20 Upcoming Dividend Increases Including Boeing

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Includes: APOG, BA, CATC, COLB, CTO, EBTC, FSBW, GABC, HTBK, IBCP, JBHT, LTXB, MMP, MPC, MPLX, NEP, NXST, THE, WAFD, WLKP, WTFC
by: Dividend Derek
Summary

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

A jump to 20 from 16 last week.

11 have at least a 10% increase!

Introduction

I love stocks that grow their dividends year in and out. You probably do too! If so, you are in the right place. I've created a list of stocks that are increasing their dividend next week. This gives investors an opportunity to start or add to a position to capture an upcoming payment. This can be especially important for retirees who live on dividend checks.

This list is a trimmed-down version only covering dividend increases. A full upcoming dividend calendar is available here. If you know how this was built and the caveats, feel free to jump down to the lists themselves.

How It's Assembled

The information presented below was created by combining the "U.S. Dividend Champion" spreadsheet hosted here, with upcoming dividend information from 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 five-year dividend growth history.

What Is The Ex-Dividend Date?

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.

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 0
Contender 4
Challenger 16

The Main List

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

Name Ticker Streak Forward Yield Ex-Div Date Increase Percent Streak Category
LegacyTexas Financial Group, Inc. (LTXB) 8 2.5 4-Feb-19 13.64% Challenger
Apogee Enterprises, Inc. (APOG) 7 2.08 4-Feb-19 11.11% Challenger
MPLX LP Common Units (MPLX) 6 7.36 4-Feb-19 1.57% Challenger
Westlake Chemical Partners LP (WLKP) 5 7.38 4-Feb-19 2.85% Challenger
Independent Bank Corporation (IBCP) 5 3.25 4-Feb-19 20.00% Challenger
Columbia Banking System, Inc. (COLB) 8 3.07 5-Feb-19 7.70% Challenger
FS Bancorp, Inc. (FSBW) 6 1.21 5-Feb-19 7.14% Challenger
NextEra Energy Partners, LP (NEP) 5 4.6 5-Feb-19 3.33% Challenger
Cambridge Bancorp (CATC) 20 2.73 6-Feb-19 2.00% Contender
Magellan Midstream Partners L.P. Limited Partnership (MMP) 18 6.27 6-Feb-19 2.04% Contender
Heritage Commerce Corp (HTBK) 6 3.63 6-Feb-19 9.09% Challenger
Wintrust Financial Corporation (WTFC) 5 1.39 6-Feb-19 31.58% Challenger
J.B. Hunt Transport Services, Inc. (JBHT) 15 0.97 7-Feb-19 8.33% Contender
Marathon Petroleum Corporation (MPC) 8 3.25 7-Feb-19 15.22% Challenger
Washington Federal, Inc. (WAFD) 8 2.74 7-Feb-19 11.11% Challenger
Boeing Company (The) (BA) 8 2.12 7-Feb-19 20.18% Challenger
German American Bancorp, Inc. (GABC) 6 2.34 7-Feb-19 13.33% Challenger
Consolidated-Tomoka Land Co. Common Stock (CTO) 6 0.67 7-Feb-19 25.00% Challenger
Nexstar Media Group, Inc. - Class A Common Stock (NXST) 6 2.15 7-Feb-19 20.00% Challenger
Enterprise Bancorp Inc (EBTC) 24 1.95 8-Feb-19 10.34% 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.

Forward Yield: This is the new payout rate divided by the current share price.

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

Increase Percent: This is the amount by which the dividend is being increased.

Streak Category: This is the overall dividend history classification of the company.

Show Me the Money

Here's a table mapping the new rates versus the old rates. It also reiterates the increase percentage. This table is sorted the same way as the first table (ex-dividend day ascending, dividend streak descending).

Ticker Old Rate New Rate Increase Percent
LTXB 0.22 0.25 13.64%
APOG 0.16 0.175 11.11%
MPLX 0.64 0.647 1.57%
IBCP 0.14 0.18 20.00%
WLKP 0.42 0.433 2.85%
COLB 0.26 0.28 7.70%
FSBW 0.14 0.15 7.14%
NEP 0.45 0.465 3.33%
CATC 0.5 0.51 2.00%
MMP 0.98 0.998 2.04%
HTBK 0.45 0.12 9.09%
WTFC 0.17 0.25 31.58%
JBHT 0.24 0.26 8.33%
MPC 0.45 0.53 15.22%
WAFD 0.18 0.20 11.11%
BA 1.71 2.06 20.18%
GABC 0.15 0.17 13.33%
NXST 0.36 0.45 20.00%
CTO 0.08 0.1 25.00%
EBTC 0.14 0.16 10.34%

Additional Metrics

Here are some additional metrics related to these companies, including yearly pricing action and the P/E 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. They may provide a larger margin of safety and inflated yield.

