23 Upcoming Dividend Increases

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Includes: ABAX, ASH, CFR, CPF, CTWS, CWEN, EXPD, FBNK, FDS, FRME, GS, HY, ISCA, MAN, NBTB, NOC, PEP, PFG, QCOM, RLI, UFCS, UFPI, WTS
by: Dividend Derek
Summary

All stocks have at least 5 years of dividend growth history.

9 double digit increases.

An overall average 9.25% dividend increase.

The list is filtered for only the dividend increases.

Introduction

The information presented below was created based on combining the "U.S. Dividend Champion" spreadsheet compiled by David Fish hosted here with upcoming dividend information from the NASDAQ. This meshes metrics about companies with dividend growth history with upcoming dividend payments (and whether those payments are increasing). These companies all have a minimum 5-year dividend growth history.

The "ex-dividend" date is the day you are no longer entitled to the dividend or distribution. You need to have made your purchase by the preceding business day. If the date is a Tuesday, you need to have purchased (or already owned) shares by market close on Monday. Be aware that for any stock going ex-dividend on a Monday (or Tuesday if Monday may be a holiday), you must own it by the prior Friday.

New For This Week

For those who read regularly, this has been a comprehensive list of all of the dividend growth companies paying out next week, regardless if it was upcoming dividend increase or not. I am trying to focus this article more by only including the dividend increases. Let me know what you think of this.

Why Should I Care?

The old adage is that "trees don't grow to the sky" and neither do dividend yields. It is of my opinion that the dividend increase is the most outward sign by management as to how business is going. There are many great businesses that have provided generous raises year after year, and historical stock charts will show how the market has reacted. Here's a hint, it's up and to the right.

What these lists provide is an opportunity for an investor to buy more shares prior to the dividend increase. An investor could start a position or increase their position size prior to the market readjusting to the new and higher dividend rate.

I built this from my own need to stay on top of increases so I am most certainly eating my own dog food.

Lastly I have to point out I'm not suggesting a short-term dividend capture strategy. If you are looking to own shares short term, be aware you may be on the hook for a tax for the dividend.

Dividend Streak Categories

Here are the definitions of the streak categories as I'll be using them throughout the piece:

  • King: 50+ years
  • Champion/Aristocrat: 25+ years
  • Contender: 10-24 years
  • Challenger: 5+ years

Fun Facts

Category Count
King 0
Champion 4
Contender 6
Challenger 13

The Main List

The data is sorted by the ex-dividend day (ascending) and then the streak (descending).

Name Ticker Streak Current Yield Ex-Div Date Increase Percent Streak Category
QUALCOMM Incorporated (QCOM) 16 3.88 29-May-18 8.77% Contender
RLI Corp. Common Stock (DE) (RLI) 42 1.25 30-May-18 4.76% Champion
Cullen/Frost Bankers, Inc. (CFR) 25 1.93 30-May-18 17.54% Champion
FactSet Research Systems Inc. (FDS) 19 1.11 30-May-18 14.29% Contender
International Speedway Corporation - Class A Common Stock (ISCA) 13 1 30-May-18 9.30% Contender
Goldman Sachs Group, Inc. (The) (GS) 8 1.26 30-May-18 6.67% Challenger
Central Pacific Financial Corp New (CPF) 6 2.53 30-May-18 10.53% Challenger
Connecticut Water Service, Inc. (CTWS) 48 1.86 31-May-18 5.04% Champion
PepsiCo, Inc. (PEP) 46 3.21 31-May-18 15.22% Champion
Expeditors International of Washington, Inc. (EXPD) 23 1.14 31-May-18 7.14% Contender
Ashland Global Holdings Inc. (ASH) 8 1.16 31-May-18 11.11% Challenger
ManpowerGroup (MAN) 7 2.01 31-May-18 8.60% Challenger
NBT Bancorp Inc. (NBTB) 6 2.39 31-May-18 8.70% Challenger
NRG Yield, Inc. Class C (NYLD) 6 6.71 31-May-18 3.69% Challenger
Universal Forest Products, Inc. (UFPI) 6 0.95 31-May-18 5.88% Challenger
Hyster-Yale Materials Handling, Inc. Class A (HY) 6 1.74 31-May-18 2.31% Challenger
First Merchants Corporation (FRME) 6 1.57 31-May-18 22.22% Challenger
First Connecticut Bancorp, Inc. (FBNK) 5 2.47 31-May-18 6.25% Challenger
Watts Water Technologies, Inc. Class A (WTS) 5 0.98 31-May-18 10.53% Challenger
United Fire Group, Inc (UFCS) 5 2.1 31-May-18 10.71% Challenger
ABAXIS, Inc. (ABAX) 5 0.77 31-May-18 12.50% Challenger
Northrop Grumman Corporation (NOC) 15 1.34 1-Jun-18 9.09% Contender
Principal Financial Group Inc (PFG) 10 3.43 1-Jun-18 1.96% Contender

Field Definitions

Streak: This is years of dividend growth history sourced from the U.S. Dividend Champions spreadsheet. Here are some definitions to clarify the fields.

Current Yield: This is a snapshot of roughly what the current yield is as of the time of writing. This is not a forward yield if the company in question has raised its dividend.

