March 2026 Stock Watch List

As I'm writing this blog post, it's currently Friday, February 13th. Despite the superstitions surrounding Friday the 13th, it seems lucky to me. The temperature here in Central Wisconsin is set to reach a high of 52 degrees Fahrenheit with sunshine as well. Needless to say, I will be getting outside today!

Now that I have likely completed all of my transactions for February 2026, I will be looking ahead to stocks on my watch list for the next month. Without further ado, let's jump into it!

Stock #1: Automatic Data Processing (ADP)

The first stock on my watch list for the month ahead is Automatic Data Processing (also my first pick in this series' previous blog post). Curious readers can peruse my investment thesis in this Seeking Alpha article from last month.

My investment thesis was once again validated a few weeks ago when ADP shared its fiscal second quarter earnings report. The company's revenue and adjusted diluted EPS grew at healthy clips again, surpassing the analyst consensus estimates by $21 million and $0.05, respectively. Overall, ADP remains positioned to deliver 8% to 10% annual adjusted diluted EPS growth over the medium term. The company also continues to sport an AA- S&P credit rating with a stable outlook. Its 3.2% dividend yield is comfortably backed up by adjusted diluted EPS and FCF generation. At the current $213 share price (as of February 13th, 2026), shares are priced at a forward 12-month P/E ratio of just 18.3. That's well below my fair value estimate of $313 (a fair value multiple of 27, which would still be less than the FAST Graphs 10-year average P/E ratio of 28.6).

Stock #2: Amazon.com (AMZN)

The next stock on my watch list for March 2026 is Amazon.com. Interested readers can find my investment thesis in this Seeking Alpha article from last November. This would be my first time adding to AMZN stock since last October.

Basically, I was encouraged by AMZN's AWS growth of 24% in Q4 2025. This was the strongest growth rate for the platform since 2022. Along with the booming ads business, this served as the rationale for AMZN to release a $200 billion forecast for 2026 capex. In the days following the earnings report, the market hasn't taken kindly to this capex bonanza.

However, I view this as a buying opportunity. The long-term growth thesis is intact, with the cloud computing, e-commerce retail, and digital advertising verticals set for outsized growth in the years ahead. AMZN's strength in each put it in a position where I believe that robust OCF per share growth can continue. Its balance sheet is rock-solid as well, with an AA S&P credit rating and a stable outlook.

Simultaneously, the stock is trading at a forward 12-month P/OCF ratio of just 11.5 from the current $199 share price. This is well below my fair value of $345 a share (a P/OCF ratio of 20, which would be moderately below the FAST Graphs 10-year average P/OCF ratio of 23.5).

Stock #3: Microsoft (MSFT)

The third stock on my watch list for next month is Microsoft. Like ADP, I'm also running MSFT back again for this series.

Macro concerns over accelerating hyperscaler capex have led this to sell off even further, currently sitting around $400 a share. That's equivalent to a forward 12-month P/E ratio of just above 22. This is substantially less than the FAST Graphs 10-year average P/E ratio of 29 and my fair value per share estimate of $525 (also a fair value multiple of 29).

Still, MSFT's growth outlook is exceptional, with the enterprise positioned for solidly double-digit percentage diluted EPS growth over the next few years. Cloud computing and enterprise software remain fast-growing markets to power this growth for the company. MSFT's 0.9% dividend yield is modest, but supported by a payout ratio in the low-20% range for FY 2026. That's why I remain confident the company will eventually become a Dividend Aristocrat. MSFT's also possesses the only AAA S&P credit rating among its Big Tech peers.

Bonus Stock #1: Intuit (INTU)

The next stock on my watch list for March 2026 is Intuit. Staying on the theme of high-quality software picks, Intuit is a new addition to my watch list for this month. Just like MSFT, INTU has seen a meaningful valuation reset to begin the calendar year.

At the current $399 share price, the stock trades at a forward 12-month P/E ratio just above 16. That's less than half of the FAST Graphs 10-year average P/E ratio of 37.6 and far under the 20-year average P/E ratio of 29.8 as well. Moving forward, I think that its double-digit earnings growth prospects and high free cash flow margins can support a fair value P/E ratio of 28 ($696 fair value per share estimate).

