The Compounding Dividends Portfolio already has 3 great dividend-paying companies.
Today we’ll announce the fourth.
Our Next Stock
Our next stock is a Dividend Growth Stock that’s also High-yielder.
The best part?
The company has raised its dividend for 25 years, with a 5-year CAGR of 23.2%.
Other reasons we love this stock?
Solid Balance Sheet - Low debt (30% Debt/Equity) and strong cash flow
Owner-operator company, with one leader owning about $2 billion in shares
The company is a low-cost producer of a necessary product
It’s trading above the 5-year historical dividend yield
A conservative Earnings Growth Model says we can expect an 11.3% return
The Reverse DDM says the company needs to grow the divided at less than 25% of the 5-year historical rate to give us a 10% return
Let’s dive into the full Investment Case and prepare our transaction for Monday.