The stocks that have richly rewarded their shareholders for several decades have some qualities in common. In particular, they offer products and services that people and businesses can hardly do without. There are certain everyday things that people are reluctant to spend less on, even in times of financial distress.
Investors can use history as a guide: The stocks that will be around to reward investors down the line probably share the qualities that allowed them to reward shareholders in the past -- namely, strong brands, reliable cash flows, and a history of making dividend payments.
Stocks for the long run
Companies including Pepsico (NYSE: PEP ) , Johnson & Johnson (NYSE: JNJ ) , and 3M Company (NYSE: MMM ) have churned out rising profits year in and year out for decades.
Pepsi's namesake soda, as well as its many other consumer brands, can be found in nearly every home across America. Pepsi has taken steps to diversify its product portfolio outside of carbonated beverages, and its stable of offerings now includes Frito-Lay, Gatorade, and Quaker Oats. In all, Pepsi holds 22 brands that bring in at least $1 billion each in annual sales.
Top 10 Dividend Stocks To Own Right Now: AvalonBay Communities Inc. (AVB)
AvalonBay Communities, Inc. engages in the development, redevelopment, acquisition, ownership, and operation of multifamily communities in the United States. As of January 31, 2009, the company owned or held a direct or indirect ownership interest in 164 operating apartment communities comprising 45,728 apartment homes in 10 states and the District of Columbia. It also held a direct or indirect ownership interest in 14 communities under construction, as well as held rights to develop an additional 27 communities. The company?s markets are located in New England, the New York/New Jersey metro area, the Mid-Atlantic, the Midwest, the Pacific Northwest, and the Northern and Southern California regions of the United States. AvalonBay Communities has elected to be taxed as a real estate investment trust and would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. The company was founded in 1978 and is based in Arlington, Virginia.
Advisors' Opinion:- [By Marc Bastow]
Apartment community real estate investment trust (REIT) AvalonBay Communities (AVB) raised its quarterly dividend 8.4% to $1.16 per share, payable on Apr. 15 to shareholders of record as of Mar. 31.
AVB Dividend Yield: 3.77% - [By Shauna O'Brien]
KeyBanc announced on Thursday that it has boosted its rating on AvalonBay Communities Inc (AVB) to “Buy.”
The firm has upgraded AVB from “Hold” to “Buy,” and has given the company a $139 price target. This price target suggests a 15% upside from the stock’s current price of $120.55. KeyBanc has also upgraded residential REIT UDR, Inc. (UDR) and has cut its rating on Essex Property Trust Inc (ESS).
Analyst Karin Ford noted: “We upgrade the Apartment REIT vertical from Market-Weight to OVERWEIGHT based upon attractive valuation levels that overlook the potential for accelerating fundamentals, as the impact of new supply wanes and continued employment gains support greater rental demand into ’15.
“We believe the short-cycle nature of the apartment vertical’s leases place it relatively well within an env’t of rising rates driven by an imprv�� economy; the group’s underperformance YTD and current relative valuation level (4% discount to REIT sector on AFFO multiple) reflects concern over slowing fundamentals amid elevated new supply. We think new supply should peak in late-’14 and give way to accelerating absorption trends.”
AvalonBay Communities shares were mostly flat during pre-market trading Thursday. The stock is down 11% YTD.
- [By Susan J. Aluise]
Like all ETFs, REZ offers the diversification of a mutual fund, with low expenses and the advantages of trading on a major exchange just like a stock. REZ�� top holdings include multifamily REITs like AvalonBay (AVB), Equity Residential (EQR), Essex Property Trust (ESS) as well as Public Storage (PSA) common stock, which also benefits from the rental housing boom.
- [By Sean Williams]
Another big factor to consider is that Equity Residential and AvalonBay Communities (NYSE: AVB ) both recently combined to purchase Archstone. Under normal circumstances, residential-REITs like Equity Residential and AvalonBay would go into debt and build new communities, benefiting from the build-out years down the road. Archstone already has a well-established portfolio of rental properties, meaning the transition from purchase to profit is shortened dramatically. Equity Residential took a little over a 26% stake in the Archstone rental portfolio with AvalonBay picking up the remainder.
Top Dividend Companies To Watch For 2014: SuperValu Inc.(SVU)
SUPERVALU INC., together with its subsidiaries, operates retail food stores in the United States. Its stores offer grocery, general merchandise, health and beauty care, pharmacy, and fuel products. The company operates stores under the Acme, Albertsons, Cub Foods, Farm Fresh, Hornbacher?s, Jewel-Osco, Lucky, Shaw?s, Shop ?n Save, Shoppers Food & Pharmacy, and Star Market banners, as well as in-store pharmacies under the Osco and Sav-on banners. It operates approximately 2,394 traditional and hard-discount retail food stores, including 899 licensed Save-A-Lot stores. The company also offers supply chain services, which include wholesale distribution of products to independent retailers, including single and multiple grocery store independent operators, regional and national chains, mass merchants, and the military customers, as well as provides logistics support services. SUPERVALU was founded in 1871 and is based in Eden Prairie, Minnesota.
