11 Upcoming Dividend Increases
Summary
- All stocks have at least five fiscal years of dividend growth history and come from the U.S. Dividend Champions List.
- They have an average increase of 9.5% and a median increase of 5.3%. I've tracked 37 increases in 2022.
- There are eleven increases for next week, up from four last week.
- Looking for more investing ideas like this one? Get them exclusively at Wheel of Fortune. Learn More »
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Dividend increases are an outward sign from management that business is going well, and the company can increasingly reward shareholders. I track upcoming dividend increases from companies with a history of increasing them. The lists below contain different data points for the stocks increasing their dividends next week.
This list is a trimmed-down version only covering dividend increases. A full upcoming dividend calendar is always available here.
How I Created The Lists
I created the information below by combining the "U.S. Dividend Champions" spreadsheet hosted here with upcoming dividend information from NASDAQ. This meshes metrics about companies with dividend growth history with upcoming dividend payments. These companies all have a minimum five-year dividend growth history.
Companies are required to have higher total dividends paid out each year. Therefore, a company may not raise its dividend each calendar year, but the total annual dividend can still increase. An example shows increasing payments each year but with the same dividend over eight consecutive quarters.
Dividend growth sample over multiple years Dividend Derek
What Is The Ex-Dividend Date?
The "ex-dividend" date is when you are no longer entitled to the dividend or distribution. You need to have made your purchase by the preceding business day. For example, if the date is a Tuesday, you need to have purchased (or already owned) shares by the market close on Monday. Be aware that for any stock going ex-dividend on a Monday (or Tuesday, if Monday is a holiday), you must own it by the prior Friday.
Dividend Streak Categories
Here are the definitions of the streak categories, as I'll use them throughout the piece.
- King: 50+ years
- Champion/Aristocrat: 25+ years
- Contender: 10-24 years
- Challenger: 5+ years
| Category | Count |
| King | 0 |
| Champion | 0 |
| Contender | 2 |
| Challenger | 9 |
The Main List
Data has been sorted by the ex-dividend day (ascending) and then by the streak (descending):
| Name | Ticker | Streak | Forward Yield | Ex-Div Date | Increase Percent | Streak Category |
| The AES Corporation | (AES) | 9 | 2.81 | 31-Jan-22 | 5.33% | Challenger |
| Delek Logistics Partners, L.P. Common Units | (DKL) | 9 | 8.9 | 31-Jan-22 | 1.06% | Challenger |
| First Community Corporation | (FCCO) | 8 | 2.49 | 31-Jan-22 | 8.33% | Challenger |
| Ally Financial Inc. | (ALLY) | 5 | 2.49 | 31-Jan-22 | 20.00% | Challenger |
| Fastenal Company | (FAST) | 22 | 2.24 | 1-Feb-22 | 10.71% | Contender |
| Banner Corporation | (BANR) | 8 | 2.81 | 2-Feb-22 | 7.32% | Challenger |
| Graham Holdings Company | (GHC) | 5 | 1.09 | 2-Feb-22 | 4.64% | Challenger |
| J.B. Hunt Transport Services, Inc. | (JBHT) | 18 | 0.82 | 3-Feb-22 | 33.33% | Contender |
| Independent Bank Corporation | (IBCP) | 7 | 3.45 | 3-Feb-22 | 4.76% | Challenger |
| Lamb Weston Holdings, Inc. Common Stock | (LW) | 5 | 1.54 | 3-Feb-22 | 4.26% | Challenger |
| Colony Bankcorp, Inc. | (CBAN) | 5 | 2.49 | 3-Feb-22 | 4.85% | Challenger |
Field Definitions
Streak: Years of dividend growth history are sourced from the U.S. Dividend Champions spreadsheet.
Forward Yield: The new payout rate is divided by the current share price.
Ex-Dividend Date: This is the date before which you need to own the stock.
Increase Percent: The percent increase.
