Source: Dow Chemical.  

Freeport-McMoRan (NYSE:FCX), PotashCorp (NYSE:POT), and Dow Chemical (NYSE:DOW) each possess the two key characteristics I'm looking for in a great stock to own in an IRA. All three companies pay a compelling dividend today, and each has the visible growth prospects to continue to grow that dividend. That's why I think all three are great income stock ideas for an IRA.

I view a compelling dividend as anything over 3%. That being said, Dow Chemical's current payout is just 2.84% so its not a hard and fast rule. I'm willing to give some wiggle room to a company like Dow Chemical considering that the company does have a history of growing that payout. Meanwhile, both Freeport-McMoRan at 3.5% and PotashCorp at 3.69% offer the very compelling current yields I love.

In addition to the solid current yields, all three companies are well positioned to profit from major trends that should fuel future dividend growth. Dow Chemical is in the middle of a multi-billion build-out to profit from cheap American natural gas. Meanwhile, Freeport-McMoRan is well positioned to supply the world's growing need for both copper and oil, while PotashCorp stands ready to supply the world with the crop nutrients it needs to feed everyone.

To help investors learn more about how these three companies are positioned to grow, I created the following slideshow. The presentation details why I think Freeport-McMoRan, PotashCorp, and Dow Chemical can all continue to grow dividend payments to investors in the years ahead.

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Matt DiLallo has no position in any stocks mentioned. The Motley Fool owns shares of Freeport-McMoRan Copper & Gold and PotashCorp. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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