May 14, 2016

Five Dividend Stocks To Turn College Graduates Into Millionaires

Savvy investors understand that the miracle of compounding accelerates total return, the longer the time frame, the better. I don’t think there’s a better gift for a graduating grandchild or other loved one than a gift of a portfolio of dividend-paying stocks including enrollment in the company’s dividend reinvestment plan. Assuming that the graduate can fund the portfolio, even with small amounts to start, the portfolio will compound to produce real wealth over the long term. How much wealth? Millions of dollars, as I’ll demonstrate.

Instead of giving a gift of money that the young person is likely to spend frivolously, a gift of a five-stock portfolio held in dividend reinvestment plans, is likely to stay in place and grow over the years. Your total cost to set up such a portfolio, depending on the price of the stock that you select, is somewhere around $500. What’s more, there’s a two-fold advantage to this gift. Not only will it provide a long-term financial benefit to the graduate, it will give him or her a first-hand experience with a logical approach to investing.

Continue to read to find out those five companies that we would include in a long-term portfolio...

Source: Forbes

Why I Think Pfizer Is a Better Buy Than Merck & Co.

Pfizer's products and pipeline opportunity may give it an edge over Merck.

Pfizer (NYSE:PFE) and Merck & Co. (NYSE:MRK) are two of the biggest drugmakers on the planet, and both of these companies reward investors with a healthy dividend yield. But I believe it's Pfizer, not Merck, that ought to be in an investor's portfolio. 

Here's why...

Source: The Motley Fool

3 Value Stocks Near 52-Week Lows Worth Buying

These three value stocks may be down, but they're far from out.

While many companies' shares are rising past their fair values now, others are trading at potentially bargain prices. The difficulty with bargain shopping, though, is that you may be understandably hesitant to buy stocks wallowing near their 52-week lows. In an effort to separate the rebound candidates from the laggards, it makes sense to start by determining whether the market has overreacted to a company's bad news.
Here's a look at three fallen angels trading near their 52-week lows that could be worth buying...

Source: The motley Fool

4 UBS Most Preferred Dividend-Paying Industrial Stocks

The weaker the U.S. dollar gets, the better things look for many of the top industrial stocks, and there is a very simple reason why. Many of the top industrial stocks do a tremendous amount of their overall business and sales outside of the United States. The stronger the dollar is, the more expensive the products they make and sell become. It’s a good bet that the dollar stays weaker, as the Federal Reserve is in no position to raise interest rates, perhaps for the rest of this year. That is a move that should help the industrial sector.

One of the analyst firms we cover here at 24/7 Wall St. is UBS, and its analysts are modestly positive with the overall sector. They have the industrial sector as a whole rated Neutral, and they favor the transportation subsector overall. UBS has four stocks on its list that are the equity preference or bellwether members that pay solid dividends.
Let's take a closer look for those four...

Source: 24/7 Wall St.

Today’s Top 5 Stock Picks: Blue Chip Dividend Payers

Scott Davis of the Columbia Dividend Income fund is beating the index by focusing on free cash flow.

“Show me the money” was Jerry Maguire’s phrase, but it could just as well describe veteran portfolio manager Scott Davis’ approach to hunting for dividend-paying stocks. “Cash is king,” says Davis. “For us it’s about free cash flow from operations minus capital expenditures.” He is less enthused when he sees company cash coming from financial engineering or from issuing stock or bonds or selling assets.

The approach has worked over the long and short term. Since Davis, 59, took the lead on the $8.7 billion Columbia Dividend Income fund (ticker: GSFTX ) in 2001, the fund has returned 8% annually, edging out the Standard & Poor’s 500. The fund has returned 4% over the past year, beating the market and 96% of large-value peers. spoke with Davis to hear about the fund’s top five positions...

