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Dividends4Life (30.52)

June 2013

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Cardinal Health, Inc. (CAH) Dividend Stock Analysis

June 28, 2013 – Comments (0) | RELATED TICKERS: CAH , ABC , MCK

Linked here is a detailed quantitative analysis of Cardinal Health, Inc. (CAH). Below are some highlights from the above linked analysis:

Company Description: Cardinal Health Inc. is one of the leading wholesale distributors of pharmaceuticals, medical/surgical supplies and related products to a broad range of health care customers.  [more]

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Consolidated Edison, Inc. (ED) Dividend Stock Analysis

June 27, 2013 – Comments (0) | RELATED TICKERS: ED , AEP , PCG

Linked here is a detailed quantitative analysis of Consolidated Edison, Inc. (ED). Below are some highlights from the above linked analysis:

Company Description: Consolidated Edison, Inc. is an electric and gas utility holding company that serves parts of New York, New Jersey and Pennsylvania.  [more]

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3 Styles Of Successful Dividend Investing

June 26, 2013 – Comments (0) | RELATED TICKERS: MCD , JNJ , PG

There are certainly many ways to categorize the different styles of investing in dividend stocks, including yield, risk, growth, etc. An investment strategy based on any of these could be successful, if implemented within the framework well-crafted plan. Over the years, I have found that most dividend investing styles fall into one of the three major categories listed below:

High Yield/Low GrowthI would classify dividend stocks with a yield over 5% and dividend growth less than 2% in this group. This is probably the most popular group, particularly among those new to income investing. It is human nature to want it now and lots of it, and high yield stocks appear to deliver that desire. However, there is often a reason the stock's yield is so high and many times the investor learns the hard way the yield is not always sustainable. Examples of stocks in the high yield/low growth group include:

PP&L Corporation (PPL)
Yield: 5.0% | Dividend Growth: 1.6%

Universal HealthRealty Income Trust (UHT)
Yield: 5.4% | Dividend Growth: 0.8%

Mercury General C Corp. (MCY)
Yield: 5.6% | Dividend Growth: 0.4%

Senior Housing Properties Trust (SNH)
Yield: 6.0% | Dividend Growth: 1.9%

Low Yield/High GrowthI would classify dividend stocks with a yield less than 2.5% and dividend growth greater than 7.5% in this group. Low yield and high growth dividend stocks are the other extreme of high yield and low growth stocks. Their long-term risk is associated with growing the yield-on-cost over time. If the dividend growth rate is cut, the investor's future earnings and yield will also be cut. Stocks in this group would include:

Becton, Dickinson and Co. (BDX)
Yield: 2.0% | Dividend Growth: 9.9%

J.M. Smucker Comp. (SJM)
Yield: 2.1% | Dividend Growth: 8.3%

Walgreen Co. (WAG)
Yield: 2.2% | Dividend Growth: 15.8%

Colgate-Palmolive Company (CL)
Yield: 2.3% | Dividend Growth: 9.5%

Moderate Yield/Moderate GrowthI would classify dividend stocks with a yield between 2.5% to 5% and a dividend growth rate between 2% to 7.5% in this group. This is a good compromise between the above too extremes. It is an approach focusing on a moderate yield and dividend growth rate. Keeping these two metrics at a reasonable level will help reduce the likelihood of either being cut. Companies in this group are your traditional dividend growth stocks, as seen from the list below:

Pepsico, Inc. (PEP)
Yield: 2.8% | Dividend Growth: 5.2%

Procter & Gamble (PG)
Yield: 3.1% | Dividend Growth: 7.0%

Johnson & Johnson (JNJ)
Yield: 3.1% | Dividend Growth: 7.3%

McDonald's Corporation (MCD)
Yield: 3.1% | Dividend Growth: 7.3%

In my personal investing strategy, I incorporate measured participation in each of the above groups. My primary focus is on the Moderate Yield/Moderate Growth stocks, believing that over time this group carriers the highest likelihood of success. The remaining two groups offer the potential for above average returns - as long as they continue to perform at the estimated level, which is often difficult to do over time.

Full Disclosure: Long MCD, JNJ, PG, PEP, UHT in my Dividend Growth Portfolio and long MCY, SNH in my High-Yield Portfolio. See a list of all my dividend growth holdings here.

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5 Dividend Stocks Working Even When I’m Not

June 24, 2013 – Comments (0) | RELATED TICKERS: USB , O , HST

This past week I have been vacationing hundreds of miles from my home. As with most vacations, I have not done much work this week. However, a quick check of my brokerage account shows that my Dividend Growth Stocks have been very busy this week. It is nice to know my income portfolio never takes a day off. What’s even better is the portfolio is frequently getting a raise through higher cash dividend payments.  [more]

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Northwest Natural Gas Co. (NWN) Dividend Stock Analysis

June 21, 2013 – Comments (0) | RELATED TICKERS: NWN , POR , PNY

Linked here is a detailed quantitative analysis of Northwest Natural Gas Co. (NWN). Below are some highlights from the above linked analysis:

Company Description: Northwest Natural Gas Co. is a natural gas utility that provides service to some 611,000 residential, 62,000 commercial and 1,000 industrial customers in Oregon and southwestern Washington.  [more]

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Waste Management, Inc. (WM) Dividend Stock Analysis

June 20, 2013 – Comments (0) | RELATED TICKERS: WM , CWST , RSG

Linked here is a detailed quantitative analysis of Waste Management, Inc. (WM). Below are some highlights from the above linked analysis:

