Category Archives: Dividend Achiever Watch List

Dividend Achiever Watch List

Posted on July 10, 2010 by | Leave a comment
At the end of the week, our watch list contracted to 38 companies. Here is the watch list which ranks current and former Dividend Achievers that are within 10% of the 52-week low for July 9, 2010. Stocks that appear on our watch lists are not recommendations to buy.  Instead, they are the starting point for doing your research and determining the best company to buy.  Ideally, a stock that is purchased from this list is done after a considerable decline in the price and extensive due diligence.

Symbol Name Price % Yr Low P/E EPS (ttm) Div/Shr Yield Payout Ratio
FRS Frisch's Restaurants, Inc 19.95 2.26% 10.08 1.98 0.52 2.61% 26%
DNB Dun & Bradstreet Corp. 67.46 2.99% 13.52 4.99 1.40 2.08% 28%
WMT Wal-Mart Stores, Inc. 49.43 4.39% 12.97 3.81 1.21 2.45% 32%
FII Federated Investors Inc 21.24 4.84% 10.84 1.96 0.96 4.52% 49%
XOM Exxon Mobil Corp.   58.78 5.08% 13.39 4.39 1.76 2.99% 40%
PFE Pfizer Inc 14.77 5.50% 13.68 1.08 0.72 4.87% 67%
AROW Arrow Financial Corp.  24.14 5.60% 12.91 1.87 1.00 4.14% 53%
UMBF UMB Financial Corp.  36.62 5.93% 15.92 2.30 0.74 2.02% 32%
MATW Matthews International Corp.  29.69 6.04% 14.34 2.07 0.28 0.94% 14%
FFIN First Financial Bankshares, Inc.  49.32 6.04% 19.12 2.58 1.36 2.76% 53%
GS Goldman Sachs Group, Inc.   138.06 6.61% 5.75 24.01 1.40 1.01% 6%
THFF First Financial Corp. Indiana  26.82 6.77% 14.74 1.82 0.92 3.43% 51%
NTRS Northern Trust Corp.  48.53 6.78% 15.26 3.18 1.12 2.31% 35%
TR Tootsie Roll Industries Inc  24.15 6.86% 25.69 0.94 0.32 1.33% 34%
T AT&T Inc 24.83 7.07% 12.35 2.01 1.68 6.77% 84%
CWT California Water Service Group 36.35 7.51% 18.83 1.93 1.19 3.27% 62%
JNJ Johnson & Johnson   60.54 7.63% 12.72 4.76 2.16 3.57% 45%
SVU SUPERVALU INC 11.21 7.79% 6.06 1.85 0.35 3.12% 19%
WAG Walgreen Co. 28.40 8.15% 13.65 2.08 0.55 1.94% 26%
HSC Harsco Corp. 24.90 8.54% 18.58 1.34 0.82 3.29% 61%
HRB H&R Block, Inc. 14.60 8.63% 10.21 1.43 0.60 4.11% 42%
XRAY DENTSPLY International Inc.  30.22 8.74% 16.51 1.83 0.20 0.66% 11%
HCC HCC Insurance Holdings, Inc. 25.59 8.89% 8.53 3.00 0.54 2.11% 18%
STR Questar Corp. 16.22 9.15% 6.01 2.70 0.52 3.21% 19%
CTWS Connecticut Water Service, Inc.  21.88 9.40% 18.54 1.18 0.91 4.16% 77%
NJR New Jersey Resources Corp. 36.65 9.44% 16.58 2.21 1.36 3.71% 62%
BDX Becton, Dickinson and Co. 69.46 9.54% 13.33 5.21 1.48 2.13% 28%
UFPI Universal Forest Products, Inc.  32.04 9.54% 23.73 1.35 0.40 1.25% 30%
STFC State Auto Financial Corp.  16.24 9.58% 17.46 0.93 0.60 3.69% 65%
LOW Lowe's Companies Inc 20.43 9.72% 16.75 1.22 0.44 2.15% 36%
LLY Eli Lilly & Co. 35.17 9.84% 9.06 3.88 1.96 5.57% 51%
PAYX Paychex, Inc.  26.28 10.23% 19.91 1.32 1.24 4.72% 94%
ADM Archer Daniels Midland Co. 26.72 10.32% 11.00 2.43 0.60 2.25% 25%
BRC Brady Corp. 26.18 10.42% 17.34 1.51 0.70 2.67% 46%
KO Coca-Cola Co 52.40 10.50% 17.24 3.04 1.76 3.36% 58%
ABT Abbott Laboratories 48.03 10.54% 14.09 3.41 1.76 3.66% 52%
NWN Northwest Natural Gas Co. 45.25 10.83% 16.82 2.69 1.66 3.67% 62%
VIVO Meridian Bioscience Inc.  17.77 10.85% 22.49 0.79 0.76 4.28% 96%
38 Companies






*Goldman Sachs isn't a former or current dividend achiever but we feel that it is worth watching because it's a proxy of our financial system.

Watch List Summary

The best performing stock from the previous list was Monsanto (MON) which rose 6.1%.  The worst performing stock was SuperValu (SVU) which fell 6.6%.  Overall, the Dividend Achiever watch list gained 0.8% versus the Dow which was up 0.5%. Because our list has more than a handful of great companies, I urged investors to filter for companies with less than 50% payout ratio. This should minimized the risk of dividend reduction if earnings are to fall by half. If you understand the companies' history and their ability to pay the dividend, payout ratios in excess of 50% may be considered.
Investor flocked to safety as Aaa bond yield fell to 4.88% in June.  This is the lowest yield since February of 1966 (4.78%).  Yield at the December 2008 low, the peak of credit crunch, was at 5.05%.  This allow corporations, those with good balance sheets, to refinance or issue more debts at lower rate.
There are many great names on this list. One in particular is Becton Dickinson (BDX) which last traded at $69.46.  The reason why we like this name is because Warren Buffett added the name in late 2009. We highlighted the company in our watch list in 8/14/09 when BDX was trading at $66.39. After Buffett took position, shares rose to $80 and now have retraced back.  For those who missed the opportunity then have the opportunity now. As an added bonus, BDX is currently paying $0.37 of dividend quarterly compared to $0.33 in 2009. This is 12% above the previous payout. So while stock price have flat line, fundamental improved. While the stock price looks higher at $69, it is cheaper now at $69 because of the dividend yield (2.13% vs 2.00%).
Once again, I suggest readers to use the March 2009 low (or companies' most distressed time) as downside projection for investing.  Our conservative view is to embrace the worse case scenario prior to investing.  March 2009 low fits that description.  Although we use the one year (52 weeks) time frame, the past year was nothing but a major bull run and anyone who bought at or near the low could, and should, be taking profits.  It is important to place these companies in your own watch list so that when opportunity arises, you can purchase them with a greater margin of safety.

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Dividend Achiever Watch List

Posted on June 25, 2010 by | Leave a comment
We've decided to make a slight modification to our criteria for the Dividend Achiever watch list.  Over the past several weeks, the number of companies on our watch list has been exploding.  As we explore the alternative field of investment, we thought that if there are adequate companies in the 10% range then we could use that as our criteria.  Therefore, this week's list (and going forward) will contain Dividend Achievers that are within 10% of the 52-week low.  If this list shirks to a certain size, we'll broaden our range to 20% as usual.

At the end of the week, our watch list contracted to 41 companies. Here is the watch list which ranks current and former Dividend Achievers that are within 10% of the 52-week low for June 25, 2010. Stocks that appear on our watch lists are not recommendations to buy.  Instead, they are the starting point for doing your research and determining the best company to buy.  Ideally, a stock that is purchased from this list is done after a considerable decline in the price and extensive due diligence.

Symbol Name Price % Yr Low P/E EPS (ttm) Div/Shr Yield Payout Ratio
WAG Walgreen Co. 26.93 0.00% 12.64 2.13 0.55 2.04% 26%
MON Monsanto Co. 48.27 0.23% 20.11 2.40 1.06 2.20% 44%
SVU SUPERVALU INC 12.00 0.59% 6.49 1.85 0.35 2.92% 19%
XOM Exxon Mobil Corp.   59.10 1.09% 13.46 4.39 1.76 2.98% 40%
HSC Harsco Corp. 25.05 1.58% 18.69 1.34 0.82 3.27% 61%
UMBF UMB Financial Corp.  36.73 1.72% 15.97 2.30 0.74 2.01% 32%
DNB Dun & Bradstreet Corp. 70.48 2.00% 14.12 4.99 1.40 1.99% 28%
FII Federated Investors Inc 21.32 2.40% 10.88 1.96 0.96 4.50% 49%
WMT Wal-Mart Stores, Inc. 48.80 3.06% 12.81 3.81 1.21 2.48% 32%
FFIN First Financial Bankshares, Inc.  49.55 3.53% 19.21 2.58 1.36 2.74% 53%
NTRS Northern Trust Corp.  48.44 3.68% 15.23 3.18 1.12 2.31% 35%
PFE Pfizer Inc 14.64 3.76% 13.56 1.08 0.72 4.92% 67%
FRS Frisch's Restaurants, Inc 20.70 3.97% 10.45 1.98 0.52 2.51% 26%
HRB H&R Block, Inc. 15.55 4.50% 10.58 1.47 0.60 3.86% 41%
CRRC Courier Corp.  12.74 5.29% 13.13 0.97 0.84 6.59% 87%
MATW Matthews International Corp.  29.53 5.46% 14.27 2.07 0.28 0.95% 14%
UFPI Universal Forest Products, Inc.  31.90 5.49% 23.63 1.35 0.40 1.25% 30%
NJR New Jersey Resources Corp. 35.45 5.85% 16.04 2.21 1.36 3.84% 62%
VIVO Meridian Bioscience Inc.  16.98 5.93% 21.49 0.79 0.76 4.48% 96%
LLY Eli Lilly & Co. 33.94 6.00% 8.75 3.88 1.96 5.77% 51%
GS* Goldman Sachs Group, Inc.   139.66 6.37% 5.82 24.01 1.40 1.00% 6%
JNJ Johnson & Johnson   58.70 6.49% 12.33 4.76 2.16 3.68% 45%
KO Coca-Cola Co 50.26 6.53% 16.53 3.04 1.76 3.50% 58%
CTWS Connecticut Water Service, Inc.  21.37 6.85% 18.11 1.18 0.91 4.26% 77%
T AT&T Inc 24.79 6.90% 12.33 2.01 1.68 6.78% 84%
AROW Arrow Financial Corp.  25.28 6.93% 13.52 1.87 1.00 3.96% 53%
CWT California Water Service Group 36.34 7.48% 18.83 1.93 1.19 3.27% 62%
THFF First Financial Corp. Indiana  27.23 7.50% 14.96 1.82 0.92 3.38% 51%
NWN Northwest Natural Gas Co. 44.22 8.30% 16.44 2.69 1.66 3.75% 62%
ABT Abbott Laboratories 47.19 8.61% 13.84 3.41 1.76 3.73% 52%
ADM Archer Daniels Midland Co. 26.34 8.75% 10.84 2.43 0.60 2.28% 25%
BDX Becton, Dickinson and Co. 69.05 8.89% 13.25 5.21 1.48 2.14% 28%
MDU MDU Resources Group Inc. 18.67 9.12% 13.34 1.40 0.63 3.37% 45%
PGN Progress Energy, Inc. 39.28 9.20% 14.44 2.72 2.48 6.31% 91%
HCC HCC Insurance Holdings, Inc. 25.36 9.22% 8.45 3.00 0.54 2.13% 18%
SFNC Simmons First National Corp.  26.78 9.31% 16.33 1.64 0.76 2.84% 46%
VVC Vectren Corp. 23.78 9.79% 15.64 1.52 1.36 5.72% 89%
AWR American States Water Co. 34.27 9.84% 19.15 1.79 1.04 3.03% 58%
AVP Avon Products, Inc. 27.49 9.96% 21.65 1.27 0.88 3.20% 69%
TMP Tompkins Financial Corp. 38.18 10.20% 12.64 3.02 1.36 3.56% 45%
OMI Owens & Minor, Inc. 28.19 10.46% 14.99 1.88 0.71 2.52% 38%
41 Companies






*Goldman Sachs isn't a former or current dividend achiever but we feel that it is worth watching because it's a proxy of our financial system.

