The Top 20 Dividend Stocks portfolio seeks to outperform the S&P 500 by at least 1% per year over any five-year rolling time horizon while generating safe, growing dividend income every year.
We expect the portfolio to underperform in bull markets and outperform in bear markets due to the higher quality level of its holdings.
Total return is expected to be composed of:
2.5% – 3.5% dividend yield
7% – 9% earnings growth
We invest in high quality companies with enduring competitive advantages, long operating histories, shareholder-aligned management, and large markets that provide opportunity for long-term growth. These businesses maintain reasonable payout ratios, generate consistent free cash flow, and have healthy balance sheets, providing a sturdy foundation for consistent dividend increases.
When we make an investment, we take a patient, long term investment horizon and expect to hold the stock for at least five years, keeping portfolio turnover low. Generally speaking, we will only sell a stock if the safety of the dividend payment has come into question, the company’s long term earnings power appears to have become impaired, the stock’s valuation reaches seemingly excessive levels, or we find a more attractive idea.
As of 2/28/2017
Market Value: $132,891
Dividend Yield: 2.9%
Forward P/E Ratio: 18.7
Increases: 35 Decreases: 0
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Monthly Dividend Income Generation
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Click on any ticker symbol below to learn more about the company, view 25+ years of dividend data, and quickly analyze 10+ years of key fundamental metrics. Each stock has been analyzed in-depth. Please review our dividend newsletter for the most recent trade alerts, stock analysis, and performance data.
In addition to our top 20 dividend stocks list, we maintain four hand-picked dividend portfolios filled with the best dividend stocks:
Low interest rates have made it a chore to find sources of safe, current income. This portfolio contains 25 stocks with very safe dividends and above average dividend yields, providing steady and predictable income without taking on more risk. Protect your nest egg but make it work harder.
Dividend growth stocks offer attractive potential for long-term compounding of wealth. Perfect for buy-and-hold investors, the 25 stocks in this portfolio achieved high Growth Scores and have shown the most potential to continue raising their dividends at rapid rates for years to come.
Congratulations on beginning your path to a successful investing career! The 25 stocks in this portfolio were hand-picked for beginners due to their easy-to-understand business models, relatively high safety rank, and potential for responsible learning opportunities. Let’s get started!
The Monthly Income Machine portfolio consists of quality dividend stocks with above-average dividend yields and different payout months to provide safe, reliable income every month of the year. Meet your monthly income objectives without sacrificing quality in your dividend portfolio.