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Why Canadian National (CNI) is a Top Dividend Stock for Your Portfolio
ZACKS· 2025-08-01 16:46
Company Overview - Canadian National (CNI) is based in Montreal, Quebec, and operates in the Transportation sector, specifically in railroads [3] - The company's shares have experienced a price change of -7.94% this year [3] Dividend Information - CNI currently pays a dividend of $0.65 per share, resulting in a dividend yield of 2.77%, which is higher than the Transportation - Rail industry's yield of 1.45% and the S&P 500's yield of 1.48% [3] - The annualized dividend of $2.59 has increased by 5.7% from the previous year [4] - Over the last five years, CNI has raised its dividend five times, achieving an average annual increase of 7.31% [4] - The current payout ratio is 50%, indicating that the company pays out half of its trailing 12-month earnings per share as dividends [4] Earnings Growth Expectations - For the fiscal year, CNI anticipates solid earnings growth, with the Zacks Consensus Estimate for 2025 projected at $5.75 per share, reflecting a year-over-year growth rate of 11.00% [5] Investment Considerations - CNI is viewed as a compelling investment opportunity due to its strong dividend profile and current Zacks Rank of 3 (Hold) [6] - Established firms like CNI are often preferred by income investors for their secure profits, although high-growth businesses typically do not offer dividends [6]
Why Peoples Financial Services (PFIS) is a Top Dividend Stock for Your Portfolio
ZACKS· 2025-08-01 16:45
Company Overview - Peoples Financial Services (PFIS) is based in Dunmore and operates in the Finance sector, with a year-to-date share price change of -4.83% [3] - The company is the holding entity for Peoples Security Bank and Trust, currently offering a dividend of $0.62 per share, resulting in a dividend yield of 5.07%, significantly higher than the Banks - Northeast industry's yield of 2.67% and the S&P 500's yield of 1.48% [3] Dividend Performance - The current annualized dividend of $2.47 represents a 20.2% increase from the previous year [4] - Over the past five years, PFIS has increased its dividend four times, achieving an average annual increase of 11.43% [4] - The company's current payout ratio stands at 52%, indicating that it distributes 52% of its trailing 12-month earnings per share as dividends [4] Earnings Growth Expectations - For the fiscal year 2025, the Zacks Consensus Estimate projects earnings of $5.97 per share, reflecting a year-over-year growth rate of 58.36% [5] - The company is positioned as an attractive dividend investment, appealing to income investors due to its solid earnings growth prospects and favorable dividend yield [6] Investment Considerations - PFIS is characterized as a compelling investment opportunity, not only due to its attractive dividend but also because it holds a strong Zacks Rank of 1 (Strong Buy) [6]
If I Could Only Buy 2 Dividend Stocks, It Would Be These
Seeking Alpha· 2025-08-01 12:15
Group 1 - The approach has garnered over 180 five-star reviews from satisfied members, indicating a strong positive reception and effectiveness in maximizing returns [1] - The company invests significant resources, including thousands of hours and over $100,000 annually, into researching profitable investment opportunities, aiming to provide high-yield strategies at a low cost [1] Group 2 - Samuel Smith, a lead analyst and Vice President at various dividend stock research firms, has a strong educational background in engineering and mathematics, enhancing his analytical capabilities [2] - The High Yield Investor group, led by Samuel Smith, focuses on balancing safety, growth, yield, and value, offering real-money portfolios and educational content to its members [2]
2 High-Yield Dow Jones Stocks to Buy in August
The Motley Fool· 2025-08-01 08:05
Group 1: High-Yield Dividend Stocks - The Dow Jones Industrial Average includes 30 industry-leading companies that provide high-yield dividend stocks, offering solid options for passive income [1] - The average yield on the S&P 500 and Dow Jones ranges from 1.13% to 1.50%, with Dow Jones stocks paying yields over twice the S&P 500 average [2] Group 2: Verizon Communications - Verizon has increased its dividend for 18 consecutive years, currently offering a forward dividend yield of 6.24% with a quarterly payment of $0.6775 [4] - Verizon's trailing yield of 6.4% is significantly higher than AT&T's 4%, indicating it may be undervalued [5] - Verizon reported total revenue growth of 5.2% year over year in the second quarter, outperforming AT&T's 3.5% growth [6] - The company has over 5 million fixed wireless subscribers and aims to reach at least 8 million by 2028, with an acquisition of Frontier Communications expected to boost growth [7] - Verizon's C-band rollout is ahead of schedule, enhancing its 5G Ultra Wideband service and doubling its 5G speeds [8] - The company generated $19.6 billion in free cash flow over the last year, paying less than 60% in dividends, allowing for reinvestment in the business [9] Group 3: Procter & Gamble - Procter & Gamble has paid a dividend every year since 1890, with a portfolio of household products that ensures consistent sales [11] - Despite economic headwinds, P&G's adjusted sales and earnings grew 1% year over year in the most recent quarter [12] - The company has a profit margin of 18%, allowing it to reinvest in the business while funding dividend payments [13] - P&G has increased its dividend for 69 consecutive years, with a compound annual growth rate of 5% over the last decade, currently offering a forward yield of 2.68% [15] - The company produced $15 billion in free cash flow over the last year, paying out two-thirds in dividends [15] - Analysts expect P&G's adjusted earnings to grow at an annualized rate of 4% over the long term, with dividends likely to grow in line with earnings [16]
2 Magnificent Dividend Stocks to Buy in August
The Motley Fool· 2025-08-01 07:07
The following companies have churned out consistent sales and profits for decades and can help you secure growing cash deposits in your account for a lifetime. Investors don't have to settle for a 1.18% dividend yield from an S&P 500 index fund. Investors looking to build their passive income are choosing the right time to do so. While the average yield on the S&P 500 has sunk to a measly 1.18%, top consumer brands with a long history of dividend increases are paying yields that are double the market averag ...
