Dividend strategies are growing in popularity because of many factors in the macro environment: sluggish economic growth, increased volatility, heightened risk aversion and extremely low interest rates on fixed income securities. Many dividend oriented stocks may offer a higher current yield than many fixed income securities.
The strategy not only focuses on companies with higher dividend yields, but companies with potential to grow these dividends over time. Dividend strategies may prove to be less volatile during bear markets yet still may provide attractive inflation protection and real total returns in bull markets. The dividend strategy can play a key role in fulfilling your growth or income needs, depending on the allocation of assets.
Here are companies that have increased their dividend payouts for several consecutive years.
Cisco Systems, Inc. (NASDAQ:CSCO) traded 20,431,971 shares on last trading session with closing price of $34.06.
CSCO was trading -0.47% below its 52-week high and 36.64% above its 52-week low. Its last 5-Year EPS growth stands at 12.60%; with earnings growth of -24.50% yoy. The stock stands 1.75% above the average-price of 50 days and 3.07% compared with the SMA 20.
The stock has a 1-year performance up 26.13% and a positive weekly performance at 3.81%. Moreover, the stock is up 1.86% in one month through last close, to $34.06, showing a 10.93% return during the past three months. The company is set at a mean analysts’ recommendation of 2.20.
CSCO has been paying dividends since 2011 and has raised their dividend for 5 consecutive years. It has a dividend yield of 3.40% and a 5 year dividend growth rate of 36.34%. Their payout ratio is 55.00%.
JPMorgan Chase & Co. (NYSE:JPM) shares moved to $87.00 after opening the day at $87.60, on Friday. The stock floated in a price range of $86.95 to $87.85, with market capitalization of $308.60B. The stock exchanged hands with 10,747,811 shares lower as compared to its average daily volume of 15.82M shares. If we take a look on its volatility, 1.30 percent was seen in a week and for the month it was 1.56 percent.
The company’s net profit margin stands at 41.40% whereas its return on equity (ROE) is 10.40%. It has 3.55B of outstanding shares and its shares float measured at 3.57B. The average analysts gave this company a mean recommendation of 2.30.
JPM first paid dividend in 1827 and has increased their dividend for 6 straight years. They have a dividend yield of 2.30% and a 5 year dividend growth rate of 13.29%.