Current Dividend Yield: 3.5%
Performance So Far in 2012: +7%
E.I. du Pont de Nemours & Company (NYSE:DD), or simply DuPont, is a chemicals giant made famous by products including Tyvek house wrap, Teflon non-stick coatings and stretchy Lycra synthetic fabric.
DuPont isn’t quite as sexy as a Silicon Valley tech shop but clearly is an innovator with a long history of great product creation. DD stock lagged the market in 2011 with an 8% decline but has topped the Dow’s 5% gains so far in 2012.
DD reports earnings on July 24. And based on past performance, this chemicals stock is looking good. Revenue is up year-over-year for the 10th consecutive quarter after strong earnings in April, and DuPont’s EPS have gone from $1.92 for fiscal 2009 to an impressive $3.68 in fiscal 2011 — almost double — and are forecast to jump another 15% in fiscal 2012.
Dividend investors in it for the long term know the staying power of DuPont. The company has paid dividends for more than 100 years and is a stable industrial giant that isn’t going anywhere. At the end of April after DuPont’s earnings, it added another 2 cents to its quarterly payday, too, proving this industrial company is not just preserving dividends — but improving them.