It was a busy week for the S&P Dividend Aristocrats, as 7 companies announced regular dividend payouts, and 5 other dividend growth stocks – all members of S&P’s High Yield Dividend Aristocrats index – announced dividend events. First, the Dividend Aristocrats:
Coke, Pepsi Announce Quarterly Dividends
The two soda giants announced their respective quarterly dividends this week, with Coca-Cola (KO) paying 30.5 cents per share on October 1st to shareholders of record on September 15th. The annualized dividend of $1.22 translates into a current yield of 2.88% and is an 8.9% increase over the prior annualized rate of $1.12. Pepsi’s (PEP) current quarterly dividend of 65.5 cents per share is payable on September 30th to shareholders of record on September 5th. Pepsi stock currently yields 2.91%. This is Pepsi’s second quarterly payment at the current rate and is a 15.4% increase over the prior quarterly rate of 56.75 cents per share. I have published summary pages for Coca-Cola and Pepsi describing their history of dividend growth where you can find more information about the companies’ record of long term dividend growth and how you can participate in their dividend reinvestment programs.
Consolidated Edison (ED), a power utility company serving the Greater New York City area, will pay a quarterly dividend of 63 cents per share on September 15th to shareholders of record on August 13th. Con Ed has increased dividends for 40 years and last increased the quarterly payout by 2.4% from 61.5 cents per share. At its current price, the stock yields 4.43%.
McDonald’s (MCD), the world’s largest foodservice retailer, will pay an 81-cent quarterly dividend on September 16th to shareholders of record on September 2nd. McDonald’s last dividend increase was paid out in December 2013 when the company increased the annualized dividend by 5.2% to the current rate of $3.24. The stock currently yields 3.27%. I have published a company summary page for McDonald’s with information about the company’s dividend growth history.
Specialty materials company PPG Industries (PPG) will pay their latest quarterly dividend of 67 cents per share on September 12th to shareholders of record on August 11th. The company has increased dividends since 1972 and last increased its quarterly dividend in June when the annualized rate went up by 9.8% from $2.44 to the current rate of $2.68. PPG stock currently yields 1.28%.
Specialty gases company Air Products (APD) will pay the third quarterly dividend of 77 cents on November 10th to shareholders of record on October 1st. This is an increase of 8.5% over the prior quarterly dividend of 71 cents. Air Products is expected to increase their dividends for the 33rd consecutive year in the first quarter of 2015. Air Products’ stock currently yields 2.37%. More information about Air Products’ dividend growth history is available on the company summary page.
The Sherwin-Williams Company (SHW), manufacturer of paint and finish products for consumer and industrial purposes, will pay a quarterly dividend of 55 cents per share on September 5th to shareholders of record on August 15th. Sherwin-Williams has increased its annual dividend for 36 consecutive years and most recently increased its annualized dividend by 10% at the beginning of 2014, from a rate of $2.00 per year to the current rate of $2.20 per year. Sherwin-Williams stock currently yields 1.04%.
Five Other Dividend Growth Stocks Announce Dividend Payouts
In addition to the S&P Dividend Aristocrats above, 5 members of S&P’s High Yield Dividend Aristocrats also had dividend events this week. High Yield Dividend Aristocrats differ from the Dividend Aristocrats in two critical ways: (1) the company need only have increased dividends for 20 consecutive years, not 25, and (2) the company must be a member of the S&P 1500 index, not just the S&P 500 index. Three of the five High Yield Aristocrats announced regular quarterly dividend payouts this week:
This Packaging Company Has Paid Dividends Since 1925
Packaging company Sonoco (SON), has paid dividends ever quarter since 1925 and increased dividends for the last 32 years. The company will pay its latest quarterly dividend of 32 cents per share on September 10th to shareholders of record on August 15th. Sonoco most recently increased their dividend by 1 cent – or 3.2% – from 31 cents per quarter in May 2014. Sonoco’s stock currently yields 3.05%.
AptarGroup, Inc. (ATR), manufacturer of dispensing solutions for beverages, food and pharmaceuticals, among other items, will pay a 28 cent per share quarterly dividend on August 20th to shareholders of record on July 30th. AptarGroup has increased dividends each year since 1993. The company’s most recent dividend increase was paid out in May when the company increased the quarterly dividend by 12% from a rate of $1.00 per year to the current rate of $1.12 per year. AptarGroup’s stock currently yields 1.70%.
Insurance company Brown & Brown, Inc. (BRO) will pay a quarterly dividend of 10 cents per share on August 13th to shareholders of record on August 8th. Brown & Brown increased its dividend for the 20th consecutive year in October 2013 and will likely announce another increase in its dividend this coming October. The increase in October 2013 was 11.1%, from an annualized rate of 36 cents per share to the current rate of 40 cents per share. Brown & Brown’s stock currently yields 1.32%.
A REIT and a Pharmaceutical Company Continue Their Record of Dividend Growth
Real estate investment trust National Retail Properties (NNN), owner of over 1900 investment properties across 47 states, announced its 25th year of dividend increases this week. The company will increase its dividend by 3.7%, from a rate of $1.62 per year to a rate of $1.68 per year. As a REIT, the dividends are treated differently from those of most other companies; investors should carefully review the dividend tax treatment information on National Retail Properties’ investor relations web site. The company’s stock currently yields 4.44% on an annualized basis.
Finally, West Pharmaceuticals Services, Inc. (WST), manufacturer of healthcare packaging, diagnostic and delivery systems, is increasing its quarterly dividend by 10%, from 10 cents per share to 11 cents per share. The new dividend will be paid on November 5th to shareholders of record on October 22nd. This is West Pharmaceutical’s 22nd consecutive annual dividend increase and will increase the stock’s yield at the current price to 1.10%.
There are 54 S&P Dividend Aristocrats that have increased dividends for more than a quarter century. See the full list of Dividend Aristocrats.