Visa is my 4th largest position right now. Although it has a low yield I am betting on the super long term. Over time I think their yield % will grow and their dividend increase will be rapid until their business becomes a slow grower like a old blue chip. By then my position in V should have nicely grown to keep up with the huge dividend hikes.
This year the largest dividend hikes are from Reynoilds 28% (large increase due to their merger with Lorillard), TJX 24%, Mastercard 19%, and Visa 18% (comparing new quarter payout vs previous quarter payout ).
Right now my portfolio averages 9.26% dividend hike for 2016 and an average yield of 2.71% for an average dividend income increase for this year of 12% (I reinvest all my dividends). This 12% increase in income assumes I do not contribute any of my own money further into investments. My income is growing at a much faster rate due to my periodic contributions.
I am still waiting for Starbucks and Becton Dickinson to announce their hikes this year. I predict Starbucks at 15% and BDX at 10%.
Below I chart my dividend increase table for all my current positions. None of my positions decreased their dividend this year.
| Company | Ticker | Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec | Raise | 2016 yr, Comments |
| Reynolds American Inc | RAI | 0.3600 | 0.4200 | 0.4200 | 0.4600 | 27.78% | raised twice | ||||||||
| TJX Companies Inc | TJX | 0.2100 | 0.2600 | 0.2600 | 23.81% | ||||||||||
| Mastercard Inc | MA | 0.1900 | 0.1900 | 0.1900 | 18.75% | ||||||||||
| Visa Inc | V | 0.1400 | 0.1400 | 0.1400 | 0.1650 | 17.86% | |||||||||
| Home Depot Inc | HD | 0.6900 | 0.6900 | 0.6900 | 16.95% | from .59 | |||||||||
| Hormel Foods Corporation | HRL | 0.2900 | 0.1450 | 0.1450 | 16.00% | split, raise from .25 | |||||||||
| Starbucks Corporation | SBUX | 0.2000 | 0.2000 | 0.2000 | 15.00% | estimate until announced | |||||||||
| Ross Stores Inc | ROST | 0.1350 | 0.1350 | 0.1350 | 14.89% | ||||||||||
| Nike Inc | NKE | 0.3200 | 0.1600 | 0.1600 | 0.1600 | 14.29% | split, raise from .28 | ||||||||
| Medtronic, Inc. | MDT | 0.3800 | 0.3800 | 0.4300 | 0.4300 | 13.16% | |||||||||
| NextEra Energy Inc | NEE | 0.8700 | 0.8700 | 0.8700 | 12.99% | ||||||||||
| The J. M. Smucker Company | SJM | 0.6700 | 0.6700 | 0.7500 | 11.94% | ||||||||||
| Stryker Corporation | SYK | 0.3800 | 0.3800 | 0.3800 | 0.3800 | 10.14% | from .345 | ||||||||
| Becton Dickinson and Co | BDX | 0.6600 | 0.6600 | 0.6600 | 10.00% | estimate until announced | |||||||||
| General Mills, Inc. | GIS | 0.4400 | 0.4600 | 0.4800 | 9.09% | raised 2x this yr! | |||||||||
| C R Bard Inc | BCR | 0.2400 | 0.2400 | 0.2600 | 8.33% | usuall pay 2/5/8/11 | |||||||||
| Abbott Laboratories | ABT | 0.2600 | 0.2600 | 0.2600 | 8.33% | ||||||||||
| 3M Co | MMM | 1.1100 | 1.1100 | 1.1100 | 8.29% | ||||||||||
| WEC Energy Group, Inc | WEC | 0.4950 | 0.4950 | 0.4950 | 8.20% | Was .4575 last yr | |||||||||
