Dividend Increases: October 29-November 2, 2018

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Includes: AAPL, AAT, ABBV, AMGN, AYR, BA, BRX, CCOI, CMI, EL, FUN, HON, IBM, KW, LNC, MAIN, MCY, MSFT, OSK, PBFX, PFE, ROK, SBUX, SEP, SPG, VLO, VVC, WBA, WEC, XLNX, XOM
by: FerdiS

Summary

Companies can only raise their dividends regularly if earnings grow sufficiently.

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

Recently, 16 companies announced dividend increases, including one of the stocks I own.

One way to identify dividend growth stocks for further analysis is to monitor dividend increases. Companies that regularly increase their dividends show confidence in future earnings growth potential.

The CCC List provides a good starting point, but I limit the number of stocks to monitor by applying the following screens:

  • Dividend Yield ≥ 1.0%
  • Market cap ≥ $1 billion
  • No stocks that are being acquired
  • No Over-The-Counter or Pink Sheet stocks

This week, 16 companies that announced dividend increases passed these screens, including one of the stocks I hold in my portfolio.

The table below presents a summary of these increases.

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: October 29-November 2, 2018

Previous Post: 23 Dividend Increases: October 22-26, 2018

Manulife Financial (MFC)

MFC and its subsidiaries provide financial advice, insurance, and wealth and asset management solutions for individuals, groups, and institutions in Asia, Canada, and the United States. Additionally, the company holds interests in oil and gas properties and royalties, as well as foreign bonds and equities. MFC was founded in 1887 and is headquartered in Toronto, Canada.

On Thursday, November 1, MFC increased its quarterly dividend to 25¢ per share, an increase of 13.64%. The dividend is payable on December 19 to shareholders of record on November 20.

Estee Lauder (EL)

EL manufactures and markets skin care, makeup, fragrance, and hair care products in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company offers its products under numerous brand names, including Estee Lauder, Aramis, Clinique, Origins, and La Mer. EL was founded in 1946 and is based in New York, New York.

The company announced an increase of its quarterly dividend of 13.16% to 43¢ per share. The dividend is payable on December 17 to shareholders of record at the close of business on November 30.

Oshkosh (OSK)

Founded in 1917 and based in Oshkosh, Wisconsin, OSK designs, manufactures, and markets specialty vehicles and vehicle bodies worldwide. The company operates four segments: Access Equipment, Defense, Fire & Emergency, and Commercial. Oshkosh Corporation provides its products through direct sales representatives, dealers, and distributors. OSK was founded in 1917 and is based in Oshkosh, Wisconsin.

On Thursday, November 1, OSK increased its quarterly dividend to 27¢ per share, an increase of 12.50%. The ex-dividend date is November 16 and the dividend will be paid on December 3 to shareholders of record on November 19.

Lincoln National (LNC)

LNC operates insurance and retirement businesses in the United States. The company sells a range of wealth protection, accumulation and retirement income products and solutions. The company distributes its products through consultants, brokers, planners, agents, financial advisors, third-party administrators, and other intermediaries. LNC was founded in 1904 and is headquartered in Radnor, Pennsylvania.

On November 1, the company declared a dividend of 37¢ per share. The new dividend represents a 12.12% increase. All shareholders of record on January 10 will receive the new dividend on February 1.

AbbVie (ABBV)

ABBV is a world-wide, research-based biopharmaceutical company that develops and markets products to treat conditions such as rheumatoid arthritis, psoriasis and Crohn's disease; hepatitis C; human immunodeficiency virus; endometriosis; thyroid disease; Parkinson's disease; and chronic kidney disease and cystic fibrosis. ABBV was incorporated in 2012 and is based in North Chicago, Illinois.

The board of directors of ABBV has declared a quarterly dividend of $1.07 per share. The new dividend is 11.46% above the prior dividend of 96¢ per share. The dividend is payable on February 15 to shareholders of record on January 15.

Kennedy-Wilson Holdings (KW)

KW is a global real estate investment and services company. The company owns, operates and invests in real estate, primarily multifamily and commercial properties in the western United States, the United Kingdom, Ireland, Spain, Italy and Japan. KW was founded in 1977 and is headquartered in Beverly Hills, California.

Recently, KW increased its quarterly dividend to 21¢ per share, an increase of 10.53% over the prior dividend of 19¢ per share. The dividend is payable January 3, with an ex-dividend date of December 27.