Watch List Summary
The best performing stock from last week's list was Shenandoah Telecom (SHEN) which rose 7.9%.  The worst performing stock was Walgreen (WAG) which fell 10.5%.  Overall, the Dividend Achiever watch list lost 2.4% versus the Dow which was down 2.95%. Because our list has more than a handful of great companies, I urged investors to filter for companies with less than 50% payout ratio. This should minimized the risk of dividend reduction if earnings are to fall by half. If you understand the companies' history and their ability to pay the dividend, payout ratios in excess of 52% may be considered.

With Aaa bond ratings falling to 4.96%, I expected more companies to pass the first criteria of Graham's stock selection. But nothing has changed materially. Supervalue (SVU), Eli Lilly (LLY), Goldman Sachs (GS), and HCC Insurance Holdings (HCC) are the companies with an earnings yield that exceeds twice the Aaa bond rate and payout ratio less than 50%.

Another company we'd like to highlight is Walgreen (WAG).  The recent sell-off brought the yield up to 2.04%.  Although that doesn't appear to be like much, WAG highest yield was 2.36% (in 1989).  Using current dividend figure and the highest yielding period for WAG, shares would be at $23.30 or 13.5% down from current price. Since the company started paying dividend in 1985, they have increase their payout every year at an annual rate of  12.7%.

Once again, I suggest readers to use the March 2009 low (or companies' most distressed time) as downside projection for investing.  Our conservative view is to embrace the worse case scenario prior to investing.  March 2009 low fits that description.  Although we use the one year (52 weeks) time frame, the past year was nothing but a major bull run and anyone who bought at or near the low could, and should, be taking profits.  It is important to place these companies in your own watch list so that when opportunity arises, you can purchase them with a greater margin of safety.

Related Article:
Benjamin Graham's Stock Selection Criteria

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Dividend Achiever Watch List

Posted on June 18, 2010 by | Leave a comment
At the end of the week, our watch list contracted to 69 companies. Here is the watch list which ranks current and former Dividend Achievers that are within 20% of the 52-week low for June 18, 2010. Stocks that appear on our watch lists are not recommendations to buy.  Instead, they are the starting point for doing your research and determining the best company to buy.  Ideally, a stock that is purchased from this list is done after a considerable decline in the price and extensive due diligence.
Symbol Name Price % Yr Low P/E EPS (ttm) Div/Shr Yield Payout Ratio
UMBF UMB Financial Corp.  37.38 2.98% 16.25 2.30 0.74 1.98% 32%
UFPI Universal Forest Products, Inc.  31.34 3.64% 23.21 1.35 0.40 1.28% 30%
FRS Frisch's Restaurants, Inc 20.73 4.12% 10.47 1.98 0.52 2.51% 26%
FFIN First Financial Bankshares, Inc.  50.07 4.62% 19.41 2.58 1.36 2.72% 53%
MON Monsanto Co. 50.39 4.63% 21.00 2.40 1.06 2.10% 44%
GS* Goldman Sachs Group, Inc.   138.18 5.24% 5.76 24.01 1.40 1.01% 6%
HSC Harsco Corp. 25.99 5.39% 19.40 1.34 0.82 3.16% 61%
DNB Dun & Bradstreet Corp. 73.23 5.98% 14.68 4.99 1.40 1.91% 28%
HRB H&R Block, Inc. 15.80 6.18% 10.75 1.47 0.60 3.80% 41%
FII Federated Investors Inc 22.15 6.39% 11.30 1.96 0.96 4.33% 49%
SHEN Shenandoah Telecom 16.68 7.20% 15.16 1.10 0.32 1.92% 29%
AROW Arrow Financial Corp.  25.44 7.61% 13.60 1.87 1.00 3.93% 53%
NTRS Northern Trust Corp.  50.30 7.66% 15.82 3.18 1.12 2.23% 35%
THFF First Financial Corp. Indiana  27.27 7.66% 14.98 1.82 0.92 3.37% 51%
JNJ Johnson & Johnson   59.18 7.78% 12.43 4.76 2.16 3.65% 45%
SVU SUPERVALU INC 12.86 7.80% 6.95 1.85 0.35 2.72% 19%
PFE Pfizer Inc 15.21 7.80% 14.08 1.08 0.72 4.73% 67%
WAG Walgreen Co. 30.09 7.89% 14.13 2.13 0.55 1.83% 26%
XOM Exxon Mobil Corp.   63.10 7.94% 14.37 4.39 1.76 2.79% 40%
LLY Eli Lilly & Co. 34.61 8.09% 8.92 3.88 1.96 5.66% 51%
CTWS Connecticut Water Service, Inc.  21.63 8.15% 18.33 1.18 0.91 4.21% 77%
CWT California Water Service Group 36.66 8.43% 18.99 1.93 1.19 3.25% 62%
WMT Wal-Mart Stores, Inc. 51.55 8.87% 13.53 3.81 1.21 2.35% 32%
NJR New Jersey Resources Corp. 36.52 9.05% 16.52 2.21 1.36 3.72% 62%
AWR American States Water Co. 34.12 9.36% 19.06 1.79 1.04 3.05% 58%
T AT&T Inc 25.43 9.66% 12.65 2.01 1.68 6.61% 84%
HCC HCC Insurance Holdings, Inc. 25.54 9.99% 8.51 3.00 0.54 2.11% 18%
KO Coca-Cola Co 52.31 10.87% 17.21 3.04 1.76 3.36% 58%
VVC Vectren Corp. 24.11 11.31% 15.86 1.52 1.36 5.64% 89%
SFNC Simmons First National Corp.  27.32 11.51% 16.66 1.64 0.76 2.78% 46%
TMP Tompkins Financial Corp. 38.69 11.67% 12.81 3.02 1.36 3.52% 45%
MDU MDU Resources Group Inc. 19.13 11.81% 13.66 1.40 0.63 3.29% 45%
PGN Progress Energy, Inc. 40.34 12.15% 14.83 2.72 2.48 6.15% 91%
ABT Abbott Laboratories 48.77 12.24% 14.30 3.41 1.76 3.61% 52%
ADM Archer Daniels Midland Co. 27.19 12.26% 11.19 2.43 0.60 2.21% 25%
BEC Beckman Coulter, Inc. 60.25 12.28% 25.21 2.39 0.72 1.20% 30%
VIVO Meridian Bioscience Inc.  18.00 12.29% 22.78 0.79 0.76 4.22% 96%
BDX Becton, Dickinson and Co. 71.32 12.47% 13.69 5.21 1.48 2.08% 28%
MATW Matthews International Corp.  31.56 12.71% 15.25 2.07 0.28 0.89% 14%
OMI Owens & Minor, Inc. 28.77 12.74% 15.30 1.88 0.71 2.47% 38%
NWN Northwest Natural Gas Co. 46.12 12.96% 17.14 2.69 1.66 3.60% 62%
CRRC Courier Corp.  13.77 13.80% 14.20 0.97 0.84 6.10% 87%
PBI Pitney Bowes Inc   23.23 13.98% 12.10 1.92 1.46 6.28% 76%
XRAY DENTSPLY International Inc.  31.72 14.14% 17.33 1.83 0.20 0.63% 11%
UGI UGI Corp. 26.50 14.32% 12.10 2.19 1.00 3.77% 46%
BCR CR Bard, Inc. 80.30 14.55% 16.98 4.73 0.72 0.90% 15%
AVP Avon Products, Inc. 28.74 14.96% 22.63 1.27 0.88 3.06% 69%
MGEE MGE Energy Inc.  36.94 15.22% 16.94 2.18 1.47 3.98% 67%
TR Tootsie Roll Industries Inc  25.28 15.28% 26.89 0.94 0.32 1.27% 34%
WTR Aqua America Inc 17.77 15.46% 22.49 0.79 0.58 3.26% 73%
WEYS Weyco Group, Inc.  24.07 15.61% 19.57 1.23 0.64 2.66% 52%
SBSI Southside Bancshares, Inc.  20.11 15.64% 7.56 2.66 0.68 3.38% 26%
FPL FPL Group, Inc. 52.51 15.94% 11.88 4.42 2.00 3.81% 45%
WGL WGL Holdings, Inc. 35.24 16.04% 15.19 2.32 1.51 4.28% 65%
CL Colgate-Palmolive Co. 80.59 16.07% 19.70 4.09 2.12 2.63% 52%
SIAL Sigma-Aldrich Corp.  53.21 16.18% 18.16 2.93 0.64 1.20% 22%
RNST Renasant Corp.  14.24 16.24% 18.74 0.76 0.68 4.78% 89%
STFC State Auto Financial Corp.  17.67 16.94% 19.00 0.93 0.60 3.40% 65%
ATO Atmos Energy Corp. 28.67 17.45% 13.78 2.08 1.34 4.67% 64%
CTBI Community Trust BanCorp., Inc.  26.06 17.65% 15.60 1.67 1.20 4.60% 72%
APD Air Products & Chemicals, Inc. 71.54 18.21% 17.93 3.99 1.96 2.74% 49%
CLX Clorox Co. 65.07 18.50% 15.31 4.25 2.20 3.38% 52%
PAYX Paychex, Inc.  28.33 18.83% 21.46 1.32 1.24 4.38% 94%
SJW SJW Corp. 24.59 19.20% 28.59 0.86 0.68 2.77% 79%
TRH Transatlantic Holdings, Inc. 49.46 19.24% 7.90 6.26 0.84 1.70% 13%
WST West Pharmaceutical Services, Inc. 37.81 19.46% 16.96 2.23 0.64 1.69% 29%
MDT Medtronic, Inc. 38.87 20.04% 13.93 2.79 0.82 2.11% 29%
PNY Piedmont Natural Gas Co., Inc. 27.03 20.13% 12.75 2.12 1.12 4.14% 53%
PX Praxair, Inc. 81.17 20.81% 19.85 4.09 1.80 2.22% 44%
69 Companies






*Goldman Sachs isn't a former or current dividend achiever but we feel that it is worth watching because it's a proxy of our financial system.

Watch List Summary

The best performing stock from last week's list was Archer Daniels (ADM) which rose 6%.  The worst performing stock was Universal Forest Products (UFPI) which fell 7.7%.  Overall, the Dividend Achiever watch list gained 2.1% versus the Dow which was up 2.3%. Because our list has more than a handful of great companies, I urged investors to filter through company with maximum of 50% payout ratio. This should minimized the risk of dividend reduction. If you understand the companies history and their ability to pay dividend, payout ratio in excess of 50% may be considered.

Take a closer look at our top 10 companies on the list. These companies combined for an average payout ratio of 37% and 8% earning yield.

Readers should use the March 2009 low (or companies' most distress time) as a base case for investing.  Our conservative view is to embrace the worse case scenario prior to investing.  March 2009 low fits that description.  Although we use the one year (52 weeks) time frame, the past year was nothing but major bull run and anyone who bought at or near the low can be taking profit.  It's important to place these companies in your own watch list so that when opportunities arise, you can purchase them with greater margin of safety.

Email our team here.

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Dividend Achiever Watch List

Posted on June 11, 2010 by | Leave a comment
At the end of the week, our watch list contracted to 72 companies. Here is the watch list which ranks current and former Dividend Achievers that are within 20% of the 52-week low for June 11, 2010. Stocks that appear on our watch lists are not recommendations to buy.  Instead, they are the starting point for doing your research and determining the best company to buy.  Ideally, a stock that is purchased from this list is done after a considerable decline in the price and extensive due diligence.

