Your Dividend Booster Update: 46 Stocks For November And Beyond

Summary

Barron's publishes a weekly list of stocks announcing "dividend payment boosts" on the very last page of its financial data section. Here is your dog catcher 10/28/19 update.

Last week, Barron's listed 46 stocks boosting dividends. The hikes ranged $.0001 per month to $.50 per quarter and ranged 0.3% to 233.3% for this batch.

Energy and financial sector stocks dominated the high-yield top 10; however, consumer cyclical, real estate, utilities, communication services, and healthcare made the second ten.

Ten top dividend-boosting stocks ranged from 11.49% to 43.35% in net gains calculated from broker targets plus dividends less broker fees.

$5k invested in the lowest-priced five top-yield dividend-boosted dogs showed 0.38% more net-gain than that from $5k invested in all ten. Little low-price dividend-boosted dogs ruled this end of October pack.

Foreword

Any collection of stocks is more clearly understood when subjected to yield-based (dog catcher) analysis. These dividend-boosted batches are perfect for the Arnold dog catcher process. Here is your October 28 data from Barron's for 46 dividend-paying stocks supplemented by dog catcher analysis powered by YCharts.

Actionable Conclusions (1-10): Analysts Estimated 11.49% To 43.35% Net Gains For The Ten

Top Dividend-Boosted Stocks Come October 2020

Five of ten top dividend-boosted stocks by yield were among the top ten gainers for the coming year based on analyst one-year target prices. (They are tinted gray in the chart below). Thus, this yield-based forecast for these booster dogs was graded by Wall St. Wizards as 50% accurate.

Source: YCharts.com

Projections were based on estimated dividends from $1,000 invested in each of the highest-yielding stocks and their aggregate one-year analyst median target prices, as reported by YCharts. Note: One-year target prices by lone analysts were not applied. Ten probable profit-generating trades projected to October 28, 2020 were:

Noble Midstream Partners (NBLX) netted $433.45, based on a median of estimates from eight analysts, plus dividends. A Beta number was not available for NBLX.

Western Midstream Partners (WES) was projected to net $408.09, based on the median of target estimates from fourteen analysts, plus dividends, less broker fees. The Beta number showed this estimate subject to risks 45% more than the market as a whole.

Rogers Communications (RCI) was projected to net $211.25, based on dividends, plus the median of target price estimates from eighteen analysts, less broker fees. The Beta number showed this estimate subject to volatility 38% less than the market as a whole.

BP Midstream Partners (BPMP) was projected to net $206.92, based on the median of target price estimates from seven analysts, plus annual dividend, less broker fees. A Beta number was not available for BPMP.

AllianceBernstein Holding (AB) was projected to net $203.67, based on the median of target price estimates from seven analysts, plus dividends, less broker fees. The Beta number showed this estimate subject to risks 21% more than the market as a whole.

Healthcare Services Group Inc. (HCSG) was projected to net $198.25, based on dividends, plus a mean target price estimate from eight analysts, less broker fees. The Beta number showed this estimate subject to risk 26% below the market as a whole.

Magellan Midstream Partners LP (MMLP) was projected to net $148.42, based on dividends, plus the median of target price estimates from twenty-two analysts, less broker fees. The Beta number showed this estimate subject to risk 60% more than the market as a whole.

Sensient Technologies Corp. (SXT) was projected to net $144.65, based on a median of target price estimates from four analysts, plus dividends, less broker fees. The Beta number showed this estimate subject to risks equal to the market as a whole.

DHT Holdings Inc. (DHT) was projected to net $118.12, based on a median of target price estimates from six analysts, plus annual dividend, less broker fees. The Beta number showed this estimate subject to risk 50% less than the market as a whole.

S&T Bancorp Inc. (STBA) was projected to net $114.88, based on dividends, plus a median of target price estimates from four analysts, less broker fees. The Beta number showed this estimate subject to risks 33% under the market as a whole.

The average net gain in dividend and price was estimated at 21.88% on $10k invested as $1k in each of these ten stocks. These gain estimates were subject to average risks 34% less than the market as a whole.

Actionable Conclusion (11): (Bear Alert) Analysts Predicted One Dividend-Boosted Dog To Show A 7.42% Loss to October, 2020

The probable losing trade revealed by Y-Charts to 2020 was:

Source: YCharts.com

Tompkins Financial Corp. (TMP) projected a loss of $74.24 based on dividend and a median of the target price estimates from three analysts including broker fees. The Beta number showed this estimate subject to risks 28% less than the market as a whole.