Ticker Current Price 52 Week Low 52 Week High PE Ratio % Off Low % Off High
LTXB 40.01 30.19 47.18 12.43 33% Off Low 15% Off High
APOG 33.69 26.38 50.87 11.96 28% Off Low 34% Off High
MPLX 35.19 28.32 39.01 15.21 24% Off Low 10% Off High
WLKP 23.44 20.25 27.75 13.93 16% Off Low 16% Off High
IBCP 22.16 20.18 27.1 13.22 10% Off Low 18% Off High
COLB 36.49 31.23 45.05 15.44 17% Off Low 19% Off High
FSBW 49.65 41.25 66.4 7.95 20% Off Low 25% Off High
NEP 40.4 36.84 50.66 14.31 10% Off Low 20% Off High
CATC 74.66 71.35 95.06 12.94 6% Off Low 20% Off High
MMP 63.62 54.25 72.9 11.57 17% Off Low 13% Off High
HTBK 13.21 10.84 18.1 15.81 22% Off Low 27% Off High
WTFC 72.01 61.53 99.96 12.31 17% Off Low 28% Off High
JBHT 106.99 88.38 131.74 24.1 21% Off Low 19% Off High
MPC 65.3 54.29 88.45 8.11 20% Off Low 26% Off High
WAFD 29.22 24.67 36.55 11.93 18% Off Low 20% Off High
BA 387.8 292.47 394.28 22.65 33% Off Low 2% Off High
GABC 29.09 26.2 38.2 14.71 11% Off Low 24% Off High
CTO 59.73 49.23 67.97 6.69 21% Off Low 12% Off High
NXST 83.86 60.3 89.75 6.48 39% Off Low 7% Off High
EBTC 32.75 26.96 44.14 13.11 21% Off Low

26% 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 which is the current yield + five-year dividend growth rate.

Ticker Yield 1 Yr DG 3 Yr DG 5 Yr DG 10 Yr DG Chowder
EQM 10 19.8 21.9 59.9 69.9
EPD 6.39 4.9 5.3 5.7 5.7 12.1
EPR 6.1 6.7 6.3 6.7 3.2 12.8
STAG 5.36 0.9 3.1 5.8 11.1
O 4.2 6 5 7.4 4.4 11.6
NWBI 4.01 6.7 7.2 5.9 5.5 9.7
CFG 3.66 39.1 85.7
AES 3.47 9.1 33.9 64.4 67.9
PFE 3.42 6.7 7.2 7.8 1 11.2
LNT 3.25 7.2 7.3 7 7.1 10.3
CMS 2.97 7.3 7.2 6.7 20.9 9.7
FAST 2.92 6.7 8.6 11.6 19.3 14.5
PNM 2.72 10.2 9.4 11.6 0.6 14.4
BSRR 2.68 16.7 18.1 18.5 -1 21.2
FCCO 2.18 12.5 14.5 17.6 2.9 19.8
FELE 1.26 6.3 6.7 8.2 6 9.2

Bonus Charts

Using the new and improved Fast Graphs, we'll take a look at Boeing today. Boeing is a dividend challenger with 8 years of dividend growth under their belt. This A rated stock is trading at 25x 2018 earnings though may only be trading at 21x FY 2019 earnings per estimates.

At quick glance, this stock appears to be dramatically overvalued with shares having tripled since their trough in August of 2016. Earnings over this time period have grown from $1.87 in 2009 to an estimated $15.09 in 2018. Earnings have more than doubled in the past two years which has also granted the stock a higher multiple. This can lead to this "coiled spring effect" where a stock can make a massive run up in short time.

Running a stock return calculation versus the S&P since February of 2010, Boeing crushed the market with a 25.72% annual return versus 12.74% for the S&P. Most of the time, however, this stock had matched the S&P fairly closely, until August of 2016. Dividends received were also much greater than the market. Visually plotting the investment value over time, we see that Boeing (blue line) was fairly closely linked to the S&P (black line) until late 2016 when shares skyrocketed upwards. Investors can now enjoy another 20% dividend hike!

(Courtesy: Stock Return Calculator)

Conclusion

I hope you are able to find this information valuable. Let me know if you want to see additional data points or what may help make this more useful.

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

Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. 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.