Monitoring dividend increases for stocks on my watch list helps me identify candidates for further analysis. Companies that regularly increase dividends show confidence in future earnings growth potential. In the past 2 weeks, 7 companies on my watch list decided to increase their dividends, including 2 of the stocks I own. The table below presents a summary of these increases.
The table is sorted by percentage increase, %Incr. Dividends are annualized and in US$, unless otherwise indicated. Yield is the new dividend yield for the market close Price on the date listed. Yrs are years of consecutive dividend increases, while 5-yr DGR is the compound annual growth rate of the dividend over a 5-year period. 1-yr %Incr is the percentage increase from the year-ago dividend. (Some companies increase their dividends more than once a year, so this puts the most recent dividend increase in context).
|Summary of Dividend Increases: May 30-June 10, 2016|
|Click to enlarge|
|Previous Post: 8 Dividend Increases: May 23-27, 2016|
- UnitedHealth Group Inc. (NYSE:UNH)
UNH is a diversified health and well-being company in the United States. Founded in 1974 and based in Minnetonka, Minnesota, it offers a broad spectrum of products and services through two platforms: UnitedHealthcare, which provides healthcare coverage and benefits services; and Optum, which provides information and technology-enabled health services. Recently, the board of directors of UNH declared a quarterly dividend of 62.5¢ per share. The new dividend represents an increase of 25.00%. The dividend is payable on June 29, with an ex-dividend date of June 15.
- Target Corp. (NYSE:TGT)
TGT sells a range of general merchandise and discount food products in about 1,800 stores in the United States. It offers both everyday essentials and fashionable, differentiated merchandise at discount prices. TGT operates as a single business segment and has a fully integrated online business, Target.com. The company was founded in 1902 and is headquartered in Minneapolis, Minnesota. Recently, the board of directors of TGT declared a quarterly dividend of 60¢ per share. The new dividend represents an increase of 7.14%. The dividend is payable on September 10 to shareholders of record as on August 17. The ex-dividend date is August 15.
- Cracker Barrel Old Country (NASDAQ:CBRL)
Founded in 1969 and based in Lebanon, Tennessee, CBRL develops and operates stores of the Cracker Barrel Old Country Store® concept. Each of the CBRL's stores consists of a restaurant and a gift shop. The restaurants provide breakfast, lunch and dinner. The gift shops offer various decorative and functional items, as well as candies and several food items. The company increased its quarterly dividend by 4.55%, from $1.10 per share to $1.15 per share. All shareholders of record as on July 15 can expect the dividend to be paid on August 5.
- American Tower Corp. (NYSE:AMT)
AMT is a real estate investment trust (REIT). The company owns, operates, and develops multi-tenant communications real estate, and presently has more than 143,000 communications sites in its portfolio. IT engages in leasing of space on multi-tenant communications sites to wireless service providers, radio and television broadcast companies, wireless data and data providers, government agencies and municipalities and tenants in a number of other industries. AMT was founded in 1995 and is headquartered in Boston, Massachusetts. On Thursday, June 2, the company increased its quarterly dividend by 3.92% to 53¢ per share. AMT will trade ex-dividend on June 15. The dividend is payable on July 15 to shareholders of record as on June 17.
- Broadcom Limited (NASDAQ:AVGO)
AVGO is a semiconductor company that designs, develops, and supplies a broad range of analog and digital semiconductor connectivity solutions. It serves four primary end markets: wired infrastructure, wireless communications, enterprise storage, and industrial and other. Applications include data center networking, home connectivity, broadband access, data center servers and storage, and more. AVGO was founded in 2005 and is headquartered in Singapore. The company declared a quarterly dividend of 50¢ per share, an increase of 2.04% over the prior quarterly dividend. The dividend is payable on June 30 to shareholders of record as on June 17. The stock will trade ex-dividend on June 15.
- Helmerich & Payne Inc. (NYSE:HP)
HP is a contract drilling company headquartered in Tulsa, Oklahoma. It is engaged in the drilling of oil and gas wells for exploration and production companies. The company is also engaged in the ownership, development, and operation of commercial real estate and the research and development of rotary steerable technology. HP was founded in 1920. On June 1, the company declared a dividend of 70¢ per share. The new dividend represents a 1.82% increase. The dividend is payable on September 1 to shareholders of record as on August 15. The ex-dividend date is August 11.
- Universal Health Realty Trust (NYSE:UHT)
UHT is a publicly owned real estate investment trust. The company invests in healthcare and human service-related facilities in the United States, including acute care hospitals, behavioral healthcare facilities, rehabilitation hospitals, sub-acute care facilities, surgery centers, childcare centers, and medical office buildings. UHT was founded in 1986 and is based in King of Prussia, Pennsylvania. On June 9, the company declared a dividend of 65¢ per share. The new dividend represents a 0.78% increase. The dividend is payable on June 30 to shareholders of record as on June 20.
Please note that I'm not recommending any of these stocks. Readers should do their own research on these companies before buying shares.
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Disclosure: I am/we are long HP, TGT.
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.