8% |
9% |
10% |
Annual Growth Rate |
| ||||||||
4% |
| 8 yrs | 5 yrs | 2 yrs | 1 yr | ||||
|
|
| STON | NRGY | |||||
|
|
| DX | ||||||
|
|
| PNNT | ||||||
5% |
| 10 yr | 8 yrs | 4 yrs | 2 yrs | 1 yr | |||
| BPL | TOO |
| VGR |
| ||||
APU |
|
|
|
| |||||
6% |
| 8 yrs | 6 yrs | 3 yrs | 1 yr | 1 yr | |||
|
| TGP |
|
|
| ||||
7% |
| 10 yr | 7 yrs | 5 yrs | 3 yrs | 1 yr | 1 yr | ||
|
| NGLS |
|
| TCAP |
| |||
8% |
| 9 yrs | 6 yrs | 4 yrs | 3 yrs | 1 yr | 1 yr | ||
| SEP | ETE |
|
|
|
| |||
9% |
| 8 yrs | 6 yrs | 4 yrs | 2 yrs | 1 yr | 1 yr | ||
| MO | CHEV |
|
|
|
| |||
BDMS |
|
|
|
|
| ||||
10% |
| 10 yr | 7 yrs | 5 yrs | 4 yrs | 2 yrs | 1 yr | 1 yr | |
| AVA |
| GEL |
|
|
|
| ||
| CHT |
|
|
|
|
|
| ||
11% |
| 9 yrs | 7 yrs | 5 yrs | 3 yrs | 2 yrs | 1 yr | 1 yr | |
|
|
| CMLP |
|
|
|
| ||
12% |
| 8 yrs | 6 yrs | 5 yrs | 3 yrs | 2 yrs | 1 yr | 1 yr | |
| AZN |
|
|
|
|
|
| ||
13% | 13 | 10 yr | 8 yrs | 6 yrs | 4 yrs | 3 yrs | 2 yrs | 1 yr | 1 yr |
| UGI | ARLP |
|
|
| OHI |
|
| |
14% | 12 | 9 yrs | 7 yrs | 5 yrs | 4 yrs | 3 yrs | 2 yrs | 1 yr | 1 yr |
| STR |
|
|
|
|
|
|
| |
| PRE |
|
|
|
|
|
|
| |
15% + |
| 9 yrs | 7 yrs | 5 yrs | 4 yrs | 3 yrs | 2 yrs | 1 yr | 1 yr |
| DCM | MDP | RAI | NCMI |
|
|
|
| |
| COP | NVS |
|
|
|
|
|
| |
| NTT | LMT |
|
|
|
|
|
| |
| CMS | TGH |
|
|
|
|
|
| |
| DRI | AHGP |
|
|
|
|
|
| |
| HAS | EOC |
|
|
|
|
|
| |
| SOMH | STRA |
|
|
|
|
|
| |
| TWGP | DLR |
|
|
|
|
|
| |
| CEO |
|
|
|
|
|
|
| |
| RCI |
|
|
|
|
|
|
| |
| RTN |
|
|
|
|
|
|
| |
| SRE |
|
|
|
|
|
|
| |
| INTC |
|
|
|
|
|
|
| |
| BBL |
|
|
|
|
|
|
| |
| WEC |
|
|
|
|
|
|
| |
| MSFT |
|
|
|
|
|
|
| |
| WMB |
|
|
|
|
|
|
| |
| EV |
|
|
|
|
|
|
| |
10 by 10 x CCC Shopping List
CONSERVATIVE DATA (lowest choice from 1-, 3-, 5- and 10-yr growth rates)
Initial Yield |
2% |
3% |
4% |
5% |
6% |
7% |
8% |
9% |
10% |
Annual Growth Rate |
| ||||||||
4% |
| 8 yrs | 5 yrs | 2 yrs | 1 yr | ||||
| TGP |
|
| DX | |||||
|
|
| PNNT | ||||||
5% |
| 10 yr | 8 yrs | 4 yrs | 2 yrs | 1 yr | |||
|
|
|
| VGR |
| ||||
6% |
| 8 yrs | 6 yrs | 3 yrs | 1 yr | 1 yr | |||
| ETE |
|
|
|
| ||||
7% |
| 10 yr | 7 yrs | 5 yrs | 3 yrs | 1 yr | 1 yr | ||
|
| NGLS |
|
| TCAP |
| |||
|
|
| GEL |
|
|
|
| ||
8% |
| 9 yrs | 6 yrs | 4 yrs | 3 yrs | 1 yr | 1 yr | ||
| SEP |
|
|
|
|
| |||
|
| RAI |
|
|
|
|
| ||
|
| SJR |
|
|
|
|
| ||
9% |
| 8 yrs | 6 yrs | 4 yrs | 2 yrs | 1 yr | 1 yr | ||
| MO | CHEV |
| OHI |
|
| |||
BDMS |
|
|
|
|
| ||||
10% |
| 10 yr | 7 yrs | 5 yrs | 4 yrs | 2 yrs | 1 yr | 1 yr | |
| MDP |
|
| NCMI |
|
|
| ||
11% |
| 9 yrs | 7 yrs | 5 yrs | 3 yrs | 2 yrs | 1 yr | 1 yr | |
|
|
| CMLP |
|
|
|
| ||
12% |
| 8 yrs | 6 yrs | 5 yrs | 3 yrs | 2 yrs | 1 yr | 1 yr | |
| TGH | AZN |
|
|
|
|
| ||
| ARLP |
|
|
|
|
|
| ||
13% |
| 10 yr | 8 yrs | 6 yrs | 4 yrs | 3 yrs | 2 yrs | 1 yr | 1 yr |
| DCM |
|
|
|
|
|
|
| |
|
| BBL |
|
|
|
|
|
|
|
14% |
| 9 yrs | 7 yrs | 5 yrs | 4 yrs | 3 yrs | 2 yrs | 1 yr | 1 yr |
| HAS |
|
|
|
|
|
|
| |
15% + |
| 9 yrs | 7 yrs | 5 yrs | 4 yrs | 3 yrs | 2 yrs | 1 yr | 1 yr |
| NTT | NVS |
|
|
|
|
|
| |
| CMS | LMT |
|
|
|
|
|
| |
| DRI | AHGP |
|
|
|
|
|
| |
| RCI | EOC |
|
|
|
|
|
| |
| EVR | STRA |
|
|
|
|
|
| |
|
| DLR |
|
|
|
|
|
| |
