As dividend followers, we love companies that raise their dividend on an annual basis. Lanny and I often find ourselves having side bets about how much a company will raise their dividend to see which one of us will get closer. Of course it is all fun and games, but it emphasizes the importance of investing in a company that will continue to grow their dividend as a flat dividend or a dividend increase less than inflation will decrease your future purchasing power. Using the Wikipedia definition of a Dividend Aristocrat (25 years of dividend increases), we projected which aristocrat will declare a dividend increase in June. Remember, we cannot guarantee that the dividend will be increased in this month, but we wanted to use the timing of historical dividend increases to project which aristocrats will declare an increase in the upcoming month.
Bad news, after accumulating the list we realized Aristocrats do not typically raise their dividend in June. We predict only the following companies will announce an increase next month:
The Target increase should be the most interesting of the three in lieu of the recent pullback in the stock price. I am looking forward to see what action they take. Hopefully all three of the companies will continue their historical trend and increase their dividend.
~Bert
See which companies increased their dividend in May
I am also looking forward for TgT, Holding it in my portfolio!
I am analyzing that one right now at the moment! I am hopeful they will increase at 7% (minimum), but over the long-term they have increased it much better. I am hoping it is not a management issue over there, but I am eager to purchase! Thanks for stopping by.
-Lanny
Personally, it never mattered to me when an increase was announced or went into effect as long as increase was made at least once a year. Funny you mention BCR as I just wrote about them today as a dividend stock most people don’t really talk about. Thanks for sharing!
Thanks for stopping by! We actually have built into our personal spreadsheets the timing of when they increase, how many years, the LT growth rate, etc.. always interesting to add that in the analysis, but sometimes all of the information can be a bit much. Have to love BCR, I’ll have to check out your article as well. I am curious, as my reply to an earlier comment – on the direction TGT takes. Thank you for stopping by!
-Lanny
Solid information regarding June dividend aristocrat increases! Just wanted to mention that I recently saw your StockTalks on Seeking Alpha and followed it to your blog. As a fellow young investor trying to build a DGI portfolio I want to say thanks for the interesting blog and SA account. Will definitely be following you guys!
-Joe
Thanks for the follow Joe! Keep us up to date with you and we will do the same here. Always love to find a new dividend investor connection, as well as information to be shared. All working towards the goal of having fun with reaching for financial freedom. Will talk soon!
-Lanny