There’s an elite sub-group of S&P 1500 stocks known as “Dividend Aristocrats” which have a distinguishing factor that income growth investors find very attractive: a history of consistently increasing dividends every year for at least 20 consecutive years.
And interestingly enough, for the last 10 years, this elite group has out-performed both the S&P 1500 and the benchmark S&P 500.
The lag of current Dividend Aristocrats is that they have shown a good past performance but this does not mean that they will perform in the future well.
In addition Dividend Aristocrats are very expensive due to the high quality they offer. That's in my view a good reason for looking into the second level.
Attached you will find 10 companies identified as “future dividend aristocrats contenders,” these being members of the S&P 1500 and not that many years away from showing the required two decades of dividend growth.
These are the results...
Norwood Financial -- Yield: 4.31%
Norwood Financial (NASDAQ:NWFL) employs 136 people, generates revenue of $27.78 million and has a net income of $5.91 million. The current market capitalization stands at $104.93 million.Norwood Financial’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $9.03 million. The EBITDA margin is 30.91% (the operating margin is 25.80% and the net profit margin 20.22%).
Financials: The total debt represents 12.57% of Norwood Financial assets and the total debt in relation to the equity amounts to 93.43%. Due to the financial situation, a return on equity of 5.91% was realized by Norwood Financial.
Twelve trailing months earnings per share reached a value of $1.53. Last fiscal year, Norwood Financial paid $1.24 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 18.37, the P/S ratio is 3.63 and the P/B ratio is finally 1.05. The dividend yield amounts to 4.31%.
Stock Charts:
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| Long-Term Stock Price Chart of Norwood Financial (NWFL) |
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| Long-Term Dividend Payment History of Norwood Financial (NWFL) |
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| Long-Term Dividend Yield History of Norwood Financial (NWFL) |
QUALCOMM -- Yield: 3.42%
QUALCOMM (NASDAQ:QCOM) employs 33,000 people, generates revenue of $25,281.00 million and has a net income of $5,268.00 million. The current market capitalization stands at $92.89 billion.QUALCOMM’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $7,350.00 million. The EBITDA margin is 29.07% (the operating margin is 22.12% and the net profit margin 20.84%).
Financials: The total debt represents 21.59% of QUALCOMM assets and the total debt in relation to the equity amounts to 34.91%. Due to the financial situation, a return on equity of 14.93% was realized by QUALCOMM.
Twelve trailing months earnings per share reached a value of $3.41. Last fiscal year, QUALCOMM paid $1.80 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 18.17, the P/S ratio is 3.61 and the P/B ratio is finally 3.01. The dividend yield amounts to 3.42%.
Stock Charts:
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| Long-Term Stock Price Chart of QUALCOMM (QCOM) |
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| Long-Term Dividend Payment History of QUALCOMM (QCOM) |
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| Long-Term Dividend Yield History of QUALCOMM (QCOM) |
Maxim Integrated Products -- Yield: 3.24%
Maxim Integrated Products (NASDAQ:MXIM) employs 8,250 people, generates revenue of $2,194.72 million and has a net income of $227.48 million. The current market capitalization stands at $11.55 billion.Maxim Integrated Products’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $603.31 million. The EBITDA margin is 27.49% (the operating margin is 12.00% and the net profit margin 10.36%).
Financials: The total debt represents 29.28% of Maxim Integrated Products assets and the total debt in relation to the equity amounts to 58.82%. Due to the financial situation, a return on equity of 10.34% was realized by Maxim Integrated Products.
Twelve trailing months earnings per share reached a value of $0.78. Last fiscal year, Maxim Integrated Products paid $1.20 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 52.14, the P/S ratio is 5.28 and the P/B ratio is finally 5.49. The dividend yield amounts to 3.24%.
Stock Charts:
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| Long-Term Stock Price Chart of Maxim Integrated Products (MXIM) |
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| Long-Term Dividend Payment History of Maxim Integrated Products (MXIM) |
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| Long-Term Dividend Yield History of Maxim Integrated Products (MXIM) |
National Bankshares -- Yield: 3.13%
National Bankshares (NASDAQ:NKSH) employs 202 people, generates revenue of $42.91 million and has a net income of $15.83 million. The current market capitalization stands at $248.60 million.National Bankshares’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $22.32 million. The EBITDA margin is 46.29% (the operating margin is 42.67% and the net profit margin 32.84%).
Financials: The total debt represents 0.00% of National Bankshares assets and the total debt in relation to the equity amounts to 0.00%. Due to the financial situation, a return on equity of 9.36% was realized by National Bankshares.
Twelve trailing months earnings per share reached a value of $2.21. Last fiscal year, National Bankshares paid $1.14 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 15.89, the P/S ratio is 5.08 and the P/B ratio is finally 1.42. The dividend yield amounts to 3.13%.
Stock Charts:
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| Long-Term Stock Price Chart of National Bankshares (NKSH) |
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| Long-Term Dividend Payment History of National Bankshares (NKSH) |
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| Long-Term Dividend Yield History of National Bankshares (NKSH) |
Bunge -- Yield: 2.54%
Bunge (NYSE:BG) employs 33,000 people, generates revenue of $43,455.00 million and has a net income of $755.00 million. The current market capitalization stands at $9.38 billion.Bunge’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $1,803.00 million. The EBITDA margin is 4.15% (the operating margin is 2.87% and the net profit margin 1.74%).