Company Description: Waste Management Inc. is a Houston-based company that is the largest U.S. trash hauling/disposal concern.  [more]

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8 Higher-Yielding Financial Services Stocks With Rising Dividends

June 19, 2013 – Comments (0) | RELATED TICKERS: SBSI , CTBI , TMP

The Financial Services Sector includes insurance companies, banks, brokerages, mutual funds and other similar companies. Before the 2008-09 financial services meltdown, these stocks were the cornerstone on many income portfolios. The companies were flush with cash, their stocks provided relatively high yields, good dividend growth rates and carried very little perceived risk.  [more]

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6 CEO's Showing Confidence With Increased Dividends

June 17, 2013 – Comments (0) | RELATED TICKERS: CAT , TGT , NFG

A person’s character is determined by how they behave when no one else is looking and during difficult times. In much the same way, we can learn a lot about a company’s management when they face adversity. One metric I look at closely during a downturn is cash generation relative to earnings. The ability of a company to grow its dividend throughout the economic cycle is highly dependent on the management’s ability to generate cash in a downturn.  [more]

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May 2013 Pocket Change Portfolio Performance

June 15, 2013 – Comments (0) | RELATED TICKERS: ABBV , PG , T

The Pocket Change Portfolio (PCP) was first introduced on September 13, 2008 as a real money dividend income portfolio funded by the "pocket change" earned from my various online endeavors. Each month I report on the portfolio's progress and dividends earned.

Dividends Received

Total dividends received during the month were $606.97, consisting of...  [more]

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Realty Income Corp (O) Dividend Stock Analysis

June 14, 2013 – Comments (0) | RELATED TICKERS: O , DDR , NNN

Linked here is a detailed quantitative analysis of Realty Income Corp. (O). Below are some highlights from the above linked analysis:

Company Description: Realty Income Corporation is an equity real estate investment trust that owns commercial retail real estate properties in the United States.  [more]

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General Mills, Inc. (GIS) Dividend Stock Analysis

June 13, 2013 – Comments (1) | RELATED TICKERS: GIS , K , HSY

Linked here is a detailed quantitative analysis of General Mills, Inc. (GIS). Below are some highlights from the above linked analysis:

Company Description: General Mills, Inc. is a major producer of packaged consumer food products, including Big G cereals and Betty Crocker desserts/baking mixes.  [more]

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5 Quality Dividend Stocks To Take The Emotion Out Of Investing

June 11, 2013 – Comments (0) | RELATED TICKERS: ABBV , GPC , KMB

Deep-down in my soul, I am a contrarian. The significant market run-up this year has converted most of the great dividend stock buys into 'ok' buys (at best). Sure the increase in your portfolio's value leaves you with a warm and fuzzy feeling, but as a long-term investor, I would much rather buy stocks at a deep discount. Once again, it appears investors' emotions are driving the market.  [more]

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9 Dividend Stocks Providing A Growing Income

June 10, 2013 – Comments (0) | RELATED TICKERS: UHT , HP , CBRL

How much money will you need for retirement? This a very difficult question to answer. There are many factors and assumptions that go into estimating the income that will be needed in retirement. However, one certainty is that if you only invest in fixed income instruments, you will need more than if your investments provide you a growing income.  [more]

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Dividend Income Progress Update - May 2013

June 08, 2013 – Comments (0) | RELATED TICKERS: RTN , GD , PG

Once again it is time for a goals/progress update. I am pleased to report that annualized dividend income increased in May, extending the streak to 35 consecutive months of increases after June 2010's decline. Since I began publicly tracking annualized dividend income in November 2007, it has increased in 64 of the last 66 months.

My goals were defined in this December 1, 2007 Investing Goals post and last updated in my 2013 Investing Goals post. Below is an updated version of the table found in the original post...  [more]

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Becton, Dickinson and Co. (BDX) Dividend Stock Analysis

June 07, 2013 – Comments (0) | RELATED TICKERS: BDX , BCR , BAX

Linked here is a detailed quantitative analysis of Becton, Dickinson and Co. (BDX). Below are some highlights from the above linked analysis:  [more]

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Coca-Cola Company (KO) Dividend Stock Analysis

June 06, 2013 – Comments (0) | RELATED TICKERS: KO , DPS , PEP

Linked here is a detailed quantitative analysis of Coca-Cola Company (KO). Below are some highlights from the above linked analysis:  [more]

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7 Select High-Yield S&P 500 Dividend Stocks

June 05, 2013 – Comments (0) | RELATED TICKERS: SO , LMT , T

The S&P 500 Index is owned and maintained by Standard & Poor's, a division of McGraw-Hill. The index was first published in 1957 and is the second most recognized index in the U.S. behind only the Dow Jones Industrial Average. Stocks included in the S&P 500 are large publicly companies that trade on either the New York Stock Exchange or the NASDAQ.  [more]

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4 Stocks Paying Higher Cash Dividends

June 03, 2013 – Comments (0) | RELATED TICKERS: NP , PPS , POR

We have all heard it… Stodgy, for old people, yawn, boring! These have all been used to describe dividend growth stocks. As a dividend growth investor, I sometimes think our strategy is the most misunderstood. It seems everyone understands a traders mentality and a high-yield mentality. Periodically, it is good to remind ourselves that dividend growth stocks provides us with excellent long-term leverage and a growing income.  [more]

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