Brian Nelson

Nike Has Posted 23 Consecutive Years of Increasing Dividend Payouts

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Image Source: TradingView By Brian Nelson, CFA Nike (NKE) recently reported decent first quarter fiscal 2026 results with both revenue and GAAP earnings per share beating the consensus forecast. First quarter revenues of $11.7 billion were up 1% on a reported basis, but down 1% on a currency neutral basis. Nike Direct revenues fell 5% on a currency neutral basis, while wholesale revenues advanced 5% on a currency neutral basis. Revenues for the Nike brand were flat on a currency neutral basis in the quarter, while sales for Converse dropped 28% on a currency neutral basis. Its gross margin fell 320 basis points, to 42.2%, due to pricing pressure, higher discounts and channel mix, as well as higher tariffs, while … Read more

Costco’s Shares Are Not Cheap

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Image Source: Costco By Brian Nelson, CFA Costco Wholesale Corp. (COST) recently reported fourth quarter fiscal 2025 results, and they were quite good. Both revenue and GAAP earnings per share exceeded expectations. Net sales for the quarter increased 8%, to $84.4 billion, while adjusted comparable sales increased 6.4% on a total company basis, a deceleration from the adjusted annual rate of 7.6%, but still strong. Adjusted comps in the U.S. increased 6%, 8.3% in Canada, and 7.2% in its Other International segment. Adjusted e-commerce revenue grew 13.5% on an adjusted basis. Paid memberships grew 6.3%, while the number of total cardholders expanded 6.1%. Its worldwide membership renewal rate was 89.8%. Management was upbeat on its outlook on the conference call: … Read more

Dividend Increases/Decreases for the Week of October 3

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Below we provide a list of firms that raised their dividends during the week ending October 3. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports use the ‘Symbol’ search box in our website header. Firms Raising Their Dividends This Week                          Armanino Foods of Distinction (AMNF): now $0.05 per share quarterly dividend, was $0.04. Autohome (ATHM): now $0.59/ADS dividend, was $0.57. Bank OZK (OZK): now $0.45 per share quarterly dividend, was $0.44. Farmers & Merchants Bancorp (FMAO): now $0.2275 per share quarterly dividend, was $0.2213. Kish Bancorp (KISB): now $0.40 per share quarterly dividend, was $0.39. RPM (RPM): now $0.54 per share quarterly dividend, was … Read more

Dividend Increases/Decreases for the Week of September 26

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Below we provide a list of firms that raised their dividends during the week ending September 26. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports use the ‘Symbol’ search box in our website header. Firms Raising Their Dividends This Week                          Accenture (ACN): now $1.63 per share quarterly dividend, was $1.48. Bank of South Carolina (BKSC): now $0.23 per share quarterly dividend, was $0.21. City Holding (CHCO): now $0.87 per share quarterly dividend, was $0.79. Concentrix (CNXC): now $0.36 per share quarterly dividend, was $0.33. First United (FUNC): now $0.26 per share quarterly dividend, was $0.22. Honeywell International (HON): now $1.19 per share quarterly dividend, … Read more

TJX Companies Is a Standout in Retail

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Image Source: TradingView By Brian Nelson, CFA TJX Companies (TJX) recently reported better than expected second quarter fiscal 2026 results. The off-price apparel and home fashions retailer posted consolidated comparable store sales growth of 4%, which was above the company’s target. Comparable store sales growth at Marmaxx was 3%, HomeGoods came in at 5%, TJX Canada was 9%, while TJX International came in at 5%. Net sales for the second quarter were $14.4 billion, an increase of 7% versus the second quarter of last year. Its pre-tax profit margin in the quarter of 11.4% increased 0.5 percentage points over last year and was also above its plan. Second quarter diluted earnings per share of $1.10 was up 15% and well … Read more

Starbucks’ Turnaround Continues

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Image Source: TradingView By Brian Nelson, CFA Starbucks (SBUX) recently reported fiscal third quarter results that came in better than feared. Global comparable store sales declined 2%, driven by a 2% decline in comparable transactions, offset in part by a modest increase in average ticket. North America comparable store sales declined 2%, less than the 2.49% decline expected, driven by a 3% decline in comparable transactions, offset in part by a 1% increase in average ticket. U.S. comparable sales dropped 2%, driven by a 4% decline in comparable transactions, offset in part by a 2% increase in average ticket. International comparable store sales were flat, while China comparable store sales increased 2% (versus 1.44% estimate), driven by a 6% increase … Read more

Realty Income’s Dividend Remains on Solid Ground

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Image Source: Realty Income By Brian Nelson, CFA Realty Income (O) recently reported second quarter results with revenue exceeding the consensus forecast, but funds from operations coming in-line with expectations. In the quarter, net income available to common shareholders was $0.22 per share, while adjusted funds from operations (AFFO) came in at $1.05 per share. The REIT invested $1.2 billion at an initial weighted average cash yield of 7.2% in the quarter, while net debt to annualized pro forma adjusted EBITDAre was 5.5x. It achieved a rent recapture rate of 103.4% on properties re-leased in the quarter. Management had the following to say about the results: Realty Income’s ability to deliver attractive, consistent total operational returns across economic cycles reflects … Read more

UPS May Cut Its Lofty Dividend

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Image Source: TradingView By Brian Nelson, CFA United Parcel Service (UPS) recently posted second quarter results that were mixed with revenue beating the consensus forecast, but non-GAAP earnings per share coming up short. Second quarter consolidated revenues were $21.2 billion, while consolidated operating profit was $1.8 billion, or $1.9 billion on a non-GAAP adjusted basis. It posted a non-GAAP adjusted consolidated operating margin of 8.8% in the period. Diluted earnings per share came in at $1.51 for the quarter, while non-GAAP adjusted diluted earnings per share were $1.55. Management had the following to say about the results: I want to thank all UPSers for their dedication and hard work in what continues to be a dynamic and evolving trade environment. … Read more

Verizon’s Debt Load is Too High for Our Income-Oriented Preference

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Image Source: TradingView By Brian Nelson, CFA Verizon Communications (VZ) recently reported second quarter results that came in better than expectations. Wireless service revenue in the second quarter was $20.9 billion, up 2.2% year-over-year, while total operating revenue of $34.5 billion was up 5.2% year-over-year. Consolidated adjusted EBITDA was $12.8 billion in the second quarter versus $12.3 billion in the second quarter of 2024. Adjusted earnings per share, excluding special items, came in at $1.22 versus $1.15 in the prior-year quarter. Management had the following to say about the results: Verizon’s strong second-quarter financial performance reflects our high-quality, industry-leading customer base, our multiple growth paths, the success of our disciplined, segmented approach, and the inherent strength of our company. Our … Read more

Dividend Increases/Decreases for the Week of September 19

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Below we provide a list of firms that raised their dividends during the week ending September 19. The dividend reports of covered firms on this list will be updated shortly with the new information. To access our dividend reports use the ‘Symbol’ search box in our website header. Firms Raising Their Dividends This Week                          Adamas Trust (ADAM): now $0.23 per share quarterly dividend, was $0.20. Apartment Investment (AIV): now $2.23 per share special dividend, was $0.60. Banco Macro (BMA): now $0.3665 per share quarterly dividend, was $0.3658. CareRx (CRRX:CA): now CAD 0.02 per share quarterly dividend. Cherry Hill Mortgage Investment Corporation 8.250 CUM PFD B (CHMI.PR.B): now $0.6523 per share quarterly dividend, was $0.6413. Cross Timbers Royalty Trust … Read more