6 Dividend Companies With Large Economic Moats

An important aspect of long-term dividend investing is identifying companies that have durable economic advantages that allow them to remain profitable for the foreseeable future. For the dividend growth strategy to work, time is needed, and lots of it. Company economic advantages are often called “economic moats”, because they act as a durable defense to separate the company from its competitors. Companies that do not have moats face a lot more pressure from competitors, while companies with large moats have better chances for higher margins and bigger profits along with consistent growth. This article highlights 7 companies with superior moats.... more

Five High Dividend Stocks Insiders Are Buying

In an ultra low interest rate environment, high dividend stocks seem like a better bet than 10-year bonds that only yield 2.4%. AT&T (T) is and has been one of the largest telecom stocks in the world and currently yields 5.92%. The current quarterly dividend is $0.42 per share and 10 years ago it was $0.254 per share. AT&T managed to increase its quarterly dividend by more than 60% over the past decade. Even if we assume that they only increase their dividend by the rate of inflation, AT&T can still beat 10-year bonds if it doesn’t decline by more than 5% per year. If AT&T trades above $14.18 in 2020, an investor would be better off investing in AT&T stock than in ten year treasury bonds. We've compiled the list of 5 stocks insiders are buying with at least $5 billion in market cap and... more

Protect Yourself From QE2: Buy Dividend Paying Exporters

Wow. Are the Feds that puerile in their assumptions? As everyone is aware, they are now throwing the kitchen sink at a problem they have no idea how to fix. Fed heads are openly admitting that it is now asset prices they are targeting. I think they imagine that if everyone has more money in their stock accounts, people will feel better about the world and go buy their fourth cell phone. Or maybe they think if they can crush the dollar and lower rates that home prices will rise and get back above water, making the loans no longer worthless to the banks.... more

CenturyLink: More Than Just Dividends

Introduction Since September 1 there have been 11 SA articles that mention CenturyLink (NYSE: CTL), formerly CenturyTel. Of those, 6 merely listed high yielding stocks without providing significant additional analysis. Another 2 provided lists of stocks that were overbought or oversold (CTL being on the overbought list) and another listed CTL as one of the least volatile stocks (in August). Of the remaining two, one discussed insider selling at CTL and the other provided an analysis of utility companies, but did not focus on CTL itself. I think that with all this focus on CTL it is time to take a closer look at the company.... more

3 Dividend Plays Yielding Upward of 5%

First it was green shoots. Then it was fear of a double dip. Now, the memo sent to all talking heads and market watchers says one thing: QE2. Not to be confused with the huge ocean liner of the same name, QE2 is shorthand for, of course, quantitative easing, part two: a follow up to the Fed’s trillion dollar plus purchase of government securities, mostly mortgage backed, as an effort to keep interest rates low. The subtitle for QE2 could be “This time…they mean business.” Seems that the central bank is willing to purchase up to an unfathomable, TWO TRILLION dollars this time in treasury bonds, primarily. Fed Chairman Ben Bernanke alluded to this both in a speech and in recently released FOMC notes.For now, the Fed is merely jawboning (learned that term in high school, senior year... more

How Safe Is Verizon's Dividend?

Verizon Communications (VZ) saw their stock price drop more than 2% this morning after Bernstein Research downgraded the stock to ‘underperform’. One big concern for Bernstein analyst Craig Moffett is Verizon’s ability to maintain their current dividend level. This is not a new concern, but investors should be paying more attention to it as 2011 draws closer.... more

2 Education Dividend-Payers Priced to Buy

Regulatory concerns continue to crush the shares of for-profit education companies.The industry has been taking reputation-damaging heat for most of 2010. A government study showing shady sales tactics led to ugly congressional hearings, and the Department of Education has proposed stricter industry regulations.... more

7 Dividend Champions Trading at Value

I recently started tracking the US Dividend Champions list on my site. Dividend Champions are a list of companies that have increased their dividend payout for at least 25 consecutive years. The list is compiled, updated monthly and tracked at DRIP Investing. Starting with the Dividend Champions list, I performed a screen looking for some basic value metrics:... more

Four Stocks Going Ex-Dividend the First Week of November

Here is our latest update on the stock trading technique called 'Buying Dividends'. This is the process of buying stocks before the ex dividend date and selling the stock shortly after the ex date at about the same price, yet still being entitled to the dividend. This technique generally works only in bull markets. In flat or choppy markets, your have to be extremely careful. In order to be entitled to the dividend, you have to buy the stock before the ex-dividend date, and you can't sell the stock until after the ex date. The actual dividend may not be paid for another few weeks. WallStreetNewsNetwork.com has compiled a downloadable and sortable Excel list of the stocks going ex dividend during the next week or two. The list contains many dividend paying companies, all with market caps... more

12 Stocks Sending a Strong Message to Shareholders With Dividend Increases

One of the many reasons I like dividend stocks is because they provide continuous feedback. As time passes, dividend investors see their income grow steadily. You don’t have to wait five to ten years to determine if the strategy is working. Each dividend and dividend increase provides reassurance that the strategy is working. When companies like 3M Company (MMM), Emerson Electric (EMR) and Dover Corp. (DOV) put together a string of consecutive dividend increases in excess of 50 years, they are sending a strong message to their shareholders.... more