Financials: The total debt represents 26.62% of Bunge assets and the total debt in relation to the equity amounts to 74.03%. Due to the financial situation, a return on equity of 10.41% was realized by Bunge.
Twelve trailing months earnings per share reached a value of $4.98. Last fiscal year, Bunge paid $1.48 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 13.30, the P/S ratio is 0.21 and the P/B ratio is finally 1.64. The dividend yield amounts to 2.54%.
Stock Charts:
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| Long-Term Stock Price Chart of Bunge (BG) |
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| Long-Term Dividend Payment History of Bunge (BG) |
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| Long-Term Dividend Yield History of Bunge (BG) |
Nu Skin Enterprises -- Yield: 2.39%
Nu Skin Enterprises (NYSE:NUS) employs 4,800 people, generates revenue of $2,247.05 million and has a net income of $133.05 million. The current market capitalization stands at $3.69 billion.Nu Skin Enterprises’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $316.07 million. The EBITDA margin is 14.07% (the operating margin is 10.89% and the net profit margin 5.92%).
Financials: The total debt represents 16.58% of Nu Skin Enterprises assets and the total debt in relation to the equity amounts to 30.23%. Due to the financial situation, a return on equity of 15.05% was realized by Nu Skin Enterprises.
Twelve trailing months earnings per share reached a value of $1.75. Last fiscal year, Nu Skin Enterprises paid $1.40 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 33.95, the P/S ratio is 1.48 and the P/B ratio is finally 4.25. The dividend yield amounts to 2.39%.
Stock Charts:
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| Long-Term Stock Price Chart of Nu Skin Enterprises (NUS) |
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| Long-Term Dividend Payment History of Nu Skin Enterprises (NUS) |
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| Long-Term Dividend Yield History of Nu Skin Enterprises (NUS) |
York Water Company -- Yield: 2.10%
York Water Company (NASDAQ:YORW) employs 104 people, generates revenue of $47.09 million and has a net income of $12.49 million. The current market capitalization stands at $381.58 million.York Water Company’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $28.81 million. The EBITDA margin is 61.19% (the operating margin is 48.12% and the net profit margin 26.52%).
Financials: The total debt represents 27.23% of York Water Company assets and the total debt in relation to the equity amounts to 77.53%. Due to the financial situation, a return on equity of 11.69% was realized by York Water Company.
Twelve trailing months earnings per share reached a value of $0.96. Last fiscal year, York Water Company paid $0.60 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 30.83, the P/S ratio is 8.10 and the P/B ratio is finally 3.48. The dividend yield amounts to 2.10%.
Stock Charts:
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| Long-Term Stock Price Chart of York Water Company (YORW) |
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| Long-Term Dividend Payment History of York Water Company (YORW) |
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| Long-Term Dividend Yield History of York Water Company (YORW) |
Monsanto Company -- Yield: 2.02%
Monsanto Company (NYSE:MON) employs 22,500 people, generates revenue of $15,001.00 million and has a net income of $2,297.00 million. The current market capitalization stands at $47.01 billion.Monsanto Company’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $4,632.00 million. The EBITDA margin is 30.88% (the operating margin is 23.49% and the net profit margin 15.31%).
Financials: The total debt represents 41.26% of Monsanto Company assets and the total debt in relation to the equity amounts to 129.38%. Due to the financial situation, a return on equity of 30.76% was realized by Monsanto Company.
Twelve trailing months earnings per share reached a value of $2.38. Last fiscal year, Monsanto Company paid $2.01 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 44.99, the P/S ratio is 3.12 and the P/B ratio is finally 7.16. The dividend yield amounts to 2.02%.
Stock Charts:
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| Long-Term Stock Price Chart of Monsanto Company (MON) |
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| Long-Term Dividend Payment History of Monsanto Company (MON) |
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| Long-Term Dividend Yield History of Monsanto Company (MON) |
J M Smucker -- Yield: 1.93%
J M Smucker (NYSE:SJM) employs 6,910 people, generates revenue of $7,811.20 million and has a net income of $688.70 million. The current market capitalization stands at $17.96 billion.J M Smucker’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $1,723.50 million. The EBITDA margin is 22.06% (the operating margin is 14.66% and the net profit margin 8.82%).
Financials: The total debt represents 33.97% of J M Smucker assets and the total debt in relation to the equity amounts to 77.48%. Due to the financial situation, a return on equity of 9.73% was realized by J M Smucker.
Twelve trailing months earnings per share reached a value of $5.77. Last fiscal year, J M Smucker paid $2.68 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 26.93, the P/S ratio is 2.31 and the P/B ratio is finally 2.58. The dividend yield amounts to 1.93%.
Stock Charts:
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| Long-Term Stock Price Chart of J M Smucker (SJM) |
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| Long-Term Dividend Payment History of J M Smucker (SJM) |
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| Long-Term Dividend Yield History of J M Smucker (SJM) |