| Automatic Data Proc, Inc | ADP | 0.5300 | 0.5300 | 0.5300 | 0.5300 | 8.16% | from .49 | ||||||||
| Dominion Resources, Inc | D | 0.7000 | 0.7000 | 0.7000 | 8.10% | ||||||||||
| Altria Group Inc | MO | 0.5650 | 0.5650 | 0.5650 | 0.6100 | 7.96% | |||||||||
| McCormick & Company | MKC | 0.4300 | 0.4300 | 0.4300 | 0.4300 | 7.50% | |||||||||
| Aqua America, Inc | WTR | 0.1780 | 0.1780 | 0.1913 | 7.47% | ||||||||||
| PepsiCo | PEP | 0.7025 | 0.7025 | 0.7525 | 0.7525 | 7.12% | |||||||||
| Johnson & Johnson | JNJ | 0.7500 | 0.8000 | 0.8000 | 6.67% | ||||||||||
| Xcel Energy Inc | XEL | 0.3200 | 0.3400 | 0.3400 | 0.3400 | 6.25% | |||||||||
| Air Products & Chemicals, Inc | APD | 0.8100 | 0.8600 | 0.8600 | 6.17% | ||||||||||
| The Coca-Cola Co | KO | 0.3500 | 0.3500 | 0.3500 | 6.06% | ||||||||||
| Church & Dwight | CHD | 0.3600 | 0.3600 | 0.3600 | 5.88% | ||||||||||
| McDonald's Corporation | MCD | 0.8900 | 0.8900 | 0.8900 | 0.9400 | 5.62% | |||||||||
| Realty Income Corp | O | 0.1910 | 0.1985 | 0.1985 | 0.1990 | 0.1990 | 0.1990 | 0.1995 | 0.1995 | 0.2015 | 5.00% | y/y | |||
| Kimberly-Clark | KMB | 0.8800 | 0.9200 | 0.9200 | 0.9200 | 4.54% | |||||||||
| Kraft Heinz Co | KHC | 0.5750 | 0.5750 | 0.5750 | 0.6000 | 4.35% | |||||||||
| Clorox Co | CLX | 0.7700 | 0.7700 | 0.8000 | 3.90% | ||||||||||
| Southern Co | SO | 0.5425 | 0.5600 | 0.5600 | 3.23% | ||||||||||
| Colgate-Palmolive Co | CL | 0.3800 | 0.3900 | 0.3900 | 2.63% | ||||||||||
| Verizon Communications Inc | VZ | 0.5650 | 0.5650 | 0.5650 | 0.5775 | 2.21% | |||||||||
| AT&T Inc | T | 0.4800 | 0.4800 | 0.4800 | 2.13% | ||||||||||
| Philip Morris International Inc | PM | 1.0200 | 1.0200 | 1.0200 | 1.0400 | 1.96% | |||||||||
| Procter & Gamble Co | PG | 0.6629 | 0.6695 | 0.6695 | 1.00% |
Loved seeing that hike from V. Like you I've got SBUX and BDX in my portfolio and fully expect 10%+ raises from both. Just curious if your average dividend raise is a simple average or a weighted one. A weighted one gives a better picture of what your income actually increased. Anyways all the best and it looks like you've had a fantastic year thus far.
ReplyDeleteThe number I gave above was the simple average. So you are right I should take a weighted one.
DeleteHere's what I get with the weighted dividend increase since some of my positions are super large.
Overall Portfolio Dividend Increase: 9.61%
Overall Portfolio Dividend Yield: 2.73%
9.61 + 2.73 = 12.34%
It's actually quite close to the simple average method.
That's awesome that the weighted average is even higher than the simple average. And a 9% growth rate is awesome. Keep up the good work.
DeleteYoung Div -
ReplyDeleteLoved seeing the news from Visa, such a big spike and was bigger than last year, so that is always a GREAT sign. Congrats and pumped for the next year's div increase already haha.
-Lanny
Hello
ReplyDeleteTXN has recently raised its quarterly dividend by 32% and its forward yield today is 2.81%. My YOC is 4.5%. Don't you think TXN is better for V?