Symbol Name Price % Yr Low P/E EPS (ttm) Div/Shr Yield Payout Ratio
SVU SUPERVALU INC 12.24 2.60% 6.62 1.85 0.35 2.86% 19%
FRS Frisch's Restaurants, Inc 20.55 3.21% 10.38 1.98 0.52 2.53% 26%
CWT California Water Service Group 34.91 3.25% 18.09 1.93 1.19 3.41% 62%
GS* Goldman Sachs Group, Inc.   135.64 3.31% 5.65 24.01 1.40 1.03% 6%
UMBF UMB Financial Corp.  37.58 3.53% 16.34 2.30 0.74 1.97% 32%
NJR New Jersey Resources Corp. 34.81 3.94% 15.75 2.21 1.36 3.91% 62%
DNB Dun & Bradstreet Corp. 71.84 3.97% 14.40 4.99 1.40 1.95% 28%
FFIN First Financial Bankshares, Inc.  49.92 4.30% 19.35 2.58 1.36 2.72% 53%
AWR American States Water Co. 32.68 4.74% 18.26 1.79 1.04 3.18% 58%
SHEN Shenandoah Telecom 16.34 5.01% 14.85 1.10 0.32 1.96% 29%
LLY Eli Lilly & Co. 33.67 5.15% 8.68 3.88 1.96 5.82% 51%
HSC Harsco Corp. 25.99 5.39% 19.40 1.34 0.82 3.16% 61%
WAG Walgreen Co. 29.48 5.70% 13.84 2.13 0.55 1.87% 26%
XOM Exxon Mobil Corp.   61.86 5.82% 14.09 4.39 1.76 2.85% 40%
CTWS Connecticut Water Service, Inc.  21.17 5.85% 17.94 1.18 0.91 4.30% 77%
ADM Archer Daniels Midland Co. 25.64 5.86% 10.55 2.43 0.60 2.34% 25%
THFF First Financial Corp. Indiana  26.84 5.96% 14.75 1.82 0.92 3.43% 51%
AROW Arrow Financial Corp.  25.10 6.17% 13.42 1.87 1.00 3.98% 53%
MON Monsanto Co. 51.23 6.37% 21.35 2.40 1.06 2.07% 44%
HRB H&R Block, Inc. 15.86 6.59% 10.79 1.47 0.60 3.78% 41%
NTRS Northern Trust Corp.  49.93 6.87% 15.70 3.18 1.12 2.24% 35%
FII Federated Investors Inc 22.25 6.87% 11.35 1.96 0.96 4.31% 49%
SFNC Simmons First National Corp.  26.21 6.98% 15.98 1.64 0.76 2.90% 46%
VVC Vectren Corp. 23.21 7.16% 15.27 1.52 1.36 5.86% 89%
HCC HCC Insurance Holdings, Inc. 24.89 7.19% 8.30 3.00 0.54 2.17% 18%
JNJ Johnson & Johnson   58.46 7.19% 12.28 4.76 2.16 3.69% 45%
WMT Wal-Mart Stores, Inc. 50.86 7.41% 13.35 3.81 1.21 2.38% 32%
PGN Progress Energy, Inc. 38.84 8.01% 14.28 2.72 2.48 6.39% 91%
VIVO Meridian Bioscience Inc.  17.35 8.23% 21.96 0.79 0.76 4.38% 96%
NWN Northwest Natural Gas Co. 44.25 8.38% 16.45 2.69 1.66 3.75% 62%
ABT Abbott Laboratories 47.20 8.63% 13.84 3.41 1.76 3.73% 52%
T AT&T Inc 25.29 9.06% 12.58 2.01 1.68 6.64% 84%
MDU MDU Resources Group Inc. 18.68 9.18% 13.34 1.40 0.63 3.37% 45%
KO Coca-Cola Co 51.65 9.47% 16.99 3.04 1.76 3.41% 58%
BDX Becton, Dickinson and Co. 69.69 9.90% 13.38 5.21 1.48 2.12% 28%
PFE Pfizer Inc 15.46 10.27% 14.31 1.08 0.72 4.66% 67%
FPL FPL Group, Inc. 50.00 10.40% 11.31 4.42 2.00 4.00% 45%
MATW Matthews International Corp.  30.96 10.57% 14.96 2.07 0.28 0.90% 14%
WTR Aqua America Inc 17.05 10.79% 21.58 0.79 0.58 3.40% 73%
BEC Beckman Coulter, Inc. 59.32 10.90% 24.82 2.39 0.72 1.21% 30%
PBI Pitney Bowes Inc   22.64 11.09% 11.79 1.92 1.46 6.45% 76%
TMP Tompkins Financial Corp. 38.59 11.39% 12.78 3.02 1.36 3.52% 45%
WGL WGL Holdings, Inc. 33.84 11.43% 14.59 2.32 1.51 4.46% 65%
XRAY DENTSPLY International Inc.  31.20 12.27% 17.05 1.83 0.20 0.64% 11%
AVP Avon Products, Inc. 28.09 12.36% 22.12 1.27 0.88 3.13% 69%
MGEE MGE Energy Inc.  35.70 12.55% 16.38 2.18 1.47 4.12% 67%
TRH Transatlantic Holdings, Inc. 46.69 12.56% 7.46 6.26 0.84 1.80% 13%
UGI UGI Corp. 26.14 12.77% 11.94 2.19 1.00 3.83% 46%
WEYS Weyco Group, Inc.  23.55 13.11% 19.15 1.23 0.64 2.72% 52%
SJW SJW Corp. 23.37 13.28% 27.17 0.86 0.68 2.91% 79%
STFC State Auto Financial Corp.  17.17 13.60% 18.46 0.93 0.60 3.49% 65%
TR Tootsie Roll Industries Inc  24.82 13.70% 26.40 0.94 0.32 1.29% 34%
BCR CR Bard, Inc. 80.07 14.22% 16.93 4.73 0.68 0.85% 14%
ATO Atmos Energy Corp. 27.88 14.22% 13.40 2.08 1.34 4.81% 64%
SBSI Southside Bancshares, Inc.  19.87 14.26% 7.47 2.66 0.68 3.42% 26%
PNY Piedmont Natural Gas Co., Inc. 25.78 14.58% 12.16 2.12 1.12 4.34% 53%
APD Air Products & Chemicals, Inc. 69.43 14.72% 17.40 3.99 1.96 2.82% 49%
SIAL Sigma-Aldrich Corp.  52.66 14.98% 17.97 2.93 0.64 1.22% 22%
PX Praxair, Inc. 77.78 15.76% 19.02 4.09 1.80 2.31% 44%
CL Colgate-Palmolive Co. 79.15 15.85% 19.35 4.09 2.12 2.68% 52%
MSEX Middlesex Water Company  15.40 17.02% 20.81 0.74 0.72 4.68% 97%
MSA Mine Safety Appliances Co 25.68 18.07% 22.53 1.14 1.00 3.89% 88%
CTAS Cintas Corp.  25.30 18.78% 23.64 1.07 0.48 1.90% 45%
MDT Medtronic, Inc. 38.13 18.90% 13.67 2.79 0.82 2.15% 29%
PAYX Paychex, Inc.  28.36 18.96% 21.48 1.32 1.24 4.37% 94%
UFPI Universal Forest Products, Inc.  33.96 19.16% 25.16 1.35 0.40 1.18% 30%
SYBT S.Y. BanCorp., Inc.  23.61 19.24% 19.51 1.21 0.68 2.88% 56%
CHRW C.H. Robinson Worldwide, Inc.  58.21 19.43% 27.20 2.14 1.00 1.72% 47%
BRC Brady Corp. 27.50 19.57% 18.21 1.51 0.70 2.55% 46%
CLX Clorox Co. 64.18 19.92% 15.10 4.25 2.20 3.43% 52%
WABC Westamerica BanCorp.  54.47 19.93% 17.29 3.15 1.44 2.64% 46%
ED Consolidated Edison, Inc.  43.13 20.14% 13.15 3.28 2.38 5.52% 73%
72 Companies






*Goldman Sachs isn't a former or current dividend achiever but we feel that it is worth watching because it's a proxy of our financial system.
Watch List Summary
The best performing stock from last week's list was Avon Products (AVP) which rose 9.2%.  The worst performing stock was Goldman Sachs (GS) which fell 4.6%.  Overall, the Dividend Achiever watch list gained 2% versus the Dow which was up 2.8%. Because our list has more than a handful of great companies, I urged investors to filter through company with maximum of 50% payout ratio. This should minimized the risk of dividend reduction. If you understand the companies history and their ability to pay dividend, payout ratio in excess of 50% may be considered.

Supervalu (SVU) is now on the top of our list. Although appear to be somewhat risky, the company have taken actions to strengthen its balance sheet. One of method was to cut the dividend. The current yield of 2.86% exceed the 2.5% yield over the past five years. Anyone interested in more research on SVU can refer to our observation on January 6, 2010 article. Nothing material has changed except the chart. Also note that after nine days of issuing an observation, the stock rose 11% and we issued a sell on January 15, 2010.

Readers should use the March 2009 low (or companies' most distress time) as a base case for investing.  Our conservative view is to embrace the worse case scenario prior to investing.  March 2009 low fits that description.  Although we use the one year (52 weeks) time frame, the past year was nothing but major bull run and anyone who bought at or near the low can be taking profit.  It's important to place these companies in your own watch list so that when opportunities arise, you can purchase them with greater margin of safety.

Email our team here.

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Dividend Achiever Watch List

Posted on June 4, 2010 by | Leave a comment
At the end of the week, our watch list contracted to 80 companies. Here is the watch list which ranks current and former Dividend Achievers that are within 20% of the 52-week low for June 4, 2010. Stocks that appear on our watch lists are not recommendations to buy.  Instead, they are the starting point for doing your research and determining the best company to buy.  Ideally, a stock that is purchased from this list is done after a considerable decline in the price and extensive due diligence.

