When the market falls, it tends to drag everything down -- good or bad companies. I think that companies that have increased their dividends by 10% or higher in the last 10-years should be considered good companies. One way to combat the market downturn is to buy high growth dividend-growth companies that are fairly valued or undervalued.
These companies are expected to grow earnings per share at a rate higher than 5% in the foreseeable future and have a history of increasing dividends with payout ratios of less than 60%.
In addition, I like to invest into low leveraged companies. If rates rise or money is needed for investments, the company doesn’t need to raise capital. It's also a hedge for rising dividends.
I also look for stocks with a midcap market valuation or higher. I love the diversification and developed status of those companies.
63 stocks fulfilled my criteria. I like to show you only the 20 best yielding. Half of them have a beta higher than the market. They seem to be more risky.
For safe heaven investors, I also attached a list of the 20 best yielding stocks with a beta below one. Hope you have some fun by discovering the lists. If you like my work, please subscribe to my free newsletter by leaving your email in the right box above. Thank you for reading.
These are the results...
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| 20 Best Dividend Grotwh Stocks (click to enlarge) |
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| 20 Best Dividend Grotwh Stocks With A Low Beta (click to enlarge) |