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28 Dividend Increases: April 25-29, 2016 (Part 1: Financials And MLPs)


Companies that regularly raise their dividend payments show confidence in future earnings growth potential.

One way to identify dividend growth stocks for further analysis is to monitor dividend increases.

This past week, 28 companies on my watch list decided to increase their dividends.

In this article, I present the Financials and a few MLPs that announced dividend increases.

A follow-up article will present the non-Financials that increased their dividends this past week.

Monitoring dividend increases for

stocks on my watch is one way to identify candidates for further analysis. Companies that regularly increase dividends show confidence in the potential growth of future earnings. This week, 28 companies on my watch list announced dividend increases.

The table below presents a summary of the Financial Sector stocks and a few MLPs (Master Limited Partnerships) that announced dividend increases. See Part 2 for the non-Financials that announced dividend increases.

The table is sorted by percentage increase, %Incr. Dividends are annualized and in US$, unless otherwise indicated. Yield is the new dividend yield for the market close Price on the date listed. Yrs are years of consecutive dividend increases, while 5-yr DGR is the compound annual growth rate of the dividend over a 5-year period. 1-yr %Incr is the percentage increase from the year-ago dividend. (Some companies increase their dividends more than once a year, so this puts the most recent dividend increase in context).

• First Financial Bankshares Inc (NASDAQ:FFIN)
Headquartered in Abilene, Texas, FFIN is a financial holding company that provides commercial banking services through its subsidiary, First Financial Bank, primarily in Texas. The company provides customary commercial banking services and various types of loans, including real estate, agricultural and commercial loans. It also provides retirement and employee benefit accounts, personal trust services, and security brokerage services. FFIN was founded in 1890. On April 26, the board of directors declared a quarterly dividend of 18¢ per share. The new dividend represents an increase of 12.50%. The dividend is payable on July 1 to shareholders of record on June 16. The ex-dividend date is June 14.

• Ameriprise Financial Inc (NYSE:AMP)
Founded in 1894 and headquartered in Minneapolis, Minnesota, AMP, through its subsidiaries, provides financial products and services to individual and institutional clients in the United States and internationally. Products and services include financial planning and advisory services, full-service brokerage services, variable and fixed annuities, and insurance and risk management products. AMP was formerly known as American Express Financial Corporation and changed its name to Ameriprise Financial, Inc. in September 2005. On April 27, the board of directors declared a quarterly dividend of 75¢ per share. The new dividend represents an increase of 11.94%. AMP will trade ex-dividend on May 5. The dividend is payable on May 20, to shareholders of record on May 9.

• Webster Financial Corp (NYSE:WBS)
WBS is the holding company for Webster Bank, National Association. With about $25 billion in assets, the company provides financial services to individuals, families and businesses in the United States. It provides commercial, small business and consumer banking, mortgage lending, financial planning, and trust and investment services through banking centers, automatic teller machines, telephone banking, mobile banking and online banking. WBS was founded in 1935 and is headquartered in Waterbury, Connecticut. Recently, WBS increased its quarterly dividend from 23¢ per share to 25¢ per share, an increase of 8.70%. All shareholders of record on May 9 can expect the dividend to be paid on...