Member Articles

Dividend Increases/Decreases for the Week Ending February 10

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Below we provide a list of firms that raised/lowered their dividends during the week ending February 10. 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 3M Company (MMM): now $1.175 per share quarterly dividend, was $1.11. Alaska Air (ALK): now $0.30 per share quarterly dividend, was $0.275. Allstate (ALL): now $0.37 per share quarterly dividend, was $0.33. Archer Daniels Midland (ADM): now $0.32 per share quarterly dividend, was $0.30. Baldwin & Lyons (BWINA): now $0.27 per share quarterly dividend, was $0.26. Bank of Botetourt (BORT): now $0.14 per share quarterly dividend, … Read more

More First-Quarter Earnings Flying In: GM, Ford, Big Oil and More

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Image Source: General Motors GM’s dividend yield and valuation opportunity are incredible, while Microsoft’s free cash flow generation and solid net cash position speak to tremendous dividend strength. We liked what we saw out of Union Pacific during the first quarter, and you have to be aware of Big Oil’s bloated balance sheets. All of this and more included in this piece. By Brian Nelson, CFA It’s puzzling to think about, but with the first-quarter 2017 US GDP print today, April 28, coming in at just 0.7%, below expectations, one wouldn’t think the stock market is near all-time highs. Interestingly, in the report, too, the weakest area came from real consumer spending, which registered a pace of growth as poor … Read more

Earnings Update on European Big Pharma Featuring Novartis, Sanofi, and AstraZeneca

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The drug industry is a global market with an impressive array of competitors headquartered outside the US. The quest to bring forth novel treatments continues. We continue to focus on the large-cap traditional pharmaceutical companies for their defensive characteristics, and many also pay a generous dividend. By Alexander J. Poulos Novartis Poised to Cycle Through Loss of Patent Exclusivity on Gleevec Shares of European heavyweight Novartis (NVS) jumped sharply after posting first-quarter earnings April 25. Growth in the pharmaceutical segment remains hampered as the company lapses the loss of patent exclusivity of one of its top-selling products Gleevec. We are looking past the patent cliff and remain focused on the growth products currently in Novartis’ lineup. Cosentyx, a treatment for … Read more

Competitive Pressures Not Going Away for Teva

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The end of the patent life of a lucrative product can often lead to significant legal strife as aspiring biosimilar equivalents jockey for exclusivity. We have found the recent aggressive move by Mylan noteworthy in our ongoing coverage of Teva’s recent struggles. On a separate but related note, the settlement between Amgen and Abbvie underscores the volatile nature of maneuvers conducted in order to extend the patent life of a highly successful product. By Alexander J. Poulos and Kris Rosemann Make no bones about it, the former Best Ideas Newsletter portfolio idea in Teva Pharmaceuticals (TEVA) did not work out as planned. The company was “added” to the Best Ideas Newsletter portfolio in mid-2013 at $41.22 and was a strong … Read more

A Little Optimization To Maximize The Value

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We continue to help readers find some of our best ideas for consideration, and some of the companies in this article didn’t make the cut for our long-term perspective. We’re allocating resources elsewhere. Clean Diesel Tech (CDTI) Clean Diesel Tech is a leading global manufacturer and distributor of emissions control systems and products to the automotive and heavy duty diesel markets. Clean Diesel Tech is a leading global manufacturer and distributor of emissions control systems and products to the automotive and heavy duty diesel markets. It uses patented technology to reduce emissions and lower the carbon intensity of engine applications. The company was founded in 1996 and is based in California. Clean Diesel Tech expects to realize a shit in … Read more

Dividend Increases/Decreases for the Week Ending February 1

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Below we provide a list of firms that raised their dividends during the week ending February 1. 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 AFLAC (AFL): now $0.27 per share quarterly dividend, was $0.26. ALLETE (ALE): now $0.5875 per share quarterly dividend, was $0.56. Alliance Resource Partners (ARLP): now $0.53 per share quarterly dividend, was $0.525. Anthem (ANTM): now $0.80 per share quarterly dividend, was $0.75. Arthur J. Gallagher (AJG): now $0.43 per share quarterly dividend, was $0.41. Bank of Botetourt (BORT): now $0.16 per share quarterly dividend, was $0.15. … Read more

Philip Morris International is Ready to Ride Out the Storm

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Image Source: Philip Morris International Inc – First Quarter of 2020 Earnings IR Presentation By Callum Turcan On April 21, High Yield Dividend Newsletter portfolio holding Philip Morris International Inc (PM) reported first-quarter earnings for 2020 which beat both top- and bottom-line consensus estimates. Shares of PM currently yield ~6.1% as of this writing, and we view that payout as well-covered given the resilience of Philip Morris International’s free cash flows and business model (demand for tobacco and tobacco products is inelastic), along with the firm’s ability to tap its revolving credit lines and potentially debt markets if needed. Management pulled the firm’s full-year guidance for 2020 and instead offered guidance for the second quarter, given the lack of clarity … Read more

Steel Dynamics Bets Big on North America’s Industrial Economy

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Image Source: Steel Dynamics Inc – June 2020 IR Presentation By Callum Turcan Investor sentiment towards the steel industry is rebounding as the medium- and long-term outlook for global industrial activity has improved markedly since March 2020. The ongoing coronavirus (‘COVID-19’) pandemic has significantly hampered near-term industrial activity, though major fiscal stimulus packages (made feasible through major monetary stimulus programs) launched in various developed nations could provide some relief. Shares of Steel Dynamics Inc (STLD) have recovered meaningfully since their March 2020 lows and are trading a tad below our fair value estimate as of this writing. Shares of STLD yield ~3.6% on an annualized forward-looking basis as of this writing and we give the steel maker a Dividend Cushion … Read more

Eli Lilly and Vertex Pharma Provide Promising Guidance for 2021

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Image Shown: An overview of Vertex Pharmaceuticals Inc’s drug pipeline and commercialized drug portfolio. Image Source: Vertex Pharmaceuticals Inc – Fourth Quarter of 2020 IR Earnings Presentation By Callum Turcan Several pharmaceutical and biotech companies showcased the resilience of their business models last year when faced with severe exogenous headwinds created by the coronavirus (‘COVID-19’) pandemic. For broad-based diversified exposure tied to secular growth tailwinds across the largest drug development companies in the world (and their robust pipelines of drugs and therapies), we include the Health Care Select Sector SPDR ETF (XLV) in both the Best Ideas Newsletter and Dividend Growth Newsletter portfolios. We like this broad exposure to the sector, particularly within diversified portfolios. Eli Lilly (LLY) When Eli … Read more

Dividend Increases/Decreases for the Week April 30

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Below we provide a list of firms that raised their dividends during the week ending April 30. 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 Alexander & Baldwin (ALEX): now $0.16 per share quarterly dividend, was $0.15. Altra Industrial Motion (AIMC): now $0.08 per share quarterly dividend, was $0.06. Ameriprise Financial (AMP): now $1.13 per share quarterly dividend, was $1.04. American Water Works (AWK): now $0.6025 per share quarterly dividend, was $0.5500. Ames National (ATLO): now $0.26 per share quarterly dividend, was $0.25. Apple (AAPL): now $0.22 per share quarterly dividend, … Read more