Source: Barrons

May 13, 2016

Goldman Sachs Upgraded Allergan, Inc. (AGN)

Allergan, Inc. (NYSE:AGN) was upgraded by research analysts at Goldman Sachs from a “buy” rating to a “conviction-buy” rating in a research report issued on Friday, The Fly reports.
A number of other research analysts also recently issued reports on the company. Mizuho dropped their price target on Allergan from $250.00 to $232.00 and set a “neutral” rating on the stock in a research note on Friday. Citigroup Inc. reiterated a “buy” rating on shares of Allergan in a research note on Wednesday. Piper Jaffray reiterated a “cautious” rating on shares of Allergan in a research note on Wednesday. Deutsche Bank reiterated a “buy” rating on shares of Allergan in a research note on Monday, April 18th. Finally, Guggenheim assumed coverage on Allergan in a research note on Monday, April 18th. They issued a “neutral” rating on the stock. One equities research analyst has rated the stock with a sell rating, six have issued a hold rating, fourteen have issued a buy rating and two have assigned a strong buy rating to the company. Allergan has an average rating of “Buy” and an average target price of $317.57.

Stifel Nicolaus Downgrades Lockheed Martin Co. (LMT)

Lockheed Martin Co. (NYSE:LMT) was downgraded by stock analysts at Stifel Nicolaus from a “buy” rating to a “hold” rating in a note issued to investors on Thursday, The Fly reports.
A number of institutional investors have recently added to or reduced their stakes in LMT. RMB Capital Management LLC purchased a new position in Lockheed Martin during the first quarter worth approximately $203,000. Badgley Phelps & Bell Inc. purchased a new position in Lockheed Martin during the first quarter worth approximately $210,000. Shufro Rose & Co. LLC purchased a new position in Lockheed Martin during the first quarter worth approximately $224,000. MCF Advisors LLC increased its position in Lockheed Martin by 0.6% in the first quarter. MCF Advisors LLC now owns 1,130 shares of the company’s stock worth $250,000 after buying an additional 7 shares in the last quarter. Finally, CLS Investments LLC increased its position in Lockheed Martin by 448.1% in the first quarter. CLS Investments LLC now owns 1,151 shares of the company’s stock worth $255,000 after buying an additional 941 shares in the last quarter.

May 12, 2016

The Best Monthly Dividend Stocks

While most dividend paying stocks that trade on exchanges in the US pay quarterly, there are some stocks that pay their dividends on other schedules.

A handful pay their dividends semi-annually while a there is a larger population of monthly dividend stocks. While only one aspect that should be considered in selecting stocks for investment, monthly dividend payments can be advantageous for building wealth over time and to smooth out a dividend retirement income stream.

In my own personal portfolio, the largest portion of my stock holdings make dividend payouts in May, August, November, and February. I have to manage the family finances to ensure those quarterly payments last until the next quarter’s payments. If the majority of my holdings were monthly dividend stocks, it would be easier to manage the family’s cash flow.

As I inferred above, I and my family live off our investment income…

These high-yielding, dividend-paying stocks put money in your pocket

Strong companies you’ll want to keep for the long-term

With bond yields offering little, income-focused investors have been turning to stocks to provide the regular cash they seek. The trade-off, of course, is that stocks are riskier than bonds.

Dividend-paying stocks provide both cash and a cushion against market volatility and portfolio risk. But this is no secret, and in this low-yield environment investors have embraced dividend stocks. Yet meanwhile, S&P 500 SPX, -0.35%  companies at least are apparently being stingier with their capital, as dividends increased at their slowest pace since 2011.

Nonetheless, cash is cash, and so dividend-paying stocks are having their day. Most of these stocks can provide short-term portfolio protection, but only some are worth holding as longer-term investments for appreciation and decent — and secure — income.

Here are five such stocks to consider...

Source: MarketWatch

Forget Bank of America Corporation: Here Are 4 Better Dividend Stocks

These four options have all the dividend you need, without Bank of America's baggage.

The qualities of a top-notch bank stock dividend aren't all that complicated. Investors just need a decent yield, a bank with a strong capital base, good earnings, and a realistic payout ratio. And for large banks, the strong hand of the regulators largely takes care of the capital base and payout ratio concerns.

Yet despite such a simple formula, many banks fall short, among them Charlotte, N.C.-based Bank of America (NYSE: BAC). Bank of America's dividend yield today is just 1.32%. On a trailing-12-month basis, the bank's return on equity is just 6.65%, well below the industry average and its national peers. Its capital position is strong today, but it's hard to forget that today's capital was built via massive shareholder dilution during the financial crisis.

