32 Dividend Increases: January 22-26, 2018 (Part 3: Remaining Sectors)

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Includes: ACC, AOS, APD, APOG, ATR, AZZ, BA, CASY, CLDT, CMCSA, CNI, EDR, EPR, FAST, FELE, FUL, GATX, GT, HAS, INTC, JBHT, KMB, LVS, MATW, MMM, MXIM, NNN, NOC, O, OHI, OSK, PETS, PFE, PH, PX, RMD, ROL, SAFM, SBUX, SIG, SJM, SKT, STAG, SXI, SXT, TXN, VSEC, WAB, XLNX
by: FerdiS
Summary

I monitor dividend increases to find suitable candidates for further analysis.

In the past week, 32 companies on my watch list declared dividend increases, including 5 of my DivGro holdings.

Part 1 covered dividend increases for the Financials sector, while Part 2 presented dividend increases for the Energy and Utilities sectors.

This is Part 3, which presents raises from the remaining sectors.

As a bonus, I include a summary of available ex-dividend dates for the next two weeks.

I like monitoring dividend increases for stocks on my watch list of dividend growth stocks because I consider such stocks to be candidates for further analysis. Companies that regularly raise dividends show confidence in the potential growth of future earnings.

My watch list contains CCC stocks that pass the following screens:

  1. Market cap ≥ $500M
  2. No stocks that are being acquired.
  3. No over-the-counter or pink sheet stocks
  4. Dividend Yield ≥ 2% for Challengers
  5. Dividend Yield ≥ 1% for Contenders and Champions

This past week, 32 companies on my watch list declared dividend increases, including 5 of the stocks I own. In Part 1, I covered dividend increases for the Financials sector and in Part 2, I covered dividend increases for the Energy and Utilities sectors. The table below is a summary of the dividend increases for the remaining sectors.

The table is sorted by the 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: January 22-26, 2018

Previous Post: 20 Dividend Increases: January 15-19, 2018

• Comcast (CMCSA)

Founded in 1963 and headquartered in Philadelphia, Pennsylvania, CMCSA is a media and technology company. The company's Comcast Cable business provides video, Internet, and voice services to residential customers under the XFINITY brand. CMCSA’s NBC Universal business consists of cable networks, broadcast television, filmed entertainment, and theme parks.

Recently, the board of directors of CMCSA declared a quarterly dividend of 19¢ per share. The new dividend represents an increase of 20.63%. The dividend is payable on April 25 to shareholders of record on April 4. CMCSA will trade ex-dividend on April 3.

• Maxim Integrated Products (MXIM)

Founded in 1983 and headquartered in San Jose, California, MXIM is engaged in designing, developing, manufacturing, and marketing various linear and mixed-signal integrated circuits. The company also provides a range of high-frequency process technologies and capabilities for use in custom designs. MXIM primarily serves automotive, communications and data center, computing, consumer, and industrial markets.

The company announced a quarterly DIV increase of 16.67% to 42¢ per share. All shareholders of record on March 1 will receive the new dividend on March 15.

• Air Products & Chemicals (APD)

Founded in 1940 and headquartered in Allentown, Pennsylvania, produces atmospheric gases (such as oxygen and nitrogen), process gases (such as hydrogen and helium), and specialty gases, as well as the equipment for the production and processing of gases. APD also provides semiconductor materials, refinery hydrogen, natural gas liquefaction, and advanced coatings and adhesives.

On Thursday, January 25, the company increased its quarterly dividend by 15.79% to $1.10 per share. The dividend is payable on May 14 to shareholders of record on April 2.

• 3M (MMM)

MMM is a diversified technology company with worldwide operations. The company has leading positions in consumer and office; display and graphics; electronics and telecommunications; health care; industrial; safety, security and protection services; transportation; and other businesses. MMM was founded in 1902 and is headquartered in St. Paul, Minnesota.

The board of directors of MMM has declared a quarterly dividend of $1.36 per share. The new dividend is 15.74% above the prior dividend of $1.18 per share. The ex-dividend date is February 14 and the dividend will be paid on March 12 to shareholders of record on February 15.

• Canadian National Railway (CNI)

CNI was founded in 1922 and is headquartered in Montreal, Canada. The company operates the largest railroad in Canada and the only coast-to-coast railroad in North America. CNI offers transportation services that include rail, intermodal container, and trucking services. It also offers warehousing and distribution, logistics parks, freight forwarding, customs brokerage services, industrial development, and marine services.

Recently, CNI increased its quarterly dividend to C$0.46 per share, an increase of 10.30% over the prior dividend of C$0.41 per share. The quarterly dividend will be paid on March 29 to shareholders of record on March 8. The ex-dividend date is March 7.

