Best High Yield Dividend Growth Stocks

Investors purchase dividend growth stocks with the intent of generating a higher stream of distributions over time that would meet or exceed inflation. Typical dividend growth stocks in the sweet spot have average to slightly above average yields and high dividend growth rates supported by rising earnings. This works great for investors who have time before retiring. Some investors, who are ready to retire however, often wonder whether it would be possible to not only generate dividend growth which is equal to or higher than inflation, coupled with high current dividend yields. There is a solution for that, but it comes at a price. The price to pay is that most high dividend stocks which pay consistent dividends are typically concentrated in a few sectors such as Master Limited Partnerships, Real Estate Investment Trusts, Utilities, Tobacco, Telecom and a few others. Some of the best high yield dividend stocks which have not only paid rising dividend payments to their shareholders but also offer generous yields include: Kinder Morgan Energy Partners, L.P. (KMP) owns and manages energy transportation and storage assets. The company has raised distributions for 15 years in a row, yields 6.10% and has a ten year annual dividend growth rate of 10.90%. (analysis) Enterprise Products Partners L.P. (EPD) provides a range of services to producers and consumers of natural gas, natural gas liquids (NGLs), crude oil, refined products, and petrochemicals in the continental United States, Canada, and Gulf of Mexico. The company has raised distributions for 14 years in a row, yields 5.80% and has a ten year annual dividend growth rate of 8.30%. (analysis) Philip Morris International Inc., through its subsidiaries, engages in the manufacture and sale of cigarettes and other tobacco products in markets outside of the United States. The company has raised distributions since 2008 and yields 3.70%.12... Read more