33 Dividend Increases: February 19-23, 2018 (Part 1: Real Estate And Financial Sectors)

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Includes: ABR, AGO, AHH, CNS, CONE, ESS, FR, ORI, RHP, ROIC, SYBT, WRI, WSBC
by: FerdiS
Summary

Companies that regularly increase dividends show confidence in the potential growth of future earnings.

Monitoring dividend increases for stocks on my watch is one way to identify candidates for further analysis.

Last week, 33 companies on my watch list announced dividend increases.

Part 1 presents dividend increases for Financials and Real Estate stocks.

Part 2 will present Consumer Discretionary and Materials sector stocks, while Part 3 will cover the remaining sectors.

Monitoring dividend increases for stocks on my watch is one way to identify candidates for further analysis. I look for announcements from stocks in the CCC list, but I use several screens to limit the number of stocks to monitor:

  • Market cap ≥ $500M
  • No stocks that are being acquired
  • No over-the-counter or pink sheet stocks
  • Dividend Yield ≥ 1.5% for Challengers
  • Dividend Yield ≥ 1.0% for Contenders and Champions

In the past week, 33 companies on my watch list decided to increase their dividends.

The table below presents dividend increases from stocks in the Real Estate and Financials sectors. See the upcoming Part 2 for dividend increase announcements for Materials and Consumer Discretionary stocks, and Part 3 that covers 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: February 19-23, 2018

Previous Post: 27 Dividend Increases: February 12-16, 2018

• Cohen & Steers (CNS)

CNS is a global investment manager that specializes in liquid real assets, including real estate securities, listed infrastructure, commodities and natural resource equities, and preferred securities. The company serves institutional and individual investors around the world. CNS was founded in 1986 and is headquartered in New York, New York.

On February 22, the company declared a dividend of 33¢ per share. The new dividend represents a 17.86% increase. The dividend is payable on March 22 to shareholders of record at the close of business on March 8.

• Assured Guaranty (AGO)

AGO provides credit protection products to public finance, infrastructure, and structured finance markets in the United States and internationally. The company offers financial guaranty insurance that protects holders of debt instruments and other monetary obligations from defaults in scheduled payments. AGO was founded in 2003 and is based in Hamilton, Bermuda.

The company declared a quarterly dividend of 16¢ per share, an increase of 12.28% over the prior quarterly dividend. The dividend is payable March 21, with an ex-dividend date of March 6.

• WesBanco (WSBC)

WSBC is a multi-state bank holding company with branch locations in West Virginia, Ohio, and Pennsylvania. The company offers a range of financial services that includes retail banking, corporate banking, personal and corporate trust services, brokerage services, mortgage banking, and insurance. WSBC was founded in 1968 and is headquartered in Wheeling, West Virginia.

Recently, WSBC increased its quarterly dividend to 29¢ per share, an increase of 11.54% over the prior dividend of 26¢ per share. WSBC will trade ex-dividend on March 8. The dividend is payable on April 2, to shareholders of record on March 9.

• Arbor Realty Trust (ABR)

ABR is a real estate investment trust that invests in structured finance assets in the multifamily and commercial real estate markets. The company primarily invests in real estate-related bridge and mezzanine loans, including junior participating interests in first mortgages, and preferred and direct equity. ABR was founded in 2003 and is headquartered in Uniondale, New York.

The board of directors of ABR has declared a quarterly dividend of 21¢ per share. The new dividend is 10.53% above the prior dividend of 19¢ per share. The dividend is payable on March 21 to shareholders of record on March 8. ABR will trade ex-dividend on March 7.

• CyrusOne (CONE)

CONE is a real estate investment trust that owns, operates, and develops enterprise-class, carrier-neutral, and multi-tenant data center properties. The company provides mission-critical data center facilities that protect and ensure the continued operation of information technology infrastructure. CONE was founded in 2012 and is headquartered in Dallas, Texas.

Recently, CONE increased its quarterly dividend from 42¢ per share to 46¢ per share, an increase of 9.52%. The dividend is payable on April 13 to shareholders of record at the close of business on March 29.

• Stock Yards Bancorp (SYBT)

SYBT operates as a bank holding company for Stock Yards Bank & Trust Company, a state chartered bank with operations in Louisville, Indianapolis, and Cincinnati. The company operates in two segments, Commercial Banking and Wealth Management and Trust. SYBT was founded in 1904 and is headquartered in Louisville, Kentucky.

On February 21, the board of directors declared a quarterly dividend of 23¢ per share. The new dividend represents an increase of 9.52%. The new dividend is payable on April 2 to shareholders of record on March 19, with an ex-dividend date of March 16.

