Hey guys it has been a while since my last dividend increase article. The reason is quite simple there were just not that many increases to write a whole article about. But in the meantime there were four companies which increased their dividend in the last two months.
Being a dividend investor has two major advantages, first of all you do not rely that much on the changes of the share price and when the stock price is on a very low level you just collect the dividends and maybe take advantage of the low share price and buy even more stocks. As I mentioned already since I have started to invest in dividend stocks I have not experienced one dividend cut so far and this time the following companies have increased their dividends:
- MO: Yearly dividend from 2.44 to 2.64 USD 8.20% increase
- VZ: Yearly dividend from 2.31 to 2.36 USD 2.16% increase
- PM: Yearly dividend from 4.16 to 4.28 USD 2.88% increase
- WFC: Yearly dividend from 1.52 to 1.56 USD 2.63% Increase
In general all four dividend increases were solid ones and not really spectacular. But in the cases of VZ, PM and WFC I did not expect a large dividend increase, based on their current business development. I think it is even better when the management acts responsibly when their business is struggling a little bit.
I was a little surprised by the increase of MO as I did not expect such a relatively large increase, but no matter I take it :).
Based on the numbers of shares I have of each company and the already published dividend increases it makes now an average dividend increase of 4.35%, which is behind my goal of 7.5%. But I am looking forward to seeing the remaining dividend increases this year like CVS or AbbVie and some others still have not announced their dividend increases for this year.
How much more income do I generate
In total I am generating now 50.50 EUR more dividend income before tax and based on a constant FX-Rate. If you look at this number, this does not look a lot but considering my current dividend yield before taxes of 3.92% it would mean an additional investment of 1 288.19 EUR.Â