Ex-Dividend Date: This is the date you need to own the stock by.

Increase Percent: The amount the dividend is being increased

Streak Category: Lastly, this is the overall dividend history classification of the company.

Additional Metrics

Here are some additional metrics related to these companies, including yearly pricing action and the PE ratio. This table is sorted in exactly the same way as the table above. The value investor may find stock ideas with those companies near their 52-week low.

Ticker Current Price 52 Week Low 52 Week High PE Ratio % Off Low % Off High
QCOM 58.82 48.56 69.28 0 17% Off Low 15% Off High
RLI 67.15 48.89 67.98 30.66 38% Off Low 0% Off High
CFR 118.23 81.09 121.66 20.36 47% Off Low New High
FDS 201.9 155.09 217.36 32.15 29% Off Low 7% Off High
ISCA 42.95 32.25 47.45 7.34 32% Off Low 9% Off High
GS 237.81 209.62 275.31 22.82 12% Off Low 14% Off High
CPF 29.99 27.34 33.15 21.42 10% Off Low 8% Off High
CTWS 63.88 48.86 69.72 38.26 30% Off Low 8% Off High
PEP 100.45 95.94 122.51 29.63 4% Off Low 18% Off High
EXPD 73.56 51.96 73.89 25.02 41% Off Low New High
ASH 77.74 59.8 79.68 0 31% Off Low New High
MAN 92.47 91.55 136.93 10.98 New Low 32% Off High
NYLD 17.73 15.55 20.15 0 13% Off Low 11% Off High
FRME 45.93 37.09 47.15 19.97 23% Off Low New High
HY 69.59 62.62 93.9 25.4 12% Off Low 23% Off High
NBTB 38.53 31.28 40.47 19.28 22% Off Low 4% Off High
UFPI 35.72 25.93 39.58 16.83 36% Off Low 9% Off High
FBNK 25.9 23.25 28.5 23.98 12% Off Low 8% Off High
WTS 77.55 59.15 84.25 33.57 31% Off Low 6% Off High
UFCS 53.29 38.95 54.51 27.54 37% Off Low 0% Off High
ABAX 82.98 43.66 83.98 70.32 90% Off Low 1% Off High
NOC 328.16 251 360.88 27.23 30% Off Low 9% Off High
PFG 59.41 54.89 75.59 7.38 7% Off Low

21% Off High

Tickers By Yield (With Growth Rates)

Some investors are more interested in current yield, so this table is sorted descending by yield. This also includes some of the historical dividend growth rates as a bonus. Additionally, the "Chowder Rule" has been included. That is the current yield plus the 5-year dividend growth rate.

Ticker Yield 1 Yr DG 3 Yr DG 5 Yr DG 10 Yr DG Chowder Rule
NYLD 6.71 16.2 15.6
QCOM 3.88 8.2 11.6 18.3 15.3 22.2
PFG 3.43 16.1 12.3 19.7 7.6 23.1
PEP 3.21 8.8 7.7 8.5 8.9 11.7
CPF 2.53 16.7 24.8 -3.3
FBNK 2.47 67.7 45.2 34.1 36.6
NBTB 2.39 2.2 3.1 2.8 1.5 5.2
UFCS 2.1 12.4 11.8 12.7 7 14.8
MAN 2.01 12 23.8 16.7 10.4 18.7
CFR 1.93 4.7 3.5 3.4 3.9 5.3
CTWS 1.86 5.4 5.2 4.1 3.1 6
HY 1.74 2.8 3.8 36.9 38.6
FRME 1.57 27.8 33.5 47.2 -2.8 48.8
NOC 1.34 11.4 12.9 12.6 11.3 13.9
GS 1.26 11.5 8.8 10.4 7.6 11.7
RLI 1.25 5.1 5.3 5.7 7 7
ASH 1.16 13.4 9.2 15.8 4.9 17
EXPD 1.14 5 9.5 8.4 11.6 9.5
FDS 1.11 12.4 12.8 12.7 17.9 13.8
ISCA 1 4.9 21.5 16.5 15.7 17.5
WTS 0.98 5.6 8.9 11.3 6.5 12.3
UFPI 0.95 10.3 16.3 19.1 23.6 20.1
ABAX 0.77 18.4 24.6

Bonus

Consumer stocks have been hammered lately and one that looks worth of more research is Pepsi. Shares are down 20% from their highs, trade for 17.5x full year estimates and sport a forward 3.7% yield.

Conclusion

I hope you are able to find this information valuable. I'm open to any suggestions you may have to make this more valuable. If you like this information, check out my site CustomStockAlerts.com where you can get alerts on upcoming dividends and more.

Once again, let me know what you think of focusing this article strictly on the dividend increases versus the data dump of all dividend growth companies paying out.

As always, do your due diligence on any stock before buying or selling. Happy investing!

Disclosure: I am/we are long AAPL, ABT, AFL, AMP, AMZN, ANTM, BRK.B, CMI, CSCO, CVS, DEO, DIS, DUK, FB, GLW, GOOG, HD, JNJ, JPM, MDT, MO, NKE, O, OHI, PRU, PSA, SBUX, SCHD, SKT, SPHD, STAG, SWK, T, TROW, TRV, UA, UTX, VFC, VTR, VZ, WPC, WSM. 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.