• Essex Property Trust (ESS)

ESS is a self-administered and self-managed real estate investment trust operating in Southern California, the San Francisco Bay Area, and the Seattle metropolitan area. The company owns, operates, manages, acquires, development, and redevelops apartment communities and commercial properties. ESS was founded in 1971 and is headquartered in Palo Alto, California.

The company announced an increase of its quarterly dividend of 6.29% to $1.86 per share. The new dividend is payable on April 16 to shareholders of record on March 29, with an ex-dividend date of March 28.

• Ryman Hospitality Properties (RHP)

RHP is a real estate investment trust specializing in group-oriented and destination hotel assets in urban and resort markets. The company's assets include a network of four upscale, meetings-focused resorts managed by Marriott International under the Gaylord Hotels brand. RHP also owns and operates media and entertainment assets, including the Grand Ole Opry.

Recently, the board of directors of RHP declared a quarterly dividend of 85¢ per share. The new dividend represents an increase of 6.25%. The dividend is payable April 16, with an ex-dividend date of March 28.

• Armada Hoffler Properties (AHH)

AHH is real estate investment trust with about four decades of experience in developing, building, acquiring, and managing high-quality, institutional-grade office, retail, and multifamily properties throughout the Mid-Atlantic and Southeastern United States. AHH also provides general construction and development services in addition to developing and building properties.

The company announced a quarterly DIV increase of 5.26% to 20¢ per share. The dividend is payable April 5, with an ex-dividend date of March 27.

• Retail Opportunity Investments (ROIC)

ROIC is a real estate investment trust engaged in the acquisition, ownership, management, and redevelopment of retail real estate properties. The company has a diverse portfolio of necessity-based community and neighborhood shopping centers in the United States, anchored by national and regional supermarkets and drugstores. ROIC is based in San Diego, California.

On Wednesday, February 21, the company increased its quarterly dividend by 4.00% to 19.5¢ per share. The ex-dividend date is March 14 and the dividend will be paid on March 29 to shareholders of record on March 15.

• First Industrial Realty Trust (FR)

FR is a real estate investment trust. The company owns, manages, acquires, sells, develops, and redevelops industrial real estate in about 23 states in the USA. FR's in-service portfolio consists of light industrial properties, research and development properties, bulk warehouse properties, and regional warehouse properties.

The board of directors of FR has declared a quarterly dividend of 21.75¢ per share. The new dividend is 3.57% above the prior dividend of 21¢ per share. The dividend is payable on April 16 to shareholders of record on March 29.

• Old Republic International (ORI)

ORI is engaged in the business of insurance underwriting and related services, primarily in the United States and Canada. The company provides property and liability insurance to businesses, government, and other institutions. It also provides policies to real estate purchasers and investors. ORI was founded in 1887 and is based in Chicago, Illinois.

The company declared a quarterly dividend of 19.5¢ per share, an increase of 2.63% over the prior quarterly dividend. The dividend is payable on March 15 to shareholders of record on March 5. ORI will trade ex-dividend on March 2.

• Weingarten Realty Investors (WRI)

WRI is a publicly owned equity real estate investment trust that invests in real estate markets in the United States, primarily in neighborhoods and in community shopping centers. The company owns properties in about 18 states and operates them under long-term leases. WRI was founded in 1948 and is based in Houston, Texas.

The company declared a quarterly dividend of 39.5¢ per share, an increase of 2.60% over the prior quarterly dividend. The dividend is payable on March 15 to shareholders of record on March 8. The ex-dividend date is March 7.

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, WSBC, CONE, and ESS.

In these charts, the black line represents the share price, and the blue line represents the calculated P/E or P/AFFO 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).

WSBC'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 WSBC in January 2008 would have returned 9% on an annualized basis (with dividends included).

CONE's price line is below the stock's normal P/AFFO ratio and below the primary valuation line. The stock is trading at a discount to fair value. An investment in CONE in February 2013 would have returned 21% on an annualized basis (with dividends included).

ESS's price line is above the primary valuation line and below the stock's normal P/AFFO ratio. The stock is trading at about fair value. An investment in ESS in January 2011 would have returned 12.3% 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 Ticker, and as before, Next Div is annualized.

Please note that Next Div links to the latest dividend declaration announcement. Note also that the table is limited to Real Estate and Financials sector stocks. Refer to the upcoming Part 2 and Part 3 for available ex-dividend dates of stocks in other sectors.

Summary of Upcoming Ex-Dividend Dates: February 26-March 11, 2018

Company

Ticker

Yield

Recent
Price

Yrs

5-Yr
DGR

Next
Div.