Symbol Name Price % Yr Low P/E EPS (ttm) Div/Shr Yield Payout Ratio
VIVO Meridian Bioscience Inc.  17.18 0.06% 21.75 0.79 0.76 4.42% 96%
CWT California Water Service Group 34.67 0.38% 17.96 1.93 1.19 3.43% 62%
LLY Eli Lilly & Co. 32.37 1.09% 8.34 3.88 1.96 6.05% 51%
CTWS Connecticut Water Service, Inc.  20.30 1.15% 17.20 1.18 0.91 4.48% 77%
FFIN First Financial Bankshares, Inc.  48.54 1.42% 18.81 2.58 1.36 2.80% 53%
MON Monsanto Co. 49.02 1.79% 20.43 2.40 1.06 2.16% 44%
UMBF UMB Financial Corp.  37.00 1.82% 16.09 2.30 0.74 2.00% 32%
XOM Exxon Mobil Corp.   59.53 1.82% 13.56 4.39 1.76 2.96% 40%
FII Federated Investors Inc 21.80 1.96% 11.12 1.96 0.96 4.40% 49%
DNB Dun & Bradstreet Corp. 70.49 2.01% 14.13 4.99 1.40 1.99% 28%
NJR New Jersey Resources Corp. 34.32 2.48% 15.53 2.21 1.36 3.96% 62%
ADM Archer Daniels Midland Co. 24.83 2.50% 10.22 2.43 0.60 2.42% 25%
AVP Avon Products, Inc. 25.73 2.92% 20.26 1.27 0.88 3.42% 69%
AROW Arrow Financial Corp.  24.35 3.00% 13.02 1.87 1.00 4.11% 53%
SHEN Shenandoah Telecom Co. 16.13 3.66% 14.66 1.10 0.32 1.98% 29%
VVC Vectren Corp. 22.52 3.97% 14.82 1.52 1.36 6.04% 89%
T AT&T Inc 24.17 4.23% 12.02 2.01 1.68 6.95% 84%
FRS Frisch's Restaurants, Inc 20.78 4.37% 10.49 1.98 0.52 2.50% 26%
SVU SUPERVALU INC 12.68 4.53% 6.85 1.85 0.35 2.76% 19%
NTRS Northern Trust Corp.  49.01 4.91% 15.41 3.18 1.12 2.29% 35%
HSC Harsco Corp. 25.88 4.95% 19.31 1.34 0.82 3.17% 61%
NWN Northwest Natural Gas Co. 42.96 5.22% 15.97 2.69 1.66 3.86% 62%
THFF First Financial Corp. Indiana  26.71 5.45% 14.68 1.82 0.92 3.44% 51%
MDU MDU Resources Group Inc. 18.08 5.67% 12.91 1.40 0.63 3.48% 45%
HRB H&R Block, Inc. 15.73 5.71% 10.70 1.47 0.60 3.81% 41%
PFE Pfizer Inc 14.76 5.85% 13.67 1.08 0.72 4.88% 67%
AWR American States Water Co. 33.05 5.93% 18.46 1.79 1.04 3.15% 58%
GS* Goldman Sachs Group, Inc.   142.25 6.00% 5.92 24.01 1.40 0.98% 6%
BEC Beckman Coulter, Inc. 56.29 6.15% 23.55 2.39 0.72 1.28% 30%
JNJ Johnson & Johnson   58.01 6.36% 12.19 4.76 2.16 3.72% 45%
HCC HCC Insurance Holdings, Inc. 24.70 6.37% 8.23 3.00 0.54 2.19% 18%
SFNC Simmons First National Corp.  26.07 6.41% 15.90 1.64 0.76 2.92% 46%
WMT Wal-Mart Stores, Inc. 50.40 6.44% 13.23 3.81 1.21 2.40% 32%
ABT Abbott Laboratories 46.53 7.09% 13.65 3.41 1.76 3.78% 52%
FPL FPL Group, Inc. 48.63 7.37% 11.00 4.42 2.00 4.11% 45%
PGN Progress Energy, Inc. 37.67 7.54% 13.85 2.72 2.48 6.58% 91%
PBI Pitney Bowes Inc   21.98 7.85% 11.45 1.92 1.46 6.64% 76%
KO Coca-Cola Co 51.27 8.67% 16.87 3.04 1.76 3.43% 58%
WGL WGL Holdings, Inc. 33.06 8.86% 14.25 2.32 1.51 4.57% 65%
ATO Atmos Energy Corp. 26.50 9.14% 12.74 2.08 1.34 5.06% 64%
WEYS Weyco Group, Inc.  22.75 9.27% 18.50 1.23 0.64 2.81% 52%
MGEE MGE Energy Inc.  34.25 9.74% 15.71 2.18 1.47 4.29% 67%
APD Air Products & Chemicals, Inc. 66.55 9.96% 16.68 3.99 1.96 2.95% 49%
WTR Aqua America Inc 16.93 10.01% 21.43 0.79 0.58 3.43% 73%
UGI UGI Corp. 25.51 10.05% 11.65 2.19 1.00 3.92% 46%
TMP Tompkins Financial Corp. 38.17 10.17% 12.64 3.02 1.36 3.56% 45%
PX Praxair, Inc. 74.12 10.31% 18.12 4.09 1.80 2.43% 44%
BDX Becton, Dickinson and Co. 70.08 10.52% 13.45 5.21 1.48 2.11% 28%
WAG Walgreen Co. 30.84 10.58% 14.48 2.13 0.55 1.78% 26%
SIAL Sigma-Aldrich Corp.  50.69 10.67% 17.30 2.93 0.64 1.26% 22%
STFC State Auto Financial Corp.  16.76 10.92% 18.02 0.93 0.60 3.58% 65%
SBSI Southside Bancshares, Inc.  19.31 11.04% 7.26 2.66 0.68 3.52% 26%
PNY Piedmont Natural Gas Co., Inc. 25.01 11.16% 11.80 2.12 1.12 4.48% 53%
MATW Matthews International Corp.  31.36 11.99% 15.15 2.07 0.28 0.89% 14%
TR Tootsie Roll Industries Inc  24.50 12.23% 26.06 0.94 0.32 1.31% 34%
BCR CR Bard, Inc. 78.97 12.65% 16.70 4.73 0.68 0.86% 14%
CL Colgate-Palmolive Co. 77.24 13.06% 18.89 4.09 2.12 2.74% 52%
XRAY DENTSPLY International Inc.  31.46 13.19% 17.19 1.83 0.20 0.64% 11%
TRH Transatlantic Holdings, Inc. 45.33 13.33% 7.24 6.26 0.84 1.85% 13%
SJW SJW Corp. 23.52 14.01% 27.35 0.86 0.68 2.89% 79%
CHRW C.H. Robinson Worldwide, Inc.  55.90 14.68% 26.12 2.14 1.00 1.79% 47%
MHP McGraw-Hill Cos., Inc. 27.34 16.09% 11.16 2.45 0.94 3.44% 38%
SYBT S.Y. BanCorp., Inc.  23.03 16.31% 19.03 1.21 0.68 2.95% 56%
CVX Chevron Corp. 71.28 17.08% 10.82 6.59 2.88 4.04% 44%
PAYX Paychex, Inc.  27.97 17.32% 21.19 1.32 1.24 4.43% 94%
CTAS Cintas Corp.  25.01 17.42% 23.37 1.07 0.48 1.92% 45%
CTBI Community Trust BanCorp., Inc.  26.05 17.61% 15.60 1.67 1.20 4.61% 72%
PEP PepsiCo Inc. 61.44 17.90% 15.59 3.94 1.92 3.13% 49%
ED Consolidated Edison, Inc.  41.66 17.92% 12.70 3.28 2.38 5.71% 73%
WABC Westamerica BanCorp.  53.63 18.08% 17.03 3.15 1.44 2.69% 46%
BANF BancFirst Corp.  37.17 18.11% 16.67 2.23 0.92 2.48% 41%
MDT Medtronic, Inc. 38.00 18.49% 13.62 2.79 0.82 2.16% 29%
KMB Kimberly-Clark Corp. 60.18 19.36% 13.49 4.46 2.64 4.39% 59%
BMS Bemis Co Inc 27.95 19.39% 21.50 1.30 0.92 3.29% 71%
HGIC Harleysville Group Inc.  31.20 19.59% 11.35 2.75 1.30 4.17% 47%
BMI Badger Meter, Inc. 39.04 19.83% 17.99 2.17 0.48 1.23% 22%
BRC Brady Corp. 27.66 20.26% 18.32 1.51 0.70 2.53% 46%
CFR Cullen/Frost Bankers, Inc. 52.42 20.26% 17.30 3.03 1.80 3.43% 59%
HRL Hormel Foods Corp. 40.50 20.39% 14.84 2.73 0.84 2.07% 31%
CLX Clorox Co. 63.07 20.41% 14.84 4.25 2.20 3.49% 52%
80 Companies




*Goldman Sachs isn't a former or current dividend achiever but we feel that it is worth watching because it's a proxy of our financial system.

Watch List Summary

The best performing stock from last week's list was Hormel (HSC) which rose 1.8%.  The worst performing stock was State Auto Financial (STFC) which fell 7.3%.  Overall, the Dividend Achiever watch list lost 2.6% versus the Dow which was down only 1.8%. Because our list has more than a handful of great companies, I urged investors to filter through company with maximum of 50% payout ratio. This should minimized the risk of dividend reduction. If you understand the companies history and their ability to pay dividend, payout ratio in excess of 50% may be considered.

Readers should use the March 2009 low (or companies' most distress time) as a base case for investing.  Our conservative view is to embrace the worse case scenario prior to investing.  March 2009 low fits that description.  Although we use the one year (52 weeks) time frame, the past year was nothing but major bull run and anyone who bought at or near the low can be taking profit.  It's important to place these companies in your own watch list so that when opportunities arise, you can purchase them with greater margin of safety.

Email our team here.

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Dividend Achiever Watch List

Posted on May 28, 2010 by | Leave a comment
At the end of the week, our watch list contracted to 66 companies. Here is the watch list which ranks current and former Dividend Achievers that are within 20% of the 52-week low for May 28, 2010. Stocks that appear on our watch lists are not recommendations to buy.  Instead, they are the starting point for doing your research and determining the best company to buy.  Ideally, a stock that is purchased from this list is done after a considerable decline in the price and extensive due diligence.
Symbol Name Price % Yr Low P/E EPS (ttm) Div/Shr Yield Payout Ratio
VIVO Meridian Bioscience Inc.  17.48 1.10% 22.13 0.79 0.76 4.35% 96%
FII Federated Investors Inc 22.21 1.88% 11.33 1.96 0.96 4.32% 49%
LLY Eli Lilly & Co. 32.79 2.40% 8.45 3.88 1.96 5.98% 51%
XOM Exxon Mobil Corp.   60.46 3.42% 13.77 4.39 1.76 2.91% 40%
ADM Archer Daniels Midland Co. 25.27 4.34% 10.40 2.43 0.60 2.37% 25%
T AT&T Inc 24.30 4.79% 12.09 2.01 1.68 6.91% 84%
CTWS Connecticut Water Service, Inc.  20.80 5.00% 17.63 1.18 0.91 4.38% 77%
SHEN Shenandoah Telecom 16.93 5.16% 15.39 1.10 0.32 1.89% 29%
FRS Frisch's Restaurants, Inc 20.95 5.22% 10.58 1.98 0.52 2.48% 26%
DNB Dun & Bradstreet Corp. 72.99 5.63% 14.63 4.99 1.40 1.92% 28%
MON Monsanto Co. 50.87 5.63% 21.20 2.40 1.06 2.08% 44%
AVP Avon Products, Inc. 26.49 5.96% 20.86 1.27 0.88 3.32% 69%
CWT California Water Service Group 35.83 6.04% 18.56 1.93 1.19 3.32% 62%
VVC Vectren Corp. 23.05 6.42% 15.16 1.52 1.36 5.90% 89%
WMT Wal-Mart Stores, Inc. 50.56 6.78% 13.27 3.81 1.21 2.39% 32%
UMBF UMB Financial Corp.  38.95 7.18% 16.93 2.30 0.74 1.90% 32%
GS* Goldman Sachs Group, Inc.   144.26 7.50% 6.01 24.01 1.40 0.97% 6%
NWN Northwest Natural Gas Co. 43.97 7.69% 16.35 2.69 1.66 3.78% 62%
AROW Arrow Financial Corp.  25.48 7.78% 13.63 1.87 1.00 3.92% 53%
HCC HCC Insurance Holdings, Inc. 25.07 7.97% 8.36 3.00 0.54 2.15% 18%
FFIN First Financial Bankshares, Inc.  50.24 8.00% 19.47 2.58 1.36 2.71% 53%
JNJ Johnson & Johnson   58.30 8.24% 12.25 4.76 2.16 3.70% 45%
NJR New Jersey Resources Corp. 35.45 8.31% 16.04 2.21 1.36 3.84% 62%
BEC Beckman Coulter, Inc. 57.44 8.32% 24.03 2.39 0.72 1.25% 30%
NTRS Northern Trust Corp.  50.81 8.75% 15.98 3.18 1.12 2.20% 35%
PFE Pfizer Inc 15.23 9.25% 14.10 1.08 0.72 4.73% 67%
MDU MDU Resources Group Inc. 18.70 9.29% 13.36 1.40 0.63 3.37% 45%
ABT Abbott Laboratories 47.56 9.46% 13.95 3.41 1.76 3.70% 52%
FPL FPL Group, Inc. 49.93 10.25% 11.30 4.42 2.00 4.01% 45%
SFNC Simmons First National Corp.  26.36 10.29% 16.07 1.64 0.76 2.88% 46%
HSC Harsco Corp. 27.21 10.34% 20.31 1.34 0.82 3.01% 61%
WEYS Weyco Group, Inc.  22.99 10.42% 18.69 1.23 0.64 2.78% 52%
KO Coca-Cola Co 51.40 10.87% 16.91 3.04 1.76 3.42% 58%
SVU SUPERVALU INC 13.47 11.05% 7.28 1.85 0.35 2.60% 19%
PGN Progress Energy, Inc. 38.59 11.08% 14.19 2.72 2.48 6.43% 91%
PBI Pitney Bowes Inc   22.64 11.09% 11.79 1.92 1.46 6.45% 76%
AWR American States Water Co. 34.37 11.52% 19.20 1.79 1.04 3.03% 58%
THFF First Financial Corp. Indiana  28.35 11.92% 15.58 1.82 0.92 3.25% 51%
BDX Becton, Dickinson and Co. 71.30 12.44% 13.69 5.21 1.48 2.08% 28%
UGI UGI Corp. 26.14 12.77% 11.94 2.19 1.00 3.83% 46%
WTR Aqua America Inc 17.45 13.39% 22.09 0.79 0.58 3.32% 73%
APD Air Products & Chemicals, Inc. 69.06 14.11% 17.31 3.99 1.96 2.84% 49%
PNY Piedmont Natural Gas Co., Inc. 25.41 14.61% 11.99 2.12 1.12 4.41% 53%
TR Tootsie Roll Industries Inc  25.04 14.70% 26.64 0.94 0.32 1.28% 34%
HRB H&R Block, Inc. 16.08 14.86% 10.94 1.47 0.60 3.73% 41%
WAG Walgreen Co. 32.04 14.88% 15.04 2.13 0.55 1.72% 26%
TMP Tompkins Financial Corp. 39.82 14.94% 13.19 3.02 1.36 3.42% 45%
PX Praxair, Inc. 77.60 15.49% 18.97 4.09 1.80 2.32% 44%
BCR CR Bard, Inc. 80.97 15.51% 17.12 4.73 0.68 0.84% 14%
MATW Matthews International Corp.  32.38 15.64% 15.64 2.07 0.28 0.86% 14%
ATO Atmos Energy Corp. 27.12 15.70% 13.04 2.08 1.34 4.94% 64%
MGEE MGE Energy Inc.  35.32 16.34% 16.20 2.18 1.47 4.16% 67%
SIAL Sigma-Aldrich Corp.  53.32 16.42% 18.20 2.93 0.64 1.20% 22%
SBSI Southside Bancshares, Inc.  20.25 16.44% 7.61 2.66 0.68 3.36% 26%
XRAY DENTSPLY International Inc.  32.43 16.70% 17.72 1.83 0.20 0.62% 11%
RNST Renasant Corp.  14.38 17.39% 18.92 0.76 0.68 4.73% 89%
WGL WGL Holdings, Inc. 33.85 17.49% 14.59 2.32 1.51 4.46% 65%
MHP McGraw-Hill Cos., Inc. 27.80 18.05% 11.35 2.45 0.94 3.38% 38%
HRL Hormel Foods Corp. 39.80 18.31% 14.58 2.73 0.84 2.11% 31%
SYBT S.Y. BanCorp., Inc.  23.44 18.38% 19.37 1.21 0.68 2.90% 56%
DBD Diebold, Inc. 28.98 18.87% 40.25 0.72 1.08 3.73% 150%
CHRW C.H. Robinson Worldwide, Inc.  58.11 19.22% 27.15 2.14 1.00 1.72% 47%
STFC State Auto Financial Corp.  18.08 19.66% 19.44 0.93 0.60 3.32% 65%
PAYX Paychex, Inc.  28.54 19.71% 21.62 1.32 1.24 4.34% 94%
BRO Brown & Brown, Inc. 19.60 20.10% 18.67 1.05 0.31 1.58% 30%
KMB Kimberly-Clark Corp. 60.70 20.39% 13.61 4.46 2.64 4.35% 59%
66 Companies






