Dividend Contenders: 30 Increases Expected By The End Of February

|
Includes: ADI, ANDE, AOS, AVA, BKUT, CHD, CMP, CVS, D, EBTC, ES, GAS, HONT, JBHT, JKHY, LARK, LLL, LLTC, LNT, MDP, MYBF, NEE, PII, PRE, PRGO, RHI, ROL, ROP, TGP, TRI
by: David Fish

Summary

24 February Raises Follow Brief Lull.

Which Companies Will Repeat Double-Digit Increases?

Eclectic Mix of Industries Rewarding Shareholders.

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. I have separated the Champions (25 or more years of higher dividends), Contenders (10-24 years), and Challengers (5-9 years) into distinct groupings, so please look for the other articles, which I hope will be published about the same time. Note that "CCC" refers to the combination of Champions, Contenders, and Challengers.

Holiday Revelry

The torrid pace of dividend increases continued in December, led by companies that typically boost their payouts near year-end, and that trend should continue early in 2015. I'm still excluding foreign stocks that trade as ADRs (American Depository Receipts), unless they declare dividends in US$, since the declarations may only estimate the US$ amount and the exact amount won't be known until after payment, so it would be misleading to list these companies as "expected" to raise their dividend when the outcome is uncertain. The good news is that most of those foreign firms are still managing to stay on the list of dividend increases.

The table below coincides with the usual "forward look" of about 11 weeks for this article. Based on last year's announcements, I'm expecting the following companies to announce dividend increases between now and the anniversary of the Ex-Dividend Date of their previous increase:

Dividend Contenders (10-24 years):

Company

Ticker

No.

11/28

Div.

MR%

LY

Ann.

DGR

Name

Symbol

Yrs

Price

Yield

Inc.

Ex-Div

Div.

5-yr

Bank of Utica

(OTCPK:BKUT)

14

515.00

2.25

8.41

12/27/13

11.60

7.9

Andersons Inc. (The)

(NASDAQ:ANDE)

12

54.04

0.81

3.13

12/30/13

0.44

14.5

Roper Industries Inc.

(NYSE:ROP)

21

157.82

0.51

21.21

1/8/14

0.80

17.9

CVS Health Corp.

(NYSE:CVS)

11

91.36

1.20

22.22

1/21/14

1.10

28.4

Alliant Energy Corp.

(NYSE:LNT)

11

62.87

3.24

8.51

1/29/14

2.04

6.1

Teekay LNG Partners LP

(NYSE:TGP)

10

36.02

7.68

2.49

1/29/14

2.77

4.4

A.O. Smith Corp.

(NYSE:AOS)

21

53.93

1.11

25.00

2/5/14

0.60

13.3

Enterprise Bancorp Inc.

(NASDAQ:EBTC)

20

23.38

2.05

4.35

2/6/14

0.48

5.0

Rollins Inc.

(NYSE:ROL)

12

32.53

1.29

16.67

2/6/14

0.42

16.5

JB Hunt Transport Serv.

(NASDAQ:JBHT)

11

82.53

0.97

33.33

2/11/14

0.80

8.4

AGL Resources

(NYSE:GAS)

12

52.31

3.75

4.26

2/12/14

1.96

2.3

Honat Bancorp Inc.

(OTCPK:HONT)

11

63.00

1.65

4.00

2/12/14

1.04

14.1

Linear Technology Corp.

(NASDAQ:LLTC)

22

46.03

2.35

3.85

2/12/14

1.08

4.4

Church & Dwight

(NYSE:CHD)

18

76.71

1.62

10.71

2/13/14

1.24

45.8

PartnerRe Limited

(NYSE:PRE)

21

116.51

2.30

4.69

2/13/14

2.68

6.8

Landmark Bancorp Inc.

(NASDAQ:LARK)

13

22.64

3.36

5.00

2/14/14

0.76

10.2

Avista Corp.

(NYSE:AVA)

12

34.45

3.69

4.10

2/19/14

1.27

12.1

Thomson Reuters Corp.

(NYSE:TRI)

21

39.60

3.33

1.54

2/20/14

1.32

3.8

Robert Half International

(NYSE:RHI)

11

56.79

1.27

12.50

2/21/14

0.72

7.8

Jack Henry & Associates

(NASDAQ:JKHY)

22

61.46

1.43

10.00

2/24/14

0.88

19.5

Analog Devices Inc.

(NASDAQ:ADI)

12

54.64

2.71

8.82

2/26/14

1.48

11.8

Compass Minerals Int'l

(NYSE:CMP)

11

87.05

2.76

10.09

2/26/14

2.40

10.2

Dominion Resources

(NYSE:D)

11

72.55

3.31

6.67

2/26/14

2.40

7.3

Meredith Corp.

(NYSE:MDP)

21

52.78

3.28

6.13

2/26/14

1.73

13.6

Muncy Bank Financial Inc.

(OTCPK:MYBF)

14

32.00

2.75

10.00

2/26/14

0.88

7.8

NextEra Energy

(NYSE:NEE)

20

104.39

2.78

9.85

2/26/14

2.90

8.2

Perrigo Company plc

(NASDAQ:PRGO)

12

160.19

0.26

16.67

2/26/14

0.42

11.9

L-3 Communications

(NYSE:LLL)

11

124.60

1.93

9.09

2/27/14

2.40

13.8

Northeast Utilities

(NU)

16

50.64

3.10

6.80

2/27/14

1.57

12.2

Polaris Industries

(NYSE:PII)

19

156.71

1.23

14.29

2/27/14

1.92

17.2

MR=Most Recent; LY=Last Year; DGR=Dividend Growth Rate through 2013

Not all of the above companies will meet the strict standards of every investor, but some may be appropriate for portfolio diversification. Potential investors should do more research before committing funds.

Every Picture Tells a Story

As a bonus, I'm inserting one of Chuck Carnevale's F.A.S.T. Graphs below, highlighting one of the companies listed above. When the stock's price line has moved into the green area, it indicates that the stock is undervalued in relation to its earnings. I'm attaching the chart below.

Disclosure: The author is long NEE, PII.

The author wrote this article themselves, and it expresses their own opinions. The author is not receiving compensation for it (other than from Seeking Alpha). The author has no business relationship with any company whose stock is mentioned in this article.

Editor's Note: This article covers one or more stocks trading at less than $1 per share and/or with less than a $100 million market cap. Please be aware of the risks associated with these stocks.