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 percentage increase. 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 |
| AES | 0.15 | 0.158 | 5.33% |
| DKL | 0.94 | 0.95 | 1.06% |
| FCCO | 0.12 | 0.13 | 8.33% |
| ALLY | 0.25 | 0.3 | 20.00% |
| FAST | 0.28 | 0.31 | 10.71% |
| BANR | 0.41 | 0.44 | 7.32% |
| GHC | 1.51 | 1.58 | 4.64% |
| JBHT | 0.3 | 0.4 | 33.33% |
| IBCP | 0.21 | 0.22 | 4.76% |
| LW | 0.235 | 0.245 | 4.26% |
| CBAN | 0.103 | 0.108 | 4.85% |
Additional Metrics
Here are some different metrics related to these companies, including yearly pricing action and the P/E ratio. The table is sorted the same way as the table above. A value investor may find stock ideas with those companies near their 52-week lows as they could provide more margin of safety and inflated yield.
| Ticker | Current Price | 52 Week Low | 52 Week High | PE Ratio | % Off Low | % Off High |
| DKL | 43.81 | 31.5 | 50.56 | 7.52 | 39% Off Low | 13% Off High |
| AES | 22.43 | 21.54 | 28.56 | 0 | 4% Off Low | 21% Off High |
| FCCO | 20.87 | 16.19 | 23.42 | 13.87 | 29% Off Low | 11% Off High |
| ALLY | 48.24 | 35.66 | 56.05 | 15.7 | 35% Off Low | 14% Off High |
| FAST | 55.31 | 42.7 | 64.75 | 33.28 | 30% Off Low | 15% Off High |
| BANR | 62.69 | 42.68 | 66.79 | 14.53 | 47% Off Low | 6% Off High |
| GHC | 580.28 | 547.75 | 681.65 | 11.53 | 6% Off Low | 15% Off High |
| JBHT | 195.45 | 132.42 | 208.87 | 29.84 | 48% Off Low | 6% Off High |
| IBCP | 25.54 | 17.6 | 25.94 | 7.54 | 45% Off Low | 2% Off High |
| LW | 63.69 | 50.22 | 85.49 | 33.2 | 27% Off Low | 26% Off High |
| CBAN | 17.3 | 13.41 | 19.49 | 12.5 | 29% Off Low | 11% Off High |
Tickers By Yield And Growth Rates
Some investors are more interested in the current yield, so this table is sorted by descending by yield. The table also includes some historical dividend growth rates as a bonus. Additionally, the "Chowder Rule" has been included, the current yield + five-year dividend growth rate.
| Ticker | Yield | 1 Yr DG | 3 Yr DG | 5 Yr DG | 10 Yr DG | Chowder Rule |
| DKL | 8.9 | 3.7 | 7.9 | 9.4 | 18.2 | |
| IBCP | 3.45 | 7.9 | 16.4 | 22.3 | 25.8 | |
| BANR | 2.81 | 0 | 14.2 | 16.9 | 19.3 | 19.7 |
| AES | 2.81 | 5 | 5.5 | 7 | 9.8 | |
| CBAN | 2.49 | 15.7 | 39.3 | |||
| FCCO | 2.49 | 4.4 | 8.1 | 9.9 | 11.6 | 12.4 |
| ALLY | 2.49 | 5.6 | 15 | |||
| FAST | 2.24 | 12.8 | 15.4 | 12.8 | 13.7 | 15 |
| LW | 1.54 | 8.1 | 7.1 | |||
| GHC | 1.09 | 4.2 | 4.4 | -1 | -4.3 | 0.1 |
| JBHT | 0.82 | 5.7 | 6 | 5.4 | 8.4 | 6.2 |
Conclusion
Fastenal has the longest streak this week with 22 years, coupled with a hefty 10.7% raise. That increase is slightly smaller than their historical average but is still well above the headline inflation rate. J.B. Hunt has the most significant increase at 33%.
Most importantly, with the recent pullback of equity markets, most of these companies are well off their 52-week highs. That has the great benefit of boosting current yields, especially with the incoming increases.
Please be sure to do your due diligence before investing. Thanks for reading.
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This article was written by
Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such 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.