*Goldman Sachs isn't a former or current dividend achiever but I feel that it is worth watching because it could be the proxy of our financial system.

Watch List Summary

The best performing stock from last week's list was Harsco (HSC) which rose 4.9%.  The worst performing stock was Monsanto (MON) which fell 7.4% after the company guided down their earning outlook and free-cash flow. Looks like Barron's article on 5/17/10 was a little early (although the firm did reduced their price target from $90 to $65). Strange stuff if you ask me. Although there was plenty of volatility in the market, last week watch list and the Dow ended the week virtually flat.

Readers should use the March 2009 low (or companies' most distress time) as a base case for investing.  Our conservative view is to embrace the worse case scenario prior to investing.  March 2009 low fits that description.  Although we use the one year (52 weeks) time frame, the past year was nothing but major bull run and anyone who bought at or near the low can be taking profit.  It's important to place these companies in your own watch list so that when opportunities arise, you can purchase them with greater margin of safety. 
Email our team here.

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Dividend Achiever Watch List

Posted on May 21, 2010 by | 1 comment
At the end of the week, our watch list contracted to 59 companies. Here is the watch list which ranks current and former Dividend Achievers that are within 20% of the 52-week low for May 21, 2010. Stocks that appear on our watch lists are not recommendations to buy.  Instead, they are the starting point for doing your research and determining the best company to buy.  Ideally, a stock that is purchased from this list is done after a considerable decline in the price and extensive due diligence.

Symbol Name Price % Yr Low P/E EPS Div/Shr Yield Payout Ratio
MON Monsanto Co. 54.95 2.10% 22.90 2.40 1.06 1.93% 44%
HSC Harsco Corp. 25.94 2.45% 19.36 1.34 0.82 3.16% 61%
ADM Archer Daniels Midland Co. 25.41 2.58% 10.46 2.43 0.60 2.36% 25%
LLY Lilly (Eli) & Co. 33.12 2.89% 8.54 3.88 1.96 5.92% 51%
VIVO Meridian Bioscience Inc.  17.99 3.93% 22.77 0.79 0.76 4.22% 96%
XOM Exxon Mobil Corp.   60.88 4.14% 13.87 4.39 1.76 2.89% 40%
FII Federated Investors Inc 22.65 4.86% 11.56 1.96 0.96 4.24% 49%
GS Goldman Sachs Group, Inc.   140.62 5.00% 5.86 24.01 1.40 1.00% 6%
MDU MDU Resources Group Inc. 17.98 5.27% 12.84 1.40 0.63 3.50% 45%
FRS Frisch's Restaurants, Inc 21.00 5.47% 10.61 1.98 0.52 2.48% 26%
DNB Dun & Bradstreet Corp. 73.33 6.12% 14.70 4.99 1.40 1.91% 28%
VVC Vectren Corp. 22.71 6.17% 14.94 1.52 1.36 5.99% 89%
T AT&T Inc 24.85 7.16% 12.36 2.01 1.68 6.76% 84%
HCC HCC Insurance Holdings, Inc. 24.74 7.19% 8.25 3.00 0.54 2.18% 18%
CWT California Water Service Group 36.10 7.79% 18.70 1.93 1.19 3.30% 62%
UMBF UMB Financial Corp.  39.33 8.23% 17.10 2.30 0.74 1.88% 32%
WMT Wal-Mart Stores, Inc. 51.37 8.49% 13.88 3.70 1.21 2.36% 33%
BEC Beckman Coulter, Inc. 56.54 8.84% 23.66 2.39 0.72 1.27% 30%
SVU SUPERVALU INC 13.23 9.07% 7.15 1.85 0.35 2.65% 19%
SHEN Shenandoah Telecom 17.57 9.13% 15.97 1.10 0.32 1.82% 29%
UGI UGI Corp. 25.39 9.53% 11.59 2.19 1.00 3.94% 46%
CTWS Connecticut Water Service, Inc.  21.43 9.67% 18.16 1.18 0.91 4.25% 77%
ABT Abbott Laboratories 46.94 9.67% 13.77 3.41 1.76 3.75% 52%
WTR Aqua America Inc 16.91 9.88% 21.41 0.79 0.58 3.43% 73%
AWR American States Water Co. 33.87 9.90% 18.92 1.79 1.04 3.07% 58%
AVP Avon Products, Inc. 26.66 9.94% 20.99 1.27 0.88 3.30% 69%
NWN Northwest Natural Gas Co. 43.69 10.24% 16.24 2.69 1.66 3.80% 62%
FFIN First Financial Bankshares, Inc.  51.34 10.36% 19.90 2.58 1.36 2.65% 53%
PBI Pitney Bowes Inc   22.51 10.45% 11.72 1.92 1.46 6.49% 76%
PFE Pfizer Inc 15.40 10.47% 14.26 1.08 0.72 4.68% 67%
NJR New Jersey Resources Corp. 35.36 10.50% 16.00 2.21 1.36 3.85% 62%
APD Air Products & Chemicals, Inc. 66.94 10.61% 16.78 3.99 1.96 2.93% 49%
WEYS Weyco Group, Inc.  23.10 10.95% 18.78 1.23 0.64 2.77% 52%
NTRS Northern Trust Corp.  51.88 11.04% 16.31 3.18 1.12 2.16% 35%
KO Coca-Cola Co 51.59 11.28% 16.97 3.04 1.76 3.41% 58%
FPL FPL Group, Inc. 50.59 11.70% 11.45 4.42 2.00 3.95% 45%
AROW Arrow Financial Corp.  25.66 11.71% 13.72 1.87 1.00 3.90% 53%
THFF First Financial Corp. Indiana  28.43 12.24% 16.43 1.73 0.90 3.17% 52%
BDX Becton, Dickinson and Co. 71.49 12.74% 13.72 5.21 1.48 2.07% 28%
SFNC Simmons First National Corp.  27.01 13.01% 16.47 1.64 0.76 2.81% 46%
JNJ Johnson & Johnson   60.88 13.03% 12.79 4.76 2.16 3.55% 45%
BCR CR Bard, Inc. 79.57 13.70% 16.82 4.73 0.68 0.85% 14%
PGN Progress Energy, Inc. 38.46 13.96% 14.14 2.72 2.48 6.45% 91%
ATO Atmos Energy Corp. 26.80 14.33% 12.88 2.08 1.34 5.00% 64%
PX Praxair, Inc. 77.10 14.75% 18.85 4.09 1.80 2.33% 44%
TMP Tompkins Financial Corp. 40.22 16.09% 13.32 3.02 1.36 3.38% 45%
SBSI Southside Bancshares, Inc.  20.27 16.56% 7.62 2.66 0.68 3.35% 26%
BRO Brown & Brown, Inc. 19.10 17.00% 18.19 1.05 0.31 1.62% 30%
PNY Piedmont Natural Gas Co., Inc. 25.35 17.09% 11.96 2.12 1.12 4.42% 53%
SYBT S.Y. BanCorp., Inc.  23.28 17.58% 19.24 1.21 0.68 2.92% 56%
SIAL Sigma-Aldrich Corp.  52.87 17.83% 18.04 2.93 0.64 1.21% 22%
HRB H&R Block, Inc. 16.37 18.28% 11.14 1.47 0.60 3.67% 41%
WAG Walgreen Co. 33.10 18.68% 15.54 2.13 0.55 1.66% 26%
XRAY DENTSPLY International Inc.  33.06 18.96% 18.07 1.83 0.20 0.60% 11%
WGL WGL Holdings, Inc. 34.02 18.99% 14.66 2.32 1.51 4.44% 65%
MATW Matthews International Corp.  32.78 19.11% 15.84 2.07 0.28 0.85% 14%
BMI Badger Meter, Inc. 38.94 19.52% 17.94 2.17 0.48 1.23% 22%
HGIC Harleysville Group Inc.  31.37 20.24% 11.41 2.75 1.30 4.14% 47%
RNST Renasant Corp.  14.74 20.33% 19.39 0.76 0.68 4.61% 89%
59 Companies






Watch List Summary
The best performing stock from last week's list was Monsanto (MON) which rose 0.6% after a positive note from Barron's on 5/17/10.  The worst performing stock was Shenandoah Telecommunication (SHEN) which fell 9%. Overall, the Dividend Achiever watch list lost 3.8% versus the Dow which lost 4%.
Again, I ran a new filter through this list using Graham rule of earning yield being higher than twice the AAA bond yield (5.29%). The result is that 5 companies passed the test. That's 8% of the companies on the list. Let me remind you that this is only one criteria out of ten. I'll do an analysis on this issue for the up-coming article.
Readers should use the March 2009 low (or companies' most distress time) as a base case for investing.  Our conservative view is to embrace the worse case scenario prior to investing.  March 2009 low fits that description.  Although we use the one year (52 weeks) time frame, the past year was nothing but major bull run and anyone who bought at or near the low can be taking profit.  It's important to place these companies in your own watch list so that when opportunities arise, you can purchase them with greater margin of safety.

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Dividend Achiever Watch List

Posted on May 14, 2010 by | Leave a comment
At the end of the week, our watch list contracted to 42 companies. Here is the watch list which ranks current and former Dividend Achievers that are within 20% of the 52-week low for May 14, 2010. Stocks that appear on our watch lists are not recommendations to buy.  Instead, they are the starting point for doing your research and determining the best company to buy.  Ideally, a stock that is purchased from this list is done after a considerable decline in the price and extensive due diligence.

