Holy cow everyone, time has flown by! I can’t believe we are flying through July already. Before it is too late and we are already looking ahead to August, I wanted to continue our monthly series of Dividend Aristocrats that are expected to announce each month. Let’s take a look at which Aristocrats are expected that are set to increase their dividend in July 2015!
Dividend Increases in June 2015
Before diving into July’s projections, let’s take a look at the list I compiled for last month and review the dividend increases announced in June.
- CR Bard Inc (BCR) – Last month, I mentioned that BCR has had a dismal dividend growth rate for a stock that has such a low dividend yield, the main reason why the company was not included in our listing of top low yield, high dividend growth rate stocks. However, the company did not disappoint shareholders this time around and announced a 9% increase in their quarterly dividend, from $.22/share to $.24/share quarterly. Great increase considering the company’s recent history!
- Medtronic (MDT) – Alright shareholders, sit down before reading this. MDT increased their dividend 24.6% in June. That’s right, a 24.6% increase. Congrats everyone on the big increase. Huge news for shareholders.
- Target (TGT)– Over the last 3 years, the company’s average dividend increase has been ~20%! As we all know though, that is a very difficult pace to maintain over the long run as that outpaces earnings growth by a mile. This year, we saw a decent dividend increase for the company; however, it is much lower than the company’s recent history. In June, TGT announced a dividend increase of 7.6%, or $.04/share per quarter from $.52/share to $.56/share. Compared to inflation, great. Compared to recent history, not so much. But I will take that increase any day of the week as it is great than my portfolio’s weighted average dividend growth rate.
Expected Dividend Increases in July 2015
Some very solid dividend increase above. I am sure Lanny is pumped to have seen his dividend income grow with Target’s announcement as he is a shareholder that initiated his stake at the perfect time. Man am I jealous! So now, let’s look aSo head to what July has in store for us.
- Stanley Black & Decker (SWK) – Funny story, today I hung a few pictures and took care of some things around the house using some of SWK’s products. I wasn’t expecting to write about their stock tonight. Well, as it turns out, SWK is set to announce their dividend increase in July! Who would have guessed? The company has increased their dividend over 10% for their dividend three of the last five ears. Unfortunately though, the last two years have been less than stellar with increases of 2% and 4%. Hopefully, SWK will surprise us all and revert back to the days where the dividend increases were double digits!
- Walgreens Boots Alliance Inc (WBA)– The newly formed company is technically a Dividend Aristocrat (at least in my eyes), considering the former WAG stock earned the prestigious title. For the purposes of this list, I will definitely include WBA on the list. As it turns out, at the time of this article, WBA has already increased their quarterly dividend 8% to $.36/share quarterly. So the streak continues and the shareholders received a nice bump!
So the list in July is much shorter compared to prior months. Underwhelming for sure, but looking ahead the rest of the year should be pretty fruitful. For my portfolio, I am expecting to receive a dividend increase from Norfolk Southern this month. Which is huge for both of us here, as I added 7 more shares to my position and Lanny initiated a position in the stock last week. Great timing and trust me, that was a huge part of buy decision! We are also set to receive an increase from one of our favorite dividend stocks, which we featured with a photo on our page, Kinder Morgan! While this increase isn’t certain, KMI seems to always announce a dividend increase. Plus, they still have another increase or two to reach their pledge of increasing their dividend 10% annually through 2020. They can’t let their shareholders down so early in the process! I have some extra capital to deploy, so I ma have to add some extra shares prior to the announcement since they are one of the stocks on my most recent watch list.
Have you received or are set to receive any dividend increases this month? Did I leave any non-Dividend Aristocrats off the list that you want to mention? Also, as a TGT shareholder, are you disappointed with the last dividend increase?
-Bert, One of the Dividend Diplomats