Dividend Aristocrats are companies that have increased their dividends for 25 consecutive years.
Those kind of asset class is well known for its investment grade and offers a high degree of safeness for your asset allocation.
Below you can find 7 such stocks that are currently yielding over 3%.
We also analyze their relative strength in terms of stock price performance, payout ratios for dividend reliability, valuation and expected 2017 earnings growth estimates.
These are the results...
When I'm thinking about how to arrange a portfolio, I think there is a uniquely human aspect to the process.
The ideal dividend portfolio depends on the risk factors an investor feels comfortable accepting.
After the year is over, any investor can easily see which companies delivered the best returns, but when the period is starting, the goal is for an investor is to be carrying a portfolio that meets their individual objectives.
This piece is going to focus on the dividend champions of the consumer staples sector.
Given the relatively high valuation of the market, I believe it is more rational to focus investments on sectors with less volatility in their ability to generate sales.
Attached you will find a compilation of stocks from the consumer goods sector with solid yields, modest growth predictions and low beta ratios.
These are my favorites...
Investment strategies change with age. While a younger investor with a longer time horizon may seek out high-risk, high-growth stocks, older folks, especially those in retirement, will want investments that provide safety and a solid source of income.
As a retiree, you'll want to make sure the stocks you choose will protect your initial investment, offer some growth, and have the ability to pay a growing dividend.
The S&P 500's Dividend Aristocrat list, which contains stocks on the index that have raised their dividends for at least 25 years straight, may be a good place to start, but bear in mind that past performance does not necessarily predict future returns.
For stocks with bright dividend growth ahead, retirees may want to consider the picks below.
Let me ask you this: Would you rather buy a 10-year Treasury, which currently yields about 2%, or would you rather buy a large-cap stock with a 2% dividend yield, a billion-dollar stock buyback program, and share appreciation potential?
With bond yields as low as they are, there's no contest. The Fed's zero interest rate policy has created a situation where there's nowhere to go except the stock market.
Of course, the story will change once the Fed raises interest rates, which will make it more expensive for companies to borrow on the bond market. So there is a raging debate about when that will happen.
It is always better to own stocks in such situations. Those can hedge you against inflation. Fur sure, stocks are risky but if you look at the values of a company, and you avoid the big risks by not taking very cyclic stocks into your portfolio, you should be rewarded with a solid return.
Here are some alternatives with yields over 2% and a current buyback program worth over a billion dollar...
Dividend investing has been in vogue since the start of the year given the instability in the market and global growth concerns.
In fact, investors are chasing dividend growth when fears of dividend cuts are high amid macro uncertainties.
A stock with a history of increasing dividends year over year is considered healthy and latent with higher capital appreciation opportunity irrespective of the stock market direction.
Stocks with solid dividend growth generally act as a hedge against economic uncertainty and offers downside protection with its consistent increase in payouts.
Although these stocks do not necessarily have the highest yields, they are proven outperformers over the long term.
Today I like to share those stocks with you that might create a good return in the future by growing earnings and sales.
My criteria were very simple: Positive sales growth in the past years and double-digit earnings growth forecasts for the next five years. Each of the results should have grown dividends by more than 20 consecutive years.
Here are the results...