Symbol Name Price % Yr Low P/E EPS Dividend Yield Payout Ratio
MON Monsanto Co. 54.61 0.98% 22.75 2.40 1.06 1.94% 44%
LLY Eli Lilly & Co. 33.92 5.37% 8.74 3.88 1.96 5.78% 51%
FRS Frisch's Restaurants, Inc 21.01 5.52% 10.61 1.98 0.52 2.48% 26%
FII Federated Investors Inc 23.16 7.22% 11.82 1.96 0.96 4.15% 49%
HSC Harsco Corp. 27.56 7.99% 20.57 1.34 0.82 2.98% 61%
VIVO Meridian Bioscience Inc.  18.73 8.20% 23.71 0.79 0.76 4.06% 96%
DNB Dun & Bradstreet Corp. 74.98 8.51% 15.06 4.98 1.40 1.87% 28%
XOM Exxon Mobil Corp.   63.60 8.79% 14.49 4.39 1.76 2.77% 40%
ADM Archer Daniels Midland Co. 26.77 9.31% 11.02 2.43 0.60 2.24% 25%
T AT&T Inc 25.40 9.53% 12.64 2.01 1.68 6.61% 84%
WMT Wal-Mart Stores, Inc. 52.12 10.07% 14.09 3.70 1.21 2.32% 33%
GS Goldman Sachs Group, Inc.   143.23 11.08% 5.97 24.01 1.40 0.98% 6%
HCC HCC Insurance Holdings, Inc. 25.74 11.53% 8.58 3.00 0.54 2.10% 18%
VVC Vectren Corp. 23.95 11.97% 14.60 1.64 1.36 5.68% 83%
SVU SUPERVALU Inc. 13.64 12.45% 7.37 1.85 0.35 2.57% 19%
ABT Abbott Laboratories 48.50 13.45% 14.22 3.41 1.76 3.63% 52%
BEC Beckman Coulter, Inc. 58.85 13.54% 24.62 2.39 0.72 1.22% 30%
NTRS Northern Trust Corp.  53.18 13.83% 16.72 3.18 1.12 2.11% 35%
PBI Pitney Bowes Inc   23.34 14.52% 12.16 1.92 1.46 6.26% 76%
UMBF UMB Financial Corp.  41.66 14.64% 18.03 2.31 0.74 1.78% 32%
FFIN First Financial Bankshares, Inc.  53.69 15.44% 20.81 2.58 1.36 2.53% 53%
BDX Becton, Dickinson and Co. 73.26 15.53% 14.06 5.21 1.48 2.02% 28%
APD Air Products & Chemicals, Inc. 69.57 15.85% 17.44 3.99 1.96 2.82% 49%
PX Praxair, Inc. 77.90 15.94% 19.05 4.09 1.80 2.31% 44%
PFE Pfizer Inc 16.20 16.21% 15.00 1.08 0.72 4.44% 67%
CTWS Connecticut Water Service, Inc.  22.64 16.34% 19.03 1.19 0.91 4.02% 76%
FPL FPL Group, Inc. 52.71 16.38% 11.93 4.42 2.00 3.79% 45%
CWT California Water Service 39.06 16.63% 20.24 1.93 1.19 3.05% 62%
MDU MDU Resources Group Inc. 19.44 16.76% 13.89 1.40 0.63 3.24% 45%
WTR Aqua America Inc 17.97 16.76% 22.75 0.79 0.58 3.23% 73%
NWN Northwest Natural Gas Co. 46.76 17.99% 17.38 2.69 1.66 3.55% 62%
PGN Progress Energy, Inc. 40.00 18.52% 14.71 2.72 2.48 6.20% 91%
JNJ Johnson & Johnson   63.97 18.77% 13.44 4.76 2.16 3.38% 45%
BCR CR Bard, Inc. 82.70 19.44% 17.48 4.73 0.68 0.82% 14%
WEYS Weyco Group, Inc.  24.92 19.69% 20.26 1.23 0.64 2.57% 52%
BRO Brown & Brown, Inc. 19.52 19.73% 18.59 1.05 0.31 1.59% 30%
AROW Arrow Financial Corp.  27.51 19.76% 14.71 1.87 1.00 3.64% 53%
ATO Atmos Energy Corp. 28.11 19.92% 13.51 2.08 1.34 4.77% 64%
SHEN Shenandoah Telecom 19.32 20.00% 30.19 0.64 0.32 1.66% 50%
SFNC Simmons First National Corp.  28.69 20.04% 17.49 1.64 0.76 2.65% 46%
THFF First Financial Corp. Indiana  30.49 20.37% 17.62 1.73 0.90 2.95% 52%
MRK Merck & Co., Inc 32.88 34.92% 7.10 4.63 1.52 4.62% 33%
42 Companies






Watch List Summary

The best performing stock from last week's list was Shenandoah Telecommunication (SHEN) which rose 14%. The worst performing stock was Monsanto (MON) which fell 7.6%. Overall, the Dividend Achiever watch list gained 2.6% versus the Dow which was up 2.25%.

I ran a new filter through this list using Graham rule of earning yield being higher than twice the long-term rate which I use 10 years T-bill. The result is that 19 companies passed the test. That's 40% of the companies on the list!

Again, I reiterate readers to use this list to your advantage. There are (and will be) great companies paying nice dividends with low payout ratios. Place these companies in your own watch list so that when opportunities arise, you can purchase them with greater margin of safety.
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Dividend Achiever Watch List

Posted on May 7, 2010 by | 1 comment
At the end of the week, our watch list ballooned to 62 companies. Here is the watch list which ranks current and former Dividend Achievers that are within 20% of the 52-week low for May 7, 2010. Stocks that appear on our watch lists are not recommendations to buy.  Instead, they are the starting point for doing your research and determining the best company to buy.  Ideally, a stock that is purchased from this list is done after a considerable decline in the price and extensive due diligence.

Symbol Name Price % Yr Low P/E EPS Div/Shr Yield Payout Ratio
MON Monsanto Co. 59.09 3.14% 24.62 2.40 1.06 1.79% 44%
HSC Harsco Corp. 26.38 3.37% 19.69 1.34 0.82 3.11% 61%
FRS Frisch's Restaurants, Inc 20.77 4.32% 10.49 1.98 0.52 2.50% 26%
SHEN Shenandoah Telecom 16.95 5.28% 26.48 0.64 0.32 1.89% 50%
VIVO Meridian Bioscience Inc.  18.29 5.66% 23.15 0.79 0.76 4.16% 96%
ADM Archer Daniels Midland Co. 25.94 6.97% 10.67 2.43 0.60 2.31% 25%
HCC HCC Insurance Holdings, Inc. 24.71 7.06% 7.95 3.11 0.54 2.19% 17%
DNB Dun & Bradstreet Corp. 74.10 7.24% 14.88 4.98 1.40 1.89% 28%
THFF First Financial Corp. Indiana  27.19 7.34% 15.72 1.73 0.90 3.31% 52%
LLY Lilly (Eli) & Co. 34.62 7.55% 8.92 3.88 1.96 5.66% 51%
OTTR Otter Tail Corp.  20.10 7.89% 28.31 0.71 1.19 5.92% 168%
T AT&T Inc 25.10 8.24% 12.49 2.01 1.68 6.69% 84%
CWT California Water Service Group 36.26 8.27% 18.79 1.93 1.19 3.28% 62%
VVC Vectren Corp. 23.25 8.70% 14.18 1.64 1.36 5.85% 83%
FII Federated Investors Inc 23.53 8.94% 12.01 1.96 0.96 4.08% 49%
XOM Exxon Mobil Corp.   63.70 8.96% 14.51 4.39 1.76 2.76% 40%
NWN Northwest Natural Gas Co. 43.50 9.77% 15.37 2.83 1.66 3.82% 59%
WEYS Weyco Group, Inc.  22.87 9.85% 20.60 1.11 0.64 2.80% 58%
SVU SUPERVALU INC 13.40 10.47% 7.24 1.85 0.35 2.61% 19%
WMT Wal-Mart Stores, Inc. 52.40 10.67% 14.16 3.70 1.21 2.31% 33%
FFIN First Financial Bankshares, Inc.  51.44 10.72% 19.94 2.58 1.36 2.64% 53%
CTWS Connecticut Water Service, Inc.  21.39 10.77% 17.97 1.19 0.91 4.25% 76%
NTRS Northern Trust Corp.  51.80 10.87% 16.29 3.18 1.12 2.16% 35%
MDU MDU Resources Group Inc. 18.47 10.93% 13.10 1.41 0.63 3.41% 45%
UHT Universal Health Realty Income 32.30 11.03% 20.84 1.55 2.40 7.43% 155%
UMBF UMB Financial Corp.  40.36 11.06% 17.47 2.31 0.74 1.83% 32%
TMP Tompkins Financial Corp. 38.60 11.41% 12.78 3.02 1.36 3.52% 45%
GS* Goldman Sachs Group, Inc.   142.99 11.66% 5.96 24.01 1.40 0.98% 6%
WTR Aqua America Inc 17.39 13.00% 22.58 0.77 0.58 3.34% 75%
SPH Suburban Propane Partners L.P. 44.10 13.08% 11.28 3.91 3.36 7.62% 86%
FPL FPL Group, Inc. 51.22 13.09% 11.59 4.42 2.00 3.90% 45%
AROW Arrow Financial Corp.  25.96 13.20% 13.88 1.87 1.00 3.85% 53%
STT State Street Corp. 41.34 13.73% -10.08 -4.10 0.04 0.10% -1%
ABT Abbott Laboratories 48.72 13.96% 14.29 3.41 1.76 3.61% 52%
BXS BanCorp.South Inc. 20.19 15.04% 27.28 0.74 0.88 4.36% 119%
PGN Progress Energy, Inc. 38.83 15.05% 14.33 2.71 2.48 6.39% 92%
PBI Pitney Bowes Inc   23.53 15.46% 12.26 1.92 1.46 6.20% 76%
NJR New Jersey Resources Corp. 35.76 15.54% 29.80 1.20 1.36 3.80% 113%
BEC Beckman Coulter, Inc. 60.12 15.99% 25.15 2.39 0.72 1.20% 30%
SYBT S.Y. BanCorp., Inc.  22.98 16.06% 18.99 1.21 0.68 2.96% 56%
TR Tootsie Roll Industries Inc  25.42 16.45% 27.33 0.93 0.32 1.26% 34%
BRO Brown & Brown, Inc. 19.01 16.48% 18.10 1.05 0.31 1.63% 30%
ATO Atmos Energy Corp. 27.33 16.60% 12.15 2.25 1.34 4.90% 60%
AWR American States Water Co. 36.12 17.20% 22.30 1.62 1.04 2.88% 64%
NUE Nucor Corp. 44.90 17.32% -187.08 -0.24 1.44 3.21% -600%
PX Praxair, Inc. 78.88 17.40% 19.29 4.09 1.80 2.28% 44%
SFNC Simmons First National Corp.  28.07 17.45% 17.12 1.64 0.76 2.71% 46%
BMI Badger Meter, Inc. 38.41 17.89% 17.70 2.17 0.48 1.25% 22%
HGIC Harleysville Group Inc.  30.76 17.90% 11.19 2.75 1.30 4.23% 47%
MATW Matthews International Corp.  32.51 18.13% 15.71 2.07 0.28 0.86% 14%
JNJ Johnson & Johnson   63.31 18.25% 13.30 4.76 2.16 3.41% 45%
SBSI Southside Bancshares, Inc.  20.61 18.51% 7.75 2.66 0.65 3.15% 24%
PFE Pfizer Inc 16.46 18.84% 13.38 1.23 0.72 4.37% 59%
APD Air Products & Chemicals, Inc. 70.98 19.09% 17.79 3.99 1.96 2.76% 49%
DBD Diebold, Inc. 28.92 19.26% 40.17 0.72 1.08 3.73% 150%
MLM Martin Marietta Materials, Inc. 88.14 19.46% 46.15 1.91 1.60 1.82% 84%
UGI UGI Corp. 26.47 19.72% 12.09 2.19 0.80 3.02% 37%
BCR CR Bard, Inc. 82.97 19.83% 17.54 4.73 0.68 0.82% 14%
CTAS Cintas Corp.  25.54 19.91% 23.87 1.07 0.48 1.88% 45%
MGEE MGE Energy Inc.  35.32 20.05% 15.98 2.21 1.47 4.16% 67%
BMS Bemis Co Inc 27.70 20.28% 21.47 1.29 0.92 3.32% 71%
WGL WGL Holdings, Inc. 34.44 20.46% 15.31 2.25 1.51 4.38% 67%
62 Companies

*Goldman Sachs isn't a former or current dividend achiever but I feel that it is worth watching because it could be the proxy of our financial system.


Watch List Summary

The best performing stock from last week's list was Simmons First National (SFNC) which was at break-even. The worst performing stock was Harsco (HSC) which fell 14.8%. Overall, the Dividend Achiever watch list lost 4.9% versus the Dow which was down 5.7%.

