This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

10 Dividend Stocks Increasing Payouts

(Dividend stocks increasing payouts report updated with news about Chevron's (CVX) acquisition of natural-gas prospects in Pennsylvania, the FTC's approval of Dow Chemical's (DOW) amended agreement with Huntsman (HUN), Williams' (WMB) quarterly results, and an investigation into Arch Coal's (ACI) acquisition of International Coal Group (ICO))
NEW YORK ( TheStreet) -- General Electric (GE), Exxon Mobil (XOM) and Johnson & Johnson (JNJ) have joined a roster of companies raising their dividends in recent weeks .

Dividend activity has picked up in recent months and, according to Howard Silverblatt at Standard & Poor's, the first four months of dividend increases in 2011 have already surpassed total dividend increases for the full year of 2010.

The iShares Dow Jones Select Dividend (DVY), an exchange-traded fund that tracks the Dow Jones U.S. Select Dividend Index, is up nearly 8% year to date. The WisdomTree LargeCap Dividend Fund (DLN) ETF is up more than 9% so far in 2011.


The dividend universe has been out of favor for most retail investors the last few years, Lawrence Glazer, managing partner with Mayflower Advisors, said recently. The pendulum, however, has turned back toward the investment strategy lately as market watchers hedge against inflation and look for rising income streams.

Glazer told TheStreet that Europe- and U.S.-based large-cap dividend payers "are back in vogue now, relative to what was working last year." He said that for risk-averse investors trying to generate higher less-volatile returns -- but not necessarily beat the market -- investing in developed dividend payers makes a lot of sense.

Glazer suggested investors consider the " Dogs of the Dow ," the highest-yielding stocks in the Dow Jones Industrial Average, namely Verizon (VZ), Johnson & Johnson, Merck (MRK) and Kraft Foods (KFT) -- blue chips that will generate higher returns than 10-year Treasury notes and which carry "the best balance sheets in the world."

To capture a proxy for domestic dividend-paying stocks, Glazer suggested considering ETFs like the iShares Dow Jones Select Dividend or SPDR S&P Dividend (SDY), and for international dividend payers, the iShares Dow Jones International Select Dividend Index Fund (IDV). The latter boasts a higher yield, he said, and "speaks to the idea of getting paid to go outside the U.S. and take on a little more risk." For a long-term sustainable dividend income, Glazer advised to look at an ETF like the Vanguard Dividend Appreciation (VIG). Its yield is only around 2%, but "investors need to think about total return and appreciation potential," Glazer said.

Click on for a roundup of 10 dividend stocks increasing their shareholder payouts in recent weeks, ranked by average daily volume.... (Yields are based on May 2 closing prices.)

1 of 11

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,195.42 +221.11 1.30%
S&P 500 0.00 -2.75 -0.14%
NASDAQ 4,566.1380 +16.9120 0.37%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs