Sponsored By:

5 Dividend Stocks with Exceptional Business Models

A long streak of dividend growth is an indication of a business with solid fundamentals

    View All  

Many readers complain that I keep writing about the same stocks over and over again. The hidden truth is that there are only so many businesses in the U.S. which are exceptional and publicly traded.

Johnson & Johnson (JNJ), together with its subsidiaries, engages in the research and development, manufacture, and sale of various products in the health care field worldwide. This dividend aristocrat has managed to raise distributions for 51 years in a row. Over the past decade, it has managed to reward shareholders with 11.70% in annual dividend raises on average. Currently, the stock trades at 16.50 times forward earnings, and yields 3%. Check my analysis of Johnson & Johnson.

McDonald’s (MCD) franchises and operates McDonald’s restaurants in the United States, Europe, the Asia/Pacific, the Middle East, Africa, Canada, and Latin America. This dividend aristocrat has managed to raise distributions for 36 years in a row. Over the past decade, it has managed to reward shareholders with 28.40% in annual dividend raises on average. Currently, the stock trades at 17.40 times earnings, and yields 3.20%. Check my analysis of McDonald’s.

Exxon Mobil (XOM) engages in the exploration and production of crude oil and natural gas, and manufacture of petroleum products. This dividend aristocrat has managed to raise distributions for 31 years in a row. Over the past decade, it has managed to reward shareholders with 9% in annual dividend raises on average. Currently, the stock trades at 11 times earnings, and yields 2.90%. Check my analysis of Exxon Mobil.

Wal-Mart (WMT) operates retail stores in various formats worldwide. The company operates in three segments: Walmart U.S., Walmart International, and Sam’s Club. This dividend aristocrat has managed to raise distributions for 39 years in a row. Over the past decade, it has managed to reward shareholders with 18.10% in annual dividend raises on average. Currently, the stock trades at 14.60 times earnings, and yields 2.50%. Check my analysis of Wal-Mart.

 Coca-Cola (KO), a beverage company, engages in the manufacture, marketing, and sale of nonalcoholic beverages worldwide. This dividend aristocrat has managed to raise distributions for 51 years in a row. Over the past decade, it has managed to reward shareholders with 9.80% in annual dividend raises on average. Currently, the stock is slightly overpriced at 20.50 times earnings, and yields 2.90%. Check my analysis of Coca-Cola.

Full Disclosure: Long KO, WMT, MCD, JN


Article printed from InvestorPlace Media, http://investorplace.com/2013/08/a-long-streak-of-dividend-growth-is-an-indication-of-a-business-with-exceptional-fundamentals-xom-wmt-ko-jnj-mcd/.

©2014 InvestorPlace Media, LLC

Comments are currently unavailable. Please check back soon.