• Intel (INTC)

INTC designs, manufactures, and sells computer, networking, and communications platforms worldwide. The company operates through Client Computing Group, Data Center Group, Internet of Things Group, Non-Volatile Memory Solutions Group, Intel Security Group, Programmable Solutions Group, and All Other segments. INTC was founded in 1968 and is based in Santa Clara, California.

On Thursday, January 25, the company increased its quarterly dividend by 10.09% to 30¢ per share. The ex-dividend date is February 6 and the dividend will be paid on March 1 to shareholders of record on February 7.

• Northrop Grumman (NOC)

Founded in 1939 and based in Falls Church, Virginia, NOC is a leading global security company with both government and commercial customers. NOC provides systems, products, and solutions in unmanned systems; cybersecurity; command, control, communications and computers intelligence; surveillance and reconnaissance; and logistics and modernization.

Recently, NOC increased its quarterly dividend from 100¢ per share to $1.10 per share, an increase of 10.00%. The dividend is payable on March 21 to shareholders of record at the close of business on March 5.

• GATX (GATX)

Founded in 1898 and headquartered in Chicago, Illinois, GATX leases, operates, manages, and markets assets in the rail and marine markets in North America and internationally. The company operates through four segments: Rail North America, Rail International, American Steamship Company, and Portfolio Management.

GATX will pay a quarterly dividend of 44¢ per share, an increase of 4.76% over the previous quarterly dividend. The quarterly dividend will be paid on March 31 to shareholders of record on March 5. The ex-dividend date is March 2.

• Praxair (PX)

Founded in 1907, PX was the first company in the United States to produce oxygen from air using a cryogenic process and continues to be a major technological innovator in the industrial gases industry. The company produces, sells, and distributes atmospheric, process, and specialty gases, and high-performance surface. PX is headquartered in Danbury, Connecticut.

Recently, the board of directors of PX declared a quarterly dividend of 82.5¢ per share. The new dividend represents an increase of 4.76%. The new dividend is payable on March 15 to shareholders of record on March 7, with an ex-dividend date of March 6.

• Kimberly-Clark (KMB)

Using advanced technologies in natural and synthetic fibers, non-wovens, and absorbency, KMB manufactures a range of personal care, consumer tissue, and professional products. Key brands include Huggies, Kleenex, Scott, Cottonelle, and On-Q. The company sells its products directly to retail outlets and through e-commerce. KMB was founded in 1872 and is headquartered in Dallas, Texas.

The board of directors of KMB has declared a quarterly dividend of $1.00¢ per share. The new dividend is 3.09% above the prior dividend of 97¢ per share. The dividend is payable on April 3 to shareholders of record on March 9.

• Las Vegas Sands (LVS)

LVS develops, owns, and operates integrated resorts in Macao, Singapore, and the United States. The company’s resorts offer accommodations, gaming, entertainment and retail, convention and exhibition facilities, celebrity chef restaurants, and other amenities. LVS was founded in 1988 and is based in Las Vegas, Nevada.

Recently, LVS increased its quarterly dividend from 73¢ per share to 75¢ per share, an increase of 2.74%. The new dividend is payable on March 30 to shareholders of record on March 21, with an ex-dividend date of March 20.

Please note that I'm not recommending any of these stocks. Readers should do their own research on these companies before buying shares.

Below, I'm including charts from F.A.S.T. Graphs for three of this week's dividend raisers: CMCSA, INTC, and KMB.

In these charts, the black line represents the share price, and the blue line represents the calculated P/E multiple at which the market has tended to value the stock over time. The orange line is the primary valuation reference line. It is based on one of three valuation formulas depending on the earnings growth rate achieved over the timeframe in question. (The Adjusted Earnings Growth Rate represents the slope of the orange line in the chart).

CMCSA's price line (black) is above the primary valuation line (orange) and above the stock's normal P/E ratio (blue). The stock is trading at a premium to fair value. An investment in CMCSA in January 2008 would have returned 17.3% on an annualized basis (with dividends included).

INTC's price line is above the stock's normal P/E ratio and below the primary valuation line. The stock is trading at about fair value. An investment in INTC in January 2008 would have returned 8.1% on an annualized basis (with dividends included).

KMB's price line is above the primary valuation line and above the stock's normal P/E ratio. The stock is trading at a premium to fair value. An investment in KMB in January 2008 would have returned 8% on an annualized basis (with dividends included).

Upcoming Ex-Dividend Dates

As a bonus, here is a summary of available ex-dividend dates for the next two weeks. You must own a stock before its ex-dividend date to be eligible to receive the next dividend.

The table is sorted by Ex-Div Date, and, as before, Next Div is annualized.

Please note that Next Div links to the last dividend declaration announcement. Note also that the table is limited to stocks in sectors other than Financials, Energy, and Utilities. (Part 1 and Part 2 covered ex-dividend dates for these sectors).

Company

Ticker

Yield

Recent
Price

Yrs

5-Yr
DGR

Next
Div.

Ex-Div
Date

Payable
Date

Sanderson Farms Inc.

