10 Undervalued Dividend Growth Stocks: January 2025

This monthly article series identifies 10 Undervalued Dividend Growth Stocks for further research and possible investment.

I present the top-ranked candidates based on quality scores. These high-quality, undervalued dividend growth stocks are candidates for your dividend growth portfolio.

As always, I recommend doing your own analysis before investing in these stocks.

This month, I'm presenting the ten top-ranked undervalued dividend growth stocks that yield at least 3.5%.

January 2025 Newsletter

Welcome to the JANUARY edition of my DivGro 2.0 newsletter!

I provide a quick market recap and an overview of my DivGro portfolio (as of 31 December 2024).

In December, I opened four new positions and closed three existing positions, so DivGro contained 79 positions on 31 December 2024. Of these, 68 are dividend growth [DG] stocks, three are dividend-paying stocks, and four are closed-end funds. By convention, I label stocks with dividend increase streaks of five or more years DG stocks.

Elevance Health Dividend Increase

On 23 January, Elevance Health (ELV) increased its quarterly dividend by 4.91%, from $1.63 to $1.71 per share.

The dividend is payable on 25 March to shareholders of record on 10 March.

ELV's contribution to DivGro's projected annual dividend income will increase by $22.40 to $478.80.

Air Products and Chemicals Dividend Increase

On 23 January, Air Products and Chemicals (APD) increased its quarterly dividend by 1.13%, from 1.77¢ to 1.79¢ per share.

The dividend is payable on 12 May to shareholders of record on 1 April.

APD's contribution to DivGro's projected annual dividend income will increase by $501.20 to $501.20.

Alliant Energy Dividend Increase

On 20 January, Alliant Energy (LNT) increased its quarterly dividend by 5.73%, from 48¢ to 50.75¢ per share.

The dividend is payable on 18 February to shareholders of record on 31 January.

LNT's contribution to DivGro's projected annual dividend income will increase by $26.4 to $487.20.

Mastercard Dividend Increase

On 17 December, Mastercard (MA) increased its quarterly dividend by 15.15%, from 66¢ to 76¢ per share.

The dividend will be paid on 7 February 2025 to shareholders of record on 9 January 2025. The ex-dividend date is 9 January 2025.

MA's contribution to DivGro's projected annual dividend income will increase by $20 to $152.

Waste Management Dividend Increase

On 16 December, Waste Management (WM) increased its quarterly dividend by 10.00%, from 75¢ to 82.5¢ per share.

The dividend will be paid in March 2025.

WM's contribution to DivGro's projected annual dividend income will increase by $24 to $264.

December 2024 Newsletter

Welcome to the DECEMBER edition of my DivGro 2.0 newsletter!

As usual, I provide a quick market recap, an overview of my DivGro portfolio (as of 30 November 2024), and four new top-10 lists!

In November, I trimmed three positions and added shares to two existing positions, so DivGro still contains 78 positions. Of these, 72 are dividend growth [DG] stocks, two are dividend-paying stocks, and four are closed-end funds. By convention, I label stocks with dividend increase streaks of five or more years DG stocks.

Broadcom Dividend Increase

On 12 December, Broadcom (AVGO) increased its quarterly dividend by 11.32%, from 59¢ to 52¢ per share.

The dividend will be paid on 31 December to shareholders of record on 23 December. The ex-dividend date is 23 December.

AVGO's contribution to DivGro's projected annual dividend income will increase by $23 to $236.

PACCAR Dividend Increase

On 10 December, PACCAR (PCAR) increased its quarterly dividend by 10%, from 30¢ to 33¢ per share.

The dividend will be paid on 5 March 2025 to shareholders of record on 12 February 2025. The ex-dividend date is 12 February 2025.

The company also declared a special dividend of $3.00 per share, payable on 8 January 2025, to shareholders of record on 20 December 2024. 

PCAR's contribution to DivGro's projected annual dividend income will increase by $18 to $198.

Bristol-Myers Squibb Dividend Increase

On 11 December, Bristol-Myers Squibb (BMY) increased its quarterly dividend by 3.33%, from 60¢ to 62¢ per share.

The dividend will be paid on 3 February 2025 to shareholders of record on 3 January 2025. The ex-dividend date is 3 January 2025.

BMY's contribution to DivGro's projected annual dividend income will increase by $24 to $744.

Realty Income Dividend Increase

On 10 December, Realty Income (O) increased its monthly dividend by 0.19%, from 26.35¢ to 26.40¢ per share.

Payable Jan. 15; for shareholders of record Jan. 2; ex-div Jan. 2.

The new dividend will be paid on 15 January 2025 to shareholders of record on 2 January 2025. The ex-dividend date is 2 January 2025.

O's contribution to DivGro's projected annual dividend income will increase by $1.50 to $612.

Amgen Dividend Increase

On 10 December, Amgen (AMGN) increased its quarterly dividend by 5.78%, from $2.25¢ to $2.38¢ per share.

