The 10/10 Dividend Club


Looking for dividend-paying blue chip stocks? Chuck Carlson is a leading expert on dividend reinvestment plans.

In The DRIP Investor, he looks at the 10/10 Club -- stocks that have boosted their payouts by 10% a year for at least 10 years. He explains,"The table below features seven stocks that belong to the exclusive '10/10' club:

  • Each of the companies has posted higher dividends every year for at least 10 years
  • Each of the companies has posted annual dividend growth averaging at least 10% over the last 10 years.

"In payback terms, if each of these companies continues the trend of at least 10% dividend growth on an annual basis, their dividend 'payback' times -- in other words, the time it takes for cumulative dividends to equal their investment -- will be well under 20 years.

"Please note that all of these companies offer direct-purchase plans whereby any investor may buy the first share and every share directly from the company.

Aflac (AFL) -- yield: 2.4%
Colgate-Palmolive (CL) -- yield: 2.1%
Johnson & Johnson (JNJ) -- yield: 3%
Medtronic (MDT) -- yield: 1.9%
PepsiCo (PEP) -- yield: 3%
United Technologies (UTX) -- yield: 2.2%
Wal-Mart Stores (WMT) -- yield: 2.1%

Steven Halpern's TheStockAdvisors.com offers a free daily overview of the favorite stocks of the nation's leading financial newsletter advisors.

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Last updated: February 10, 2012: 02:29 PM

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