Aircastle (AYR)

AYR, through its subsidiaries, acquires, leases, and sells commercial jet aircraft to airlines. The company also invests in other aviation assets, including debt investments secured by commercial jet aircraft. Its portfolio includes passenger narrow-body aircrafts, passenger wide-body aircrafts and freighter aircrafts. AYR was founded in 2004 and is based in Stamford, Connecticut.

The company declared a quarterly dividend of 30¢ per share, an increase of 7.14% over the prior quarterly dividend. The ex-dividend date is November 29 and the dividend will be paid on December 14 to shareholders of record on November 30.

Vectren (VVC)

Incorporated in 1999 and headquartered in Evansville, Indiana, VVC is an energy holding company that provides energy delivery services to residential, commercial, industrial, and other contract customers. VVC also is involved in non-regulated activities, including energy marketing, fiber-optic based communication services, and utility-related services.

Recently, VVC increased its quarterly dividend to 48¢ per share, an increase of 6.67% over the prior dividend of 45¢ per share. The dividend is payable on December 3 to shareholders of record on November 15. The ex-dividend date is November 14.

Rockwell Automation (ROK)

Founded in 1903 and headquartered in Milwaukee, Wisconsin, ROK provides industrial automation and information solutions worldwide under brand names such as Allen-Bradley and Rockwell Software. The company operates in two segments: Architecture & Software and Control Products & Solutions. ROK was founded in 1903 and is headquartered in Milwaukee, Wisconsin.

Recently, ROK increased its quarterly dividend from 92¢ per share to 97¢ per share, an increase of 5.43%. The dividend is payable on December 10 to shareholders of record on November 12. ROK will trade ex-dividend on November 8.

Cedar Fair (FUN)

FUN owns and operates amusement parks, water parks, and hotels in the United States and Canada. Its amusement parks include Cedar Point on Lake Erie; Kings Island near Cincinnati; Knott's Berry Farm near Los Angeles; and California's Great America located in Santa Clara, California. FUN was founded in 1983 and is based in Sandusky, Ohio.

On October 30, the board of directors approved an increase to the regular quarterly distribution from 89¢ per unit to 92.5¢ per unit, an increase of 3.93%. The distribution is payable on December 17 to unitholders of record at the close of business on December 4.

Cogent Communications Holdings (CCOI)

Founded in 1999 and headquartered in Washington, D.C., CCOI provides high-speed Internet access and Internet protocol communications services to small and medium-sized businesses, communications service providers, and other bandwidth-intensive organizations in North America, Europe, and Asia. CCOI offers bandwidths up to 100 Gigabits per second.

The company's board of directors approved an increase in the quarterly dividend of 3.70% to 56.¢ per share. CCOI will trade ex-dividend on November 15. The dividend is payable on November 30, to shareholders of record on November 15.

American Assets Trust Inc (AAT)

AAT is a self-administered real estate investment trust that owns, operates, acquires and develops high-quality retail, office, multifamily and mixed-use properties in attractive, high-barrier-to-entry markets in Southern California, Northern California, Oregon, Washington, Texas, and Hawaii. AAT was founded in 1967 and is based in San Diego, California.

On October 30, the board of directors declared a quarterly dividend of 28.¢ per share. The new dividend represents an increase of 3.70%. The new dividend is payable on December 27 to shareholders of record on December 13. The ex-dividend date will be December 12.

Brixmor Property Group (BRX)

BRX is an internally managed real estate investment trust. The company owns and operates various grocery-anchored community and neighborhood shopping centers in the United States. It also owns several such shopping centers through unconsolidated real estate joint ventures. BRX was incorporated in 2008 and is based in New York, New York.

The company announced an increase of its quarterly dividend of 1.82% to 28.¢ per share. The stock will trade ex-dividend on January 3, and shareholders can expect to receive the new dividend on January 15.

Spectra Energy Partners (SEP)

Based in Houston, Texas, SEP is a master limited partnership formed by Spectra Energy Corporation. With operations in the United States and Canada, SEP is engaged in the transmission, storage, and gathering of natural gas, the transportation and storage of crude oil, and the transportation of natural gas.

The company announced a quarterly DIV increase of 1.64% to 77.625¢ per unit. The distribution is payable on November 29 to unitholders of record on November 21. SEP will trade ex-dividend on November 20.

PBF Logistics (PBFX)

PBFX owns, leases, acquires, develops, and operates crude oil and refined petroleum products terminals, pipelines, storage facilities, and other logistics assets in the United States. The company operates in two segments, Transportation and Terminaling, and Storage. PBFX was founded in 2012 and is based in Parsippany, New Jersey.

Recently, PBFX increased its quarterly distribution to 50¢ per unit, an increase of 1.01% over the prior distribution of 49.5¢ per unit. The stock will trade ex-dividend on November 14, and unitholders can expect to receive the new distribution on November 30.