All is not lost, however. There are plenty of suitable bank stocks with excellent dividends to round out your portfolio, each that meet all of our requirements. TD Bank (NYSE: TD) and its 3.52% dividend yield is one, for example. So is JPMorgan Chase (NYSE: JPM) and it's 2.78% yield. There are even large regional banks that could be the good fit for you, like the 3.17% and 2.32% yields available from BB&T (NYSE: BBT) and PNC Financial Services Group (NYSE: PNC), respectively.

Four banks with a better dividend profile than Bank of America…

4 High-Dividend Technology Stocks for Yield-Hungry Investors

The technology sector has many stocks that don't pay dividends at all. Companies such as Facebook,Google parent Alphabet and Salesforce pay no dividends. But that doesn't mean there aren't good high-dividend stocks in the technology sector.

Even Warren Buffett -- who famously avoided tech stocks for decades -- is invested in one of these high-yield technology stocks: IBM . It is the fifth highest yielding stock in Warren Buffett's high-dividend portfolio. We'll look at three other high-dividend technology stocks in this article as well. Two are well-known large-cap technology stocks with strong competitive advantages -- and high dividend yields. The other is the global leader in wireless mobile communications devices. (Its products are found in most smartphones.)

Most technology dividend-paying stocks don't have long dividend histories -- that's because the technology industry changes quickly. Two of the high-dividend technology stocks in this article are different. They are members of the Dividend Achievers Index, stocks with 10 or more consecutive years of dividend increases.

Let's take a closer look for those four...

Source: TheStreet

3 High-Yield Dividend Stocks to Buy in May

On the hunt for a stock with a big dividend yield? Our contributors think you should give these three companies a closer look.

Many income-focused investors look at the S&P 500's dividend yield of only 2% and believe they can do better. After all, there are plenty of stocks on the market that offer up yields well above that of the index, so doesn't it make more sense to simply buy a basket of high-yielding stocks as a way to create more income? We Fools think so, but at the same time, we recognize that not every stock that has a high yield is worth owning. 

In an effort to give our readers a jump start in their search for stocks that offer up big dividend payouts, we reached out to a team of Motley Fool contributors and asked them to share one of their favorite high-yielding stocks. 

Continue to read to see which stocks they picked to see if you could find a place for them in your portfolio...

May 11, 2016

Chevron Corporation (CVX): Delivering Dividends, Attractive Entry Point For The Patient Investor

The stock of Chevron Corporation (NYSE:CVX) – the 2nd largest United States oil company is still attractive despite reporting a significant loss in its most recent quarter.

Chevron is one of only 2 oil and gas Dividend Aristocrats, and is one of the 6 oil and gas super majors. Chevron stock is currently offering investors a high dividend yield.

Among the smart money investors tracked by Insider Monkey, billionaire Ken Fisher’s Fisher Asset Management owns 3.64 million shares of Chevron Corporation as of the end of March; the investor boosted its stake by 31% on the quarter.

While waiting for a significant recovery in the price of oil, investors can enjoy the generous dividend currently yielding 4.2% a year…

BP Stock: Are Dividends Safe?

BP like other oil companies reported poor earnings, but continued to pay steady dividends. Can this trend continue?

Troubles for oil and gas companies continue in 2016 as oil prices remain highly volatile. The first quarter (1Q) results of the energy companies saw drastic fall in profits and revenues. The norm, quite common in the oil and gas space, was the declining capital expenditures (Capex), asset divestitures, and workforce redundancies. However, another commonality that remained in the space, was that of dividends.

Investors of oil and gas have been accustomed to high dividends. Crude oil supply generally has remained weak in the past and prices have remained high. Before the collapse of oil prices in July 2014 ($110–115 per barrel), oil and gas companies had strong balance sheets and profitability profiles. However, the companies’ cash flows soon followed the fall of oil prices.