QuickBooks and TurboTax are basically the operating systems for both small businesses and consumers. To this point, the data from the early 2026 tax season has been positive. I'm confident that combined with INTU's AI-assisted filings, this will driver higher retention and average revenue per user to sustain its double-digit percentage non-GAAP diluted EPS growth. The company's balance sheet is also respectable, with an A S&P credit rating and a stable outlook.

Bonus Stock #2: Western Midstream Partners (WES)

Shifting gears from growth to income, my fifth and final pick for next month is Western Midstream Partners. Readers can find the gist of my investment thesis in my December Seeking Alpha article co-produced with Treading Softly.

Recently, WES renegotiated its contract with its largest customer and its largest unitholder, Occidental Petroleum. The shift to a simplified fee structure and improved capital structure has de-risked its cash flow profile. Thanks to its net leverage ratio of 3x, WES enjoys a BBB- S&P credit rating with a stable outlook.

Valuation wise, units could still have some upside left after a hot start to 2026 (up 10% YTD). From the current $43 unit price, the partnership is still trading at a forward 12-month P/OCF ratio of only 7.2. This is moderately below the FAST Graphs 11-year average P/OCF ratio of 8.5 (and our corresponding fair value per unit of $51). On top of this undervaluation, WES offers a well-covered 8.4% distribution yield as I await a further valuation multiple re-rating.

Concluding Thoughts:

There we have it. Five fantastic companies that I'm likely to buy soon. My tentative weighting will be as follows: 25% to WES, 20% to AMZN, 20% to INTU, 20% to MSFT, and 15% to ADP. That should keep me in the high-2% to low-3% net yield range that I target, while offering attractive overall value and growth potential. 

Discussion:

Are any of ADP, AMZN, INTU, MSFT, or WES on your watch list for next month?

If not, what stocks are you watching for March 2026?

Thank you for reading and I welcome your comments below!

January 2026 Dividend Income

As I'm writing this blog post, it's Friday, February 6th. The temperature here in Central Wisconsin is set to reach a high of 30 degrees Fahrenheit later today. For this time of year, that's pretty decent. As a result, I plan on getting outside a little bit.

With that aside, now that it's a new month, I will dig into my net dividend income for January 2026. Without further ado, I will jump into it!

Net Dividend Income Topped $300

In January 2026, I collected $302.24 in net dividends (including ADR fees for GSK). This was up 8.7% over the $278 in net dividends received in October 2025. As I have indicated in the past, quarterly growth for the first month of each quarter is often less than other months. That's because I own less names that pay dividends in these months, so there are often fewer buying opportunities.

Relative to the $268.05 in net dividends collected in January 2025, my net dividends rose by 12.8% in January 2026.

Within my Charles Schwab account, I received $238.94 in net dividends from 18 companies (up about $11 from October). The timing of dividend payments from Coca-Cola (KO) and Nvidia (NVDA) explains two less dividend payments versus October. On the other hand, the timing of PepsiCo's (PEP) dividend more than offset the absence of the aforementioned two. 

Extra shares of Philip Morris International (PM) purchased in October 2025 and December 2025 contributed to this higher dividend income. As did my new position in Royal Gold (RGLD) opened in November 2025.

In my Fidelity IRA portfolio, I collected $55.71 in net dividends from six companies. As was the case in my Schwab account, my higher net dividends in my Fidelity IRA were mostly due to the timing of dividends from NVDA and PEP. My purchase of additional shares of VICI in December 2025 also factored into my higher net dividend income.

Lastly, I received $7.59 in net dividends from two companies (PM and Altria Group) within my Webull account.

Concluding Thoughts:

The dividend growth portfolio is continuing to chug along. Since the first month of each quarter is slower for me for dividend growth, I'm relatively pleased with this performance. By God's grace, I hope to build on this momentum in the months and years ahead.

Discussion:

How was your January 2026 for dividend income?

Did you receive any first-time dividends in the month as I did with RGLD?

I appreciate your readership and look forward to your comments below!

January 2026 Dividend Stock Purchases

As I'm writing this blog post, it's currently Friday, January 30th. The temperature here in Central Wisconsin is set to reach a high of just 5 degrees Fahrenheit later today. For this time of year, that's relatively unpleasant.