Mercury General (MCY)

Founded in 1960 and based in Los Angeles, California, MCY is an insurance holding company that underwrites personal automobile insurance in the United States. The company also underwrites homeowners, commercial automobile, commercial property, and umbrella insurance. MCY sells its policies through a network of independent agents and through direct channels.

On Monday, October 29, the company increased its quarterly dividend by 0.40% to 62.75¢ per share. The dividend is payable on December 27 to shareholders of record on December 13.

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, EL, LNC, and VVC.

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).

EL'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 fair value. An investment in EL in July 2009 would have returned 26.9% on an annualized basis (with dividends included).

LNC's price line is below the stock's normal P/E ratio and below the primary valuation line. The stock is trading at a discount to fair value. An investment in LNC in July 2009 would have returned 16% on an annualized basis (with dividends included).

VVC'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 fair value. An investment in VVC in January 2009 would have returned 14.8% 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 Ticker, and as before, Next Div is annualized. Please note that Next Div links to the latest dividend declaration announcement.

Summary of Upcoming Ex-Dividend Dates: Dividend Increases: November 6-19, 2018

Company

Ticker

Yield

RecentPrice

Yrs

5-YrDGR

NextDiv.

Ex-DivDate

Pay- ableDate

Apple

AAPL

1.45%

$201.59

7

26.60%

$2.92

11/08

11/15

American Campus Communities

ACC

4.61%

$39.87

6

5.20%

$1.84

11/08

11/26

American Electric Power

AEP

3.65%

$73.50

9

4.90%

$2.68

11/08

12/10

AGCO

AGCO

1.07%

$56.25

6

N/A

$0.60

11/14

12/14

Applied Industrial Technologies

AIT

1.79%

$66.98

9

6.70%

$1.20

11/14

11/30

Apartment Investment & Management

AIV

3.47%

$43.80

8

13.60%

$1.52

11/15

11/30

Allete

ALE

2.98%

$75.14

8

3.10%

$2.24

11/14

12/01

Alaska Air Group

ALK

2.00%

$63.90

6

N/A

$1.28

11/19

12/06

Amgen

AMGN

2.78%

$189.92

8

26.10%

$5.28

11/15

12/07

TD Ameritrade Holding

AMTD

2.32%

$51.77

9

22.70%

$1.20

11/05

11/20

American Water Works

AWK

2.06%

$88.21

11

11.00%

$1.82

11/08

12/04

American States Water

AWR

1.77%

$62.01

64

9.40%

$1.10

11/14

12/03

Boeing

BA

1.89%

$361.98

7

26.40%

$6.84

11/08

12/07

Booz Allen Hamilton Holding

BAH

1.58%

$48.12

7

13.60%

$0.76

11/13

11/30

BB&T

BBT

3.26%

$49.73

8

10.60%

$1.62

11/08

12/03

Brunswick

BC

1.58%

$53.04

6

68.80%

$0.84

11/19

12/14

Bunge Limited

BG

3.23%

$62.00

18

11.10%

$2.00

11/16

12/03

Black Hills

BKH

3.27%

$61.81

48

4.10%

$2.02

11/16

12/01

Bemis

BMS

2.66%

$46.53

35

3.70%

$1.24

11/14

12/03

BOK Financial

BOKF

2.25%

$88.97

14

3.80%

$2.00

11/08

11/26

Cheesecake Factory

CAKE

2.62%

$50.32

7

34.60%

$1.32

11/13

11/27

Cogent Communications Holdings

CCOI

4.41%

$50.76

7

53.70%

$2.24

11/15

11/30

Church & Dwight

CHD

1.31%

$66.59

22

9.60%

$0.87

11/14

12/03

Cummins

CMI

3.17%

$143.83

13

18.50%

$4.56

11/14

