These companies are growing their dividends and may see upside, Morgan Stanley says
September is typically a rough patch for stocks, but adding a few dividend payers may help smooth the ride for investors.
TL;DR
- Dividend stocks can provide a reliable income stream and help stabilize portfolios during uncertain times.
- Companies that raise their dividends have historically seen their stock prices outperform.
- Morgan Stanley screened the Russell 1000 for companies that raised dividends by at least 15% quarter over quarter in the past 12 months.
- East West Bancorp raised its quarterly dividend by 20% and has seen its stock rise 16% year to date.
- Packaging Corporation of America hiked its quarterly dividend by 20%, and its stock is up 15% on the year.
- Devon Energy increased its dividend by 33% and its stock has gained 31% year to date.
- Other dividend growers mentioned include Nvidia, Royal Caribbean, and Capital One Financial.