Ex-Div
Date

Pay-
able
Date

Arbor Realty Trust

ABR

9.81%

$8.56

6

20.40%

$0.84

03/07

03/21

Argo Group International Holdings

AGII

1.85%

$58.25

5

17.60%

$1.08

03/06

03/23

Assured Guaranty

AGO

1.85%

$34.58

6

9.60%

$0.64

03/06

03/21

Arthur J. Gallagher &

AJG

2.37%

$69.11

8

2.80%

$1.64

03/01

03/16

Allstate

ALL

1.99%

$92.26

7

10.40%

$1.84

03/02

04/02

Amerisafe

AMSF

1.57%

$56.00

5

N/A

$0.88

03/08

03/23

Associated Banc-Corp

ASB

2.43%

$24.70

6

16.80%

$0.60

02/28

03/15

Brookfield Asset Management

BAM

1.55%

$38.72

6

10.80%

$0.60

02/27

03/29

BlackRock

BLK

2.10%

$549.43

9

10.80%

$11.52

03/06

03/22

Cathay General Bancorp

CATY

2.34%

$41.06

5

85.10%

$0.96

02/28

03/12

Commerce Bancshares

OTC:CBSH

1.63%

$57.77

50

5.30%

$0.94

03/08

03/26

Cullen/Frost Bankers

CFR

2.19%

$103.99

24

3.40%

$2.28

02/27

03/15

Chemical Financial

CHFC

2.03%

$55.19

6

6.10%

$1.12

03/01

03/16

Chatham Lodging Trust

CLDT

7.26%

$18.19

8

12.00%

$1.32

02/27

03/30

CNO Financial Group

CNO

1.60%

$22.54

6

42.30%

$0.36

03/08

03/23

Cohen & Steers

CNS

3.30%

$40.00

8

9.20%

$1.32

03/07

03/22

Central Pacific Financial

CPF

2.73%

$27.87

6

N/A

$0.76

02/27

03/15

EPR Properties

EPR

7.50%

$57.63

8

6.70%

$4.32

02/27

03/15

First American Financial

FAF

2.62%

$58.03

8

36.90%

$1.52

03/07

03/15

Flushing Financial

FFIC

3.00%

$26.70

5

6.70%

$0.80

03/08

03/30

First Horizon National

FHN

2.52%

$19.05

7

53.40%

$0.48

03/08

04/02

First Merchants

FRME

1.74%

$41.33

6

47.20%

$0.72

03/01

03/16

Hartford Financial Services Group

HIG

1.89%

$52.85

8

18.10%

$1.00

03/02

04/02

KeyCorp

KEY

1.99%

$21.13

7

16.10%

$0.42

02/26

03/15

Mercantile Bank

MBWM

2.66%

$33.10

7

52.40%

$0.88

03/08

03/21

MainSource Financial Group

MSFG

1.91%

$37.77

6

53.90%

$0.72

03/02

03/15

Northern Trust

NTRS

1.59%

$105.87

6

6.10%

$1.68

03/08

04/01

Realty Income

O

5.34%

$49.18

25

7.40%

$2.63

02/28

03/15

Old Republic International

ORI

3.89%

$20.03

36

1.40%

$0.78

03/02

03/15

Principal Financial Group

PFG

3.27%

$62.33

10

19.70%

$2.04

03/02

03/29

Everest Reinsurance Group

RE

2.16%

$240.24

5

21.30%

$5.20

03/06

03/21

Regions Financial

RF

1.85%

$19.41

5

51.10%

$0.36

03/08

04/02

RLI

RLI

1.38%

$60.80

42

5.70%

$0.84

02/27

03/20

SunTrust Banks

STI

2.29%

$69.84

7

45.90%

$1.60

02/27

03/15

Hanover Insurance Group (The)

THG

2.00%

$107.91

13

10.60%

$0.54

03/08

03/29

Travelers

TRV

2.07%

$139.00

13

9.60%

$2.88

03/08

03/30

United Bankshares

UBSI

3.83%

$35.50

44

1.30%

$1.36

03/08

04/02

United Fire Group

UFCS

2.52%

$44.48

5

12.70%

$1.12

03/06

03/22

UMB Financial

UMBF

1.59%

$73.00

26

4.50%

$1.16

03/08

04/02

Westwood Holdings Group

WHG

5.01%

$54.34

16

10.90%

$2.72

03/08

04/02

Weingarten Realty Investors

WRI

5.82%

$27.13

7

5.80%

$1.58

03/07

03/15

WesBanco

WSBC

2.81%

$41.21

7

8.40%

$1.16

03/08

04/02

Weyerhaeuser

WY

3.65%

$35.03

7

15.10%

$1.28

03/01

03/23

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Disclosure: I am/we are long O, TRV. 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.