12/03

CenterPoint Energy

CNP

4.04%

$27.49

13

5.70%

$1.11

11/14

12/13

Columbia Banking System

COLB

2.75%

$37.76

8

20.90%

$1.04

11/06

11/21

Columbia Sportswear

COLM

1.03%

$93.17

13

10.70%

$0.96

11/14

11/29

Costco Wholesale

COST

0.97%

$234.45

15

12.90%

$2.28

11/08

11/23

Cintas

CTAS

1.15%

$177.67

36

20.40%

$2.05

11/08

12/07

Calavo Growers

CVGW

1.01%

$99.25

7

7.90%

$1.00

11/15

12/07

Chevron

CVX

3.77%

$118.94

31

4.20%

$4.48

11/15

12/10

California Water Service

CWT

1.76%

$42.72

51

2.70%

$0.75

11/08

11/23

Delta Air Lines

DAL

2.50%

$56.05

6

N/A

$1.40

11/06

11/28

Duke Energy

DUK

4.44%

$83.58

14

2.90%

$3.71

11/15

12/17

Consolidated Edison

ED

3.76%

$76.04

44

2.70%

$2.86

11/13

12/17

Enbridge

ENB

8.30%

$32.32

22

10.50%

$2.68

11/14

12/01

Expedia

EXPE

1.01%

$126.89

7

21.40%

$1.28

11/14

12/06

First Interstate Bancsystem

FIBK

2.63%

$42.63

9

14.90%

$1.12

11/08

11/19

Greenbrier

GBX

1.96%

$51.15

5

N/A

$1.00

11/13

12/05

Gildan Activewear

GIL

1.42%

$31.52

8

19.00%

$0.45

11/14

12/10

Corning

GLW

2.18%

$33.06

8

14.50%

$0.72

11/15

12/14

W.W. Grainger

GWW

1.90%

$287.06

47

10.60%

$5.44

11/08

12/01

Heritage Financial

HFWA

1.21%

$33.06

8

11.20%

$0.40

11/06

11/21

Home Bancshares

HOMB

2.46%

$19.53

8

28.90%

$0.48

11/13

12/05

Honeywell International

HON

2.23%

$147.18

8

12.40%

$3.28

11/15

12/07

Helmerich & Payne

HP

4.45%

$63.80

46

58.50%

$2.84

11/08

12/03

International Business Machines

IBM

5.23%

$120.06

23

12.30%

$6.28

11/08

12/10

Summit Hotel Properties

INN

6.28%

$11.46

5

8.40%

$0.72

11/15

11/30

International Paper

IP

4.33%

$46.17

9

11.60%

$2.00

11/14

12/14

Investors Bancorp

ISBC

3.87%

$11.38

7

75.90%

$0.44

11/08

11/23

Invesco Limited

IVZ

5.52%

$21.72

9

12.40%

$1.20

11/09

12/03

Kraft Heinz

KHC

4.77%

$52.39

5

16.10%

$2.50

11/15

12/14

Kroger

KR

1.83%

$30.61

13

14.60%

$0.56

11/14

12/01

Lithia Motors

LAD

1.33%

$87.03

9

23.40%

$1.16

11/08

11/23

L3 Technologies

LLL

1.68%

$190.97

15

8.90%

$3.20

11/15

12/17

Lindsay

LNN

1.20%

$103.61

16

23.50%

$1.24

11/15

11/30

Macerich

MAC

5.78%

$51.89

9

5.20%

$3.00

11/08

12/03

Main Street Capital

MAIN

6.09%

$38.40

8

5.50%

$2.34

11/19

12/14

Matson

MATX

2.31%

$36.40

7

21.10%

$0.84

11/07

12/06

MetLife

MET

3.77%

$44.59

6

19.40%

$1.68

11/05

12/13

Manulife Financial Corporation

MFC

6.07%

$16.48

5

9.50%

$1.00

11/19

12/19

Mobile Mini

MINI

2.38%

$42.01

5

N/A

$1.00

11/13

11/28

MSA Safety

MSA

1.42%

$106.95

47

4.60%

$1.52

11/13

12/10

MSCI

MSCI

1.60%

$145.08

5

N/A

$2.32

11/15

11/30

Microsoft

MSFT

1.71%

$107.51

17

13.90%

$1.84

11/14

12/13

MSC Industrial Direct

MSM

2.96%

$85.08

16

11.80%

$2.52

11/09

11/27

National Instruments

NATI

1.87%

$49.24

5

8.40%

$0.92

11/08

12/03

Neenah Paper

NP

1.97%

$83.39

8

25.30%

$1.64

11/15

12/03

Nexstar Media Group

NXST

1.92%

$78.29

6

N/A

$1.50

11/15

11/30

ONE Gas

OGS

2.33%

$79.07

5

N/A

$1.84

11/09

12/03

Oshkosh

OSK

1.67%

$64.74

5

N/A

$1.08

11/16

12/03

Penske Automotive Group

PAG

3.33%

