April 2023 Dividend Stock Watch List

As I'm writing this blog post, it's already almost late March. But you wouldn't know it by the temperature here in Central Wisconsin. The high is expected to reach just 23 degrees Fahrenheit today (March 18, 2023).

With that in mind, now would be just as good of a time as any to look ahead to the next month. Let's dig into three dividend stocks on my watch list for April 2023.

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Dividend Stock #1: TJX Companies (TJX)

The first dividend stock on my watch list for April is TJX Companies (TJX). Readers seeking more detail on why I like the stock can check out my Motley Fool article from earlier this month.

In a nutshell, TJX offers income investors above-average starting income compared to the S&P 500 index. And with the company still opening tons of stores, double-digit earnings growth can also sustain similar dividend growth moving forward. Finally, the stock's current year price-to-earnings (P/E) ratio of 21.2 (at the current $74 share price as of March 18, 2023) isn't unreasonable for its quality.

Dividend Stock #2: Visa (V)

The next dividend stock on my watch list for next month is Visa (V). Anyone looking for my investment thesis on the stock can take a look at my Motley Fool article from February.

Basically, V is poised to be the biggest winner from the shift toward alternative payments. This is why double-digit earnings growth lies ahead for the company, which will power significant dividend growth. The stock's current year P/E ratio of 25.8 (at the current $217 share price as of March 18, 2023) is a sensible valuation.

Dividend Stock #3: Realty Income (O)

The third dividend stock on my watch list for April is Realty Income (O). Readers can check out my latest Motley Fool article on the stock here.

As dominant of a REIT as O is, the company has a lengthy growth runway remaining. This should lead to mid-single-digit annual AFFO per share growth in the future. Along with a generous dividend and rational valuation, this makes the stock a buy (at the current $62 share price).

Concluding Thoughts:

April 2023 will (hopefully) be another month of capital deployment in the $3,000 to $3,500 range. As usual, I'm grateful to have the opportunity to buy so many wonderful businesses each month.

Discussion:

Are any of TJX, V, or O on your watch list for next month?

If not, what stocks are on your radar for April?

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

February 2023 Dividend Income

As I'm writing this blog post (on Saturday, March 11), it is currently 31 degrees Fahrenheit here in Central Wisconsin. With that weather report aside, I will discuss my dividend income for last month. Let's dive into it!

Analysis:

During February 2023, I received $248.08 in net dividends. This works out to an 8.5% quarterly growth rate over the $228.67 in net dividends that I collected from my portfolio in November 2022.

My net dividends rocketed 58.7% higher year over year compared to the $156.30 in net dividends that I received in February 2022.

Breaking it down by account, I collected $233.23 in net dividends from 30 companies within my Robinhood account. I received $14.52 in net dividends from three companies in my Webull portfolio. Finally, I collected $0.33 in net dividends from 14 companies within my M1 Finance account.

The net dividends that I received from November 2022 to February 2023 surged higher by $19.41, which was the result of the following activity in my portfolios:

I collected an extra $3.44 in net distributions from Energy Transfer (ET) within my Robinhood and Webull accounts. This was due to the 15.1% hike in the quarterly distribution per unit back in January.

My net dividends received from Main Street Capital (MAIN) were $1.47 higher in my Robinhood portfolio, which was the result of a 2.3% increase in the monthly dividend per share last November and my purchase of another six shares in January.

I collected an additional $0.32 in net dividends from Alliant Energy (LNT) within my Robinhood account. This was due to the 5.8% payout boost announced in January.

My net dividends received from STAG Industrial (STAG) were $0.01 higher in my Robinhood portfolio, which was the result of a 0.7% raise in the monthly dividend declared in January.

I collected an extra $0.24 in net dividends from Abbott Laboratories (ABT) within my Robinhood account. That was due to the 8.5% hike in the quarterly dividend per share announced last December.

My net dividends received from AbbVie (ABBV) were $0.49 greater in my Robinhood portfolio, which was the result of a 5% bump in the quarterly dividend per share declared last October.

I collected an additional $1.00 in net dividends from Realty Income (O) within my Robinhood account. This was due to my purchase of four more shares last November and the 0.2% dividend increase announced last December.

My net distributions received from Enterprise Products Partners (EPD) were $0.53 higher in my Robinhood portfolio, which was the result of the increase in the quarterly distribution per unit in January.

I collected an extra $0.34 in net dividends from ONEOK (OKE) within my Robinhood account. That was due to a 2.1% increase in the dividend per share back in January.

My net dividends received from Mastercard (MA) were $0.24 greater in my Robinhood portfolio, which was the result of a 16.3% dividend raise announced last December.

I collected an additional $4.92 in net dividends from Medifast (MED) within my Robinhood account. That was due to my purchase of three more shares last October.

My net dividends received from British American Tobacco (BTI) were $0.91 higher in my Robinhood portfolio, which was the result of its variable dividend payments.

I collected an extra $4.68 in net dividends from American Tower (AMT) within my Robinhood account. This was due to the timing of the dividend payment.

My net dividends received from CVS Health were $0.39 greater in my Robinhood portfolio, which was the result of the 10% dividend boost announced last December.

I collected an additional $0.45 in net dividends from Bristol-Myers Squibb (BMY) within my Robinhood account. This was due to the 5.6% dividend increase declared last December.

My net dividends received from my M1 Finance portfolio were $0.02 lower, which was the result of an extra $0.01 from Hormel Foods (HRL) from its recent dividend raise and $0.03 less from Fastenal (FAST) stemming from the timing of its dividend payment.

Concluding Thoughts:

I fell just short of surpassing $250 in net dividends in February 2023. But this should be the final middle-of-the-month quarter that my net dividend income is below that threshold. I'm looking forward to the opportunity to deploy more capital and push my net dividends higher in the months and years ahead.

Discussion:

How was your dividend income for last month?

Did you receive any first-time dividend payments?

Thanks for reading. Please feel free to comment below!

February 2023 Dividend Stock Purchases

As I'm writing this blog post, it's early March. The temperature is expected to reach a high of 38 degrees Fahrenheit for today (Saturday, March 4). I'll certainly take that temperature!

With that being said, now is a good time to look back on the dividend stock purchases that I made last month. Let's dig in.

I began the month by purchasing one share of Alphabet (GOOGL) at a cost of $103.02. As I explained in a blog post last year, I was compelled to buy the stock for its enviable market share in digital advertising and its eventual dividend.

The next stock purchase that I made was a share of Amazon (AMZN) at a price of $106.27. I executed this transaction because AMZN is a dominant player in e-commerce, cloud computing, and digital advertising.

My first dividend stock purchase during the month was four shares of WEC Energy Group (WEC) at an average cost per share of $92.73. The rationale for this buy can be found in my February 2023 Dividend Stock Watch List post. Given the $12.48 in net annual forward dividends that were added from this transaction, that equates to a 3.36% net dividend yield.

The next dividend stock purchase that I completed last month was four shares of Digital Realty Trust (DLR) at an average cost of $109.98 a share. Interested readers can again refer to the aforementioned February 2023 Dividend Stock Watch List post for more details. This transaction boosted my net annual forward dividends by $19.52, which works out to a 4.44% dividend yield.

My third dividend stock purchase was nine shares of Pfizer (PFE) at an average price per share of $43.97. This was an alternative dividend stock purchase to Fastenal (FAST) because it was my opinion that the stock ran up too much since I highlighted it in my February 2023 Dividend Stock Watch List post. This activity added $14.76 to my net annual forward dividends, which is equivalent to a 3.73% net dividend yield.

The next dividend stock purchase that I executed in February was four shares of Automatic Data Processing (ADP) at an average cost of $225.12 a share. ADP is the leader of the human resources and payroll management software and services industry. As long as businesses remain in business, there will always be a need for ADP. Coupled with strong earnings and dividend growth prospects, that is the case for owning the stock. This transaction added $20.00 in net annual forward dividends to my portfolio, which equates to a 2.22% dividend yield.

My fifth and final dividend stock purchase that I completed last month was eight shares of CVS Health (CVS) at an average price per share of $85.20. Readers seeking my investment thesis can find it in this recent Motley Fool article. This activity increased my net annual forward dividends by $19.36, which works out to a 2.84% net dividend yield.

Concluding Thoughts:

I deployed $2,997.89 in capital during the month of February 2023. These dividend stock purchases added $86.12 to my portfolio's net annual forward dividends, which is equivalent to a 2.87% dividend yield.

Paired with $19.194 in additional net annual forward dividends from February dividend increases, my net annual forward dividends surged from not quite $3,480 heading into the month to almost $3,585 at the end of the month.

Discussion:

How did you do with capital deployment in February 2023?

Did you open any new positions during the month as I did with ADP?

Thanks for your readership and please leave your comments below!

Expected Dividend Increases for March 2023

As I'm writing this blog post, the end of February is already just four days away. The weather still seems to be reflecting this fact with the temperature reaching a high of 22 degrees Fahrenheit here in Central Wisconsin.

With that said, now would be a great time to look at the numerous payout hikes that I received during the month of February. I'll also look ahead to the seven raises that I'm anticipating will be announced in March.

Actual Dividend Increases for February 2023

Dividend Increase #1: Shell (SHEL)

Shell announced a 15% boost in its quarterly dividend per share to $0.575. My net annual forward dividends surged $2.70 higher across my nine shares of SHEL due to this dividend announcement.

Dividend Increase #2: BP plc (BP)

BP plc declared a 10.1% hike in its quarterly dividend per share to $0.3966. Across my 11 shares of BP, my net annual forward dividends increased by $1.58 from this dividend declaration.

Dividend Increase #3: T. Rowe Price Group (TROW)

T. Rowe Price Group announced a 1.7% bump in its quarterly dividend per share to $1.22. This came in just below my expectation of a 2.5% increase to $1.23. My net annual forward dividends edged $0.48 higher across my six shares of TROW due to this dividend announcement.

Dividend Increase #4: Prudential Financial (PRU)

Prudential Financial declared a 4.2% raise in its quarterly dividend per share to $1.25, which was in line with my projection. Across my 10 shares of PRU, my net annual forward dividends surged $2.00 from this dividend declaration.

Dividend Increase #5: Tractor Supply (TSCO)

Tractor Supply announced a 12% hike in its quarterly dividend per share to $1.03. My net annual forward dividends were boosted by $1.32 across my three shares of TSCO due to this dividend announcement.

Dividend Increase #6: PepsiCo (PEP)

PepsiCo declared a 10% raise in its quarterly dividend per share to $1.265. This was better than my prediction of a 7.8% increase in the quarterly dividend per share. Across my four shares of PEP, my net annual forward dividends were lifted by $1.84 from this dividend declaration.

Dividend Increase #7: Realty Income (O)

Realty Income announced a 2.4% increase in its monthly dividend per share to $0.2545. This was less than my forecast of a 3.8% raise in the monthly dividend per share. My net annual forward dividends rose by $1.224 across my 17 shares of O due to this dividend announcement.

Dividend Increase #8: Cisco (CSCO)

Cisco declared a 2.6% bump in its quarterly dividend per share to $0.39, which was what I expected. Across my 22 shares of CSCO, my net annual forward dividends increased by $0.88 from this dividend declaration.

Dividend Increase #9: Coca-Cola (KO)

Coca-Cola announced a 4.5% raise in its quarterly dividend per share to $0.46. That was precisely what I was anticipating.  My net annual forward dividends increased by $0.80 across my 10 shares of KO due to this dividend announcement.

Dividend Increase #10: NextEra Energy (NEE)

NextEra Energy declared a 10% hike in its quarterly dividend per share to $0.4675, which was better than the 8.2% raise that I was expecting. Across my nine shares of NEE, my net annual forward dividends were lifted higher by $1.53 from this dividend declaration.

Dividend Increase #11: Allstate (ALL)

Allstate announced a 4.7% increase in its quarterly dividend per share to $0.89. This was just ahead of my prediction of a 3.5% bump. My net annual forward dividends edged $0.80 higher across my five shares of ALL due to this dividend announcement.

Dividend Increase #12: Home Depot (HD)

Home Depot declared a 10% raise in its quarterly dividend per share to $2.13. This was well above my forecast of a 5.3% raise. Across my three shares of HD, my net annual forward dividends rose by $2.28 from this dividend declaration.

Dividend Increase #13: Genuine Parts Company (GPC)

Genuine Parts Company announced a 6.1% raise in its quarterly dividend per share to $0.95. This came in just above my expectation of a 5.6% increase. My net annual forward dividends surged $1.32 across my six shares of GPC due to this dividend announcement.

Dividend Increase #14: Albemarle (ALB)

Albemarle declared a 1.3% increase in its quarterly dividend per share, which was half of the 2.5% raise I was projecting. Across my six shares of ALB, my net annual forward dividends edged higher by $0.12 from this dividend declaration.

Dividend Increase #15: L3Harris Technologies (LHX)

L3Harris Technologies announced a 1.8% bump in its quarterly dividend per share to $1.14. This was less than the 7.1% hike that I was expecting. My net annual forward dividends increased by $0.32 across my four shares of LHX due to this dividend announcement.

Dividend Freeze #1: Medical Properties Trust (MPW)

Medical Properties Trust opted to keep its quarterly dividend per share at $0.29. I was expecting a raise to $0.30.

Dividend Freeze #2: Digital Realty Trust (DLR)

Digital Realty Trust made the decision to maintain its quarterly dividend per share at $1.22. I was expecting a raise to $1.28.

Expected Dividend Increases for March 2023

Expected Dividend Increase #1: Realty Income (O)

The first dividend raise that I'm expecting for next month will be from Realty Income. I believe that O will declare a 0.2% increase in its monthly dividend per share to $0.2550.

Across my 17 shares of O, my net annual forward dividends would edge $0.102 higher from such a dividend increase.

Expected Dividend Increase #2: W.P. Carey (WPC)

The next payout bump that I am forecasting in March is from W.P. Carey. My best guess is that WPC will announce a 0.4% increase in its quarterly dividend per share to $1.069.

My net annual forward dividends would rise by $0.112 across my seven shares of WPC due to such a payout raise.

Expected Dividend Increase #3: American Tower (AMT)

The third dividend increase that I'm expecting for next month will be from American Tower. I believe that AMT will declare a 1.3% bump in its quarterly dividend per share to $1.58.

Across my three shares of AMT, my net annual forward dividends would grow by $0.24 from such a dividend increase.

Expected Dividend Increase #4: Williams-Sonoma (WSM)

The next dividend hike that I am projecting in March is from Williams-Sonoma. My best guess is that WSM will announce a 6.4% increase in its quarterly dividend per share to $0.83.

If this plays out as expected, my net annual forward dividends will rise by $2.00 across my 10 shares of WSM.

Expected Dividend Increase #5: General Dynamics (GD)

The fifth dividend boost that I'm expecting for next month will be from General Dynamics. I believe that GD will declare a 7.1% increase in its quarterly dividend per share to $1.35.

Across my four shares of GD, my net annual forward dividends would grow by $1.44 from such a payout hike.

Expected Dividend Increase #6: Innovative Industrial Properties (IIPR)

The next dividend increase that I am anticipating for March is from Innovative Industrial Properties. My best guess is that IIPR will announce a 1.1% bump in its quarterly dividend per share to $1.82.

My net annual forward dividends would edge $0.24 higher across my six shares of IIPR from such a dividend announcement.

Expected Dividend Increase #7: Dollar General (DG)

The seventh and final dividend boost that I'm predicting for next month will be from Dollar General. I believe that DG will declare a 10.9% hike in its quarterly dividend per share to $0.61.

Across my three shares of DG, my net annual forward dividends would rise by $0.72 from such a declaration.

Concluding Thoughts:

My net annual forward dividends surged $19.194 higher from the 15 raises that I received in February. Invested at a 3.5% dividend yield, this would take $548.40 in fresh capital to replicate.

For the month of March, I am anticipating a $4.854 lift in net annual forward dividends stemming from dividend increases. That is equivalent to investing $138.69 of capital at a 3.5% yield.

Discussion:

How was your month for dividend hikes?

Did you receive any first-time raises as I did with TSCO and NEE?

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