As the United States' economy continues to incite fear in investors, dividend stocks have once again come into the lime light. Many of the strongest companies in the world - including Apple (AAPL) - have dividends and stock repurchase plans that are meant to reward investors and return capital to them. When investing for income, dividend growth is important, as it shows both strength within the company, along with some reassurance that the income from the investment will keep up or beat inflation.
The following five companies have managed to increase dividend yield by more than 10% year-over-year for the past three years.
Intel (INTC):
- Yield: 3.2%
- 3 Year Annual Growth Rate: 13%
2-Year Chart:
Click to enlarge
Qualcomm (QCOM):
- Yield: 1.7%
- 3 Year Annual Growth Rate: 10%
2-Year Chart:
Wal-Mart (WMT):
- Yield: 2.5%
- 3 Year Annual Growth Rate: 15%
2-Year Chart:
Abbot Labortories (ABT):
- Yield: 3.3%
- 3 Year Annual Growth Rate: 10%
2-Year Chart:
IBM (IBM):
- Yield: 1.7%
- 3 Year Annual Growth Rate: 14%
2-Year Chart:
Conclusion
These aforementioned companies show through the story of their charts, along with their yields/yield growth, that they are strong companies and if the past is any indication of the future, these companies are likely to pay a secure and strong dividend into the coming years.
All financial metrics referenced above are obtained from Yahoo Finance, CNBC Analytics, S&P Capital IQ, Forbes Investment Letter, and Thomas Reuters.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.
