Dividend Strategists Rewind: Week of August 30, 2021

The latest dividend news, strategies and investing ideas.

Why The Defense Industry Is a Great Shield for Your Portfolio

I often have the feeling we forget about industrials. There is nothing sexy about them. There is often minimal stimuli to create hype on the stock market. Even worse, this sector is not seen as a source for high dividend yields. As many industries operate through unique economic cycles, there are always a few industrials for sale.

The Aerospace & Defense sector is offering you such opportunity right now. Due to their long-standing existence and packed with generous government contracts, they have built solid core businesses. Those who have survived the passage of time and found ways to evolve often make solid dividend payers. READ MORE

7 Best Industrials Sector Dividend Stocks

In this article series, I present the top-ranked dividend growth stocks in each GICS sector. To rank stocks, I sort them in descending order by quality scores, as determined by DVK Quality Snapshots. When two stocks have the same quality score, I use tie-breaking metrics to rank one stock higher than the other.

My watch list for dividend growth stocks is Dividend Radar, a list of stocks trading on U.S. Exchanges with dividend increase streaks of five or more years. Dividend Radar is updated and published every Friday and is available for download here. The latest edition (dated August 20, 2021) contains 755 stocks, 118 of which are in the Industrials sector. READ MORE

7 Discounted Utilities With Generous Dividends

As a dividend growth investor, I look for high-quality dividend growth stocks trading at reasonable valuations. Dividend safety is an important consideration, and I prefer to invest in stocks that have a good chance of delivering solid total returns (dividends plus price appreciation).

Utilities operate in a regulated environment and often as legal monopolies, so they have predictable and stable earnings. This allows some Utilities to pay generous dividends and to increase their dividend payouts over time. READ MORE

My 3 Favorite REITs Today From Three Different Sub-Sectors

REITs are not only popular because they distribute generous dividends, but also because they are easy to understand. Investors can picture an apartment building or an office tower and see how tenants pay their rent monthly. They are willing to purchase units of those businesses in exchange for income and peace of mind.

The concept of being a landlord and having tenants is comparatively simple to understand. The company owns and manages Real Estate in exchange for receiving rental income from properties such as apartment complexes, hospitals, office buildings, timber land, warehouses, hotels, and shopping malls. READ MORE

Generating A 10% Yield From Combining Three ETFs From Global X

Many investors look to income investing to generate passive income. This has become a popular wealth-building strategy. An investor will assemble a portfolio of dividend-paying stocks, bonds, and funds to generate cash without expending extra work or input on the investor's behalf. The passive income generated from these investments occurs while your time is spent earning other forms of income or enjoying quality time or retirement if you're lucky enough.

Warren Buffett once said, "if you don't find a way to make money while you sleep, you will work until you die." Income investing can become a powerful tool that builds wealth throughout your life and offsets the loss of income during retirement by taking the dividend disbursements as cash payouts. READ MORE

The One Dividend Aristocrat Held By Cathie Wood’s ARK ETFs

Caterpillar, Inc (CAT) is a Fortune 100 company based in the United States that designs, develops, engineers, manufactures, distributes, and sells machinery, engines, financial products, and insurance to clients through a global dealer network. It is the world's largest manufacturer of construction equipment.

Since 1992, Caterpillar stock has been a part of the Dow Jones Industrial Average (DJIA), a price-weighted average of 30 major stocks on the New York Stock Exchange. READ MORE

Questions, Ideas, Thoughts?

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If You Love Dividends, How About Dividend ETFs?

On our sister site, ETF Focus on TheStreet, we also talk about dividend income, high yield and investing strategies, but in the context of exchange-traded funds instead of individual stocks.

If you’re interested in expanding your dividend research, please check out the site and sign up for its own Substack newsletter, the ETF Focus Rewind, where every week we publish our “2 ETFs To Buy & 1 To Avoid” column along with our chart of the week!

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