Advisors' Opinion:- [By Ben Levisohn]
Amazon.com (AMZN) might be bringing Amazon Fresh to a city near you–and hammering your grocery stock in the process. Deutsche Bank sees tough times for Supervalu�(SVU) and Safeway�(SWY)� if an when Amazon expands its grocery delivery service beyond its three current test markets, while Kroger (KR) and Whole Foods Markets (WFM) should be able to thrive.
Top Dividend Companies To Watch For 2014: The Cushing MLP Total Return Fund(SRV)
Cushing MLP Total Return Fund is a closed-end mutual fund launched by Swank Capital, LLC. The fund is managed by Swank Energy Income Advisors L.P. It invests in the public equity and fixed income markets across the globe with a focus in United States. The fund typically invests in MLPs, Other Natural Resource Companies, and global commodities. It primarily invests in the securities of MLPs, other equity securities, debt securities, and securities of non-U.S. issuers employing a fundamental analysis. Cushing MLP Total Return Fund was formed on May 23, 2007 and is domiciled in Dallas.
Advisors' Opinion:- [By Robert Rapier]
As I write this, Tortoise Pipeline and Energy (NYSE: TTP) trades at a discount of 15.1 percent to its underlying assets, while at the other end of the spectrum Cushing MLP Total Return Fund (NYSE: SRV) trades at a 17.4 percent premium. The average MLP closed-end fund listed trades at a 4.9 percent discount, which is perhaps reasonable given the loss of certain tax advantages and the fact that management fees will eat into returns.
Top Dividend Companies To Watch For 2014: Lexington Realty Trust (LXP)
Lexington Corporate Properties Trust operates as a self-managed and self-administered real estate investment trust (REIT). The company acquires, owns, and manages a portfolio of office, industrial, and retail properties net-leased to corporate tenants in the United States. It also provides investment advisory and asset management services to institutional investors in the net lease area. As of June 30, 2005, the company operated 185 properties and managed 2 properties. Lexington Corporate Properties Trust has elected to qualify as a REIT for federal income tax purposes. As a REIT, it would not be taxed on the portion of its income, which is distributed to shareholders, provided it distributes at least 90% of its taxable income. The company was founded in 1991 and is based in New York City.
Advisors' Opinion:- [By CRWE]
Lexington Realty Trust (NYSE:LXP), a real estate investment trust (REIT) focused on single-tenant real estate investments, reported that it would release its third quarter 2012 results the morning of Tuesday, November 6, 2012. Lexington will conduct a teleconference that same day at 11:00 a.m., Eastern Time.
Top Dividend Companies To Watch For 2014: Consolidated Edison Company of New York Inc. (ED)
Consolidated Edison, Inc., through its subsidiaries, provides electric, gas, and steam utility services in the United States. It provides electric service to approximately 3.3 million customers and gas service to approximately 1.1 million customers in New York City and Westchester County, as well as provides steam service to office buildings and apartment houses in parts of Manhattan. The company also provides electric service to approximately 0.3 million customers in southeastern New York and in adjacent areas of northern New Jersey, and northeastern Pennsylvania; and gas service to approximately 0.1 million customers in southeastern New York and adjacent areas of northeastern Pennsylvania. In addition, Consolidated Edison involves in the sale and related hedging of electricity to wholesale and retail customers; operation of generating plants; participation in other infrastructure projects; and provision of energy-efficiency services, including the design and installation of lighting retrofits, high-efficiency heating, ventilating and air conditioning equipment, and other energy saving technologies to government and commercial customers. It serves residential, industrial, and large commercial customers. The company was founded in 1884 and is based in New York, New York.
Advisors' Opinion:- [By Dividends4Life]
This week a few companies answered the call and rewarded their shareholders with higher cash dividends:
Consolidated Edison Inc. (ED) engages in regulated electric, gas, and steam delivery businesses. January 16th the company increased its quarterly dividend 2.4% to $0.63 per share. The dividend is payable March 15, 2014, to stockholders of record on February 12, 2014. The yield based on the new payout is 4.7%.
Cousins Properties Incorporated (CUZ), a real estate investment trust (REIT), owns, develops, and manages real estate portfolio, as well as performs certain real estate-related services. January 16th the company increased its quarterly dividend 66.7% to $0.075 per share. The dividend is payable February 24, 2014, to stockholders of record on February 10, 2014. The yield based on the new payout is 2.8%.
