Eleven Dividend Machines Delivering Higher Distributions

Stock prices represent the amount you pay today for the future stream of dividends and proceeds from share sales. In fact, investors can realize a return on their investment either by selling or by collecting a dividend. Investors who rely exclusively on capital gains might have their patience tested during bear markets which is just one example of a situation where the market price might not reflect the true value of a stock. Dividends on the other hand provide a direct link between a company’s fortunes and shareholder returns, which are not dependent on Wall Street. In fact, dividends unlock value in stocks since they are paid out of earnings and it is only companies who can afford to pay dividends that typically make regular distributions. In addition to that, dividends provide a... more

Covidien Stock Analysis: Look for Dividends in Long-Term

Summary Covidien (COV) is a large, multi-national health care company diversified into medical devices, pharmaceuticals, and medical supplies. The company was spun off from Tyco in 2007. Analysts expect approximately 10% compounded EPS growth over the next two years, based on 2011 and 2012 estimates. The balance sheet is mediocre, with a moderate LT Debt/Equity ratio, fair interest coverage ratio, but a lot of goodwill from acquisitions. The dividend yield is pretty low, at only 1.70% with a low payout ratio, and due to the spin-off has no substantial dividend history. This being the case, many dividend investors won’t bite, but with growth in an industry with positive long-term prospects, investors can potentially look forward to high capital gains and a high yield on cost. ... more

Intel (INTC) Adds $10B to Buyback Program, Raises Qtr. Dividend to 18.12c/Share -Bloomberg

Bloomberg reporting: Intel (Nasdaq: INTC) adds $10 billion to its buyback program and declares an $0.1812 quarterly dividend, up from a recently-boosted dividend of 18c/share. Based on last week's closing price of $20.82, Intel's new dividend would yield 3.48%, up from 3.46% previously.... more

Intel (INTC) Boosts Dividend 15%, Raises Buyback By $10 Billion

Intel Corporation (Nasdaq: INTC) raised its quarterly dividend 15 percent to 18.12 cents per share, or 72.48 cents per share on an annualized basis. Intel also raised its buyback play by an additional $10 billion, bringing the buyback authorization to $14.2 billion. The dividend will be payable on March 1, 2011 to stockholders of record on February 7, 2011. The ex-dividend date is February 3, 2011. Based on last week's closing price of $20.82, Intel's new dividend would yield 3.48%, up from 3% previously. CEO Paul Otellini, Intel president and CEO, said "today's announcement signals confidence in our fundamental business strategies both today and looking forward, allowing us to return more cash to shareholders."... more

South Jersey (SJI) Declares $0.365 Quarterly Dividend; 2.8% Yield

South Jersey Industries’ (NYSE: SJI) board of directors declared its regular dividend of $0.365 per share, $1.46 annualized. The dividend is payable April 5, 2011 to shareholders of record at the close of business March 10, 2011. The ex-dividend date is March 8, 2011. Yield on the dividend is 2.8%.... more

Withholding Tax Rates by Country for Foreign Stock Dividends

One of the factors that investors need to consider when investing in foreign stocks is taxes since it reduces the effective rate of return on an investment. Governments of most countries try to recoup millions in taxes from dividends that are paid to foreign investors by companies located in their countries. For example, when a U.S.-based investor invests in France Telecom (TEF) ADRs, the French government will deduct 25% in taxes on all dividends paid. Hence, though TEF currently has a 6.98% dividend yield, the actual yield that this investor receives will be less. However, the IRS allows a foreign tax credit (filed with IRS Form #1116) to be taken using which this investor can deduct the taxes paid to the French government. This is done to avoid double taxation of dividends. There is a... more

20 Dividend Champions With Great Management Teams

If you're an income investor looking for companies backed by a solid management teams, the list below might offer a useful starting point. To create the list, we started with a universe of about 100 dividend champions identified by the DrIP Investing Resource Center--featuring companies that have increased dividends for more than 25 consecutive years. We then narrowed down the list by only focusing on those stocks that have outperformed their competitors over the last five years, when comparing the Return on Assets (ROA), Return on Invested Capital (ROI) and Return on Equity (ROE) ratios.... more

Twin Disc Inc. (TWIN) Tops Q2 EPS by 11c; Increases Quarterly Dividend 14.3% to $0.08; 1.1% Yield

Twin Disc Inc. (Nasdaq: TWIN) reported Q2 EPS of $0.35, $0.11 better than the analyst estimate of $0.24. Revenue for the quarter came in at $75.16 million versus the consensus estimate of $65.73 million. Additionally, the company declared a quarterly dividend of $0.08 per common share, $0.32 annualized. The dividend is a 14.3% increase from the current rate of $0.07. The dividend is payable on March 1, 2011, to shareholders of record on February 11, 2011. The ex-dividend date is February 9, 2011. Yield on the dividend is 1.1%.... more

Merchants Bancshares (MBVT) Declares $0.28 Quarterly Dividend; 4.1% Yield; Extends Stock Buyback

Merchants Bancshares, Inc. (Nasdaq: MBVT) has declared a quarterly dividend of $0.28 per common share, $1.12 annualized. The dividend is payable February 17, 2011, to shareholders of record as of February 3, 2011. The ex-dividend date is February 1, 2011. Yield on the dividend is 4.1%. Merchants also announced the extension, through January 2012, of its stock buyback program, originally adopted in January 2007. Under the program Merchants may repurchase 200,000 shares of its common stock on the open market from time to time, and had purchased 143,475 shares during FY10.... more

Ritchie Bros. (RBA) Declares $0.105 Quarterly Dividend; 1.7% Yield

Ritchie Bros. Auctioneers Incorporated (NYSE: RBA) annoucned Monday that its board of directors has declared a quarterly cash dividend of $0.105 per share, $0.42 annualized. The dividend is payable on March 11, 2011 to shareholders of record on February 18, 2011. The ex-dividend date is March 9. The yield is 1.7%... more