4 Stocks With Steady Dividend Growth
Companies want to maintain an image of stability in order to keep their perceived risk premium low. Instability in dividends may cause instability in stock price, leading to a higher BETA (i.e. a higher risk premium), and result consequently in a lower stock price.
One way to achieve this all-important stability is to distribute consistent dividends year after year. Below are a few stocks that have been raising their annual dividends every year for at least the last 36 years.
Walgreen Company (NYSE:WAG) annual dividend yield stands at 3.68% and maintains a dividend payout ratio of 30.59%. The stock has a dividend of $1.10 annually. WAG shares traded in the range of $28.53 – $44.26 in the last 52 weeks. WAG together with its subsidiaries, operates a chain of drugstores in the United States.
Sigma-Aldrich Corporation (NASDAQ:SIAL) a life science and high technology company, develops, manufactures, purchases, and distributes various chemicals, biochemical’s, and equipment worldwide. Sigma-Aldrich Corporation pays a dividend of $0.80 annually. The company has an annual dividend yield of 1.09% and has a dividend payout ratio at 19.69%. Shares of SIAL have been floating in the range of $56.18 – $76.196 in the last 52 weeks.
Archer Daniels Midland Company (NYSE:ADM) has an annual dividend of $0.70 while keeping its dividend yield at 2.41%. The company maintains a dividend payout ratio of 33.41%. Shares of ADM have been trading in the range of $23.69 – $33.98 in last 52 weeks. ADM procures, transports, stores, processes, and merchandises agricultural commodities and products in the United States and internationally.
MGE Energy, Inc (NASDAQ:MGEE) through its subsidiaries, operates as a public utility holding company in Wisconsin. MGE Energy, Inc pays a dividend of $1.53 annually. The stock has an annual dividend yield of 3.19% and maintains a dividend payout ratio of 59.46%. Shares of MGEE have been floating in the range of $37.06 – $48.00 in the last 52 weeks.
Disclosure: The views and opinions expressed in this article are exclusively those of the authors who have no stake in any stocks mentioned, and hold no plan to acquire any stake within the next 5 days.
