2022 Dividend Aristocrats Record | Up to date Each day

Article up to date on September eighth, 2022 by Bob CiuraSpreadsheet knowledge up to date day by day

The Dividend Aristocrats are a choose group of 65 S&P 500 shares with 25+ years of consecutive dividend will increase.

They’re the ‘better of the very best’ dividend progress shares. The Dividend Aristocrats have an extended historical past of outperforming the market.

The necessities to be a Dividend Aristocrat are:

Be within the S&P 500
Have 25+ consecutive years of dividend will increase
Meet sure minimal dimension & liquidity necessities

There are at the moment 65 Dividend Aristocrats. You’ll be able to obtain an Excel spreadsheet of all 65 (with metrics that matter equivalent to dividend yields and price-to-earnings ratios) by clicking the hyperlink under:

 

Notice: On January twenty fourth, 2022 Brown & Brown (BRO) and Church & Dwight (CHD) had been added to the Dividend Aristocrats Index, whereas AT&T (T) was eliminated. Additionally, Folks’s United (PBCT) was acquired, leaving 65 Dividend Aristocrats.

Supply: S&P Information Releases.

You’ll be able to see detailed evaluation on all 65 additional under on this article, in our Dividend Aristocrats In Focus Collection. Evaluation contains valuation, progress, and aggressive benefit(s).

Desk of Contents

The way to Use The Dividend Aristocrats Record To Discover Dividend Funding Concepts

The downloadable Dividend Aristocrats Excel Spreadsheet Record above incorporates the next for every inventory within the index:

Worth-to-earnings ratio
Dividend yield
Market capitalization

All Dividend Aristocrats are high-quality companies based mostly on their lengthy dividend histories. An organization can’t pay rising dividends for 25+ years with out having a robust and sturdy aggressive benefit.

However not all Dividend Aristocrats make equally good investments at this time. That’s the place the spreadsheet on this article comes into play. You need to use the Dividend Aristocrats spreadsheet to shortly discover high quality dividend funding concepts.

The checklist of all 65 Dividend Aristocrats is effective as a result of it provides you a concise checklist of all S&P 500 shares with 25+ consecutive years of dividend will increase (that additionally meet sure minimal dimension and liquidity necessities).

These are companies which have each the will and skill to pay shareholders rising dividends year-after-year. It is a uncommon mixture.

Collectively, these two standards are highly effective – however they aren’t sufficient. Worth have to be thought of as properly.

The spreadsheet above lets you kind by trailing price-to-earnings ratio so you’ll be able to shortly discover undervalued, high-quality dividend shares.

Right here’s the best way to use the Dividend Aristocrats checklist to shortly discover high-quality dividend progress shares probably buying and selling at a reduction:

Obtain the checklist
Kind by ‘Trailing PE Ratio,’ smallest to largest
Analysis the highest shares additional

Right here’s how to do that shortly within the spreadsheet:

Step 1: Obtain the checklist, and open it.

Step 2: Apply a filter perform to every column within the spreadsheet.

Step 3: Click on on the small grey down arrow subsequent to ‘Trailing P/E Ratio’, after which kind smallest to largest.

Step 4: Overview the very best ranked Dividend Aristocrats earlier than investing. You’ll be able to see detailed evaluation on each Dividend Aristocrat discovered under on this article.

That’s it; you’ll be able to comply with the identical process to kind by every other metric within the spreadsheet.

This text examines the traits and efficiency of the Dividend Aristocrats intimately. Click on right here for a desk of contents for simple navigation of this text.

Efficiency Of The Dividend Aristocrats

In August 2022, the Dividend Aristocrats, as measured by the Dividend Aristocrats ETF (NOBL), registered a unfavourable 2.9%% return. It outperformed the SPDR S&P 500 ETF (SPY) for the month.

NOBL generated unfavourable whole returns of two.9% in August 2022
SPY generated unfavourable whole returns of three.8% in August 2022

Quick-term efficiency is generally noise. Efficiency must be measured over a minimal of three years, and ideally longer durations of time.

The Dividend Aristocrats Index has matched the efficiency of the broader market index over the past decade, with a 13.0% whole annual return for the Dividend Aristocrats and for the S&P 500 Index.

The Dividend Aristocrats have exhibited decrease danger than the benchmark, as measured by customary deviation.

Supply: S&P Reality Sheet

Greater whole returns with decrease volatility is the ‘holy grail’ of investing. It’s price exploring the traits of the Dividend Aristocrats intimately to find out why they’ve carried out so properly.

