I am focused on growth and dividend income. My personal strategy revolves around setting myself up for an easy retirement by creating a portfolio which focuses on compounding dividend income and growth. Dividends are an intricate part of my strategy as I have structured my portfolio to have monthly dividend income which grows through dividend reinvestment and yearly increases. Feel free to reach out to me on Seeking AlphaAnalyst’s Disclosure:I/we have a beneficial long position in the shares of VICI, NNN, M ...

Core Insights - Companies with a strong history of dividend payments and increases are attractive to income-focused investors, with Brookfield Infrastructure, Delek Logistics, and VICI Properties recently announcing dividend hikes and offering yields up to nearly 10% [1] Brookfield Infrastructure Partners - Brookfield Infrastructure Partners LP operates in utilities, transport, midstream, and data sectors [2] - The company has increased its dividends for 16 consecutive years, with a recent quarterly payout raised by 6% to $0.43 per share, translating to an annual payout of $1.72 per share [3] - As of June 30, the annual revenue was $21.54 billion, with Q2 2025 revenues reported at $5.43 billion, exceeding consensus estimates, although the loss per share of $0.03 missed expectations [4] Delek Logistics Partners - Delek Logistics Partners LP focuses on logistics and marketing assets for crude oil and refined products in the U.S. [4] - The company has raised its dividends for 12 consecutive years, with the latest quarterly payout increased from $1.11 to $1.115 per share, equating to an annual figure of $4.46 per share [5] - Annual revenue as of June 30 was $920.21 million, with Q2 2025 revenues of $246.35 million and EPS of $0.83, both below expectations [5] VICI Properties - VICI Properties Inc. is a real estate investment trust specializing in casino and entertainment properties [6] - The company has raised its dividends for seven consecutive years, with the latest quarterly payout increased by 4% to $0.45 per share, resulting in an annual figure of $1.80 per share [7] - The current dividend yield for VICI Properties stands at 5.60% [7]

Core Viewpoint - VICI Properties' shares are down approximately 6.5% from their 52-week high, presenting a potential buying opportunity for investors, especially given the stock's current dividend yield of 5.7% and growth potential [1]. Group 1: Business Model and Income Stability - VICI Properties invests in leading casino, hospitality, wellness, entertainment, and leisure destinations, primarily through triple-net leases with an average remaining lease term of 40 years [3]. - Most leases include rent escalation clauses linked to inflation, with 42% of leases escalating this year and projected to rise to 90% by 2035, resulting in stable and steadily increasing rental income, with a 1.7% average same-store rent growth this year [4]. - The company pays out about 75% of its adjusted funds from operations (FFO) in dividends, allowing it to retain a significant portion of cash flow for reinvestment in new income-generating properties [4]. Group 2: Financial Health and Growth Potential - VICI Properties maintains a strong investment-grade balance sheet with a low leverage ratio of 5.2, providing financial flexibility for new investments [5]. - The company has consistently increased its dividend every year since its inception, achieving a 6.6% compound annual growth rate in dividends, significantly higher than the average 2.3% growth for similar REITs [6]. - The combination of stable cash flow and conservative financial metrics supports the sustainability of VICI Properties' high-yielding dividend, with ample growth drivers for future income increases [7].

These companies should continue increasing their dividends in the coming years.Buying dividend stocks is almost always a smart move, especially when focusing on companies that consistently raise their dividends. Historically, dividend stocks have outperformed those that do not pay dividends by more than two-to-one over the long term.Brookfield Infrastructure (BIPC -2.00%) (BIP 1.00%), PepsiCo (PEP -0.49%), and VICI Properties (VICI -1.29%) have excellent records of increasing their dividend payments. With m ...

