Tuesday, November 22, 2022

Expected Dividend Increases for December 2022

As I'm writing this blog post, it's already November 19th. The temperatures have really cooled off here in Central Wisconsin, with the high temperature reaching just 20 degrees Fahrenheit today. But in the next few days, we will see high temperatures in the upper-30 degrees Fahrenheit range.

With all but one dividend raise announced thus far, I will turn my attention to the dividend increases received this month. And I'll look ahead to the dividend boosts that I'm expecting for December 2022. As the dividend lift from Mastercard (MA) comes in, I will update this post.


Actual Dividend Increases for November 2022

Dividend Increase #1: Main Street Capital (MAIN)

Main Street Capital announced a 2.3% increase in its monthly dividend per share to $0.225. For context, this was precisely what I predicted in the previous post of this series.

This boosted my net annual forward dividends by $1.44 across my 24 shares of MAIN.

Dividend Increase #2: Simon Property Group (SPG)

Simon Property Group declared a 2.9% raise its quarterly dividend per share to $1.80. Again, this was in line with my forecast. 

Across my nine shares of SPG, my net annual forward dividends surged $1.80 higher from this dividend declaration.

Dividend Increase #3: KeyCorp (KEY)

KeyCorp announced a 5.1% hike in its quarterly dividend per share to $0.205, which was what I projected.

My net annual forward dividends increased by $1.56 across my 39 shares of KEY due to this dividend announcement.

Dividend Increase #4: Aflac (AFL)

Aflac declared a 5% raise in its quarterly dividend per share to $0.42. This was just below my expectation of a 7.5% increase in the quarterly dividend per share to $0.43.

Across my 11 shares of AFL, my net annual forward dividends edged $0.88 higher as a result of this dividend declaration.

Dividend Increase #5: Merck (MRK)

Merck declared a 5.8% hike in its quarterly dividend per share to $0.73, which was what I expected.

Across my 11 shares of MRK, my net annual forward dividends rose by $1.76.

Expected Dividend Increases for December 2022

Expected Dividend Increase #1: Union Pacific (UNP)

The first dividend hike that I am expecting in December is from Union Pacific. I believe that UNP will announce a 7.7% increase in its quarterly dividend per share to $1.40. This would be good enough once a year, but UNP has a track record of delivering two raises annually in most years.

My net annual forward dividends would be boosted by $1.20 across my three shares of UNP if this prediction pans out.

Expected Dividend Increase #2: Abbott Laboratories (ABT)

The next payout increase that I'm projecting will come from Abbott Laboratories. My best guess is that ABT will declare a 6.4% raise in its quarterly dividend per share to $0.50.

Across my six shares of ABT, my net annual forward dividends would inch $0.72 higher if this forecast is proven correct.

Expected Dividend Increase #3: Amgen (AMGN)

The third dividend boost that I am expecting in December is from Amgen. I believe that AMGN will announce an 8.2% increase in its quarterly dividend per share to $2.10.

My net annual forward dividends would be lifted by $2.56 across my four shares of AMGN if this prediction is accurate.

Expected Dividend Increase #4: American Tower (AMT)

The next dividend increase that I'm anticipating will come from American Tower. My belief is that AMT will declare a 4.8% raise in its quarterly dividend per share to $1.54. With typically four hikes in a year, this would be a solid growth rate.

Across my three shares of AMT, my net annual forward dividends would move $0.84 higher if this forecast is right.

Expected Dividend Increase #5: Broadcom (AVGO)

The fifth dividend raise that I am expecting in December is from Broadcom. I believe that AVGO will announce a 12.2% increase in its quarterly dividend per share to $4.60.

My net annual forward dividends would be boosted by $6.00 across my three shares of AVGO if this prediction is correct.

Expected Dividend Increase #6: Bristol Myers Squibb (BMY)

The next dividend increase that I'm projecting will come from Bristol Myers Squibb. My best guess is that BMY will declare a 7.4% hike in its quarterly dividend per share to $0.58.

Across my 15 shares of BMY, my net annual forward dividends would surge $2.40 higher from such a declaration.

Expected Dividend Increase #7: CVS Health (CVS)

The seventh payout raise that I am expecting in December is from CVS Health. I believe that CVS will announce a 7.3% increase in its quarterly dividend per share to $0.59.

My net annual forward dividends would increase by $1.12 across my seven shares of CVS from such an announcement.

Expected Dividend Increase #8: Dominion Energy (D)

The next dividend hike that I'm anticipating will come from Dominion Energy. My belief is that D will declare a 6% raise in its quarterly dividend per share to $0.7075.

Across my six shares of D, my net annual forward dividends would be lifted $0.96 higher from such a declaration.

Expected Dividend Increase #9: Eastman Chemical (EMN)

The ninth dividend raise that I am projecting in December is from Eastman Chemical. My best guess is that EMN will announce a 6.6% increase in its quarterly dividend per share to $0.81.

My net annual forward dividends would surge $1.40 higher across my seven shares of EMN from such an announcement.

Expected Dividend Increase #10: Realty Income (O)

Realty Income kept its monthly dividend per share in line with the previous payout of $0.248. This was below my expectation of a 4% raise to $0.258. But I believe this was more an issue of timing than anything and that my prediction will come to fruition next month.

Across my 17 shares of O, this would be a $2.04 lift to my net annual forward dividends, if my forecast is correct.

Expected Dividend Increase #11: Pfizer (PFE)

The eleventh dividend hike that I am expecting in December will come from Pfizer. I believe that PFE will declare a 7.5% raise in its quarterly dividend per share to $0.43.

My net annual forward dividends would be boosted by $2.04 across my 17 shares of PFE from such a declaration.

Expected Dividend Increase #12: WEC Energy Group (WEC)

The next dividend increase that I'm projecting is from WEC Energy Group. My belief is that WEC will announce a 6.9% hike in its quarterly dividend per share to $0.7775.

Across my eight shares of WEC, my net annual forward dividends would be lifted by $1.60 from such an announcement.

Expected Dividend Increase #13: W.P. Carey (WPC)

The thirteenth and final payout raise that I am expecting in December will come from W.P. Carey. My best guess is that WPC will declare a 0.2% increase in its quarterly dividend per share to $1.063.

My net annual forward dividends would edge $0.056 higher across my seven shares from such a declaration.

Expected Dividend Increase #14: Mastercard (MA)

Mastercard didn't announce a dividend hike in November. However, I am reiterating my projection for a 12.2% lift to the quarterly dividend per share to $0.55.

My net annual forward dividends would increase by $0.72 from such an announcement across my three shares of MA.

Concluding Thoughts:

The five dividend raises that I have received in November so far have lifted my net annual forward dividends by $7.44. This equates to investing $212.57 in fresh capital at a 3.5% weighted average dividend yield.

And the thirteen dividend hikes that I am expecting in December 2022 would raise my net annual forward dividends by $23.656, if proven correct. This works out to investing $675.89 in fresh capital at a 3.5% net dividend yield. As the months and years unfold, the power of compounding is working more and more in my favor. Needless to say, I feel very blessed to have started investing as early as I did!

Discussion:

How was your November 2022 for payout increases?

Are you expecting any first-time dividend hikes next month as I am with UNP?

Thank you for reading! Please leave your comments below.

2 comments:

  1. Kody,

    November has been a busy month for dividend increases among our holdings. And we've still got MA and MKC with another potential one or two as well. December looks to be a bit slower for us, but should bring about some solid raises. I'm very interested to see what CVS does after renewing their dividend growth last year. I hope to see a raise from UNP as well but wouldn't be too surprised if they hold off on one given the macro headwinds and still potential worker stoppage.

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  2. Thanks for the comment. MKC's raise came in a bit below what I would have expected. We'll have to see what happens with MA likely later this week and UNP later in December. Hopefully, they'll avert a possible strike.

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