Dividend growth stocks deserve a place in your portfolio, no matter how modest the allocation, simply because they often return 100% to 200% or better relatively quickly as their payouts rise. You’ve probably noticed you rarely see your favorite stock paying more than 2% or 3%, even if the company raises its dividend every year. That’s because its price gets bid up as its payout rises – so you never quite get the bargain 4% yield you’re always waiting for, unless something really bad happens (like 2008).
I’d ditch the expensive blue chips for underappreciated midcaps – which usually outperform their larger counterparts anyway. Here are four stocks from my watch list trading at less than 10-times free cash flow. All are growing their payouts quickly AND reducing their share counts meaningfully – a bullish sign of things to come: SunTrust Banks, Inc. (STI), Travelers Companies Inc (TRV), Valero Energy Corporation (VLO) and GATX Corporation (GATX).
Source: InvestorPlace
Related Articles:
- 10 Stocks That Have Paid Dividends Since The 1800s
- Are You Patient Enough To Be Wealthy? These 7 Dividend Stocks Will Help You Wait
- Three Keys For Successful Dividend Growth Investing
- 5 Exceptional Dividend Growth Stocks With Quality Financials
- 10 High-Yielding Dividend Aristocrats Not Afraid to Raise Their Dividends
Dividend Growth Stocks News
- Top 50 High-Quality Dividend Stocks For June 2025 - Seeking Alpha - 6/3/2025
- Under the Radar: Why Low-Profile Dividend Stocks Could Be Your Best Asset - Benzinga - 6/3/2025
- 3 Small-Cap Dividend Stocks Under $50 With Big Potential - 24/7 Wall St. - 6/3/2025
- Costamare Joins Two Strong Dividend Stocks For Your Portfolio - Yahoo - 6/3/2025
- 3 Low-Priced Dividend Stocks Paying Over 5% Right Now - 24/7 Wall St. - 6/3/2025
- Genuine Parts Company (GPC) Dividend Stock Analysis - 5/30/2025
- AFLAC Incorporated (AFL) Dividend Stock Analysis - 5/23/2025
- Automatic Data Processing Inc. (ADP) Dividend Stock Analysis - 5/16/2025
- Air Products and Chemicals Inc. (APD) Dividend Stock Analysis - 5/9/2025
- Waste Management, Inc. (WM) Dividend Stock Analysis - 5/2/2025
4 Dirt-Cheap Dividend Growth Stocks
Posted by D4L | Saturday, October 29, 2016 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.