Core Insights - The focus is on constructing investment portfolios that generate additional income through dividends, emphasizing companies with competitive advantages and strong financials [1] - The strategy combines high Dividend Yield and Dividend Growth to reduce dependence on stock market fluctuations [1] - A well-diversified portfolio across various sectors is recommended to minimize volatility and mitigate risk [1] Investment Strategy - The investment portfolio typically includes a blend of ETFs and individual companies, prioritizing broad diversification and risk reduction [1] - Companies with a low Beta Factor are suggested to further lower the overall risk level of the investment portfolio [1] - The selection process for high dividend yield and growth companies is meticulously curated, focusing on total return, which includes both capital gains and dividends [1] Portfolio Management - The approach aims to maximize returns while considering a full spectrum of potential income sources [1] - The goal is to create a well-crafted investment portfolio that generates extra income through dividends while reducing risk through diversification [1]

Core Insights - The market for REITs exhibits significant mispricing, presenting both opportunities for enhanced returns and challenges for investors [1][19][21] - The complexity of REITs relative to their market size contributes to this mispricing, as fewer resources are allocated for analysis [2][3][9] Group 1: Mispricing Factors - REITs have a high ratio of complexity to size, making them more prone to mispricing compared to the broader market [2] - The combined market cap of all equity REITs is approximately $1.38 trillion, with the top 10 companies accounting for nearly half of this total [4][6] - Less than $700 billion of market cap is distributed among over 250 common and preferred REIT issues, leading to small average issue sizes that limit analytical resources [9] Group 2: Analytical Challenges - REITs are difficult to analyze due to various property types and locations, requiring extensive knowledge to assess their fundamental trajectories [10][11] - Non-GAAP metrics, such as FFO and AFFO, are commonly used in the REIT industry, but definitions vary significantly across companies, complicating comparisons [12][14] - Property-level metrics and cap rates also lack standardization, leading to potential misinterpretations of performance [16][18] Group 3: Investment Opportunities - The mispricing in the REIT sector creates opportunities for skilled stock pickers to identify undervalued assets, as many REITs are trading at significant discounts to their net asset values [21][25] - The median REIT is currently trading at 84.9% of NAV, with forward FFO and AFFO multiples at 13.5X and 15.3X respectively, indicating a generally cheap valuation relative to the broader market [23][26] - Investing in a broad REIT ETF may not capture the potential of mispriced REITs, as ETFs tend to include both overvalued and undervalued stocks [24]

Company Performance - VICI Properties Inc. (VICI) experienced a decline of 1.33% in its stock price, closing at $32.64, underperforming the S&P 500 which fell by 0.13% [1] - Over the past month, VICI's shares appreciated by 2.73%, slightly underperforming the Finance sector's gain of 2.86% and outperforming the S&P 500's gain of 2.71% [1] Upcoming Earnings - The upcoming earnings disclosure for VICI is anticipated to report an EPS of $0.6, reflecting a 5.26% increase compared to the same quarter last year [2] - The consensus estimate projects a revenue of $1 billion, indicating a 3.83% rise from the equivalent quarter last year [2] Annual Forecast - Zacks Consensus Estimates forecast earnings of $2.39 per share and revenue of $4 billion for the entire year, representing changes of +5.75% and +3.86% respectively compared to the previous year [3] Analyst Forecast Revisions - Recent revisions to analyst forecasts for VICI are important as they reflect evolving short-term business trends, with positive changes indicating a favorable outlook on business health and profitability [4] Stock Performance and Zacks Rank - Changes in estimates are directly related to upcoming stock price performance, and investors can utilize the Zacks Rank system, which considers these estimate changes [5] - VICI currently holds a Zacks Rank of 2 (Buy), with the Zacks Consensus EPS estimate having shifted 0.16% upward over the past month [6] Valuation Metrics - VICI Properties Inc. is trading at a Forward P/E ratio of 13.85, which is a premium compared to the industry average Forward P/E of 11.73 [7] - The company has a PEG ratio of 3.27, higher than the average PEG ratio of 2.62 for REIT and Equity Trust - Other stocks [8] Industry Context - The REIT and Equity Trust - Other industry, part of the Finance sector, holds a Zacks Industry Rank of 150, placing it in the bottom 40% of over 250 industries [9]