Never before have we seen this many companies on our watch list. Part of the reason could be because the 52-week time frame now ranges from May 2009 to May 2010. You may remember that when the market bottomed in March 2009, I suggest that investors look at the company's performance at its worse possible level, which in many cases was the March 2009 low. 
Use this list to your advantage. There are (and will be) great companies paying nice dividends with low payout ratios. Place these companies in your own watch list so that when opportunities arise, you can purchase them with a greater margin of safety.
Market Commentary
As you may have noticed from our watch list, the market took a turn similar to what happened in January when the Dow retraced about 7% from the peak. At the close of Friday at 10,380, we've pulled back 7% from the closing high. It is interesting to note that in January, the Greek tragedy was already known so this shouldn't have surprised us. Our only concern at this point is, will the Dow fail to hold above the 150-day moving average which has been a strong support level for the market since July. (see chart below)

After seeing what took place on Thursday, I have increased my requirement for a margin of safety in new investment stakes. For example, I may look at companies that are within 15% of a new low instead of 20%. In considering companies to buy or sell, I would aim for a deeper discount (lower price) if I plan to buy and take smaller "fair profits" if I plan to sell. Remember, the market isn't cheap by any standard. With the latest figures I calculated, based on the Friday close, the Dow is now trading at 15x trailing earnings and 11x forward earnings. This assume 36% earning growth for the Dow. On a yield basis, the Dow is trading at 2.76%. Using the Thursday low, the yield was close to 3%. - Art

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Dividend Achiever Watch List

Posted on April 30, 2010 by | Leave a comment
At the end of the week, our watch list contains 29 companies. Here is the watch list which ranks current and former Dividend Achievers that are within 20% of the 52-week low for April 30, 2010. Instead, they are the starting point for doing your research and determining the best company to buy.  Ideally, a stock that is purchased from this list is done after a considerable decline in the price and extensive due diligence.

Symbol Name Price % Yr Low P/E EPS Div/Shr Yield Payout Ratio
MON Monsanto Co. 63.06 1.40% 26.28 2.40 1.06 1.68% 44%
XOM Exxon Mobil Corp. 67.77 6.62% 17.03 3.98 1.68 2.48% 42%
LLY Eli Lilly and Co. 34.97 8.64% 9.01 3.88 1.96 5.60% 51%
FRS Frisch's Restaurants, Inc. 21.91 10.05% 11.07 1.98 0.52 2.37% 26%
SHEN Shenandoah Telecom 17.76 10.31% 27.75 0.64 0.32 1.80% 50%
DNB Dun & Bradstreet Corp. 76.97 11.39% 12.83 6.00 1.40 1.82% 23%
FII Federated Investors, Inc. 24.12 11.67% 12.31 1.96 0.96 3.98% 49%
T AT&T Inc. 26.06 12.38% 12.97 2.01 1.68 6.45% 84%
WMT Wal-Mart Stores, Inc. 53.64 13.28% 14.50 3.70 1.21 2.26% 33%
UHT Universal Health Realty 33.22 14.20% 21.43 1.55 2.40 7.22% 155%
FPL FPL Group, Inc. 52.05 14.93% 13.11 3.97 2.00 3.84% 50%
THFF First Financial Corp. 29.15 15.08% 16.85 1.73 0.90 3.09% 52%
FFIN First Financial Bankshares, Inc. 53.48 15.11% 20.73 2.58 1.36 2.54% 53%
CWT California Water Service 38.73 15.65% 19.86 1.95 1.19 3.07% 61%
HSC Harsco Corp. 30.96 16.00% 21.06 1.47 0.82 2.65% 56%
VIVO Meridian Bioscience Inc. 19.99 16.76% 25.30 0.79 0.76 3.80% 96%
VVC Vectren Corp. 25.01 16.92% 15.25 1.64 1.36 5.44% 83%
TMP Tompkins Financial Corp. 40.62 17.24% 13.45 3.02 1.36 3.35% 45%
WEYS Weyco Group, Inc. 24.44 17.39% 22.02 1.11 0.60 2.45% 54%
SFNC Simmons First National Corp. 28.08 17.49% 17.12 1.64 0.76 2.71% 46%
NTRS Northern Trust Corp. 54.98 17.68% 17.29 3.18 1.12 2.04% 35%
HCC HCC Insurance Holdings, Inc. 27.19 18.11% 8.74 3.11 0.54 1.99% 17%
PGN Progress Energy Inc. 39.92 18.28% 14.73 2.71 2.48 6.21% 92%
NUE Nucor Corp. 45.32 18.42% -188.83 -0.24 1.44 3.18% -600%
WTR Aqua America, Inc. 18.33 19.10% 23.81 0.77 0.58 3.16% 75%
OTTR Otter Tail Corp. 22.22 19.27% 31.30 0.71 1.19 5.36% 168%
ADM Archer-Daniels-Midland 27.94 19.50% 15.70 1.78 0.60 2.15% 34%
NWN Northwest Natural Gas Co. 47.39 19.58% 16.75 2.83 1.66 3.50% 59%
BEC Beckman Coulter, Inc. 62.40 20.77% 28.62 2.18 0.72 1.15% 33%
29 Companies


Watch List Summary

The best performing stock from last week's list was FPL Group (FPL) which rose 1.5%. The worst performing stock was Federated Investors (FII) which fell 6.9%. Overall, the Dividend Achiever watch list lost 1.8% versus the Dow which was down 1.75%.
No two ways about it, stocks got crushed. Monsanto (MON) continued to remain weak but the technical outlook turned rather positive when RSI diverge from the price. We'll have to see if this produce a short term rebound in price. Additionally, two positive notes came from Exxon (XOM) and Weyco (WEYS) which announced dividend increases.
Once again, the key to this list isn't to provide a winner but collectively, we hope that it can be a starting point for you to research these companies and hopefully provide lower volatility, margin of safety and  provide marginally higher return than the general market.
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Dividend Achiever Watch List

Posted on April 23, 2010 by | Leave a comment
At the end of the week, our watch list contains 21 companies. Here is the watch list which ranks current and former Dividend Achievers that are within 20% of the 52-week low for April 23, 2010. Instead, they are the starting point for doing your research and determining the best company to buy.  Ideally, a stock that is purchased from this list is done after a considerable decline in the price and extensive due diligence.

Symbol Name Price % Yr Low P/E EPS Div/Shr Yield Payout Ratio
MON Monsanto Co. 65.66 3.00% 27.36 2.40 1.06 1.61% 44%
XOM Exxon Mobil Corp. 69.24 8.94% 17.40 3.98 1.68 2.43% 42%
LLY Eli Lilly and Co. 35.46 10.71% 9.00 3.94 1.96 5.53% 50%
SHEN Shenandoah Telecom 18.00 11.80% 28.13 0.64 0.32 1.78% 50%
T AT&T Inc. 26.25 13.20% 12.38 2.12 1.68 6.40% 79%
FPL FPL Group, Inc. 51.30 13.27% 12.92 3.97 2.00 3.90% 50%
FRS Frisch's Restaurants, Inc. 22.70 14.01% 11.46 1.98 0.52 2.29% 26%
DNB Dun & Bradstreet Corp. 78.82 14.07% 13.14 6.00 1.40 1.78% 23%
WMT Wal-Mart Stores, Inc. 54.53 15.16% 14.74 3.70 1.21 2.22% 33%
CWT California Water Service 38.90 16.15% 19.95 1.95 1.19 3.06% 61%
TMP Tompkins Financial Corp. 40.44 16.73% 13.66 2.96 1.36 3.36% 46%
UHT Universal Health Realty 34.25 17.74% 21.96 1.56 2.40 7.01% 154%
FFIN First Financial Bankshares 54.82 17.99% 21.25 2.58 1.36 2.48% 53%
PGN Progress Energy Inc. 39.59 18.18% 14.61 2.71 2.48 6.26% 92%
THFF First Financial Corp. 30.14 18.99% 17.42 1.73 0.90 2.99% 52%
HCC HCC Insurance Holdings 27.43 19.16% 8.82 3.11 0.54 1.97% 17%
WEYS Weyco Group, Inc. 24.94 19.79% 22.47 1.11 0.60 2.41% 54%
FII Federated Investors, Inc. 25.90 19.91% 13.49 1.92 0.96 3.71% 50%
WTR Aqua America, Inc. 18.47 20.01% 23.99 0.77 0.58 3.14% 75%
SFNC Simmons First National 28.74 20.25% 17.52 1.64 0.76 2.64% 46%
NTRS Northern Trust Corp. 56.31 20.53% 17.82 3.16 1.12 1.99% 35%
21 Companies


Watch List Summary

The best performing stock from last week's list was Brown & Brown (BRO) which rose 7.7%. The worst performing stock was Eli Lilly (LLY) which fell 3%. Overall, the Dividend Achiever watch list gained 2.8% versus the Dow which was up 1.7%.
I revisited our watch list again from three months ago (January 22, 2010) to see what result these companies produced. The average gain for the list was 11.5% compared to the Dow's gain of 7.8%. The three biggest gainers were Republic Bancorp (RBCAA), Family Dollar (FDO), and Hershey (HSY). All rose more than 30%. The worse and only non-performer was Monsanto (MON) which fell 15% and remains on our list.

The key to this list isn't to provide a winner but collectively, we hope that it can be a starting point for you to research these companies and hopefully provide lower volatility, margin of safety and  provide marginally higher return than the general market.
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Dividend Achiever Watch List

Posted on April 16, 2010 by | Leave a comment

At the end of the week, our watch list contains 23 companies. Here is the watch list which ranks current and former Dividend Achievers that are within 20% of the 52-week low for April 16, 2010.

Symbol Name Price % Yr Low P/E EPS Div/Shr Yield Payout Ratio
MON Monsanto Co. 64.73 -0.69% 26.97 2.40 1.06 1.64% 44%
XOM Exxon Mobil Corp. 67.93 6.88% 17.08 3.98 1.68 2.47% 42%
FPL FPL Group, Inc. 48.43 6.93% 12.21 3.97 2.00 4.13% 50%
TMP Tompkins Financial Corp. 37.74 8.93% 12.75 2.96 1.36 3.60% 46%
DNB Dun & Bradstreet Corp. 76.31 10.43% 12.72 6.00 1.40 1.83% 23%
T AT&T Inc. 25.93 11.82% 12.24 2.12 1.68 6.48% 79%
FRS Frisch's Restaurants, Inc. 22.35 12.26% 9.93 2.25 0.52 2.33% 23%
FFIN First Financial Bankshares 52.61 13.24% 20.39 2.58 1.36 2.59% 53%
BRO Brown & Brown, Inc. 18.59 13.91% 17.23 1.08 0.31 1.67% 29%
LLY Eli Lilly and Co. 36.54 14.08% 9.27 3.94 1.96 5.36% 50%
THFF First Financial Corp. 28.94 14.25% 16.73 1.73 0.90 3.11% 52%
WMT Wal-Mart Stores, Inc. 54.11 14.28% 14.62 3.70 1.21 2.24% 33%
PGN Progress Energy Inc. 38.70 15.52% 14.29 2.71 2.48 6.41% 92%
CWT California Water Service 38.73 15.65% 19.86 1.95 1.19 3.07% 61%
UMBF UMB Financial Corp. 42.09 15.82% 19.13 2.20 0.74 1.76% 34%
WEYS Weyco Group, Inc. 24.14 15.95% 21.75 1.11 0.60 2.49% 54%
SFNC Simmons First National Corp. 27.79 16.28% 15.97 1.74 0.76 2.73% 44%
HCC HCC Insurance Holdings, Inc. 26.93 16.99% 8.65 3.11 0.54 2.01% 17%
WTR Aqua America, Inc. 18.08 17.48% 23.57 0.77 0.58 3.21% 76%
AROW Arrow Financial Corp. 27.33 19.18% 13.73 1.99 1.00 3.66% 50%
NWN Northwest Natural Gas Co. 47.40 19.76% 16.75 2.83 1.66 3.50% 59%
SYBT S.Y. Bancorp, Inc. 23.73 19.85% 19.94 1.19 0.68 2.87% 57%
OTTR Otter Tail Corp. 22.34 19.91% 31.46 0.71 1.19 5.33% 168%
23 Companies

Watch List Summary
The best performing stock from last week's list was Shenandoah Telecom (SHEN) which rose 4.8%. The worst performing stock, once again, was Monsanto (MON) which fell another 6% (it fell 2.8% last week). Overall, the Dividend Achiever watch list gained 0.2% versus the Dow which was flat.

