Dividends4Life: Verizon (VZ) Boosts Qtr. Dividend 7% and Other Increases

What if you don't want to spend your retirement managing and worrying about your portfolio? Put it on Auto Pilot, specifically on a Dividend Investing Auto Pilot. Dividends from a quality, well-diversified portfolio are much more predictable than capital gains and best of all, they are passive. You don't have to do anything, they just show up in your brokerage account each quarter. Inflation? Not to worry, the good companies routinely raise their dividends well in excess of the inflation rate.

Below are several select companies that recently decided to help their shareholders beat inflation by boosting their cash dividends:

  • Verizon (VZ) Boosts Qtr. Dividend 7% to $0.46/Share (5.24% yield)
  • Friedman Industries (FRD) Raises Qtr. Dividend 50% to $0.12/Share (5.99% yield)
  • Supertel Hospitality (SPPR) Increases Qtr. Dividend 2% to $0.1275/Share (11.11% yield)
  • Tyco International (TYC) Boosts Qtr. Dividend 33% to $0.20/Share (1.98% yield)
  • Kraft Foods (KFT) Increases Quarterly Dividend by 7.4% to $0.29/Share (3.54% yield)
After running these companies through my D4L-PreScreen.xls model, none achieved the necessary NPV of MMA Differential to justify a full evaluation. Though they were short of my target, VZ ($2,136) had a positive NPV of MMA Differential and shows future potential.

Disclosure: No position in any of the aforementioned stocks.

(Photo: Steve Woods)


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3 comments

  1. MG (moneygardener) // September 11, 2008 at 7:40 AM

    Always nice to see some healthy dividend increases in a turbulent market.

  2. Anonymous // September 11, 2008 at 9:40 AM

    The only stock from that list that has increased its dividends longest seems to be KFT, but its still less than 10 years..

  3. MG (moneygardener) // September 11, 2008 at 10:16 AM

    By the sounds of it they've ruined Kraft Dinner...stay away!

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