Weather report aside, January 2026 is just about over. That means now is as good a time as any to discuss my dividend stock purchases completed during the month. Without further ado, let's dig into it!

Dividend Stock Purchase #1: Brookfield Asset Management (BAM)

The first dividend stock purchase that I made in January 2026 was another 15 shares of Brookfield Asset Management at an average share price of $52.26. Curious readers can peruse my investment thesis in my January 2026 Dividend Stock Watch List blog post. This upped my net annual forward dividends by $26.25, which equates to a 3.35% net dividend yield.

Dividend Stock Purchase #2: Mastercard (MA)

I also purchased an additional share of Mastercard during the month at a cost of $584.74. Interested readers can find my investment thesis in the blog post that I linked to above. My net annual forward dividends grew by $3.48, which works out to a 0.60% net dividend yield.

Dividend Stock Purchase #3: Microsoft (MSFT)

The next dividend stock purchase that I completed in January 2026 was two more shares of Microsoft at an average price of $478.08 a share. Once again, readers can check out my investment thesis in the January 2026 Dividend Stock Watch List blog post that I linked to earlier. I added $7.28 in net annual forward dividends, which is equivalent to a 0.76% net dividend yield.

Dividend Stock Purchase #4: VICI Properties (VICI)

Another dividend stock purchase that I executed during the month was another 31 shares of VICI Properties at an average cost per share of $27.97. Once more, intrigued readers can read my investment thesis in the January 2026 Dividend Stock Watch List blog post that I linked to above. The $55.80 lift to my net annual forward dividends equates to a 6.43% net dividend yield.

Bonus Dividend Stock Purchase: Visa (V)

The one bonus dividend stock purchase that I completed in January 2026 was an extra share of Visa at a price of $326.50. Basically, the market was spooked by the potential for President Donald Trump to cap interest rates for one year at 10%. This was further exacerbated by the possibility of the Credit Card Competition Act's passage. Overall, I believe that just like Mastercard, Visa can overcome these headwinds if they do materialize. The $2.68 in net annual forward dividends added by this transaction works out to a 0.82% net dividend yield.

Concluding Thoughts:

In January, I put $3,518.53 to work. My purchases during the month lifted my net annual forward dividends by $95.49, which is equivalent to a 2.71% weighted average dividend yield.

Dividend increases announced in January 2026 helped raise my net annual forward dividends by $28.39. This pushed my net annual forward dividends from around $6,740 at the start of the month to about $6,885 heading into February 2026. This puts me in a good position to breach $7,000 in net annual forward dividends next month.

Discussion:

How was your January 2026 for capital deployment?

Did you open any new position(s) during the month?

Thanks for reading and please feel free to comment below!

Expected Dividend Increases for February 2026

As I'm writing this blog post, it's currently Friday, January 23rd. The temperature here in Central Wisconsin is expected to reach a high of just 7 degrees Fahrenheit later today. So, needless today, I don't plan on spending more than a few minutes outside today!

With that aside, I'm going to be outlining the dividend raises that I have received this month (and raises that are still pending, which I will update as they are announced). I'll also preview the payout boosts that I expect for February 2026. Let's jump into it!

Actual Dividend Increases for January 2026

Dividend Increase #1: BlackRock (BLK)

BlackRock came up big for me, announcing a 10% hike in its quarterly dividend per share to $5.73. This was better than the 7.7% raise to $5.61 that I anticipated in this series' previous blog post.

Across my two shares of BLK, my net annual forward dividends grew by $4.16 from this dividend announcement.

Distribution Increase #2: Enterprise Products Partners (EPD)

Enterprise Products Partners declared a 0.9% increase in its quarterly distribution per unit to $0.55. That came up short of the 2.8% raise to $0.56 that I was predicting.

My net annual forward distributions rose by $5.50 across my 275 units due to this distribution declaration.

Dividend Increase #3: Alliant Energy (LNT)

Alliant Energy made its 5.4% raise in its quarterly dividend per share to $0.535 official. Across my 13 shares of LNT, my net annual forward dividends edged $1.43 higher from this dividend announcement.