SAFM

0.97%

$132.38

5

8.90%

$1.28

01/29

02/13

Apogee Enterprises Inc.

APOG

1.36%

$46.38

6

9.80%

$0.63

01/29

02/14

A.O. Smith Corp.

AOS

1.08%

$66.42

24

25.50%

$0.72

01/30

02/15

Fastenal Company

FAST

2.65%

$55.83

18

11.60%

$1.48

01/30

02/27

VSE Corp.

VSEC

0.57%

$49.38

14

11.60%

$0.28

01/30

02/14

Texas Instruments

TXN

2.26%

$109.89

14

24.50%

$2.48

01/30

02/12

AptarGroup Inc.

ATR

1.46%

$87.69

24

7.80%

$1.28

01/30

02/21

Chatham Lodging Trust

CLDT

5.91%

$22.32

8

12.00%

$1.32

01/30

02/23

Education Realty Trust Inc.

EDR

4.81%

$32.40

7

8.60%

$1.56

01/30

02/15

EPR Properties

EPR

7.44%

$58.07

7

6.70%

$4.32

01/30

02/15

National Retail Properties

NNN

4.89%

$38.86

28

3.60%

$1.90

01/30

02/15

Omega Healthcare Investors

OHI

10.05%

$26.27

15

8.50%

$2.64

01/30

02/15

Tanger Factory Outlet Centers

SKT

5.53%

$24.77

24

10.30%

$1.37

01/30

02/15

STAG Industrial Inc.

STAG

5.69%

$24.97

7

5.80%

$1.42

01/30

02/15

Goodyear Tire & Rubber Company

GT

1.58%

$35.44

5

N/A

$0.56

01/31

03/01

Hasbro Inc.

HAS

2.42%

$94.27

14

10.00%

$2.28

01/31

02/15

Casey's General Stores Inc.

CASY

0.85%

$123.00

18

9.70%

$1.04

01/31

02/15

Franklin Electric Co.

FELE

0.95%

$45.30

25

8.20%

$0.43

01/31

02/15

H.B. Fuller Company

FUL

1.13%

$53.18

48

12.30%

$0.60

01/31

02/15

Realty Income Corp.

O

5.01%

$52.46

25

7.40%

$2.63

01/31

02/15

Signet Jewelers Limited

SIG

2.35%

$52.86

7

20.90%

$1.24

02/01

03/02

Pfizer Inc.

PFE

3.60%

$37.80

8

7.80%

$1.36

02/01

03/01

American Campus Communities

ACC

4.61%

$38.19

5

5.20%

$1.76

02/01

02/16

Matthews International

MATW

1.36%

$55.70

23

13.60%

$0.76

02/02

02/19

PetMed Express Inc.

PETS

2.14%

$46.72

9

5.70%

$1.00

02/02

02/16

AZZ Inc.

AZZ

1.48%

$45.95

6

5.70%

$0.68

02/05

02/20

Sensient Technologies Corp.

SXT

1.81%

$72.81

12

7.20%

$1.32

02/05

03/01

Intel

INTC

2.46%

$48.79

4

N/A

$1.20

02/06

03/01

Xilinx Inc.

XLNX

1.94%

$72.13

15

10.20%

$1.40

02/06

02/22

Starbucks Corp.

SBUX

2.10%

$57.19

8

23.90%

$1.20

02/07

02/23

ResMed Inc.

RMD

1.39%

$100.67

6

32.00%

$1.40

02/07

03/15

Standex International Inc.

SXI

0.71%

$102.00

7

17.90%

$0.72

02/07

02/23

J.M. Smucker Co.

SJM

2.45%

$127.46

20

8.90%

$3.12

02/08

03/01

Boeing Company

BA

2.03%

$337.71

7

26.40%

$6.84

02/08

03/02

JB Hunt Transport Services Inc.

JBHT

0.80%

$120.72

14

10.40%

$0.96

02/08

02/23

Parker-Hannifin Corp.

PH

1.29%

$204.65

61

10.30%

$2.64

02/08

03/02

Rollins Inc.

ROL

1.13%

$49.70

15

16.60%

$0.56

02/08

03/09

Westinghouse Air Brake Technologies Corp.

WAB

0.58%

$82.41

7

40.60%

$0.48

02/08

02/23

Oshkosh Corp.

OSK

1.04%

$92.15

5

N/A

$0.96

02/09

02/26

A Personal Note: It takes a couple of hours to compile these weekly articles. I'm wondering if readers find them valuable and, if so, why? Are there any sections that are particularly valuable? Or any that you don't really care about? Please comment below and share your opinions! Your feedback will influence future articles and the format of the presentation.

Thanks for reading! If you like this article and would like to read similar ones in future, please click the Follow link at the top of this article.

Disclosure: I am/we are long INTC, MMM, NNN, NOC, O, OHI, TXN. 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.