Wisconsin Energy Corporation (WEC) generates and distributes electric energy, as well as distributes natural gas. The company operates in two segments, Utility Energy and Non-Utility Energy. January 16th the company increased its quarterly dividend 2% to $0.3900 per share. The dividend is payable March 1, 2014, to stockholders of record on February 14, 2014. The yield based on the new payout is 3.8%.
BlackRock Inc. (BLK) is a publicly owned investment manager. The firm primarily provides its services to institutional, intermediary, and individual investors. January 16th the company increased its quarterly dividend 14.9% to $1.93 per share. The dividend is payable March 24, 2014, to stockholders of record on March 7, 2014. The yield based on the new payout is 2.4%.
ONEOK Inc. (OKE) operates as a diversified energy company in the United States. January 15th the company increased its quarterly dividend 5.3% to $0.40 per share. The dividend is payable February 18, 2014, to stockholders of record on February 10, 2014. The yield based on the new payout is 2.5%.
Omega Healthcare Investors Inc. (OHI) is a real es - [By John Divine]
Stocks headed into the weekend on a strong note, as all three major indices ended higher and the Dow finished at an all-time closing high. Although Wall Street polished off the week with gains, there wasn't an overwhelming, undeniable sense of bullishness; in fact, just less than 54% of stocks managed to advance. Not included in that 54% were today's three most miserable performers: NVIDIA Corporation (NASDAQ: NVDA ) , Consolidated Edison (NYSE: ED ) , and Western Digital Corp. (NASDAQ: WDC ) , each of which ended near the bottom of the S&P 500 Index (SNPINDEX: ^GSPC ) on Friday. The S&P, for its part, tacked on two points, or 0.2%, to end at 1,878.�
- [By Susan J. Aluise]
CVI is structured into two Managed Limited Partnerships (MLPs): CVR Refining (CVRR) and the nitrogen fertilizer unit CVR Partners (UAN). CVR Energy owns 71% of CVR Refining and 53% of CVR Partners. This is an interesting play in the energy sector, given UAN�� lower cost of ammonia and urea ammonium nitrate and CVRR�� edge as an MLP refiner.
Consolidated Edison (ED)Consolidated Edison (ED)�is down 3% since Nov. 6 and has a dividend yield of 4.6%.� Although ED�� forward P/E of more than 14 seems a little high, it is in line with other utility-sector dividend stocks. On the down side, ConEd is experiencing flat revenue growth in its regulated utility businesses — in large part because regulators have moved to freeze utility rates.
- [By Michael Flannelly]
Early on Wednesday, analysts at Goldman Sachs upgraded utility company Consolidated Edison, Inc. (ED), noting that rate case concerns are already priced into the stock’s current valuation.
The analysts upgraded ED from “Sell” to “Neutral” and see shares reaching $57, up from the previous target of $55. This new price target suggests a slight upside to the stock’s Tuesday closing price of $55.28.
“While ED faces a challenging rate case in New York, we see this risk as well understood by the market now,” Goldman Sachs analyst Michael Lapides said.
Con Edison shares were inactive during pre-market trading on Wednesday. The stock is down a fraction year-to-date.
Top Dividend Companies To Watch For 2014: Polo Ralph Lauren Corporation(RL)
Ralph Lauren Corporation, together with its subsidiaries, engages in the design, marketing, and distribution of lifestyle products. The company offers men?s, women?s, and children?s clothing; and accessories comprising footwear, eyewear, watches, jewelry, hats, and belts, as well as leather goods, including handbags and luggage. It also provides products for homes, including bedding and bath products, furniture, fabric and wallpaper, paint, tabletop, and giftware; and fragrance products for women men. In addition, the company licenses its products, such as men?s sportswear, men?s tailored clothing, men?s underwear and sleepwear, eyewear, fragrances, cosmetics, and color and skin care products. It offers its products under the Polo by Ralph Lauren, Ralph Lauren Purple Label, Ralph Lauren Women?s Collection, Black Label, Blue Label, Lauren by Ralph Lauren, RRL, RLX, Rugby, Ralph Lauren Childrenswear, American Living, Chaps, and Club Monaco brand names. Ralph Lauren sells its products to department stores, specialty stores, and golf and pro shops; full-price retail stores, factory retail stores, and concessions-based shop-within-shops; and online through RalphLauren.com and Rugby.com. As of April 3, 2010, it operated 179 full-price retail stores and 171 factory stores worldwide, as well as 281 concessions-based shop-within-shops and 2 e-commerce Websites. The company was formerly known as Polo Ralph Lauren Corporation and changed its name to Ralph Lauren Corporation in August 2011. Ralph Lauren Corporation was founded in 1967 and is based in New York, New York.
Advisors' Opinion:- [By Grace L. Williams]
Two very different retailers–supermarket chain Kroger (KR) and�high-end apparel retailer Ralph Lauren (RL)–caught our eye this afternoon for the same reason: analyst downgrades that slammed stock prices.
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