Dividend Increase #4: L3Harris Technologies (LHX)

L3Harris Technologies upped its quarterly dividend per share by 4.2% to $1.25 (this was one penny below my forecast). Across my four shares of LHX, my net annual forward dividends grew by $0.80.

Surprise Dividend Increase: Verizon Communications (VZ)

Following its Q4 earnings, Verizon Communications pulled forward its dividend increase. The company upped its quarterly dividend per share by 2.5% to $0.7075. Across my 45 shares, my net annual forward dividends grew by $3.15.

Pending Dividend Increase #1: Air Products & Chemicals (APD)

Air Products & Chemicals has yet to up its quarterly dividend per share. However, I believe that APD will declare a 2.2% increase in its quarterly dividend per share to $1.83.

My net annual forward dividends would inch $0.80 higher across my five shares of APD from such a dividend declaration.

UPDATE: APD declared a 1.1% increase in its quarterly dividend per share to $1.81. This helped my net annual forward dividends to edge $0.40 higher across my five shares.

Pending Dividend Increase #2: Comcast (CMCSA)

Comcast also hasn't announced its next quarterly dividend per share. Still, I think that CMCSA will announce a 6.1% raise in its quarterly dividend per share to $0.35.

Across my 39 shares of CMCSA, my net annual forward dividends would grow by $3.12 due to such a dividend announcement.

UPDATE: Given the spinoff of Versant Media Group (VSNT), CMCSA elected to keep its quarterly dividend per share at $0.33.

Pending Distribution Increase #3: Energy Transfer (ET)

Energy Transfer has yet to declare its next quarterly distribution per unit. I'm sticking with my forecast that ET will declare a 0.8% bump in its quarterly distribution per unit to $0.3350.

My net annual forward distributions would rise by $2.07 across my 207 units of ET from such a distribution declaration.

UPDATE: As expected, ET declared a 0.8% increase in its quarterly distribution per unit to $0.3350. This lifted my net annual forward distributions by $2.07.

Pending Dividend Increase #4: ONEOK (OKE)

Recently, I realized that I forgot to include ONEOK in the prior post of this series. I believe that OKE will announce a 3.9% raise in its quarterly dividend per share to $1.07.

Across my 68 shares of OKE, my net annual forward dividends would surge $10.88 higher due to such a dividend announcement.

UPDATE: As expected, OKE upped its quarterly dividend per share by 3.9% to $1.07. This boosted my net annual forward dividends by $10.88.

Expected Dividend Increases for February 2026

Expected Dividend Increase #1: Allstate (ALL)

The first dividend hike that I'm expecting for next month will be from Allstate. My best guess is that ALL will declare an 8% hike in its quarterly dividend per share to $1.08.

My net annual forward dividends would grow by $1.60 across my five shares of ALL from such a dividend declaration.

Expected Dividend Increase #2: Brookfield Asset Management (BAM)

The next payout boost that I am predicting for February 2026 will come from Brookfield Asset Management. My guess is that BAM will announce a 14.3% hike in its quarterly dividend per share to $0.50.

Across my 63 shares of BAM, my net annual forward dividends would soar by $15.75 due to such a dividend announcement.

Expected Dividend Increase #3: Equinix (EQIX)

The third dividend hike that I'm anticipating for next month will be from Equinix. I believe that EQIX will declare an 8.1% lift in its quarterly dividend per share to $5.07.

My net annual forward dividends would rise by $4.56 across my three shares of EQIX from such a dividend declaration.

Expected Dividend Increase #4: The Home Depot (HD)

The next dividend raise that I am expecting for February 2026 will come from The Home Depot. My best guess is that HD will announce a 4.3% increase in its quarterly dividend per share to $2.40.

Across my five shares of HD, my net annual forward dividends would grow by $2 due to such a dividend announcement.

Expected Dividend Increase #5: Coca-Cola (KO)

The fifth dividend increase that I'm predicting for next month will be from Coca-Cola. My guess is that KO will declare a 4.9% raise in its quarterly dividend per share to $0.535.

My net annual forward dividends would be lifted by $1 across my 10 shares of KO from such a dividend declaration.

