Since the goal is reliable dividend growth, I want to select companies that grow their dividends reliably. Of course, no one can predict the future. Any company can cut, freeze, or eliminate its dividend at any time. But the past holds clues to the future. Clearly, a company that has already compiled a streak of consecutive annual dividend increases is displaying evidence that it might continue to do so. The 5-year rule is certainly not the only evidence one might seek, but it is an important part.
I use the 5-year rule as a hurdle requirement: If a company does not have at least a 5-year streak of raising its dividends, it is ineligible for consideration as a true dividend-growth stock. At the moment, there are some really interesting examples of how this rule can steer investment money toward or away from certain stocks.
Source: Seeking Alpha
Related Articles:
- 2 Dividend Stocks Building Future Yield and 10 Going Ex-Dividend in January
- 23 Stocks With A Vision Of Higher Dividends
- Dividend Income Progress Update - March 2011
- Medtronic Inc. (MDT) Dividend Stock Analysis
- 2 Dividend Stocks Building Future Yield and 10 Going Ex-Dividend in January
Dividend Growth Stocks News
- 2 Dividend Stocks That are Holding Their Own in 2025 - AOL.com - 5/17/2025
- Tesla Started the Ball Rolling and It Could Mean a 9,000% Growth Driver for These 3 Dividend Stocks - The Motley Fool - 5/17/2025
- The Smartest Dividend Stocks to Buy With $5,000 Right Now - AOL.com - 5/14/2025
- 2 Dividend Stocks That are Holding Their Own in 2025 - 24/7 Wall St. - 5/17/2025
- 3 UK Dividend Stocks To Watch With Up To 5.1% Yield - Yahoo Finance - 5/15/2025
- 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
- Wal-Mart Stores, Inc. (WMT) Dividend Stock Analysis - 4/25/2025
- Abbott Laboratories (ABT) Dividend Stock Analysis - 4/18/2025
5-Year Rule in Dividend Growth Investing
Posted by D4L | Friday, April 22, 2011 | 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.