12 High Yield Stocks Raising Dividends
In a previous article I wrote that there are three types of dividend stocks. The first type includes high yielding stocks which seldom raise dividends. This type of stocks is more suited towards investors seeking current income, since distributions will not keep up with inflation over time. The second type of dividend stocks is one in the sweet spot, where strong earnings growth and average dividend yield would ensure high yield on cost in a few years in addition to decent total returns. The third type of dividends stocks is the type with the lowest yields, but the highest dividend growth. The last two are favorites among investors who want to generate income in retirement that keeps up with inflation. Furthermore, the last two types of dividend stocks should do well over long periods. There are pros and cons of overly relying on any one group, however, which is why creating a blended portfolio is a good strategy to employ.When analyzing the dividend increases announced for the past week, I noticed that the data confirms my expectations. Most of the higher yielding stocks that announced dividend increases have had slow distributions growth, with some exceptions. Master Limited Partnerships seem to be on a roll this month. After dominating the list of distribution increases for the past few weeks, MLPs are still a noticeable phenomenon among dividend raisers:... Read more