Expected Dividend Increase #6: British American Tobacco (BTI)

The next dividend raise that I am anticipating for February 2026 will come from British American Tobacco (originally, I had LHX here. I put BTI in out of order because I realized I forgot about it and this will be a placeholder for LHX, so I don't have to completely reformat much of this blog post).

I believe that BTI will announce a 3.6% increase in its quarterly dividend per share from 0.6006 GBP to 0.6222 GBP. At the current exchange rate, this would boost my net annual forward dividends by $16.628 across my 141 shares due to such a dividend announcement.

Expected Dividend Increase #7: Meta Platforms (META)

The seventh dividend increase that I'm expecting for next month will be from Meta Platforms. My best guess is that META will declare an 8.6% boost in its quarterly dividend per share to $0.57.

My net annual forward dividends would rise by $1.08 across my six shares of META from such a dividend declaration.

Expected Dividend Increase #8: NextEra Energy (NEE)

The next dividend raise that I am predicting for February 2026 will come from NextEra Energy. My guess is that NEE will announce a 10% hike in its quarterly dividend per share to $0.623.

Across my 48 shares of NEE, my net annual forward dividends would surge $10.848 higher due to such a dividend announcement.

Expected Dividend Increase #9: Realty Income (O)

The ninth dividend bump that I'm anticipating for next month will be from Realty Income. I believe that O will declare a 1.9% increase in its monthly dividend per share to $0.275.

My net annual forward dividends would grow by $9.18 across my 153 shares of O from such a dividend declaration.

Expected Dividend Increase #10: PepsiCo (PEP)

The next dividend raise that I am expecting for February 2026 will come from PepsiCo. My best guess is that PEP will announce a 4.9% bump in its quarterly dividend per share to $1.4925.

Across my 24 shares of PEP, my net annual forward dividends would rise by $6.72 due to such a dividend announcement.

Expected Dividend Increase #11: Prudential Financial (PRU)

The eleventh dividend increase that I'm predicting for next month will be from Prudential Financial. My guess is that PRU will declare a 3.7% raise in its quarterly dividend per share to $1.40.

My net annual forward dividends would grow by $2 across my 10 shares of PRU from such a dividend declaration.

Expected Dividend Increase #12: Rexford Industrial Realty (REXR)

The next dividend raise that I am anticipating for February 2026 will come from Rexford Industrial Realty. I believe that REXR will announce a 2.9% increase in its quarterly dividend per share to $0.4425.

Across my 30 shares of REXR, my net annual forward dividends would edge $1.50 higher due to such a dividend announcement.

Expected Dividend Increase #13: TJX Companies (TJX)

The thirteenth dividend hike that I'm expecting for next month will be from TJX Companies. My best guess is that TJX will declare a 9.4% boost in its quarterly dividend per share to $0.465.

Across my 11 shares of TJX, my net annual forward dividends would grow by $1.76 from such a dividend declaration.

Expected Dividend Increase #14: T. Rowe Price Group (TROW)

The next dividend increase that I am predicting for February 2026 will come from T. Rowe Price Group. My guess is that TROW will announce a 3.1% raise in its quarterly dividend per share to $1.31.

My net annual forward dividends would inch $0.96 higher across my six shares of TROW due to such a dividend announcement.

Expected Dividend Increase #15: Tractor Supply (TSCO)

The fifteenth dividend boost that I'm anticipating for next month will be from Tractor Supply. I believe that TSCO will declare an 8.7% lift in its quarterly dividend per share to $0.25.

Across my 25 shares of TSCO, my net annual forward dividends would grow by $2 from such a dividend declaration.

Concluding Thoughts:

My net annual forward dividends rose by $28.39 in January 2026 (including the LHX and VZ raises). That would be equivalent to investing $946.33 at a 3% net dividend yield.

If my 15 raises that I'm predicting for February 2026 materialize, my net annual forward dividends would rocket $77.586 higher. This would be like investing $2,586.20 at a 3% net dividend yield.

Discussion:

How was your January 2026 for dividend boosts?

Are you expecting any first-time payout hikes in your portfolio next month as I am with EQIX?

I appreciate your readership and look forward to your comments below!