This article was co-produced with James Marino Sr. of Portfolio Insight.

Dividend Growth InvestingWe monitor dividend increases for stocks using Dividend Radar, a weekly automatically generated spreadsheet listing stocks with dividend streaks of five years or more. The Dividend Radar spreadsheet separates stocks into categories based on the length of the streak: Champions (25+ years), Contenders (10- 24 years), and Challengers (5-9 years).

Last week, six companies in Dividend Radar announced dividend increases, including one of the stocks I own. There were no dividend cuts or suspensions announced by companies in Dividend Radar.

The following table provides a summary of the dividend increases.

The table is sorted into sections for Champions, Contenders, and Challengers, and then by the percentage increase, %Incr. Dividends are annualized and in US$, unless otherwise indicated. Yield is the new dividend yield for the market close Price on the date listed. Yrs are years of consecutive dividend increases, while 5-yr DGR is the compound annual growth rate of the dividend over a 5-year period.

Some companies increase their dividends more than once a year, so the last column (1-yr DGR) indicates the percentage increase from the year-ago dividend.

Source: Created by the authors from data in Dividend Radar.

The following dividend increase data are sorted alphabetically by ticker.

Company descriptions are the author’s summary of company descriptions sourced from Finviz.

American Financial Group, Inc. (AFG)

AFG is an insurance holding company based in Cincinnati, Ohio. The company provides property and casualty insurance in the United States and sells these products through independent insurance agents and brokers, as well as through employee agents. It also provides traditional fixed and fixed-indexed annuities. AFG was founded in 1872.

  • On Oct 1, AFG declared a quarterly dividend of 50¢ per share.
  • This is an increase of 11.11% from the prior dividend of 45¢.
  • Payable Oct 26, to shareholders of record on Oct 15; ex-div: Oct 14.

Glacier Bancorp, Inc. (GBCI)

Incorporated in 2004, GBCI is a bank holding company that provides commercial banking services in Montana, Idaho, Wyoming, Colorado, Utah, and Washington. The company offers a range of banking products and services, including transaction and savings deposits; real estate, commercial, agriculture, and consumer loans; and mortgage origination services. GBCI is headquartered in Kalispell, Montana.

  • On Oct 1, GBCI declared a quarterly dividend of 30¢ per share.
  • This is an increase of 3.45% from the prior dividend of 29¢.
  • Payable Oct 22, to shareholders of record on Oct 13; ex-div: Oct 9.

OGE Energy Corp. (OGE)

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Founded in 1995, OGE, together with its subsidiaries, provides energy and energy services primarily in the south-central United States. The company operates in two segments, Electric Utility and Natural Gas Midstream Operations. It offers physical delivery and related services for both electricity and natural gas. OGE is headquartered in Oklahoma City, Oklahoma.

  • On Sep 28, OGE declared a quarterly dividend of 40.25¢ per share.
  • This is an increase of 3.87% from the prior dividend of 38.75¢.
  • Payable Oct 30, to shareholders of record on Oct 13; ex-div: Oct 9.

Bank OZK (OZK)

Founded in 1981 and headquartered in Little Rock, Arkansas, OZK provides deposit services, loan products, mortgage lending, treasury management services, and trust and wealth management services. OZK serves businesses, individuals, and non-profit and governmental entities in Arkansas, Georgia, North and South Carolina, Texas, Florida, Alabama, New York, and California.

  • On Oct 1, OZK declared a quarterly dividend of 27.5¢ per share.
  • This is an increase of 0.92% from the prior dividend of 27.25¢.
  • Payable Oct 19, to shareholders of record on Oct 12; ex-div: Oct 8.

Starbucks Corporation (SBUX)

SBUX is a roaster, marketer, and retailer of specialty coffee. The company and roasts and sells coffees, and other beverages and fresh food items, through company-operated stores. It also sells a range of coffee and tea products and licenses its trademarks through other channels. SBUX was founded in 1985 and is based in Seattle, Washington.

  • On Sep 30, SBUX declared a quarterly dividend of 45¢ per share.
  • This is an increase of 9.76% from the prior dividend of 41¢.
  • Payable Nov 27, to shareholders of record on Nov 12; ex-div: Nov 10.

TTEC Holdings, Inc. (TTEC)

TTEC designs and provides customer experience solutions in the United States, Latin America, Europe, the Middle East, Africa, the Asia Pacific, Canada, The United Kingdom, and internationally. It operates in four segments: Customer Management Services, Customer Growth Services, Customer Technology Services, and Customer Strategy Services. TTEC was founded in 1982 and is headquartered in Englewood, Colorado.

  • On Sep 28, TTEC declared an annual dividend of 40¢ per share.
  • This is an increase of 17.65% from the prior dividend of 34¢.
  • Payable Oct 29, to shareholders of record on Oct 14; ex-div: Oct 13.

Please note that we’re not recommending any of these stocks. Readers should do their own research on these companies before buying shares.

Below, we’re including charts from FASTGraphs for three of this week’s dividend raisers, TTEC, AFG, and OGE. In these charts, the black line represents the share price, and the blue line represents the calculated P/E multiple at which the market has tended to value the stock over time. The orange line is the primary valuation reference line. It is based on one of three valuation formulas depending on the earnings growth rate achieved over the timeframe in question. (The Adjusted Earnings Growth Rate represents the slope of the orange line in the chart).