Some companies, including ConocoPhillips (COP) have managed to cut dividend, but most of them still remain resilient and continue to maintain dividends in hopes that the markets will recover soon. One such company that continues to be consistent with this policy is BP plc. (ADR) (BP). While most energy companies only had to bear the onslaught from the declining crude oil prices, the formerly known British Petroleum company had far more on its table...

Source: Bidness Etc

Verizon Communications: A High-Yield Telecom For Current Income

Verizon Communications Inc. (NYSE:VZ) provides communications, information, and entertainment products and services to consumers, businesses, and governmental agencies worldwide. This dividend achiever has paid dividends since 1984 and increased them for 11 years in a row. Verizon ranks in The Top 10 in the Sure Dividend system. 

The most recent dividend increase was in September 2015, when the Board of Directors approved a 2.70% increase in the quarterly dividend to 56.50 cents/share.

The company’s competitors include AT&T (NYSE:T), Sprint (NYSE:S) and T-Mobile (NASDAQ:TMUS).

Over the past decade this dividend growth stock has delivered an annualized total return of 11.50% to its shareholders. Future returns will be dependent on growth in earnings and initial dividend yields obtained by shareholders.

Continue to read…

Source: ValueWalk

7 Dividend Stocks You Can Count on for Reliable Income

In a world in which savings accounts yield practically nothing and the 10-year Treasury yields less than 2%, it might seem to be. But if you’re willing to take some of the ups and downs of the stock market, there is still plenty of income to be found in dividend stocks.

Sure, the S&P 500’s dividend yield is only 2.1% at today’s prices, not a whole lot better than what you’d find in the bond market. But year to date through March, the stocks making up the S&P 500 collectively boosted their dividend payments by 7.5%. And dividends had been growing at a healthy double-digit clip for the previous five years.

So, while stock prices bounce around a lot more than bond prices, dividend stocks are your best bet if it’s income you’re after.

Look those seven dividend stocks…

Source: Newsmax

4 High-Quality Dividend Stocks Selling for Cheap That Buffett Would Love

Buy low and sell high sounds easier than it is, but when premium stocks are trading below their true value, it's hard to miss.

Berkshire Hathaway CEO Warren Buffett built his $60 billion-plus fortune by buying high-quality businesses at discounts. The Oracle of Omaha summed up his love for bargains with this quote: "Whether we're talking about socks or stocks, I like buying quality merchandise when it is marked down."

Today we'll look at four dividend-paying businesses that are industry leaders with strong competitive advantages. Three of them are in the elite group of 50 stocks known as Dividend Aristocrats, stocks that have 25 or more years of consecutive dividend increases. The other is one of the largest corporations in the world.

The market has unfairly punished all of these businesses. You can take advantage of current discounts by loading up on these high-quality businesses trading at bargain prices.

Let's take a closer look for those four...

Source: The Street

A Dividend Stock to Buy: Apple, Inc.

With its dividend yield back at 2.5%, here's why the tech giant is looking compelling again.

On May 31, 2013, I called Apple (NASDAQ:AAPL) a dividend investor's dream stock. After the stock's 26% sell-off in the past 12 months, is it almost worthy of such a bullish name again?

When brand power, a cheap valuation, and dividend growth collide
The last time I called Apple a dividend investor's dream stock, its dividend yield was only 2.5% -- subpar compared with many popular large-cap dividend stocks, which often have yields above 3%. But Apple stock's value to income investors at the time was found in more than its yield. When this yield was combined with the undervalued characteristics of the stock and the dividend's growth potential, Apple looked like a downright bargain. At the time, shares were trading at a split-adjusted $63.60.

Almost three years later, investors who bought shares at the time have seen a 47% gain -- and that's not even including dividends. This return nearly doubles the S&P 500's rise during the same period...

Source: The Motley Fool

The Formula For a 5% Dividend Payout

Pity the poor endowment, retiree or trust-funder trying to live off the income from stocks. Appreciation over the past year has been approximately zilch. The dividend yield is 2%. If dividends are your income, a $1 million account would generate a pathetic $1,700 in monthly cash.

I have in hand a solution to this problem: a scientific justification for kicking up the drawdown from the portfolio from 2% to 5%. The case is built around the S&P 500 index, for which historical data is easy to come by. But when I get around to a buy recommendation, I’ll use a slightly different collection of equities. My preferred portfolio has 8,000 stocks in it.

