Dividend Aristocrat for Long Term Investing

Discussion in 'Investing' started by Gray Wolf, Dec 2, 2016.

  1. Gray Wolf

    Gray Wolf Well-Known Member

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    Use this thread to discuss stocks that are members of the aristocrat list. Questions, comments and opinions on entry points would be appreciated.


    The article does link to the individual stocks analysis but hey that's what forums are for as well so here is the list below

    The Dividend Aristocrats In Focus Analysis Series
    You can see analysis on every single Dividend Aristocrat below. Dividend Aristocrats are sorted by GICS sectors and listed in alphabetical order by name:

    Note: The Dividend Aristocrats in Focus series for 2016 was finished on November 23rd. The series starts in October every year.

    Consumer Staples

    Industrials

    Health Care

    Consumer Discretionary

    Financials

    Materials

    Energy

    Information Technology

    Real Estate

    Telecommunication Services

    Utilities

    Great information on each of these aristocrats
     
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  2. Alexis John

    Alexis John New Member

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    The best long term dividend stocks to invest in will be:
    Coco cola
    The company increased its quarterly dividend in February by six percent to $0.35 per share. At today’s price, KO stock has an annual dividend yield of 3.28%. In the past 10 years, the company’s quarterly dividend payment has more than doubled.
    P&G
    With 65 global brands under its belt, Procter & Gamble Co (NYSE:pG) has a leading market position in many of the product categories in which it competes worldwide. Due to its diversified product portfolio of everyday consumable items such as baby, family health, and beauty products, P&G is one of the few solid dividend-paying stocks which you may want to hold forever in order to obtain a decent dividend check each quarter.
    Microsoft Corp
    I believe MSFT stock is one of the best long term dividend stocks for investors in 2017, as Microsoft is revamping its sales strategy to focus on the cloud and a subscription-based revenue model for its “Office” products. On top of dividend payments, Microsoft stock gained over 13% in the past year, beating benchmark indices and many other technology giants.
     
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  3. Dre4

    Dre4 Member

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    Many of these don't surprise me, I'm invested in a high dividend yield ETF and the top 10 holdings there are listed here. Will definitely invest in some of them.

    One stock I'm hearing about that has been good with dividends is CoreCivic (CXW). DY of 6.78%, PO Ratio of 64.6%, however dividend growth has only been going on for 3 years. They haven't been around as long as the likes of Coke and PG but seems like someone to keep an eye on.
     
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  4. anotherdevilsadvocate

    anotherdevilsadvocate Well-Known Member

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    Sounds good. Just 17 more years til they can be an aristocrat right? These aristocrats are definitely great ideas for dividend investors.
     
  5. Gray Wolf

    Gray Wolf Well-Known Member

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    First, Part of my rules for a dividend stock is that they have to have at LEAST 5 years in dividend growth to even be considered and usually when you get into that range +6% yield I am more comfortable with going with Closed End Funds. So for now CXW would be avoided by me for that reason alone. More importantly though is look at the chart since August. That is when all of the correction stocks took a HUGE hit because it looked like government is getting ready to fire them. All kinds of problems with private prison companies. Now, it does look a little different now since Trump got elected because with his immigration policy I suspect jails will be getting filled more and private prisons will be given some leeway in how they operate. This will come to an end one day. I would not feel good with that in my long term portfolio. Just my thoughts :D
     
  6. Dre4

    Dre4 Member

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    Long term, yeah things might not end well. With the stock taking that dip you mentioned, it would be a good value play coupled with their dividends in the intermediate term (1-2 years) especially if Trump makes it through an entire term. If I had to choose between CXW and one of the staples and I was given not much of a trading budget, I would take the staple. This is just a play that I would make in addition to the likes of KO, PG, and JNJ.
     
  7. Gray Wolf

    Gray Wolf Well-Known Member

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    Not sure if this interests you or not, but if you like to look at 6 to 8 percent yielders that are consistent, look at my post in:

    http://stockaholics.net/threads/a-look-at-closed-end-funds.1291/

    It is a long post but lots of information in there on how to evaluate a CEF. There is risk involved like anything else in the market but these are pretty good long term income producers. There are quite a few monthly payers as well as quarterly.
     
  8. Dre4

    Dre4 Member

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    Thanks for the link! I've given those 9 CEF's a look and 3 of them seem very appealing. I'll have to do more research before jumping in, but they seem like good candidates to join my dividend ETF holdings.
     
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  9. Gwen John

    Gwen John New Member

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    What are the chances of AAPL, MSFT to enter this kind of list.
     
  10. Gray Wolf

    Gray Wolf Well-Known Member

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    I linked to a sheet in your other post. MSFT is on that sheet I linked to on the "Contenders" tab. AAPL not so much as they have not been paying very long and are inconsistent on growth of dividend at this point.

    Here's the link to the Dividend Champion spreadsheet again so you don't have to go back to it.

    http://www.dripinvesting.org/tools/U.S.DividendChampions.xls
     
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  11. Gwen John

    Gwen John New Member

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    Thats great insight.
    Thanks
     
  12. Gray Wolf

    Gray Wolf Well-Known Member

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  13. Dre4

    Dre4 Member

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    Awesome, thanks for the update! I've always wondered how often stocks fall off this list. Would love to know how many fell off circa 2008.
     
  14. Gray Wolf

    Gray Wolf Well-Known Member

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    I can actually show you that. :D
    Try this link: https://1drv.ms/x/s!ApcKqV3khCnAgaZmCUb9jVg5luYy0A
    I picked this sheet up in 2016 so data ends at end f 2015. I have not been able to find the current version but it does show the history you were wondering about.
     
  15. Dre4

    Dre4 Member

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    Just checked out the link, quite a few banks that dropped off in 08. Not surprised by some of the fall offs during the tech bubble.

    I noticed Nucor (NUE) fell off in 08 but then came back in 2012. Is this an error or some special situation?
     
  16. Jonathan Wiley

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    Here is an updated version of profitable stocks: VF Corporation (NYSE:VFC), AbbVie (NYSE:ABBV), Medtronic (NYSE:MDT), Illinois Tool Works (NYSE:ITW), and Lowe's Companies (NYSE:LOW) have raised their dividends by more than 40% over the last three years.
    These dividend cash cows could be the latest in a long string of market-beating stocks Income Investor has picked over the years.
     
  17. ElectricSavant

    ElectricSavant Active Member

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