Notice {that a} good portion of the outperformance relative to the S&P 500 comes throughout recessions (2000 – 2002, 2008). Dividend Aristocrats have traditionally seen smaller drawdowns throughout recessions versus the S&P 500. This makes holding by means of recessions that a lot simpler. Case-in-point: In 2008 the Dividend Aristocrats Index declined 22%. That very same 12 months, the S&P 500 declined 38%.

Nice companies with sturdy aggressive benefits have a tendency to have the ability to generate stronger money flows throughout recessions. This enables them to realize market share whereas weaker companies combat to remain alive.

The Dividend Aristocrats Index has crushed the market over the past 28 years…

We consider dividend paying shares outperform non-dividend paying shares for 3 causes:

An organization that pays dividends is more likely to be producing earnings or money flows in order that it may pay dividends to shareholders. This excludes ‘pre-earnings’ start-ups and failing companies. Briefly, it excludes the riskiest shares.
A enterprise that pays constant dividends have to be extra selective with the expansion tasks it takes on as a result of a portion of its money flows are being paid out as dividends. Scrutinizing over capital allocation selections probably provides to shareholder worth.
Shares that pay dividends are keen to reward shareholders with money funds. It is a signal that administration is shareholder pleasant.

In our view, Dividend Aristocrats have traditionally outperformed the market and different dividend paying shares as a result of they’re, on common, higher-quality companies.

A high-quality enterprise ought to outperform a mediocre enterprise over an extended time frame, all different issues being equal.

For a enterprise to extend its dividends for 25+ consecutive years, it should have or at the least had within the very current previous a robust aggressive benefit.

Sector Overview

A sector breakdown of the Dividend Aristocrats Index is proven under:

The highest 2 sectors by weight within the Dividend Aristocrats are Industrials and Shopper Staples. The Dividend Aristocrats Index is tilted towards Shopper Staples and Industrials relative to the S&P 500.

These 2 sectors make up ~40% of the Dividend Aristocrats Index, however lower than 20% of the S&P 500.

The Dividend Aristocrats Index can be considerably underweight the Data Expertise sector, with a 3% allocation in contrast with over 20% allocation inside the S&P 500.

The Dividend Aristocrat Index is stuffed with secure ‘outdated economic system’ blue chip shopper merchandise companies and producers; the 3M’s (MMM), Coca-Cola’s (KO), and Johnson & Johnson’s (JNJ) of the investing world.

These ‘boring’ companies aren’t more likely to generate 20%+ earnings-per-share progress, however in addition they are most unlikely to see giant earnings drawdowns as properly.

The High 7 Dividend Aristocrats Now

Evaluation on our high 7 Dividend Aristocrats is under. These rankings are based mostly on 5 12 months ahead anticipated whole return estimates from the Certain Evaluation Analysis Database.

 

Dividend Aristocrat #7: Stanley Black & Decker (SWK)

5-year Anticipated Annual Returns: 12.0%

Stanley Black & Decker is a world chief in energy instruments, hand instruments, and associated objects. The corporate holds the highest world place in instruments and storage gross sales. Stanley Black & Decker is second in the world within the areas of business digital safety and engineered fastening.

On July twentieth, 2022, Stanley Black & Decker introduced it was elevating its quarterly dividend 1.3% to $0.80, extending the corporate’s dividend progress streak to 55 consecutive years.

Within the 2022 second quarter, income grew 15.5% to $4.4 billion, however was $350 million lower than anticipated. Adjusted earnings-per-share of $1.77 in contrast unfavorably to $3.08 within the prior 12 months and was $0.36 under estimates. Natural progress declined 6%. Gross sales for Instruments & Out of doors, the most important section inside the firm, skilled an natural decline of 9% as a 7% profit from pricing was greater than offset by a decline in quantity.

The corporate additionally introduced a value discount program that’s anticipated to scale back bills by $1 billion by the top of 2023 and by $2 billion inside three years.

Stanley Black & Decker supplied revised steering for 2022. On account of inflationary pressures and decrease demand, the corporate now expects adjusted earnings-per-share in a spread of $5.00 to $6.00, down from $9.50 to $10.50 and $12.00 to $12.50 beforehand.

Click on right here to obtain our most up-to-date Certain Evaluation report on SWK (preview of web page 1 of three proven under):

Dividend Aristocrat #6: Lowe’s Corporations (LOW)

5-year Anticipated Annual Returns: 13.3%

Lowe’s Corporations is the second-largest residence enchancment retailer within the US (after House Depot). Lowe’s operates or services greater than 2,200 residence enchancment and {hardware} shops within the U.S. and Canada.

In August, the corporate reported quarterly monetary outcomes. Income of $27.48 billion declined 0.3% year-over-year, and missed estimates by $680 million. Comparable gross sales fell 0.3%, whereas U.S. comparable gross sales elevated 0.2%. Throughout the quarter, the corporate repurchased roughly 21.6 million shares for $4.0 billion, and it paid $524 million in dividends.

The corporate supplied a fiscal 2022 outlook and believes they will obtain diluted EPS within the vary of $13.10 to $13.60 on whole gross sales of roughly $98 billion. Lowe’s expects to repurchase $12 billion price of widespread shares in 2022.

The mix of a number of growth, 6% anticipated EPS progress and the two.1% dividend yield result in whole anticipated returns of 13.3% per 12 months.

Click on right here to obtain our most up-to-date Certain Evaluation report on Lowe’s (preview of web page 1 of three proven under):

Dividend Aristocrat #5: Albemarle Company (ALB)

5-year Anticipated Annual Returns: 14.4%

Albemarle is the most important producer of lithium and second largest producer of bromine on this planet. The 2 merchandise account for almost two-thirds of annual gross sales. Albemarle produces lithium from its salt brine deposits within the U.S. and Chile. The corporate has two joint ventures in Australia that additionally produce lithium. Albemarle’s Chile property provide a really low-cost supply of lithium.

The corporate operates in almost 100 nations and consists of 4 segments: Lithium & Superior Supplies (49% of gross sales), Bromine Specialties (21% of gross sales), Catalysts (21% of gross sales) and Different (9% of gross sales). Albemarle produces annual gross sales of greater than $7.5 billion.

Supply: Investor Presentation

On August third, 2022, Albemarle launched second quarter outcomes for the interval ending June thirtieth, 2022. Income grew 91.2% to $1.48 billion and had been in-line with estimates. Adjusted earnings-per-share of $3.45 in contrast very favorably to $0.89 within the prior 12 months and was $0.20 above estimates. Income for Lithium surged 178% to $891.5 million, because of a 160% enchancment in pricing and a 18% improve in quantity because of greater buyer demand. The corporate expects quantity progress to be 20% to 30% for the 12 months.

Revenues for Bromine Specialties grew 35% to $377.8 million as pricing added 31% and quantity improved 4%. Catalysts grew 41.8% to $210.3 million, largely because of a rise in quantity. The corporate is conducting a strategic overview of this section.

Albemarle supplied an outlook for 2022 as properly, with the corporate anticipating income of income of $7.1 billion to $7.5 billion, up from $5.2 billion to $5.6 billion and $4.2 billion to $4.5 billion beforehand. Adjusted earnings-per-share are actually projected to be in a spread of $19.25 to $22.25, up from $12.30 to $15.00 and $5.65 to $6.65 beforehand.

We anticipate 7.5% annual EPS progress by means of 2027. As well as, the inventory has a present dividend yield of 0.6%. Lastly, the inventory is undervalued. Whole returns are estimated at 14.4% per 12 months over the following 5 years.

Click on right here to obtain our most up-to-date Certain Evaluation report on Albemarle (preview of web page 1 of three proven under):

Dividend Aristocrat #4: Pentair (PNR)

5-year Anticipated Annual Returns: 14.6%

Pentair operates as a pure–play water options firm with 3 segments: Aquatic Programs, Filtration Options, and Stream Applied sciences. Pentair was based in 1966. Pentair has elevated its dividend for greater than 4 a long time in a row, when adjusted for spin–offs.

Pentair reported its second quarter earnings outcomes on July 26. The corporate was capable of generate revenues of $1.02 billion throughout the quarter, which was 8% greater than the corporate’s revenues throughout the earlier 12 months’s quarter, a end result that missed estimates barely.

Supply: Investor Presentation

Core gross sales, which excludes the affect of forex charge actions, acquisitions, and dispossessions, had been up 12% 12 months over 12 months, which was on par with the income progress charge throughout the earlier quarter, and which displays wholesome enterprise progress momentum.

Pentair recorded earnings-per-share of $1.02 for the second quarter, which was up by a compelling 21% 12 months over 12 months. Pentair’s earnings-per-share beat the analyst consensus by $0.02. Pentair reiterated its steering for the present 12 months throughout the earnings report.

For fiscal 2022, Pentair is forecasting earnings-per-share in a spread of $3.70 to $3.75, which signifies stable earnings-per-share progress of round 12% in comparison with the $3.32 the corporate earned in 2021. 2022 may even be a brand new file 12 months for the corporate, adjusted for the nVent spinoff, in line with administration.

Whole returns are anticipated to succeed in 14.6% over the following 5 years.

Click on right here to obtain our most up-to-date Certain Evaluation report on Pentair (preview of web page 1 of three proven under):

Dividend Aristocrat #3: Walgreens Boots Alliance (WBA)

5-year Anticipated Annual Returns: 15.4%

Walgreens Boots Alliance is the most important retail pharmacy in each the US and Europe. By way of its flagship Walgreens enterprise and different business ventures, the firm employs extra than 325,000 folks and has greater than 13,000 shops.

On June thirtieth, 2022, Walgreens reported Q3 outcomes for the interval ending Might thirty first, 2022. Gross sales from persevering with operations dipped -4% and adjusted earnings-per-share decreased -30% over the prior 12 months’s quarter, from $1.37 to $0.96, largely because of peak COVID-19 vaccinations within the prior 12 months’s interval.

Supply: Investor Presentation

Earnings-per-share exceeded analysts’ consensus by $0.03. The corporate has crushed analysts’ estimates for 8 consecutive quarters.

Walgreens reiterated its steering for low-single digit progress of its annual earnings-per-share.

We anticipate 3% annual EPS progress over the following 5 years. As well as, the inventory has a 5.3% dividend yield. We additionally view the inventory as undervalued, resulting in whole anticipated returns of 15.4% per 12 months.

Click on right here to obtain our most up-to-date Certain Evaluation report on Walgreens (preview of web page 1 of three proven under):

Dividend Aristocrat #2: V.F. Company (VFC)

5-year Anticipated Annual Returns: 17.3%

V.F. Company is without doubt one of the world’s largest attire, footwear and equipment firms. The corporate’s manufacturers embody The North Face, Vans, Timberland and Dickies. The corporate, which has been in existence since 1899, generated over $11 billion in gross sales within the final 12 months.

In late July, V.F. Corp reported (7/28/22) monetary outcomes for the fiscal 2023 first quarter. Income of $2.26 billion rose 3.2% 12 months over 12 months and beat analyst estimates by $20 million. The North Face model led the best way with 37% currency-neutral income progress within the quarter.

Nevertheless, inflation took its toll on margins and earnings. Gross margin of 53.9% for the quarter declined 260 foundation factors, whereas working margin of two.8% declined 640 foundation factors. In consequence, adjusted EPS declined 68% to $0.09 per share.

Adjusted earnings-per-share grew 67%, from $0.27 to $0.45, however missed analysts’ consensus by $0.02. For the brand new fiscal 12 months, V.F. Corp expects income progress of at the least 7% and adjusted earnings-per-share of $3.30 to $3.40.

We anticipate 7% annual EPS progress over the following 5 years. VFC inventory additionally has a dividend yield of 4.7%. Annual returns from an increasing P/E a number of are estimated at ~5.6%, equaling whole anticipated annual returns of 17.3% by means of 2027.

Click on right here to obtain our most up-to-date Certain Evaluation report on V.F. Corp. (preview of web page 1 of three proven under):

Dividend Aristocrat #1: 3M Firm (MMM)

5-year Anticipated Annual Returns: 18.9%

3M sells greater than 60,000 merchandise which might be used daily in houses, hospitals, workplace buildings and colleges across the world. It has about 95,000 staff and serves clients in additional than 200 nations.

3M is now composed of 4 separate divisions. The Security & Industrial division produces tapes, abrasives, adhesives and provide chain administration software program in addition to manufactures private protecting gear and safety merchandise.

The Healthcare section provides medical and surgical merchandise in addition to drug supply techniques. Transportation & Digitals division produces fibers and circuits with a objective of utilizing renewable vitality sources whereas lowering prices. The Shopper division sells workplace provides, residence enchancment merchandise, protecting supplies and stationary provides.

Supply: Investor Presentation

On July twenty sixth, 2022, 3M reported second quarter earnings outcomes for the interval ending June thirtieth, 2022. Income decreased 2.8% to $8.7 billion, however was in-line with expectations. Adjusted earnings-per-share of $2.48 in comparison with $2.59 within the prior 12 months, however was $0.04 above estimates. Natural progress for the quarter was 1% as a stronger U.S. greenback weighed.

The corporate additionally introduced that it could be spinning off its Well being Care section right into a standalone entity, which might have had $8.6 billion of income in 2021. The transaction is predicted to shut by the top of 2023.

3M supplied an up to date outlook for 2022, with the corporate now anticipating adjusted earnings-per-share of $10.30 to $10.80 for the 12 months, down from $10.75 to $11.25 beforehand.

Click on right here to obtain our most up-to-date Certain Evaluation report on 3M (preview of web page 1 of three proven under):

The Dividend Aristocrats In Focus Evaluation Collection

You’ll be able to see evaluation on each single Dividend Aristocrat under. Every is sorted by GICS sectors and listed in alphabetical order by title. The most recent Certain Evaluation Analysis Database report for every safety is included as properly.

Shopper Staples

Industrials

Well being Care

Shopper Discretionary

Financials

Supplies

Power

Data Expertise

Actual Property

Utilities

In search of no-fee DRIP Dividend Aristocrats? Click on right here to learn an article analyzing all 15 no-fee DRIP Dividend Aristocrats intimately.

Historic Dividend Aristocrats Record(1989 – 2022)

The picture under reveals the historical past of the Dividend Aristocrats Index from 1989 by means of 2022:

Notice: CL, GPC, and NUE had been all eliminated and re-added to the Dividend Aristocrats Index by means of the historic interval analyzed above. We’re uncertain as to why. Corporations created by way of a spin-off (like AbbVie) will be Dividend Aristocrats with lower than 25 years of rising dividends if the mum or dad firm was a Dividend Aristocrat.

This info was compiled from the next sources:

Regularly Requested Questions

This part will deal with a few of most typical questions traders have relating to the Dividend Aristocrats.

1. What’s the highest-paying Dividend Aristocrat?

Reply: IBM at the moment yields 5.1%.

2. What’s the distinction between the Dividend Aristocrats and the Dividend Kings?

Reply: The Dividend Aristocrats have to be constituents of the S&P 500 Index, have raised their dividends for at the least 25 consecutive years, and fulfill plenty of liquidity necessities. The Dividend Kings solely must have raised their dividends for at the least 50 consecutive years.

3. Is there an ETF that tracks the Dividend Aristocrats?

Reply: Sure, the Dividend Aristocrats ETF (NOBL) is an exchange-traded fund that particularly holds the Dividend Aristocrats. For a extra detailed evaluation of dividend ETFs, click on right here.

4. What’s the distinction between the Dividend Aristocrats and the Dividend Champions?

Reply: The Dividend Aristocrats and Dividend Champions share one requirement, which is that an organization should have raised its dividend for at the least 25 consecutive years.

However just like the Dividend Kings, the Dividend Champions don’t have to be within the S&P 500 Index, nor fulfill the assorted liquidity necessities.

5. Which Dividend Aristocrat has the longest lively streak of annual dividend will increase?

At present, there are 4 Dividend Aristocrats tied at 66 years: Procter & Gamble, Real Elements, 3M Firm, and Dover Company.

6. What’s the common dividend yield of the Dividend Aristocrats?

Proper now, the common dividend yield of the 65 Dividend Aristocrats is 2.4%.

7. Are the Dividend Aristocrats protected investments?

Whereas there are by no means any ensures relating to the inventory market, we consider the Dividend Aristocrats are among the many most secure dividend shares relating to the sustainability of their dividend payouts.

The Dividend Aristocrats have sturdy aggressive benefits that permit them to lift their dividends every year, even throughout a recession.

Different Dividend Lists & Last Ideas

The Dividend Aristocrats checklist isn’t the one technique to shortly display screen for shares that commonly pay rising dividends.

There’s nothing magical concerning the Dividend Aristocrats. They’re ‘simply’ a set of high-quality shareholder pleasant shares which have sturdy aggressive benefits.

Buying a majority of these shares at honest or higher costs and holding for the long-run will probably end in favorable long-term efficiency.

You’ve gotten a selection in what kind of enterprise you purchase into. You should buy into the mediocre, or the wonderful.

Typically, wonderful companies should not dearer (based mostly on their price-to-earnings ratio) than mediocre companies.

“Once we personal parts of excellent companies with excellent managements, our favourite holding interval is ceaselessly.”

– Warren Buffett

Disclaimer: Certain Dividend isn’t affiliated with S&P World in any method. S&P World owns and maintains The Dividend Aristocrats Index. The data on this article and downloadable spreadsheet is predicated on Certain Dividend’s personal overview, abstract, and evaluation of the S&P 500 Dividend Aristocrats ETF (NOBL) and different sources, and is supposed to assist particular person traders higher perceive this ETF and the index upon which it’s based mostly. Not one of the info on this article or spreadsheet is official knowledge from S&P World. Seek the advice of S&P World for official info.