For history we’ll go back 28 years, an interval that is not far from the plausible investment horizon of someone just now retiring. Also, it makes the arithmetic easy...

Source: Forbes

May 10, 2016

Topeka Capital Markets Downgraded Gap Inc (GPS)

Gap Inc (NYSE:GPS) was downgraded by investment analysts at Topeka Capital Markets from a “buy” rating to a “hold” rating in a note issued to investors on Tuesday, MarketBeat reports. They currently have a $22.00 price target on the apparel retailer’s stock, down from their previous price target of $40.00. Topeka Capital Markets’ price objective would suggest a potential upside of 0.87% from the stock’s previous close.

Gap (NYSE:GPS) opened at 21.81 on Tuesday. Gap has a 12-month low of $21.11 and a 12-month high of $39.59. The company’s 50 day moving average price is $25.50 and its 200-day moving average price is $25.94. The firm has a market capitalization of $8.66 billion and a price-to-earnings ratio of 9.78. 

Source: Newsway21

Jefferies Group Upgraded HCP, Inc. (HCP)

HCP, Inc. (NYSE:HCP) was upgraded by analysts at Jefferies Group to a “hold” rating in a research report issued to clients and investors on Tuesday, reports.

In related news, EVP James Justin Hutchens bought 10,000 shares of the company’s stock in a transaction that occurred on Wednesday, February 10th. The shares were purchased at an average cost of $27.47 per share, with a total value of $274,700.00. Following the transaction, the executive vice president now directly owns 35,854 shares of the company’s stock, valued at approximately $984,909.38. The purchase was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, EVP Darren A. Kowalske bought 3,822 shares of the company’s stock in a transaction that occurred on Thursday, February 11th. The stock was bought at an average cost of $26.12 per share, for a total transaction of $99,830.64. The disclosure for this purchase can be found here.

Source: Newsway21

Bank of America Upgraded Dover Corp (DOV)

Dover Corp (NYSE:DOV) was upgraded by equities researchers at Bank of America from a “neutral” rating to a “buy” rating in a research note issued on Tuesday,The Fly reports.

A number of large investors have made changes to their positions in the company. Pzena Investment Management LLC boosted its stake in shares of Dover Corp by 151.1% in the fourth quarter. Pzena Investment Management LLC now owns 5,671,522 shares of the company’s stock worth $347,721,000 after buying an additional 3,413,250 shares during the period. Norges Bank purchased a new stake in Dover Corp during the fourth quarter worth approximately $67,048,000. WBI Investments Inc. purchased a new stake in Dover Corp during the fourth quarter worth approximately $41,596,000. Pioneer Investment Management Inc. purchased a new stake in Dover Corp during the fourth quarter worth approximately $28,641,000. Finally, Winton Capital Group Ltd boosted its stake in Dover Corp by 116.3% in the fourth quarter. Winton Capital Group Ltd now owns 515,758 shares of the company’s stock worth $31,621,000 after buying an additional 277,282 shares during the last quarter.

FBR & Co. Downgraded AFLAC Incorporated (AFL)

AFLAC Incorporated (NYSE:AFL) was downgraded by research analysts at FBR & Co. from an “outperform” rating to a “market perform” rating in a research report issued on Tuesday, The Fly reports. They presently have a $68.00 price objective on the stock, down from their prior price objective of $71.00. FBR & Co.’s target price points to a potential downside of 0.93% from the company’s current price.

In related news, insider Hiroshi Yamauchi sold 19,250 shares of the stock in a transaction on Wednesday, March 9th. The shares were sold at an average price of $60.43, for a total transaction of $1,163,277.50. Following the sale, the insider now directly owns 88,738 shares of the company’s stock, valued at $5,362,437.34. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, insider Charles D. Lake II sold 17,791 shares of the stock in a transaction on Wednesday, May 4th. The stock was sold at an average price of $68.48, for a total transaction of $1,218,327.68. Following the sale, the insider now directly owns 46,547 shares in the company, valued at $3,187,538.56. The disclosure for this sale can be found here.

