Dividend Growth Stocks With Return Promise

Dividend growth stocks generally act as a hedge against economic or political uncertainty as these belong to mature companies, which are less susceptible to large swings in the market while simultaneously offer downside protection with their consistent increase in payouts.

Additionally, these stocks have superior fundamentals that make dividend growth a quality and promising investment for the long term. These include a sustainable business model, a long track of profitability, rising cash flows, good liquidity, strong balance sheet and some value characteristics. Further, a history of strong dividend growth indicates that a future hike is likely, which makes the portfolio safer.

Although these stocks do not necessarily have the highest yields, they have outperformed for a longer period than the broader stock market or any other dividend-paying stock.

Here are the screening results of our latest dividend growth screen of stock that could deliver solid returns for the mid- and long-term:

Campbell Soup -- Yield: 2.43%

Campbell Soup (NYSE:CPB) employs 16,500 people, generates revenue of $7,961.00 million and has a net income of $563.00 million. The current market capitalization stands at $17.58 billion.

Campbell Soup’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $1,446.00 million. The EBITDA margin is 18.16% (the operating margin is 11.86% and the net profit margin 7.07%).

Financials: The total debt represents 45.08% of Campbell Soup assets and the total debt in relation to the equity amounts to 231.67%. Due to the financial situation, a return on equity of 38.75% was realized by Campbell Soup.

Twelve trailing months earnings per share reached a value of $2.12. Last fiscal year, Campbell Soup paid $1.25 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 26.78, the P/S ratio is 2.23 and the P/B ratio is finally 11.64. The dividend yield amounts to 2.43%.

Stock Charts:

Long-Term Stock Price Chart of Campbell Soup (CPB)

Long-Term Dividend Payment History of Campbell Soup (CPB)

Long-Term Dividend Yield History of Campbell Soup (CPB)

Southwest Gas -- Yield: 2.36%

Southwest Gas (NYSE:SWX) employs 2,219 people, generates revenue of $2,463.62 million and has a net income of $139.43 million. The current market capitalization stands at $3.56 billion.

Southwest Gas’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $558.44 million. The EBITDA margin is 22.67% (the operating margin is 11.70% and the net profit margin 5.66%).

Financials: The total debt represents 29.65% of Southwest Gas assets and the total debt in relation to the equity amounts to 99.64%. Due to the financial situation, a return on equity of 8.97% was realized by Southwest Gas.

Twelve trailing months earnings per share reached a value of $3.20. Last fiscal year, Southwest Gas paid $1.62 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 23.14, the P/S ratio is 1.47 and the P/B ratio is finally 2.26. The dividend yield amounts to 2.36%.

Stock Charts:

Long-Term Stock Price Chart of Southwest Gas (SWX)

Long-Term Dividend Payment History of Southwest Gas (SWX)

Long-Term Dividend Yield History of Southwest Gas (SWX)

Axis Capital -- Yield: 2.26%

Axis Capital (NYSE:AXS) employs 1,225 people, generates revenue of $4,203.03 million and has a net income of $641.63 million. The current market capitalization stands at $5.40 billion.

Axis Capital’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $1,456.35 million. The EBITDA margin is 34.65% (the operating margin is 14.12% and the net profit margin 15.27%).

Financials: The total debt represents 4.96% of Axis Capital assets and the total debt in relation to the equity amounts to 16.91%. Due to the financial situation, a return on equity of 11.53% was realized by Axis Capital.

Twelve trailing months earnings per share reached a value of $5.04. Last fiscal year, Axis Capital paid $1.22 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 12.11, the P/S ratio is 1.30 and the P/B ratio is finally 1.13. The dividend yield amounts to 2.26%.

Stock Charts:

Long-Term Stock Price Chart of Axis Capital (AXS)

Long-Term Dividend Payment History of Axis Capital (AXS)

Long-Term Dividend Yield History of Axis Capital (AXS)

Dicks Sporting Goods -- Yield: 1.01%

Dicks Sporting Goods (NYSE:DKS) employs 13,100 people, generates revenue of $7,270.96 million and has a net income of $330.39 million. The current market capitalization stands at $6.76 billion.

Dicks Sporting Goods’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $728.79 million. The EBITDA margin is 10.02% (the operating margin is 7.36% and the net profit margin 4.54%).

Financials: The total debt represents 0.17% of Dicks Sporting Goods assets and the total debt in relation to the equity amounts to 0.33%. Due to the financial situation, a return on equity of 18.25% was realized by Dicks Sporting Goods.

Twelve trailing months earnings per share reached a value of $2.89. Last fiscal year, Dicks Sporting Goods paid $0.55 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 20.46, the P/S ratio is 0.93 and the P/B ratio is finally 3.76. The dividend yield amounts to 1.01%.

Stock Charts:

Long-Term Stock Price Chart of Dicks Sporting Goods (DKS)

Long-Term Dividend Payment History of Dicks Sporting Goods (DKS)

Long-Term Dividend Yield History of Dicks Sporting Goods (DKS)

EnerSys -- Yield: 0.88%

EnerSys (NYSE:ENS) employs 9,400 people, generates revenue of $2,316.25 million and has a net income of $131.82 million. The current market capitalization stands at $3.47 billion.

EnerSys’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $315.00 million. The EBITDA margin is 13.60% (the operating margin is 9.07% and the net profit margin 5.69%).

Financials: The total debt represents 28.39% of EnerSys assets and the total debt in relation to the equity amounts to 62.05%. Due to the financial situation, a return on equity of 13.27% was realized by EnerSys.

Twelve trailing months earnings per share reached a value of $3.12. Last fiscal year, EnerSys paid $0.70 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 25.50, the P/S ratio is 1.48 and the P/B ratio is finally 3.37. The dividend yield amounts to 0.88%.

Stock Charts:

Long-Term Stock Price Chart of EnerSys (ENS)

Long-Term Dividend Payment History of EnerSys (ENS)

Long-Term Dividend Yield History of EnerSys (ENS)

FedEx Corporation -- Yield: 0.84%

FedEx Corporation (NYSE:FDX) employs 115,000 people, generates revenue of $50,365.00 million and has a net income of $1,820.00 million. The current market capitalization stands at $51.02 billion.

FedEx Corporation’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $5,708.00 million. The EBITDA margin is 11.33% (the operating margin is 6.11% and the net profit margin 3.61%).

Financials: The total debt represents 29.94% of FedEx Corporation assets and the total debt in relation to the equity amounts to 99.84%. Due to the financial situation, a return on equity of 12.64% was realized by FedEx Corporation.

Twelve trailing months earnings per share reached a value of $6.73. Last fiscal year, FedEx Corporation paid $1.00 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 28.47, the P/S ratio is 1.00 and the P/B ratio is finally 3.67. The dividend yield amounts to 0.84%.

Stock Charts: