As I'm writing this blog post, the high temperature here in Central Wisconsin is expected to reach into the low-60 degrees Fahrenheit today. This is an ideal temperature that more closely resembles early-spring for this area rather than late-spring.
With that aside, I will be going over the dividend increases that I received in May and looking ahead to the raises that I am expecting for June.
Actual Dividend Increases for May 2022
Dividend Increase #1: American Tower (AMT)
American Tower announced a 2.1% increase in its quarterly dividend per share from $1.40 to $1.43. This fell just short of my expectation of a 2.9% raise in the quarterly dividend per share to $1.44. But with AMT raising its dividend every quarter, I'll gladly take this payout bump.
Across my three shares of AMT, my net annual forward dividends edged $0.36 higher as a result of this dividend increase.
Dividend Increase #2: Leggett & Platt (LEG)
Leggett & Platt declared a 4.8% raise in its quarterly dividend per share from $0.42 to $0.44. This was precisely the raise that I predicted LEG would deliver weeks ago.
My net annual forward dividends surged $1.20 higher due to this payout increase across my 15 shares of LEG.
Dividend Increase #3: Union Pacific (UNP)
Union Pacific announced a 10.2% hike in its quarterly dividend per share from $1.18 to $1.30. Since I opened a whole share position in UNP in January, this was the first raise that I have received from the stock. And I couldn't be more pleased. This easily tops the inflation rate.
Across my three shares of UNP, my net annual forward dividends soared $1.44 higher as a result of this dividend increase.
Dividend Increase #4: Simon Property Group (SPG)
Simon Property Group declared a 3% raise in its quarterly dividend per share from $1.65 to $1.70. Nearly two years after SPG cut its quarterly dividend per share from $2.10 in July 2020 out of an abundance of caution, the company is taking major steps to restore its dividend. I wouldn't be surprised to see the dividend fully restored by next summer.
My net annual forward dividends increased by $1.20 across my six shares of SPG due to the payout raise.
Dividend Increase #5: Lowe's (LOW)
Lowe's announced a staggering 31.3% boost in its quarterly dividend per share from $0.80 to $1.05. This was more than double the 13.8% raise to $0.91 that I was expecting. LOW is one of those stocks that I believe should be the foundation of a dividend growth stock portfolio and it continues to show why.
Across my five shares of the stock, my net annual forward dividends per share soared $5.00 higher as a result of the payout hike.
Dividend Increase #6: Medtronic (MDT)
Medtronic declared a 7.9% increase in its quarterly dividend per share from $0.63 to $0.68. This was in line with my expectations. Like LOW, MDT is another stock that I think deserves a place in every dividend growth stock portfolio.
My net annual forward dividends were boosted by $1.00 across my five shares of MDT due to the dividend raise.
Dividend Freeze: Omnicom (OMC)
Surprisingly, Omnicom decided to keep its quarterly dividend per share the same at $0.70. This was below my estimate of a 7.1% hike in its quarterly dividend per share to $0.75. The company could certainly afford such a raise. But I guess with fears of a looming recession, OMC opted to be conservative.
Expected Dividend Increases for June 2022
Expected Dividend Increase #1: Realty Income (O)
The first dividend increase that I'm expecting next month is from Realty Income. My prediction is that O will announce a 0.2% increase in its monthly dividend per share from $0.2470 to $0.2475.
If my prediction is proven right, my net annual forward dividends would edge $0.078 higher across my 13 shares of O.
Expected Dividend Increase #2: W.P. Carey (WPC)
The next payout raise that I'm forecasting in June will come from W.P. Carey. I believe WPC will announce a 0.2% raise in its quarterly dividend per share from $1.057 to $1.059.
Across my seven shares of WPC, my net annual forward dividends would inch $0.056 higher if my projection is accurate.
Expected Dividend Increase #3: UnitedHealth Group (UNH)
The third dividend hike that I'm expecting next month is from UnitedHealth Group. My guess is that UNH will announce a 13.8% boost to its quarterly dividend per share from $1.45 to $1.65.
My net annual forward dividends would be lifted by $1.60 across my two shares of UNH if my prediction is correct.
Expected Dividend Increase #4: FedEx (FDX)
The final dividend increase that I'm forecasting in June will come from FedEx. I believe that FDX will declare a 13.3% raise in its quarterly dividend per share from $0.75 to $0.85.
Across my three shares of FDX, my net annual forward dividends would be boosted by $1.20 if my projection is right.
Expected Dividend Increase #5: Clorox (CLX)
Clorox didn't increase its payout in May. But I expect that the company will likely do so in early June. I'm still expecting a token 0.9% increase in its quarterly dividend per share from $1.16 to $1.17.
Across my two shares of CLX, this would bump my net annual forward dividends up by $0.08 if my prediction is right.
I received $10.20 in dividend raises from six stocks. This would require $291.43 in fresh investment capital to replicate at a 3.5% weighted average dividend yield.
And with five raises expected in June, my net annual forward dividends would surge $3.014 higher if my predictions are correct. This is equivalent to investing $86.11 in capital at a 3.5% average net yield.
How was your May for dividend announcements?
Are you expecting any first-time dividend increases from stocks in your portfolio like I am with FDX and CLX?
Thanks for reading and please feel free to comment below!
UNP definitely surprised me with their raise given the calls for recession/slowing economy. But I'll gladly take it! I just got a raise from BNS today as well as PSX and AQN earlier this month. Still waiting on that announcement from LOW and MDT and really hope you're right on the raise amounts. 7%+ from MDT would be fantastic and push me very close to the $300 annual dividend level for my position.ReplyDelete
Thanks for the support over the years and commenting. UNP's raise was a surprise to me, but I'll take it just like you will. MDT met my expectations and LOW absolutely crushed it!ReplyDelete