Piper Jaffray Downgraded Hasbro (HAS)

Hasbro (HAS) was Downgraded by Piper Jaffray to ” Neutral” and the brokerage firm has set the Price Target at $88. Earlier the firm had a rating of “Overweight ” on the company shares. Piper Jaffray advised their investors in a research report released on May 10, 2016.

Many Wall Street Analysts have commented on Hasbro. Company shares were Reiterated by Monness Crespi & Hardt on Apr 19, 2016 to “Buy”, Firm has raised the Price Target to $ 93 from a previous price target of $84 .JP Morgan Initiated Hasbro on Apr 7, 2016 to “Neutral”, Price Target of the shares are set at $81.Company shares were Reiterated by Piper Jaffray on Mar 31, 2016 to “Overweight”, Firm has raised the Price Target to $ 84 from a previous price target of $83 .

Source: Market Digest

May 9, 2016

6 Great Dividend Stocks for Retirees

We offer a mix of high-yielders and companies with strong dividend-growth prospects.

Wall street is in love with dividend stocks—maybe too much so. The stocks have climbed so much lately that many are starting to look pricey. That means that retirees, in particular, need to be careful about which dividend payers they’re buying if they are trying to both protect and grow their nest egg.
We went hunting for dividend stocks that meet two conditions important to many retirees: first, little risk that the dividend could be cut, and second, reasonable expectations for long-term dividend growth as well as share-price gains.

We found six names worth considering. Some offer relatively high yields but mild dividend-growth prospects; others offer lower yields but strong growth prospects; and the rest are somewhere in the middle, with decent yields and good growth prospects. Share prices and related figures are through March 31. For two more dividend payers that are well suited for retirees...

Source: Kiplinger

3 Bargain Stocks You Can Buy Right Now

Buying strong companies at discounted prices is one of the most powerful and time-proven strategies to obtain superior returns over time. The concept is quite simple. However, it's easier said than done, as the trick is finding undervalued companies that are solid enough to deserve your hard-earned money.

Let's look in more detail the three candidates ...

Source: The Motley Fool

2 Cheap Dividend Growers To Buy For Retirement

If you’re one of the many investors counting on a 7% average yearly return from your portfolio—or better—you’re putting your retirement at risk.

You’ve probably heard this 7% figure before. It’s gospel for many financial planners, and even Warren Buffett brings it up from time to time. It’s the S&P 500’s average annual return, adjusted for inflation, between 1928 and 2014.

With a time frame like that, it seems like a safe bet, right?

Wrong. Because over the next several decades, we’re way more likely see average yearly returns of 4% to 6%—and probably toward the lower end of that range.

I’m not the only one who thinks so...

Source: Forbes

3 Growth Dividend Stocks to Buy in May

Nike, MPLX, and Gilead Sciences all have the potential to increase their dividend payments to investors in the future.

Income investors have a lot of dividend-paying companies to choose from, but not just any dividend-paying stock is worth socking away in portfolios. Often, the best dividend-paying companies are those that have catalysts that are sparking revenue and profit growth that can fuel dividend increases in the future.
We asked some of our top Motley Fool contributors to tell us their favorite growth dividend stocks to buy now, and here are the three they picked. Read on to find out if they're right for your portfolio...

4 Top Blue Chip Dividend Stocks to Buy and Hold Forever

With the presumptive candidates for the presidential election in place, one thing investors now need to contemplate is what stocks will do better under a Clinton or a Trump presidency. One thing is for sure, there will be plenty of fireworks before election day on November 8, and the smart thing to do is steer your portfolio toward stocks that will do well regardless of who is the ultimate winner.

With that in mind, we screened the Merrill Lynch research database for dividend paying stocks rated Buy, that have shown long-term success, and have consistently raised their dividends and returned cash to shareholders. We found four that make the list that are outstanding choices.

Let's look closer those Merrill Lynch's four stocks...

Source: 24/7 Wall St.