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Source: FASTGraphs

TTEC’s price line [black] is above the primary valuation line [orange] and above the stock’s normal P/E ratio [blue]. The stock is trading at a premium to fair value. An investment in TTEC in January 2010 would have returned 10.7% on an annualized basis (with dividends included).

Source: FASTGraphs

AFG’s price line is below the stock’s normal P/E ratio and below the primary valuation line. The stock is trading at a discount to fair value. An investment in AFG in January 2010 would have returned 11.8% on an annualized basis (with dividends included).

Source: FASTGraphs

OGE’s price line is at the primary valuation line and below the stock’s normal P/E ratio. The stock is trading at about fair value. An investment in OGE in January 2010 would have returned 8.2% on an annualized basis (with dividends included).

Dividend Cuts and Suspensions

Following requests from readers, we’ve added this section to our weekly article series. Please note that we’re only covering dividend cuts and suspensions announced by companies in Dividend Radar’s spreadsheet.

There were no dividend cuts or suspensions announced by companies in Dividend Radar.

Upcoming Ex-Dividend Dates

Here is a summary of available ex-dividend dates for the next two weeks. You must own a stock before its ex-dividend date to be eligible to receive the next dividend.

The table is divided into sections by Ex-Div Date and sorted by Ticker for each date. Please note that Payout is the dollar amount payable per share or unit on the Pay Date.

Summary of Upcoming Ex-Dividend Dates: October 9-18, 2020

Company (Ticker) Yrs

Price

(2.Oct)

Yield

5-Yr

DGR

Pay-

out

Pay

Date

Friday, 9 October (Ex-Div Date 10/09)
Glacier Bancorp, Inc. (GBCI) 9 $32.18 3.60% 10.0%

0.30

10/22
OGE Energy Corp. (OGE) 15 $30.20 5.33% 9.2% 0.4025 10/30
The First of Long Island Corporation (FLIC) 24 $14.83 5.12% 7.0% 0.19 10/22
Accenture plc (ACN) 16 $225.18 1.56% 9.4% 0.88 11/13
Tuesday, 13 October (Ex-Div Date 10/13)
TTEC Holdings, Inc. (TTEC) 6 $55.37 0.72% -1.1% 0.40 10/29
Wednesday, 14 October (Ex-Div Date 10/14)
AbbVie Inc. (ABBV) 8 $87.14 5.42% 19.0% 1.18 11/16
Abbott Laboratories (ABT) 7 $108.64 1.33% 8.3% 0.36 11/16
American Financial Group, Inc. (AFG) 15 $68.95 2.61% 12.5% 0.50 10/26
Alamo Group Inc. (ALG) 6 $108.07 0.48% 10.5% 0.13 10/28
Camden National Corporation (CAC) 8 $30.30 4.36% 10.6% 0.33 10/30
City Holding Company (CHCO) 10 $56.98 4.00% 6.8% 0.57 10/30
H.B. Fuller Company (FUL) 51 $44.82 1.45% 5.2% 0.1625 10/29
IDEX Corporation (IEX) 11 $178.12 1.12% 10.8% 0.50 10/30
Kadant Inc. (KAI) 8 $110.95 0.87% 8.0% 0.24 11/12
Mid-America Apartment Communities, Inc. (MAA) 11 $120.29 3.33% 5.4% 1.00 10/30
Norwood Financial Corp. (NWFL) 20 $24.57 4.07% 4.0% 0.25 11/02
RGC Resources, Inc. (RGCO) 20 $23.47 2.98% 6.3% 0.175 11/01
Trinity Industries, Inc. (TRN) 10 $19.47 3.90% 12.5% 0.19 10/30
Thursday, 15 October (Ex-Div Date 10/15)
Saul Centers, Inc. (BFS) 7 $27.12 7.82% 5.0% 0.53 10/30
Quaker Chemical Corporation (KWR) 13 $179.49 0.88% 4.8% 0.395 10/30
McGrath RentCorp (MGRC) 28 $61.21 2.74% 9.9% 0.42 10/30
Morningstar, Inc. (MORN) 9 $163.19 0.74% 9.8% 0.30 10/30
Pathfinder Bancorp, Inc. (PBHC) 6 $10.65 2.25% 17.3% 0.06 11/06
Friday, 16 October (Ex-Div Date 10/16)
Graco Inc. (GGG) 23 $61.55 1.14% 11.8% 0.175 11/04
Hormel Foods Corporation (HRL) 54 $49.28 1.89% 13.8% 0.2325 11/16
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Source: Created by the authors from data in Dividend Radar

Note: Usually, we use added value metrics in Dividend Radar to highlight a stock from the Ex-Dividends table. We hope to bring this back next time.

Meanwhile, Dividend Radar now includes two new added value metrics, the 5-year average yield and the percentage above or below fair value. Both these metrics can be used to screen for potentially undervalued stocks. We’re hoping to use these metrics in future Dividend Changes articles.

Thanks for reading and happy investing!

Disclosure: I am/we are long SBUX. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.



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