Category Archives: Dividend Achievers

U.S Dividend Watch List: December 8, 2017

Previous Year Performance Review

In our ongoing review of the NLO Dividend Watch List, we have taken the top five stocks on our list from December 9, 2016 and have checked the performance one year later. The top five companies on that list can be seen in the table below.

Symbol Name 2015 Price 2016 Price % change
KMB Kimberly-Clark Corp. 114.61 120.11 4.8%
MDT Medtronic 73.35 81.07 10.5%
CLX Clorox 115.29 145.23 26.0%
HRL Hormel Foods Corp. 34.39 37.24 8.3%
PPL PP&L Corporation 33.51 34.50 3.0%
      Average 10.5%
         
DJI Dow Jones Industrial 19,756.85 24,329.16 23.1%
SPX S&P 500 2,259.53 2,651.50 17.3%

The top five companies gained 10.5% on average. The best performer was Clorox (CLX) which rose 26.0%. Clorox's P/E at the time of our watch list publication was 23, a high multiple for large company. One of theory we have been pondering about is the exceptional return from high P/E stocks that appear on our watch list. More assessment of this thesis is to come.

Although the average gain didn't exceed the market return of 17.3% from S&P500 or the Dow Jones Industrial gain of 23.1%, we consider return of more than 10% to be satisfactory.

The worst performer is a utility holding company,PP&L Corporation (PPL). Interestingly, PP&L is appearing on this week watch list as shares fell from $40 to $34.50. One story our team is discussing has to do with the energy usage pertaining to mining of Bitcoin or other cryptocurrency. Could this be the catalyst that propel utilities companies to higher profitability? It's certainly possible. This article on WIRED highlights important data point in that regard.

U.S Dividend Watch List: December 8, 2017

The relentless bull market marched forward. There's little sign of slowing down but a correction surely is in the future and healthy. The difficulty of seeking viable new investment in this environment is challenging but not impossible. Every now and then, the market give us the opportunity to establish a position. Many of those companies can be found by tracking our watch list for fundamental and track its technical for better timing. Below are companies on our list this week. Continue reading

U.S Dividend Watch List: November 10, 2017

The market is making an attempt to best the 2,600 level on S&P 500. Will wait and see if the bull could make this happen and closed the year above that level. This has been a slow and steady incline since 2,400 mark back in August. A correction to 50 days SMA, which is the range of 2,550, is probable and healthy. We do hope that some kind of correction is in the near future. When that occurs, we have 66 companies on the list as a starting point. Continue reading

U.S. Dividend Watch List: November 3, 2017

Top Five Watch List Performance Review

In our ongoing review of the NLO Dividend Watch List, we have taken the top five stocks on our list from November 4, 2014 and have checked the performance one year later. The top five companies on that list can be seen in the table below.

Symbol Name 2015 Price 2016 Price % change
CLX Clorox 113.35 128.11 13.0%
KMB Kimberly-Clark Corp. 112.29 110.79 -1.3%
PBI Pitney Bowes Inc 14.25 11.25 -21.0%
DBD Diebold 21.10 18.35 -13.0%
RLI RLI Corp. 54.79 58.95 7.6%
      Average -3.0%
         
DJI Dow Jones Industrial 17,888.28 23,539.19 31.6%
SPX S&P 500 2,085.18 2,587.84 24.1%

Prior Year Performance Review

The top five companies from last year's list were outperformed by the market. The strength of this bull market has propelled the market to its all-time high. We believed that Clorox (CLX) and Kimberly-Clark (KMB) were quality companies worth considering as income producing asset while Pitney Bowes (PBI) should be placed under speculative category. Reviewing the performance table above and we believed our initial assessment was accurate.

The other two companies we mentioned were CVS Caremark (CVS) and Nike (NKE). Despite some negative news on Nike, the company performed well while CVS fell 16% for the year.

U.S. Dividend Watch List: November 3, 2017

It appears that nothing can slow or stop this bull market from marching forward. Growth and momentum stocks are in the range while value strategy is left in the dust. That's precisely the situation we are in. Despite that, we remain true to this strategy and will continue to seek quality company at a reasonable price. Below are 63 companies trading at or near its yearly high. Continue reading

U.S Dividend Watch List: October 20, 2017

The bull market march on this week. The S&P 500 is only 25 points away from 2,600. Though it is difficult to find quality companies to purchase at a discount price when the market is at the all-time high, we managed to put together a list of high quality companies which pay dividend trading near their yearly low. Below are list of 30 companies for this week. Continue reading

U.S Dividend Watch List: September 22, 2017

Previous Year Performance Review

In our ongoing review of the NLO Dividend Watch List, we have taken the top five stocks on our list from September 23, 2016 and have checked the performance one year later. The top five companies on that list can be seen in the table below.

Symbol Name 2015 Price 2016 Price % change
WFC Wells Fargo & 45.74 54.25 18.6%
TROW T. Rowe Price Group 65.92 86.69 31.5%
GCI Gannett Co Inc 11.75 8.05 -31.5%
NPBC National Penn Bancshares 10.72 10.72 0.0%
CVS CVS Caremark Corp 90.60 79.63 -12.1%
      Average 1.3%
         
DJI Dow Jones Industrial 18,261.45 22,349.59 22.4%
SPX S&P 500 2,164.69 2,502.22 15.6%

The top five companies on our underperformed the market due to loss from Gannett Co (GCI) and CVS Caremark (CVS). We didn't elaborated on these companies but did highlighted two that out performend the market. Wells Fargo (WFC) and T.Rowe Price (TROW) were both mentioned by our team. Lucky for us, they have gained 18.6% and 31.5% respectively. At the time, we thought that the issue Wells Fargo faced regarding fraudulent account was a one-time problem. Continue reading