Core Viewpoint - VICI Properties Inc. is a significant player in the experiential real estate investment trust (REIT) sector, with a market capitalization of $35.4 billion, focusing on gaming, hospitality, and entertainment properties [1][2]. Company Overview - VICI Properties Inc. is based in New York and owns notable assets such as Caesars Palace Las Vegas, MGM Grand, and the Venetian Resort Las Vegas, positioning itself as a leader in experiential real estate [1]. - The company is classified as a large-cap stock, reflecting its size and influence within the diversified REIT industry [2]. Financial Performance - In Q2, VICI reported a 4.6% year-over-year revenue increase to $1 billion, slightly exceeding consensus estimates, driven by higher income from sales-type leases and lease financing [5]. - The company's AFFO per share rose 5.3% from the previous year to $0.60, aligning with Wall Street expectations, and it raised its fiscal 2025 AFFO per share guidance to between $2.35 and $2.37 [5]. Stock Performance - VICI's shares are currently trading 3.3% below their 52-week high of $34.29, reached on September 16, 2024, and have gained 1.8% over the past three months, outperforming the Real Estate Select Sector SPDR Fund (XLRE) [3][4]. - Year-to-date, VICI shares are up 13.5%, significantly outpacing XLRE's 4.1% increase, although they have declined 1.2% over the past 52 weeks, still better than XLRE's 5.7% drop [4]. - The stock has been trading above its 200-day and 50-day moving averages since early June, indicating a bullish trend despite minor fluctuations [4].

Core Viewpoint - Many investors are attracted to dividend-paying stocks, particularly real estate investment trusts (REITs), due to their requirement to distribute at least 90% of taxable income as dividends [1] Group 1: Realty Income - Realty Income has been operating for over 50 years and owns more than 15,600 properties, primarily generating rental income from retailers, which account for about 80% of its annual rent [4] - The company maintains a high occupancy rate of 98.6% and has achieved a 3.4% increase in rental renewal rates during the second quarter [5] - Realty Income has a history of consistently increasing dividends, having raised payouts annually for approximately 30 years, with a current annualized dividend rate of $3.23 [6][7] - The stock offers a dividend yield of 5.4%, compared to the FTSE Nareit All Equity REITs Index yield of 4% as of the end of July [9] Group 2: Vici Properties - Vici Properties, established in 2017, focuses on leasing properties to gaming and entertainment companies, which are subject to economic cycle fluctuations [10]

Core Insights - VICI Properties has a high-quality portfolio of gaming, hospitality, and entertainment assets, supported by long-term triple-net lease agreements that ensure stable rental revenues [1] - The company recently increased its quarterly cash dividend by 4% to 45 cents per share, resulting in a dividend yield of 5.43% based on a share price of $33.15 [2] - Analysts are optimistic about VICI, with a consensus estimate for 2025 FFO per share rising to $2.39, and the company's shares have increased by 13.5% year-to-date, outperforming the industry [3] Portfolio and Lease Structure - VICI Properties holds a robust portfolio of 54 gaming and 39 experiential properties, including iconic locations like Caesars Palace and MGM Grand, with an average lease term of 40.1 years and a 100% occupancy rate [5][7] - The lease agreements are designed to be inflation-protected, with 42% of the rent roll linked to CPI escalation in 2025, projected to rise to 90% by 2035, ensuring steady cash flow growth [6] Financial Performance and Growth - Since its inception in 2017, VICI has achieved a 377% increase in adjusted EBITDA and has diversified its portfolio to include experiential assets, reducing exposure to gaming-specific risks [7][8] - The company has maintained an annual dividend growth rate of 6.6% since 2018, surpassing many competitors in the triple-net REIT sector [11] Balance Sheet and Credit Ratings - As of June 30, 2025, VICI Properties had liquidity of $3.0 billion and a net leverage ratio of 5.2, within its long-term target of 5.0-5.5 [9] - The company holds investment-grade credit ratings from Moody's, S&P Global Ratings, and Fitch Ratings, facilitating favorable access to the debt market [10]