$44.51

8

22.30%

$1.48

11/08

12/04

Paccar

PCAR

1.92%

$58.46

8

4.90%

$1.12

11/09

12/04

Pfizer

PFE

3.13%

$43.52

8

7.80%

$1.36

11/08

12/03

Provident Financial Services

PFS

3.40%

$24.67

8

8.90%

$0.84

11/14

11/30

Parker-Hannifin

PH

1.85%

$164.10

62

10.30%

$3.04

11/08

12/07

Pool

POOL

1.23%

$146.25

8

18.00%

$1.80

11/14

11/29

PPG Industries

PPG

1.80%

$106.45

47

7.80%

$1.92

11/08

12/12

Phillips 66

PSX

3.18%

$100.52

7

43.40%

$3.20

11/16

12/03

Papa John's International

PZZA

1.65%

$54.52

5

N/A

$0.90

11/08

11/23

Ryder System

R

3.79%

$56.96

14

8.40%

$2.16

11/16

12/21

Reinsurance Group America

RGA

1.67%

$144.07

10

16.70%

$2.40

11/05

11/27

ResMed

RMD

1.41%

$105.00

7

32.00%

$1.48

11/07

12/13

Rockwell Automation

ROK

2.24%

$173.03

9

11.70%

$3.88

11/08

12/10

Reliance Steel & Aluminum

RS

2.44%

$81.98

8

17.60%

$2.00

11/15

12/07

Sandy Spring Bancorp

SASR

3.12%

$35.93

8

16.70%

$1.12

11/13

11/21

Starbucks

SBUX

2.23%

$64.48

9

23.90%

$1.44

11/14

11/30

Selective Insurance Group

SIGI

1.26%

$63.63

5

4.90%

$0.80

11/14

12/03

J.M. Smucker

SJM

3.15%

$107.98

21

8.90%

$3.40

11/15

12/03

Standard Motor Products

SMP

1.51%

$55.49

9

16.10%

$0.84

11/14

12/03

Southern

SO

5.30%

$45.25

18

3.40%

$2.40

11/16

12/06

Sonoco Products

SON

3.01%

$54.57

36

5.30%

$1.64

11/08

12/10

Simon Property Group

SPG

4.37%

$183.15

9

13.20%

$8.00

11/15

11/30

South State

SSB

2.06%

$69.79

7

13.90%

$1.44

11/08

11/16

Southwest Gas

SWX

2.60%

$79.86

12

11.00%

$2.08

11/14

12/03

Terex

TEX

1.28%

$31.17

6

N/A

$0.40

11/08

12/19

Interface

TILE

1.53%

$16.98

8

22.70%

$0.26

11/08

11/23

Tompkins Financial

TMP

2.63%

$76.12

32

4.50%

$2.00

11/05

11/15

Thomson Reuters

TRI

3.05%

$45.91

25

1.50%

$1.40

11/14

12/17

Union Bankshares

UBSH

2.65%

$34.77

8

17.00%

$0.92

11/08

11/23

United Technologies

UTX

2.31%

$127.25

25

6.00%

$2.94

11/15

12/10

Valero Energy

VLO

3.51%

$91.15

8

36.30%

$3.20

11/19

12/12

Vectren

VVC

2.68%

$71.66

58

4.00%

$1.92

11/14

12/03

Washington Federal

WAFD

2.57%

$27.98

8

13.40%

$0.72

11/08

11/23

Walgreens Boots Alliance

WBA

2.20%

$79.97

43

9.20%

$1.76

11/08

12/12

Webster Financial

WBS

2.23%

$59.15

8

24.10%

$1.32

11/05

11/20

WEC Energy Group

WEC

3.27%

$67.61

15

11.60%

$2.21

11/13

12/01

Welltower

WELL

5.13%

$67.78

14

3.30%

$3.48

11/08

11/21

Wells Fargo &

WFC

3.21%

$53.66

8

11.80%

$1.72

11/08

12/01

Whirlpool

WHR

3.96%

$116.16

8

16.50%

$4.60

11/15

12/15

WestRock

WRK

4.01%

$45.37

10

34.50%

$1.82

11/08

11/19

WSFS Financial

WSFS

1.04%

$42.16

5

13.40%

$0.44

11/05

11/20

Aqua America

WTR

2.65%

$33.03

26

8.10%

$0.88

11/15

12/01

Xilinx

XLNX

1.71%

$84.36

16

10.20%

$1.44

11/09

12/04

ExxonMobil

XOM

4.02%

$81.64

36

7.00%

$3.28

11/09

12/10

Zions Bancorp

ZION

2.47%

$48.66

6

61.50%

$1.20

11/13

11/21

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Disclosure: I am/we are long AAPL, ABBV, AMGN, BA, CMI, HON, IBM, MAIN, MSFT, PFE, SBUX, SPG, VLO, WBA, WEC, XOM.

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.