The dividend will be paid on 7 March 2025 to shareholders of record on 14 February 2025. The ex-dividend date is 14 February 2025.

AMGN's contribution to DivGro's projected annual dividend income will increase by $26 to $476.

Stryker Dividend Increase

On 10 December, Stryker (SYK) increased its quarterly dividend by 5%, from 80¢ to 84¢ per share.

The dividend will be paid on 31 January 2025 to shareholders of record on 31 December 2024. The ex-dividend date is 31 December 2024.

SYK's contribution to DivGro's projected annual dividend income will increase by $8 to $168.

WEC Energy Dividend Increase

On 5 December, WEC Energy (WEC) increased its quarterly dividend by 6.87%, from 83.5¢ to 89.25¢ per share.

The dividend will be paid on 1 March 2025 to shareholders of record on 14 February 2025. The ex-dividend date is 14 February 2025.

WEC's contribution to DivGro's projected annual dividend income will increase by $69 to $1,071.

Aflac Dividend Increase

On 2 December, Aflac (AFL) increased its quarterly dividend by 16%, from 50¢ to 58¢ per share.

The dividend will be paid on 3 March 2025 to shareholders of record on 19 February 2025. The ex-dividend date is 19 February 2025.

AFL's contribution to DivGro's projected annual dividend income will increase by $64 to $464.

Nike Dividend Increase

On 15 November, Nike (NKE) increased its quarterly dividend by 8.11%, from 37¢ to 40¢ per share.

The dividend will be paid on 2 January 2025 to shareholders of record on 2 December 2024. The ex-dividend date is 2 December 2024.

NKE's contribution to DivGro's projected annual dividend income will increase by $39.60 to $528.

Snap-on Dividend Increase

On 8 November, Snap-on (SNA) increased its quarterly dividend by 15.1%, from $1.86 to $2.14 per share.

The dividend will be paid on 10 December to shareholders of record on 21 November. The ex-dividend date is 21 November.

SNA's contribution to DivGro's projected annual dividend income will increase by $67.20 to $513.60.

The Dividend Aristocrats Ranked By Quality Scores: November 2024

The S&P 500 Dividend Aristocrats Index contains 66 dividend growth stocks called the Dividend Aristocrats. With a few exceptions, the Dividend Aristocrats are S&P 500 companies with higher dividend payouts every year for 25 or more years. 

In this article, I rank the 66  Dividend Aristocrats by quality scores, categorizing them into undervalued and overvalued stocks.

I consider stocks undervalued if they pass three valuation screens.

November 2024 Newsletter

Welcome to the NOVEMBER edition of my DivGro 2.0 newsletter!

In this month's edition, I provide a quick market recap and an overview of my DivGro portfolio (as of 31 October 2024).

I'm back with four new top-10 lists. If you're looking for undervalued stocks, these lists will provide you with some candidates for further research and possible investment. 

Evergy Dividend Increase

On 7 November, Energy  (EVRG) increased its quarterly dividend by 3.89%, from 64.25¢ to 66.75¢ per share.

The dividend will be paid on 20 December to shareholders of record on 21 November. The ex-dividend date is 21 November.

EVRG's contribution to DivGro's projected annual dividend income will increase by $30 to $801.

Atmos Energy Dividend Increase

On 6 November, Atmos Energy (ADP) increased its quarterly dividend by 8.07%, from 81¢ to 87¢ per share.

The dividend will be paid on 9 December to shareholders of record on 25 November. The ex-dividend date is 25 November.

ATO's contribution to DivGro's projected annual dividend income will increase by $52 to $696.

Automatic Data Processing Dividend Increase

On 6 November, Automatic Data Processing (ADP) increased its quarterly dividend by 10%, from $1.40 to $1.54 per share.

The dividend will be paid on 1 January 2025 to shareholders of record on 13 December 2024. The ex-dividend date is 13 December 2024.

ADP's contribution to DivGro's projected annual dividend income will increase by $56 to $616.

Main Street Capital Dividend Increase

Main Street Capital (MAIN) increased its monthly dividend by 2.04%, from 24.5¢ to 25¢ per share.

The dividend will be paid on 15 January 2025 to shareholders of record on 8 January 2025. The ex-dividend date is 8 January 2025.

MAIN's contribution to DivGro's projected annual dividend income will increase by $12 to $600.

Home Run Number 54

I'm happy to announce that DivGro just delivered its 54^th Home Run! When a stock in my portfolio doubles my original investment in total returns, I assign it Home Run status. 

I'm primarily a dividend growth investor. I invest in high-quality dividend growth stocks with long histories of increasing annual dividend payouts. 

Unless the underlying fundamentals change, there's rarely a reason to sell these stocks. And if I hold them long enough, they'll eventually double my original investment in total returns and become Home Run stocks!