11 Dividend Stocks Building Shareholder Returns With Higher Dividends

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Includes: AIG, AVA, DPS, KMB, LLL, NUS, OMI, TNH, TRP, TWX, UPS
by: Dividends4Life

Summary

Those investing in dividend stocks can do certain things to increase their chance of success.

One method is to focus on stocks that consistently increase their dividends.

Below are several stocks building shareholder returns through higher dividends.

It's human nature for new income investors to focus on yield. Many eventually learn that above-average yields often carry an above-average risk of a dividend cut, loss of invested capital or both. People involved in extreme sports/hobbies such as base jumping, hang gliding and shark diving do things to minimize risk and protect themselves. In much the same way, those investing in dividend stocks can do certain things to increase their chance of success. One method is to focus on stocks that consistently increase their dividends.

Below are several stocks building shareholder returns with higher dividends:

American International Group, Inc. (NYSE:AIG) provides insurance products and services for commercial, institutional, and individual customers in the United States, the Asia Pacific, and internationally. February 11th the company increased its quarterly dividend 14% to $0.32 per share. The dividend is payable March 28, 2016 to stockholders of record on March 14, 2016, with an ex-dividend date of March 9, 2016. The yield based on the new payout is 2.5%.

Kimberly-Clark Corporation (NYSE:KMB) manufactures and markets personal care, consumer tissue, and K-C professional products worldwide. February 11th the company increased its quarterly dividend 4.5% to $0.92 per share. The dividend is payable April 4, 2016 to stockholders of record on March 4, 2016, with an ex-dividend date of March 2, 2016. The yield based on the new payout is 2.9%.

TransCanada Corporation (NYSE:TRP) operates as an energy infrastructure company in North America. February 11th the company increased its quarterly dividend 8.7% to C$0.565 per share. The dividend is payable April 29, 2016 to stockholders of record on March 31, 2016, with an ex-dividend date of March 29, 2016. The yield based on the new payout is 6.5%.

Nu Skin Enterprises, Inc. (NYSE:NUS) develops and distributes anti-aging personal care products and nutritional supplements under the Nu Skin and Pharmanex brands worldwide. February 11th the company increased its quarterly dividend 1.4% to $0.355 per share. The dividend is payable March 16, 2016 to stockholders of record on February 26, 2016, with an ex-dividend date of February 24, 2016. The yield based on the new payout is 4.6%.

Dr Pepper Snapple Group, Inc. (NYSE:DPS) operates as a brand owner, manufacturer, and distributor of non-alcoholic beverages in the United States, Canada, Mexico, and the Caribbean. February 11th the company increased its quarterly dividend 10% to $0.53 per share. The dividend is payable April 5, 2016 to stockholders of record on March 15, 2016, with an ex-dividend date of March 11, 2016. The yield based on the new payout is 2.4%.

United Parcel Service, Inc. (NYSE:UPS), a package delivery company, provides transportation, logistics, and financial services in the United States and internationally. February 10th the company increased its quarterly dividend 6.8% to $0.78 per share. The dividend is payable March 9, 2016 to stockholders of record on February 22, 2016, with an ex-dividend date of February 18, 2016. The yield based on the new payout is 3.3%.

Time Warner Inc. (NYSE:TWX) operates as a media and entertainment company in the United States and internationally. February 10th the company increased its quarterly dividend 15% to $0.4025 per share. The dividend is payable March 15, 2016 to stockholders of record on February 29, 2016, with an ex-dividend date of February 25, 2016. The yield based on the new payout is 2.6%.

L-3 Communications Holdings, Inc. (NYSE:LLL) L-3 Communications Corporation, provides intelligence, surveillance, and reconnaissance systems; aircraft sustainment; and simulation and training products and services. February 9th the company increased its quarterly dividend 7.7% to $0.70 per share. The dividend is payable March 15, 2016 to stockholders of record on March 1, 2016, with an ex-dividend date of February 26, 2016. The yield based on the new payout is 2.4%.

Terra Nitrogen Company, L.P. (NYSE:TNH) produces nitrogen fertilizer products in the United States. February 8th the partnership increased its quarterly distribution 2.5% to $2.88 per unit. The distribution is payable February 29, 2016 to unitholders of record on February 18, 2016, with an ex-dividend date of February 16, 2016. The yield based on the new payout is 11.0%.

Owens & Minor, Inc. (NYSE:OMI) operates as a healthcare logistics company. February 8th the company increased its quarterly dividend 1% to $0.255 per share. The dividend is payable March 31, 2016 to stockholders of record on March 15, 2016, with an ex-dividend date of March 11, 2016. The yield based on the new payout is 3.0%.

Avista Corporation (NYSE:AVA), an electric and natural gas utility company, generates, transmits, and distributes electricity; and distributes natural gas in the United States and Canada. February 5th the company increased its quarterly dividend 3.8% to $0.3425 per share. The dividend is payable March 15, 2016 to stockholders of record on February 19, 2016, with an ex-dividend date of February 17, 2016. The yield based on the new payout is 3.7%.

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 recommend 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 KMB in my Dividend Growth Portfolio, and long AVA in my High-Yield Portfolio. See a list of all my dividend growth holdings here.

Disclosure: I am/we are long KMB, AVA.

I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.