4 Dividend Stocks Showing You the Money

Dividend checks continue to beef up in Corporate America, as more companies jack up their distribution rates.

Readers of the Income Investor newsletter can certainly appreciate that kind of thinking. Let's take a closer look at some of the companies that inched their payouts higher this past week.

Let's start with Philip Morris International (NYSE: PM  ) . The tobacco giant is jacking up its quarterly distributions by 10% to $0.64 a share. The entire sector's been sending out chunkier dividends these days, with Lorillard (NYSE: LO  ) and stateside sibling Altria (NYSE: MO  ) pumping up their yields over the past couple of weeks.

Casey's General Stores (Nasdaq: CASY  ) may have received a buyout bid from convenience store leader 7-Eleven last week, but shareholders are the ones getting in on the Big Gulp of payouts. The new quarterly rate at Casey's is 35% higher at $0.135 a share. It's better to have a Slurpee brain freeze than a usurping yield freeze.

Safety specialist Brady (NYSE: BRC  ) is also looking out for its investors, giving its dividend a 3% boost to $0.18 a share. It may not be much of a move, but Brady has now increased its distributions for 25 years in a row.

Finally we have Frisch's Restaurants (AMEX: FRS  ) bringing meatier yields to the table. The company behind the Frisch's Big Boy chain -- and operator of several regional Golden Corral buffet restaurants -- is cranking up its quarterly payouts by 15% to $0.15 a share.

Subscribers to the Income Investor newsletter can appreciate the companies sending more and more money to their investors. The newsletter singles out companies that are committed to growing their distributions with market-thumping results.

Want to see what is being recommended these days? Go ahead and give the newsletter service a shot with a 30-day trial subscription. Who knows? Maybe the next thing that will get hiked will be your interest.

Do higher dividends matter to you? Share your thoughts in the comment box below.

Philip Morris International is a Motley Fool Global Gains recommendation. The Fool owns shares of Altria Group and Philip Morris International. Try any of our Foolish newsletter services free for 30 days.

True to its name, The Motley Fool is made up of a motley assortment of writers and analysts, each with a unique perspective; sometimes we agree, sometimes we disagree, but we all believe in the power of learning from each other through our Foolish community.

Longtime Fool contributor Rick Munarriz pays attention to yield signs. He does not own shares in any of the companies in this story. He is also part of the Rule Breakers newsletter research team, seeking out tomorrow's ultimate growth stocks a day early. The Fool has a disclosure policy.


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  • Report this Comment On September 13, 2010, at 12:39 PM, TwentyTwoHands wrote:

    How likely is it that this company can continue paying dividends? Finding a company that pays a tremendously aggressive dividend is nice, but the possibility that it will continue making that dividend payment can be restricted by cash and other unforeseen economic setbacks. In fact, even the largest companies have been known to cut their dividends. In 2009, General Electric, which has been long-believed to be one of the safest dividend-paying investments on the S&P 500, reduced its dividends temporarily while it regrouped and developed a new plan of attack. Finding companies that will continue to pay its dividends come heck and high water is important for investors who rely on those income payments. Therefore, finding companies with the right cash, cash flow and means to maintain those dividends is instrumental to finding success in this segment. Check the companies Cash Assets on the Balance Sheet, their Statement of Cash Flow as well as retained earnings on the Income Statement to get an idea as to whether the dividend is indeed manageable.

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    Money without intelligence is like a car without a road.

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  • Report this Comment On September 14, 2010, at 9:04 AM, jbgoode33 wrote:

    Best Dividend Stocks: The S&P 500 Dividend Aristocrats 2010

    http://www.dividend.co.nr

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