Best Dividend Stocks August 2021

The signature way I find the best dividend stocks… the outliers are by looking for quiet Big Money trading activity. This can often be institutional activity. I will discuss in a moment why following the Big Money is so important. But the 5 stocks I see as candidates for long-term dividend growth are: MA, SHW, WSM, EBAY, & ORCL.

Over the decades, I’ve learned that the truth about great stocks is that the big money consistently makes its way to the best companies out there…especially dividend-paying stocks. Some of the biggest returns ever have come from holding stocks for years and reinvesting dividends.

I want the odds on my side when looking for the highest quality dividend stocks…and I own a lot of them.

So let’s get into it.

At the top is Mastercard Inc. (MA), a major credit card company. They have been increasing their dividend for years.

Let’s start with the technical picture first.

When choosing a strong candidate for long-term dividend growth, I look for stocks that lead in price:

Below are the Big Money signals that Mastercard has issued since 2015. Blue bars show that MA saw major buying activity according to MAPsignals. Usually, the more Big Money signals, the stronger the stock:

Source: MAPsignals.com

Beyond the technicalities, when determining the best dividend stocks, you should look under the hood to see if the fundamental picture supports a long-term investment. As you can see, Mastercard has a strong dividend history:

  • 3-year dividend growth (+45.7%)

  • Current Dividend Per Share = 0.44

  • Term return = 0.45%

  • 3-year profit growth (+25.12%)

Next up is Sherwin-Williams Co. (SHW), a leading seller of paint materials. They have also been a dividend grower for years.

When choosing a strong candidate for long-term dividend growth, it’s a good idea to look at dividend increases for many years to come.

Now let’s take a look at the recent achievements:

Below are the big money signals Sherwin-Williams has been making since 2015. I expect more buy signals in the coming years.

Source: MAPsignals.com

Source: MAPsignals.com

Beyond the technicalities, when determining the best dividend stocks, you should look under the hood to see if the fundamental picture supports a long-term investment. As you can see, Sherwin-Williams has a nice dividend history. Their earnings growth was also great:

  • 3-year dividend growth rate (+16%)

  • Current Dividend Per Share = 0.55

  • Term return = 0.77%

  • 3-Year Earnings Growth (+11.87%)

Then I look at Williams-Sonoma, Inc. (WSM), a leading home shopping company. They have a solid dividend history.

When choosing a strong candidate for long-term dividend growth, recent underperformance is not a bad thing:

Below are the big money signals that Williams-Sonoma has been making since 2015. It recently showed a big money buy signal:

Source: MAPsignals.com

Source: MAPsignals.com

Beyond the technicalities, when determining the best dividend stocks, you should look under the hood to see if the fundamental picture supports a long-term investment. As you can see, WSM has a strong dividend history:

  • 3-year dividend growth (+9%)

  • Current Dividend Per Share = 0.59

  • Term return = 1.5%

  • 3-year profit growth (+46.58%)

Then I look at eBay, Inc. (EBAY), a leading online auction marketplace. They recently added a dividend.

When picking a strong candidate for long-term dividend growth, the recent outperformance has been great:

Below are the Big Money signals eBay has been making since 2015.

In addition to the technicalities, let’s look at the fundamentals in determining the best dividend stocks. As you can see eBay has recently started paying dividends.

  • Dividend growth rate of 1-2 years (+14%)

  • Current Dividend Per Share = 0.18

  • Term return = 0.98%

  • 3-year profit growth (+130.48%)

Finally, I look at Oracle Corp. (ORCL), a leading enterprise technology company. They have been increasing their dividend for years.

When choosing a strong candidate for long-term dividend growth, I like to look for recent leaders:

Below are the Big Money signals ORCL has been making since 2015.

Source: MAPsignals.com

Source: MAPsignals.com

In addition to the technicalities, when determining the best dividend stocks, you need to consider whether the fundamental picture supports a long-term investment. Oracle has been a steady grower:

  • 3-year dividend growth rate (+11%)

  • Current Dividend Per Share = .32

  • Term return = 1.46%

  • 3-year profit growth (+93.1%)

It comes down to

MA, SHW, WSM, EBAY and ORCL represent solid dividend choices. Given strong historic dividend growth and Big Money signals, these stocks may be worth an extra look for a dividend investor.

Disclosure: The author holds no positions in MA, SHW, WSM, EBAY, and ORCL at the time of filming.

For more information about the MAPsignals process, click here: www.mapsignals.com

Disclaimer

This one article was originally posted on FX Empire

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