Why German American Bancorp (GABC) is a Top Dividend Stock for Your Portfolio
ZACKS· 2025-07-31 16:46
Company Overview - German American Bancorp (GABC) is located in Jasper and operates in the Finance sector, with a year-to-date share price change of -3.43% [3] - The company currently pays a dividend of $0.29 per share, resulting in a dividend yield of 2.99%, which is slightly below the Banks - Midwest industry's yield of 3.07% but significantly higher than the S&P 500's yield of 1.46% [3] Dividend Performance - The current annualized dividend of GABC is $1.16, reflecting a year-over-year increase of 7.4% [4] - Over the past five years, GABC has raised its dividend five times, achieving an average annual increase of 8.99% [4] - The company's current payout ratio stands at 39%, indicating that it distributes 39% of its trailing 12-month earnings per share as dividends [4] Earnings Growth Expectations - For the fiscal year 2025, GABC anticipates solid earnings growth, with the Zacks Consensus Estimate projecting earnings of $3.36 per share, which corresponds to a year-over-year growth rate of 18.73% [5] Investment Appeal - GABC is characterized as an attractive dividend play and a compelling investment opportunity, currently holding a Zacks Rank of 2 (Buy) [6]
1 Company Who Recently Cut Its Dividend By 69%, And 1 Who Could Potentially Cut In The Near Future
Seeking Alpha· 2025-07-31 11:10
Core Insights - A significant number of companies have reduced their dividends in recent years, including notable names like Walgreens and Leggett & Platt [1] Group 1 - The article highlights the trend of dividend cuts among companies, particularly those that were once considered reliable dividend payers [1] - The author expresses a personal investment philosophy focused on quality blue-chip stocks, business development companies (BDCs), and real estate investment trusts (REITs) [1] - There is an emphasis on the goal of helping lower and middle-class workers build investment portfolios centered around high-quality, dividend-paying companies [1]
Invesco (IVZ) is a Top Dividend Stock Right Now: Should You Buy?
ZACKS· 2025-07-30 16:46
Core Insights - The focus for income investors is generating consistent cash flow from liquid investments, primarily through dividends, bond interest, and other investment interests [1][2] Company Overview - Invesco (IVZ), headquartered in Atlanta, has experienced a price change of 24.26% this year and currently pays a dividend of $0.21 per share, resulting in a dividend yield of 3.87% [3] - The Financial - Investment Management industry has a yield of 2.79%, while the S&P 500's yield is 1.48% [3] Dividend Performance - Invesco's current annualized dividend of $0.84 has increased by 3.1% from the previous year, with an average annual increase of 7.66% over the last five years [4] - The company's payout ratio is 48%, indicating that it paid out 48% of its trailing 12-month EPS as dividends [4] Earnings Growth Expectations - For the fiscal year, Invesco expects solid earnings growth, with the Zacks Consensus Estimate for 2025 at $1.79 per share, reflecting a year-over-year growth rate of 4.68% [5] Investment Considerations - High-growth firms typically do not provide dividends, while established companies with secure profits are often preferred for dividend investments [6] - Invesco is viewed as an attractive dividend play and a compelling investment opportunity, holding a Zacks Rank of 2 (Buy) [6]
T-Mobile: Leading Its Peers, But Growth Might Already Be Priced In (Rating Downgrade)
Seeking Alpha· 2025-07-30 11:05
When it comes to telecommunication stocks, these are often viewed as reliable dividend payers as a result of their higher yields and strong cash flows. They are also often viewed as bond substitutes. Contributing analyst to the iREIT+Hoya Capital investment group. The Dividend Collectuh is not a registered investment professional nor financial advisor and these articles should not be taken as financial advice. This is for educational purposes only and I encourage everyone to do their own due diligence. I'm ...
31.7% of Warren Buffett's $294 Billion Portfolio Is Invested in 3 Stocks That Could Pay Berkshire Hathaway $2.1 Billion in Dividends This Year
The Motley Fool· 2025-07-30 07:17
Core Insights - Warren Buffett has transformed Berkshire Hathaway from a struggling textiles manufacturer into a $1 trillion conglomerate with a diverse portfolio, including subsidiaries like Dairy Queen and GEICO Insurance, and a $294 billion portfolio of publicly traded stocks and securities [1][2] Investment Strategy - Buffett favors companies with steady revenue growth, strong profits, and experienced management, particularly those with active dividend schemes and share buyback programs, which enhance cash flow generation [2] Historical Performance - An investment of $500 in Berkshire stock in 1965 would have grown to approximately $22.3 million by the end of 2024, compared to $171,453 for the same investment in the S&P 500 [3] Dividend Contributions - Three key dividend-paying stocks in Berkshire's portfolio represent 31.7% of its total value, expected to generate $2.1 billion in dividends in 2025 [4] American Express - American Express is projected to provide $479 million in dividends in 2025, with Berkshire holding 151.6 million shares valued at $47.2 billion, accounting for 16.1% of its portfolio [6][8][9] Chevron Corporation - Chevron is expected to contribute $811 million in dividends in 2025, with Berkshire owning 118.6 million shares worth $18.3 billion, representing 6.2% of its portfolio [10][11][13] Coca-Cola - Coca-Cola is anticipated to yield $816 million in dividends in 2025, with Berkshire holding 400 million shares valued at $27.6 billion, making up 9.4% of its portfolio [14][15][17] Leadership Transition - Buffett announced plans to step down as CEO at the end of 2025, passing leadership to Greg Abel, while remaining as chairman, raising questions about the future of Berkshire's investment strategy [18]