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
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

5 Dividends That Are About to Get Bigger

When it comes to Comcast's upside potential, the three most important factors are: network, network, and network. Comcast's cables span 40 states and Washington, D.C., reach that gives Comcast significant advantages over its rivals. Because cable has significant bandwidth, Comcast has been able to ramp up its offerings without having to lay new cable -- compare that to Verizon's (VZ) FiOS program, which has spent mountains of cash to lay fiber optic cable to every house it serves. That makes the breakeven time a whole lot shorter for Comcast, and it gives the firm more leeway in its pricing.

The decision to buy the controlling stake in NBCUniversal should pay off for Comcast. It gives the firm a tighter integration between content creation and distribution that should help to boost margins and increase promotional opportunities for new films and shows. A big pile of cash on Comcast's balance sheet helped to finance the deal, and the firm's liquidity continues to look attractive, even if debt did increase in the process. That's why a boost to Comcast's 16.25-cent quarterly dividend looks likely.

Currently, Comcast pays a 1.73% yield.

Coca-Cola

Coca-Cola (KO) is another name that looks likely to announce a dividend hike in the next quarter. Right now, the world's biggest beverage company pays out a 25.5-cent quarterly dividend, giving Coke a 2.73% yield at current price levels. But a portfolio of brands that includes Coca-Cola, Sprite, Fanta, and Dasani should help to pay for a raise for investors.

For Coke, scale matters. As the biggest nonalcoholic beverage company in the world, the company's distribution network reaches more than 200 countries, as well as a market share that gives Coke claim to around 3% of all the drinks served every day worldwide. As burgeoning middle class populations in emerging market countries start upping their consumption of soft drinks and bottled water, Coke should continue to see impressive growth abroad.

At home, innovations like the Freestyle fountain machine should help wring some growth out of markets that have remained stagnant. Frankly, there isn't much that's "fun" about pouring a fountain drink, but the touch-screen Freestyle changes that with more than a hundred customizable drink options. As the machine becomes more ubiquitous, it should give Coke a big edge in the food service market -- and it will provide Coke's marketing team with customer favorites that it can put on store shelves. I'm looking for a dividend hike in the next quarter for Coke.

2 of 5

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 16,904.12 -15.47 -0.09%
S&P 500 1,981.60 +9.86 0.50%
NASDAQ 4,527.5140 +19.2020 0.43%

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