Argus Upgraded Altria Group Inc (MO)

Altria Group Inc (NYSE:MO) was upgraded by research analysts at Argus from a “hold” rating to a “buy” rating in a research report issued to clients and investors on Monday,The Fly reports.
Shares of Altria Group (NYSE:MO) opened at 62.93 on Monday. Altria Group has a 12 month low of $47.31 and a 12 month high of $64.16. The company’s 50 day moving average is $62.24 and its 200 day moving average is $60.02. The company has a market cap of $123.10 billion and a P/E ratio of 23.59.

Barclays Upgraded ONEOK, Inc. (OKE)

ONEOK, Inc. (NYSE:OKE) was upgraded by stock analysts at Barclays from an “equal weight” rating to an “overweight” rating in a research report issued on Monday, reports. The brokerage currently has a $49.00 price target on the stock, up from their previous price target of $27.00. Barclays’ price objective would suggest a potential upside of 23.21% from the stock’s current price.
ONEOK (NYSE:OKE) opened at 39.77 on Monday. ONEOK has a one year low of $18.84 and a one year high of $47.29. The firm has a market cap of $8.35 billion and a PE ratio of 34.25. The company has a 50 day moving average of $32.45 and a 200-day moving average of $27.57.

JPMorgan Chase & Co. Downgrades Occidental Petroleum Co. (OXY)

Occidental Petroleum Co. (NYSE:OXY) was downgraded by research analysts at JPMorgan Chase & Co. from an “overweight” rating to a “neutral” rating in a research note issued on Monday, The Fly reports.
Other institutional investors recently bought and sold shares of the company. Lenox Wealth Advisors raised its position in Occidental Petroleum by 5.2% in the fourth quarter. Lenox Wealth Advisors now owns 887 shares of the company’s stock worth $60,000 after buying an additional 44 shares during the period. Exane Derivatives bought a new position in Occidental Petroleum during the first quarter worth approximately $206,000. Morris Capital Advisors LLC bought a new position in Occidental Petroleum during the first quarter worth approximately $211,000. Eastern Bank bought a new position in Occidental Petroleum during the first quarter worth approximately $260,000. Finally, Investment Centers of America Inc. raised its position in Occidental Petroleum by 20.5% in the first quarter. Investment Centers of America Inc. now owns 4,020 shares of the company’s stock worth $277,000 after buying an additional 683 shares during the period.

May 8, 2016

Forget Alcoa Inc.: Here Are 3 Better Dividend Stocks

The aluminum business hasn't been on solid footing for a long time, so it may be time for income investors to look for some better dividend payers.

Alcoa (NYSE:AA) used to be a bellwether for the market as a whole, its performance indicating whether consumer and industrial demand were rising or falling. But after years of losses and a long downward trend in revenue (even before its Arconic spinoff), the stock just isn't what it once was anymore. And with a dividend yield of just 1.1%, there are definitely better stocks out there for income investors.

Continue to read to find out what are those three...

Source: The Motley Fool

Is Suncor Energy's Dividend a Good Investment?

What has the company done historically with its dividend, and what is the future outlook?

It's been a tough two-year stretch for energy companies, and Suncor Energy (NYSE: SU) has not been an exception. The Canadian integrated oil company has seen shares slide since 2014, although a reprieve from recovering oil prices in recent weeks has helped the stock rebound some losses. Despite the miserable stock performance, Suncor's dividend might be enough to give the company consideration.

Let's take a closer look...

Source: The Motley Fool

Don’t Sell in May: Buy These 4 Dividend Growers Instead

If you “sell in May and go away” this year, you could be putting a whole year’s worth of returns at risk.

Now is the time to be adding top-notch dividend stocks to your portfolio. I’ll give you four my “second-level analysis” has uncovered in a moment.
First, here’s why “sell in May” is a flawed strategy that could cost you money.
True, stocks typically struggle in the summer months: since 1950, the Dow Jones Industrial Average has gained an average of 0.4% from May through October, according to the Stock Trader’s Almanac, compared to a 7.5% rise from November through April.
But jumping out of the market only to jump back in six months later is still a terrible idea. For one, you’ll miss out on dividends, which make up a big part of most investors’ long-term returns. And even at a 0.4% gain, you’d still be doing better than sitting in cash.
Plus, the pattern doesn’t show up consistently: from May 1, 2014, through October 31, 2014, for example, the S&P 500 rose 8.3%, but it gained just 4.9% from November 1, 2014, through April 30, 2015. So selling in May and coming back in early November would have put a big dent your 12-month return.
You’re better off using the summer months to fine-tune your portfolio, swapping out second-rate stocks (especially if they don’t pay dividends) for top-notch dividend-growers like the four below...