Source: thecostumeshoppe.com

The Dividend Dogs Rule

Stocks earned the "dog" moniker by exhibiting three traits: (1) paying reliable, repeating dividends, (2) their prices fell to where (3) yield (dividend/price) grew higher than their peers. Thus, the highest yielding stocks in any collection became known as "dogs." More precisely, these are in fact best called "underdogs".

46

Dividend Boosters By Target Gains

Source: YCharts.com

46 Dividend Boosters By Yield

Source: YCharts.com

Actionable Conclusions (12-21): 10 Top

Dividend Booster

Stocks By Yield

Top ten dividend boosted stocks reported in Barron's 10/28/19 by yield represented two of eleven Morningstar sectors. One of nine dogs from theenergysector placed first, Mesa Royalty Trust (MTR) [1]. The other eight energy dogs place second through sixth, and eighth to tenth: Cross Timbers Royalty Trust (CRT) [2]; Noble Midstream Partners LP [3]; Western Midstream Partners LP [4]; BP Midstream Partners LP [5]; Shell Midstream Partners LP (SHLX) [6]; CVR Energy Inc (CVI) [8]; Magellan Midstream Partners LP [9]; ONEOK Inc. (OKE) [10].

Then a singlefinancial servicesstock took seventh, AllianceBernstein Holding LP [7] to complete the October 28 top ten dividend boosters by yield.Actionable Conclusions: (22-31) Top Ten October 28 Dividend Booster Dogs Showed 15.26%-47.79% Upsides While (31) One Downsider Emerged

Source: YCharts.com

To quantify top dog rankings, analyst mean price target estimates provide a "market sentiment" gauge of upside potential. Added to the simple high-yield metrics, analyst mean price target estimates became another tool to dig out bargains.

Analysts Forecast A 0.38% Advantage For Five Highest-Yield, Lowest-Priced, Dividend-Boosted Stocks To 2020

Ten top dividend booster dogs were culled by yield for this update. Yield (dividend/price) results provided by YCharts did the ranking.

Source: YCharts.com

As noted above, top ten dividend booster dogs screened 10/30/19 showing the highest dividend yields represented two of eleven Morningstar sectors.

Actionable Conclusions: Analysts Predicted Five Lowest-Priced Of The Top Ten

Highest-Yield 10/28 Dividend Booster Dogs (32) Delivering 18.11% Vs.

(33) 18.04%

Net Gains

by All Ten

Come

October 2020

Source: YCharts.com

$5,000 invested as $1k in each of the five lowest-priced stocks in the top ten dividend booster kennel by yield were predicted by analyst one-year targets to deliver 0.38% more gain than $5,000 invested as $.5k in all ten. The sixth lowest priced selection, Noble Midstream Partners LP, was projected by broker targets to deliver the best net gain of 43.35%.

Source: YCharts.com

The five lowest-priced top-yield dividend boosted dogs as of October 30 were: Mesa Royalty Trust, Cross Timbers Royalty Trust, BP Midstream Partners LP, Shell Midstream Partners LP, and Western Midstream Partners LP, with prices ranging from $8.18 to $22.27.

Five higher-priced dividend boosted dogs as of October 30 were: Noble Midstream Partners LP, AllianceBernstein Holding LP, CVR Energy Inc., Magellan Midstream Partners LP, and ONEOK Inc., whose prices ranged from $24.10 to $69.99.

The distinction between five low-priced dividend dogs and the general field of ten reflected Michael B. O'Higgins' "basic method" for beating the Dow. The scale of projected gains based on analyst targets added a unique element of "market sentiment" gauging upside potential. It provided a here-and-now equivalent of waiting a year to find out what might happen in the market. Caution is advised since analysts are historically only 20% to 80% accurate on the direction of change and just 0% to 20% accurate on the degree of change.

The net gain/loss estimates above did not factor in any foreign or domestic tax problems resulting from distributions. Consult your tax advisor regarding the source and consequences of "dividends" from any investment.

Stocks listed above were suggested only as possible reference points for your Dividend Boosted Batch stock purchase or sale research process. These were not recommendations.

Source: Barron's

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Disclosure:I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Additional disclosure:

Disclaimer: This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a solicitation, recommendation or endorsement to buy or sell any security. Prices and returns on equities in this article except as noted are listed without consideration of fees, commissions, taxes, penalties, or interest payable due to purchasing, holding, or selling same.Graphs and charts were compiled by Rydlun & Co., LLC from data derived from www.indexarb; YCharts; finance.yahoo; analyst mean target price by YCharts. Dog photo: thecostumeshoppe.com