I revisited our watch list from three months ago (January 15, 2010) to see what result these companies produced. The average gain for the list was 13% compared to the Dow's gain of 3%. The biggest gainer was Southwest Bancorp (OKSB) which rose 92%. The worse performer was Exxon (XOM) which fell 1.7% and remains on our list. Although OKSB appeared to be speculative because of regional banking sector, we mentioned that we will include regional banks that have payout ratios of less than 50%. OKSB's payout ratio was 16%.
The key to this list isn't to provide a winner but collectively, we hope that it can be a starting point for you to research these companies and hopefully provide lower volatility, margin of safety and  provide marginally higher return than the general market.
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Dividend Achiever Watch List

Posted on April 9, 2010 by | Leave a comment
At the end of the week, our watch list contains 26 companies. Here is the watch list which ranks current and former Dividend Achievers that are within 20% of the 52-week low for April 9, 2010.

Symbol Name Price % Yr Low P/E EPS Div/Shr Yield Payout Ratio
MON Monsanto Co. 68.85 3.42% 24.78 2.78 1.06 1.54% 38%
DNB Dun & Bradstreet Corp. 74.49 7.80% 12.42 6.00 1.40 1.88% 23%
XOM Exxon Mobil Corp. 68.76 8.18% 17.28 3.98 1.68 2.44% 42%
TMP Tompkins Financial Corp. 37.55 8.38% 12.69 2.96 1.36 3.62% 46%
FPL FPL Group, Inc. 49.71 9.76% 12.53 3.97 2.00 4.02% 50%
WEYS Weyco Group, Inc. 23.31 11.96% 21.00 1.11 0.60 2.57% 54%
BRO Brown & Brown, Inc. 18.30 12.13% 16.94 1.08 0.31 1.69% 29%
FFIN First Financial Bankshares 52.82 13.69% 20.47 2.58 1.36 2.57% 53%
CWT California Water Service 38.08 13.71% 19.53 1.95 1.19 3.13% 61%
T AT&T Inc. 26.44 14.01% 12.48 2.12 1.68 6.35% 79%
LLY Eli Lilly and Co. 36.84 15.20% 9.35 3.94 1.96 5.32% 50%
SHEN Shenandoah Telecom 18.56 15.28% 29.00 0.64 0.32 1.72% 50%
THFF First Financial Corp. 29.24 15.44% 16.90 1.73 0.90 3.08% 52%
UMBF UMB Financial Corp. 42.15 15.99% 19.16 2.20 0.74 1.76% 34%
SFNC Simmons First National 27.74 16.07% 15.94 1.74 0.76 2.74% 44%
WMT Wal-Mart Stores, Inc. 55.07 16.30% 14.88 3.70 1.21 2.20% 33%
WTR Aqua America, Inc. 17.92 16.44% 23.27 0.77 0.58 3.24% 75%
AROW Arrow Financial Corp. 26.77 16.74% 13.45 1.99 1.00 3.74% 50%
PGN Progress Energy Inc. 39.17 16.93% 14.45 2.71 2.48 6.33% 92%
SYBT S.Y. Bancorp, Inc. 23.16 16.97% 19.46 1.19 0.68 2.94% 57%
OTTR Otter Tail Corp. 21.87 17.39% 30.80 0.71 1.19 5.44% 168%
NWN Northwest Natural Gas Co. 46.88 18.44% 16.57 2.83 1.66 3.54% 59%
MLM Martin Marietta Materials 87.51 18.61% 45.82 1.91 1.60 1.83% 84%
HCC HCC Insurance Holdings 27.31 18.64% 8.78 3.11 0.54 1.98% 17%
CTWS Connecticut Water Service 23.18 20.04% 19.48 1.19 0.91 3.93% 76%
SBSI Southside Bancshares, Inc. 20.99 20.70% 7.44 2.82 0.65 3.10% 23%
26 Companies

Watch List Summary 
The best performing stock from last week's list is American State Water (AWR) which rose 7.4%. The worst performing stock is Monsanto (MON) which fell 2.8%. Overall, the Dividend Achiever watch list gained 1% versus the Dow gained of 0.63%.


You may have noticed that this list is full of utility (Electricity, Gas, and Water) companies. Recently, a reader asked for our opinion on FPL Group (FPL). We replied under Research Request and urged anyone interested in investing in utilities carefully examine the sector. Although we are long California Water (CWT), we are not too excited about this sector due to the eventual rise in interest rates. Many people, myself included, may not remember the 70's (I wasn't even born yet) but our studies have shown that undervalue utilities became a bigger bargain when interest rate rose. Companies with dividend yields of 5% quickly became 10% as the price collapsed. The excerpt below was taken from my commentary on Seeking Alpha. 
Utilities got CRUSHED in the 70's when actual inflation came. Take a look at ED which traded at $5 at the end of 1974. Once year later the stock was just north of $2. It didn't reach $5 until end of 1977.AEP is another example. It closed 1974 at $26. It hit a low of $14 toward the end of 1975 and later closed the year at $18. It didn't get truly above $26 level until 1986.CNP is another name that got clobbered in 1973 to 1975.FPL didn't start trading until 1983 which saw the beginning of rate decline. The Fed Fund rate shot up to 12.9 in July 1974, came down and went back up to 14.94 in April 1982.Anyone interested in investing in Utilities, should study what really happen to cost of borrowing for these companies when rate rose.
- Art
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Dividend Achiever Watch List

Posted on April 2, 2010 by | Leave a comment
At the end of the week, our watch list contains 26 companies. Here is the watch list which ranks current and former Dividend Achievers that are within 20% of the 52-week low for April 1, 2010.
 
Symbol Name Price % Yr Low P/E EPS Div/Shr Yield Payout Ratio
TMP Tompkins Financial Corp. 36.52 5.41% 12.34 2.96 1.36 3.72% 46%
XOM Exxon Mobil Corp. 67.61 6.37% 16.99 3.98 1.68 2.48% 42%
MON Monsanto Company 70.83 6.40% 25.48 2.78 1.06 1.50% 38%
DNB Dun & Bradstreet Corp. 74.38 7.64% 12.40 6.00 1.40 1.88% 23%
FPL FPL Group, Inc. 48.84 7.84% 12.30 3.97 2.00 4.10% 50%
BRO Brown & Brown, Inc. 17.73 8.64% 16.42 1.08 0.31 1.75% 29%
UMBF UMB Financial Corp. 40.41 11.20% 18.37 2.20 0.74 1.83% 34%
T AT&T Inc. 26.11 12.59% 12.32 2.12 1.68 6.43% 79%
WEYS Weyco Group, Inc. 23.55 13.11% 21.22 1.11 0.60 2.55% 54%
FFIN First Financial Bankshares, Inc 51.93 13.16% 20.13 2.58 1.36 2.62% 53%
AWR American States Water 35.20 14.21% 21.73 1.62 1.04 2.95% 64%
CWT California Water Service 38.32 14.42% 19.65 1.95 1.19 3.11% 61%
WTR Aqua America, Inc. 17.63 14.55% 22.90 0.77 0.58 3.29% 75%
THFF First Financial Corp. 29.12 14.96% 16.83 1.73 0.90 3.09% 52%
SHEN Shenandoah Telecom 18.59 15.47% 29.05 0.64 0.32 1.72% 50%
SFNC Simmons First National Corp. 27.60 15.48% 15.86 1.74 0.76 2.75% 44%
SYBT S.Y. Bancorp, Inc. 22.88 15.56% 19.23 1.19 0.68 2.97% 57%
LLY Eli Lilly and Company 36.15 16.95% 9.18 3.94 1.96 5.42% 50%
MLM Martin Marietta Materials, Inc. 86.50 17.24% 45.29 1.91 1.60 1.85% 84%
LKFN Lakeland Financial Corp. 19.18 17.31% 15.22 1.26 0.62 3.23% 49%
PGN Progress Energy Inc. 39.74 18.63% 14.66 2.71 2.48 6.24% 92%
NWN Northwest Natural Gas 46.98 18.70% 16.60 2.83 1.66 3.53% 59%
OTTR Otter Tail Corp. 22.18 19.06% 31.24 0.71 1.19 5.37% 168%
PBI Pitney Bowes Inc. 24.45 19.97% 11.99 2.04 1.46 5.97% 72%
MGEE MGE Energy Inc. 35.45 20.50% 16.04 2.21 1.47 4.15% 67%
UGI UGI Corp. 26.72 20.85% 12.09 2.21 0.80 2.99% 36%
26 Companies


Watch List Summary 

The best performing stock from last week's list, is California Water Service (CWT) which rose 4.1%. The worst performing stock is Tompkins Financial Corp. (TMP) which fell 3.3%. Overall, the Dividend Achiever watch list gained 1.2% versus the Dow gained of 0.7%.

New addition to this list is Dun & Bradstreet (DNB) which is a former Dividend Achiever. DNB was removed from this list in 2000 after stopping the dividend payment. They reinstated dividend in March 2007 at $0.25 per share and have been raising that over the past three years. Current payout is at $0.35 which equate to annual increase of 12%. - Art

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Dividend Achiever Watch List

Posted on March 26, 2010 by | Leave a comment
At the end of the week, our watch list contains 27 companies. Here is the watch list which ranks Dividend Achievers that are within 20% of the 52-week low for March 26, 2010.

Symbol Name Price % Yr Low P/E EPS Div/Shr Yield Payout Ratio
XOM Exxon Mobil Corp. 66.54 4.69% 16.73 3.98 1.68 2.52% 42%
FPL FPL Group, Inc. 47.81 5.56% 12.04 3.97 2.00 4.18% 50%
MON Monsanto Company 71.10 6.80% 25.58 2.78 1.06 1.49% 38%
TMP Tompkins Financial Corp. 37.75 8.96% 14.03 2.69 1.36 3.60% 51%
BRO Brown & Brown, Inc. 17.81 9.13% 16.49 1.08 0.31 1.74% 29%
CWT California Water Service 36.81 9.91% 18.88 1.95 1.19 3.23% 61%
AWR American States Water 34.07 10.55% 21.03 1.62 1.04 3.05% 64%
WTR Aqua America, Inc. 17.20 11.76% 22.34 0.77 0.58 3.37% 75%
UMBF UMB Financial Corp. 40.69 11.97% 18.50 2.20 0.74 1.82% 34%
MLM Martin Marietta Materials, Inc. 83.37 13.00% 43.65 1.91 1.60 1.92% 84%
T AT&T Inc. 26.24 13.15% 12.39 2.12 1.68 6.40% 79%
WEYS Weyco Group, Inc. 23.60 13.35% 21.26 1.11 0.60 2.54% 54%
SYBT S.Y. Bancorp, Inc. 22.65 14.39% 16.29 1.39 0.68 3.00% 49%
SFNC Simmons First National Corp. 27.36 14.48% 15.72 1.74 0.76 2.78% 44%
LLY Eli Lilly and Co. 35.42 14.59% 8.99 3.94 1.96 5.53% 50%
LKFN Lakeland Financial Corp. 18.80 14.98% 14.92 1.26 0.62 3.30% 49%
FFIN First Financial Bankshares 51.99 16.05% 20.15 2.58 1.36 2.62% 53%
SHEN Shenandoah Telecom. 18.72 16.27% 29.25 0.64 0.32 1.71% 50%
THFF First Financial Corp. 29.55 16.66% 17.08 1.73 0.90 3.05% 52%
NWN Northwest Natural Gas 46.42 17.28% 16.40 2.83 1.66 3.58% 59%
MGEE MGE Energy Inc. 34.51 17.30% 15.62 2.21 1.47 4.26% 67%
PGN Progress Energy Inc. 39.31 17.34% 14.51 2.71 2.48 6.31% 92%
UGI UGI Corp. 26.08 17.96% 11.80 2.21 0.80 3.07% 36%
NTRS Northern Trust Corp. 55.35 18.47% 17.52 3.16 1.12 2.02% 35%
OTTR Otter Tail Corp. 22.12 18.73% 31.15 0.71 1.19 5.38% 168%
PBI Pitney Bowes Inc. 24.28 19.14% 11.90 2.04 1.46 6.01% 72%
WGL WGL Holdings Inc. 34.50 20.67% 15.33 2.25 1.51 4.38% 67%
27 Companies

Watch List Summary 

The best performing stock from last week's list, is Simmons First National (SFNC) which rose 1.2%. The worst performing stock is Martin Marietta Materials (MLM) which fell 4.6%. Overall, the Dividend Achiever watch list lost 1.2% versus the Dow gained of 1%.
Our team added two companies to our portfolio this week. AT&T (T) and Monsanto (MON) have ex-dividend dates approaching and we feel comfortable enough owning them at this level. In addition to those two, we currently have long position in Exxon (XOM) and California Water (CWT). - Art

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