8 Best ETFs for Dividend Investors

Just how important are stock dividends? Over the long haul, these cash payouts have accounted for some 40% of overall U.S. market returns. In periods of poor stock market performance, they’ve played an even larger role in returns. For that reason, we set out to find the best dividend-oriented exchange-traded funds. As you’ll see, each ETF has its own strategy, tied to the particular index it tracks.

Read more to find out those 8 best ETFs...

Source: Kiplinger

The Top 5 Warren Buffett Stocks to Watch in 2016

Berkshire Hathaway Inc. (NYSE: BRK.A) held its annual shareholder meeting this past week. As always, investors are looking for updates on the top Warren Buffett stocks and if he's made any changes in his positions.

Before we get in to the top five Warren Buffett stocks to watch in 2016, here's some highlights from Berkshire's annual meeting…

Berkshire reported net income of $5.59 billion, up 8% from $5.16 billion a year earlier.
Insurance underwriting profits declined to $1.13 billion in Q1. That compared with $1.35 billion in Q1 2015.
Berkshire's enormous railroad, utility, and energy segment also saw profits fall. Profits dipped to $1.22 billion versus $1.46 billion a year ago. Lower shipments of coal and material used in shale-gas extraction cut into results.
Warren Buffett's fame isn't the only reason Berkshire Hathaway's results are closely watched. The Omaha-based company's results are telling of the health of the U.S. economy. As one of the largest companies in America, almost all of Berkshire's earnings come from the United States.
Meanwhile, Buffett's top holdings, latest buys, and new sells are all scrutinized by investors and money managers who attempt to mimic the Oracle of Omaha's moves.
Here are the top five Warren Buffett stocks to watch in 2016…

Source: Money Morning

Safe haven Vodafone among FTSE 100 companies at risk of dividend cuts

Investors who rely on dividends from Britain’s biggest companies should expect income cuts this year, including from perceived havens such as Vodafone and Diageo, according to new analysis from a wealth management firm.

Canaccord Genuity has produced a list of British shares that could be at risk of a dividend cut in the near future because current payout levels are unsustainable.

It said the “dividend payout ratio” for the FTSE 100 had now passed 70pc, meaning that dividends over the past year were worth more than 70pc of the company earnings that paid for them.

Companies across multiple sectors were now under pressure to keep dividends up despite falling revenues, Canaccord said, and this could be problematic if companies ran into further cashflow problems.

In drawing up its list of the dividends most at risk, Canaccord looked for companies yielding more than 3pc, with dividend cover (the degree to which earnings exceed dividends) of less than 1.7 times, and negative growth in earnings on a per-share basis both this year and last.

Lets look that list...

Source: Telegraph

Can The Top 10 S&P 500 Dividend Growers Continue Their Rapid Dividend Growth?

The ten S&P 500 companies that have increased their dividend payout by the highest average annual rate during the last five years are analyzed in this article. The goal is to find out if they can continue their high dividend growth rate.

Since this article is designated to income-oriented investors, I have considered only stocks that are yielding more than 2.5%. The tables below show the top ten S&P 500 companies based on 5 year dividend growth, as well as each one’s:

– Dividend yield
– Payout ratio
– Average annual dividend growth rates during the last five and three years

Let's look closer those ten...

Source: Insider Monkey

3 Top Dividend-Growth Stocks for Long-Term Investors

As history has shown, owning a portfolio of dividend-paying stocks is the best way to build wealth over the long term, and this investment strategy is most successful when you own stocks that raise their payouts every year.

With this in mind, let’s take a look at three of the best dividend-growth stocks from different industries, so you can determine if you should buy one of them today...

Source: The Motley Fool Canada