When a stock's dividend payment is decreased, I'll generally remove it from my watch list. And if I happen to own shares in a stock that decreases its dividend payment, I'll consider selling my shares. As I've said before, this blog is about dividend growth stocks, not dividend shrink stocks!
The following table provides a summary of recent dividend increases for stocks in my watch list, sorted by the last column, %Increase. Dividend amounts are annualized.
Highlighted in the table is TGH, a stock in DivGro.
TGH's modest dividend increase raises its current yield to 5.51%. The next quarterly dividend of 47 cents per share will be payed on August 27, to shareholders of record on August 14.
Notice that AZN shows a significant dividend decrease. Some global stocks that trade as American Depository Receipts (ADRs) on local exchanges have a pattern of paying one smaller dividend and one larger dividend every year. AZN pays dividends in February and August. The pattern for AZN since 2010 looks like this:
VOD shows a significant dividend increase for a similar reason. It has a pattern of paying dividends in June and November, so I'm taking the 105.23% dividend increase with a grain of salt.
Full Disclosure: Long TGH
The following table provides a summary of recent dividend increases for stocks in my watch list, sorted by the last column, %Increase. Dividend amounts are annualized.
Dividend Increases: Jul 16 - Aug 15, 2013
Company |
Ticker |
Price (Aug 14) |
Previous Dividend |
New Dividend |
Current Yield |
%Increase |
|
|
VOD
|
30.02 | 1.02 | 2.09 | 6.95% | +105.23 | |
| Union Pacific Corporation |
UNP
|
156.78 | 2.76 | 3.16 | 2.02% | +14.49 | |
| Petmed Express Inc |
PETS
|
15.68 | 0.60 | 0.68 | 4.34% | +13.33 | |
| Wisconsin Energy Corporation |
WEC
|
41.60 | 1.36 | 1.53 | 3.68% | +12.50 | |
| Kinder Morgan Inc |
KMI
|
37.61 | 1.52 | 1.60 | 4.25% | +5.26 | |
| Kellogg Company |
K
|
64.46 | 1.76 | 1.84 | 2.85% | +4.55 | |
| Norfolk Southern Corp. |
NSC
|
73.55 | 2.00 | 2.08 | 2.83% | +4.00 | |
| Leggett & Platt, Inc. |
LEG
|
29.86 | 1.16 | 1.20 | 4.02% | +3.45 | |
| Main Street Capital Corporation |
MAIN
|
29.13 | 1.86 | 1.92 | 6.59% | +3.23 | |
| Alliance Holdings GP, L.P. |
AHGP
|
63.83 | 3.05 | 3.14 | 4.92% | +2.95 | |
| Omega Healthcare Investors Inc |
OHI
|
29.98 | 1.84 | 1.88 | 6.49% | +2.17 | |
| Textainer Group Holdings Limited |
TGH
|
34.12 | 1.84 | 1.88 | 5.51% | +2.17 | |
| Teva Pharmaceutical Industries Ltd |
TEVA
|
40.38 | 1.07 | 1.09 | 2.71% | +2.03 | |
| Alliance Resource Partners, L.P. |
ARLP
|
74.85 | 4.52 | 4.61 | 6.16% | +1.99 | |
| Community Trust Bancorp, Inc. |
CTBI
|
39.29 | 1.26 | 1.28 | 3.26% | +1.59 | |
| Energy Transfer Equity, L.P. |
ETE
|
65.21 | 2.58 | 2.62 | 4.02% | +1.55 | |
| Kinder Morgan Energy Partners LP |
KMP
|
82.00 | 5.20 | 5.28 | 6.44% | +1.54 | |
| GlaxoSmithKline plc |
GSK
|
51.53 | 2.20 | 2.21 | 4.29% | +0.54 | |
| AstraZeneca plc |
AZN
|
49.71 | 3.80 | 1.80 | 3.62% | -52.63 |
Highlighted in the table is TGH, a stock in DivGro.
TGH's modest dividend increase raises its current yield to 5.51%. The next quarterly dividend of 47 cents per share will be payed on August 27, to shareholders of record on August 14.
Notice that AZN shows a significant dividend decrease. Some global stocks that trade as American Depository Receipts (ADRs) on local exchanges have a pattern of paying one smaller dividend and one larger dividend every year. AZN pays dividends in February and August. The pattern for AZN since 2010 looks like this:
( $1.71 $0.70 ) ( $1.85 $0.85 ) ( $1.95 $0.90 ) ( $1.90 $0.90 )By paying $0.90 this month, AZN has confirmed a year-on-year dividend decrease, though the decrease is less than 2%. I'll probably remove AZN from my watch list for this reason.
VOD shows a significant dividend increase for a similar reason. It has a pattern of paying dividends in June and November, so I'm taking the 105.23% dividend increase with a grain of salt.
Full Disclosure: Long TGH
Thanks for the update. I am starting to get interested in WEC, I think I'll add it to my watch list. Do you know if AZN reduced the dividend in its native currency or is the decrease a result of exchange rates?
ReplyDeleteYes, WEC looks interesting! I'm not sure if the lower dividend payment is due to exchange rates -- good question, though. I'll see what Dave Fish does with AZN in the US Dividend Champions list, then decide if I'll drop it from my watch list or not.
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