var options = {title: 'Performance (%)', chartArea: {width: '94%', height: '85%'}, bar: {groupWidth: ' 90%'}, legend: {position: 'none'}}; A dividend aristocrat is a company that not only pays a dividend consistently but continuously increases the size of its payouts to shareholders. Energy. (See the complete list at the bottom). The Dividend Aristocrats Index is a list of 50 stocks that have consecutively increased their dividend payments for at least 25 years. It also increases potential risk, as high levels of leverage naturally results in higher loan risks. var chart = new google.visualization.LineChart(document.getElementById('chartYield')); Its diversified operations also don't hurt. The Retail Banking segment comprises consumer lending, and consumer deposit gathering activities, consumer lending, and merchant services. New companies are added to the list as they reach the 25-year threshold. var options = {title: 'Performance (%)', chartArea: {width: '94%', height: '85%'}, bar: {groupWidth: ' 90%'}, legend: {position: 'none'}}; var view = new google.visualization.DataView(data); However, that certainly does not insulate People’s from economic downturns. Income investors favor Dividend Aristocrats because the companies are solid long-term holdings with predictable, safe, and growing dividend payments. This list is naturally a subset of the Dividend Aristocrats: (as of October 2019) ABM Industries, Inc. (ABM) American States Water Co. (AWR) Should the stock revert to our estimate of fair value, it would provide a ~1% annual tailwind to total returns for shareholders. google.setOnLoadCallback(drawChartP); The dividend aristocrats definition makes these stocks interesting as a dividend aristocrat is a stock with a long history of raising its dividend, more than 10 years. var chart = new google.visualization.ColumnChart(document.getElementById('chartP')); Its diversified operations also don't hurt. chart.draw(view, options); var data = google.visualization.arrayToDataTable([ var dataYield = google.visualization.arrayToDataTable([ Sector Overview 4. Dividend Aristocrats Analysis (The Dividend Aristocrats In Focus Series) 5. People’s reported third quarter earnings on October 17th and results were somewhat mixed. We see People’s producing 5% earnings-per-share growth annually over full economic cycles given that its growth-by-acquisition strategy is lumpy and unpredictable, but also because People’s is subject to the same risks as other banks. 5 Highest-Yielding Dividend Aristocrat Stocks to Buy Now for 2021 ... top-quality dividend stocks may be the way to go for 2021. For these reasons, we continue to rate P } In fact, the company continued to increase its dividend each year during the Great Recession. In the current downtrodden market, it was possible for nine (XOM, T, BEN, PBCT, O, AMCR, LEG, NUE, & ADM) of 15 highest-yield S&P 500 dividend Aristocrat stocks, to … In terms of history, this is the 21st quarter in a row dividends for PBCT have increased. Before you go and agree or not with the index or the rules, indexes are put together to attempt at categorizing certain stocks and investment strategies such as monthly income investing, dividend investing or dividend growth investing. Click here to download your Dividend Aristocrats Excel Spreadsheet List now, 2008 earnings-per-share of $0.42 (19% decline), 2009 earnings-per-share of $0.30 (29% decline), 2010 earnings-per-share of $0.24 (20% decline). To maintain its status as a dividend aristocrat, a company must raise its dividend payment at least once during the year. This is slightly lower than our fair value estimate of 13 times earnings, so we see People’s as somewhat undervalued after recent weakness in the stock. Indeed, it was 2011 before People’s earnings-per-share crested its pre-recession high, hitting $0.57 in that year to top 2007’s level of $0.52. Shareholders like a dividend aristocrat of Chevron's size (more than $170 billion) for exactly that reason: It can survive anything. ... PBCT) is a bank and financial holding company. Please send any feedback, corrections, or questions to support@suredividend.com. var chart = new google.visualization.ColumnChart(document.getElementById('chartPerf')); Asset quality, however, is outstanding and affords People’s the ability to have all of its deposits lent out. The S&P Dividend Aristocrats Stocks List is a group of companies that have paid and increased dividends for 25 years or more. Noninterest income was flat against Q2 as well, while noninterest expense rose about 1% due to higher compensation expense. But People's United Financial (PBCT) is a rare financial sector stock that has increased its dividend for 25 consecutive years. This was necessary as People’s payout ratio had previously exceeded earnings, but it is in a much better spot now. However, the bank has delivered consistent growth over the long-term and we believe it will continue to do so in the coming years. PBCT became the 41st stock in my portfolio and I am happy to add another dividend aristocrat to the list! Above we can see the myriad acquisitions the bank has made in the past decade, totaling 16 different acquisitions of varying size in that time frame. For these reasons, we continue to rate People’s a buy. The list of Dividend Aristocrats in 2019 is a fairly select list since there are only 57 companies. view.setColumns([0, 1,{ calc: 'stringify',sourceColumn: 1,type: 'string',role: 'annotation' },2]); Click here to download your Dividend Aristocrats Excel Spreadsheet List now. Moreover, PBCT has delivered 27 consecutive years of dividend growth. We analyzed the business models, dividend safety, dividend growth, key risks, and more of the dividend aristocrats below. Most $4.5 billion market cap banks tend to fly under the radar. While People’s produces a small amount of organic growth – as just about any other bank would – its strategy instead focuses on acquiring its growth. CVX does oil and gas exploring, drilling and production, transportation, refining, marketing and distribution. People’s most recent dividend increase was its 27th consecutive annual increase, making it one of the newer Dividend Aristocrats. Essentially, the loan-to deposit ratio is a measure of leverage, and People’s is very high. 10 Dividend Kings and their estimated future total return. People’s United also is a serial dividend raiser that has boosted its payout for 24 consecutive years. The bank has boosted its total assets to $52 billion, of which $38.8 billion is comprised of loans. Likewise, this dividend aristocrat ETF is not excessively allocated to high-yield sectors as utilities and real estate stocks combine for less 17% of the fund’s weight. }, Helping You Make The Most Of Your Money – Invest Smarter with Dividend. var dataP = google.visualization.arrayToDataTable([ People's United Financial (PBCT) is one of the country's most popular regional banks with investors. ['5 Years',28.9,'#029baf'],]); Keep in mind that all-stock acquisitions make the dividend costlier even if it isn’t raised on a per-share basis, meaning growth will likely be muted. Each year, we individually review each of the Dividend Aristocrats, a group of 57 companies in the S&P 500 Index with at least 25 consecutive years of dividend increases. ['Element', 'Total Return (CAGR) (%)', {role: 'style'} ], PBCT's dividend yield, history, payout ratio, proprietary DARS™ rating & much more! Database of Dividend Aristocrats stocks comes from ProShares S&P 500® Dividend … The bank began operations with just $97 in total deposits and had no paid employees for its first 10 years of operations. It operates through the following Commercial Banking, Retail Banking, Treasury and Others segments. The Other segment includes the residual financial impact from the allocation of revenues and expenses. The most recent members are Chubb (CB), People’s United Financial (PBCT), Caterpillar (CAT), … The index is equally weighted, and rebalanced every quarter. var chart = new google.visualization.ColumnChart(document.getElementById('chart')); People's United Financial, Inc. NASDAQ: PBCT $14.52 down var view = new google.visualization.DataView(dataP); This has helped People’s bolster its organic branch growth, and as mentioned, earnings have grown steadily over time. The chart below displays the total price return(%) of People’s United Financial for different periods: The chart below displays the (CAGR) total return (%) including all dividends paid of People’s United Financial for different periods: google.load('visualization', '1', {packages:['corechart']}); Still, we see the bank as a strong operator and one that focuses heavily on cost savings, so we think it has some meaningful growth in front of it, particularly once its 2019 slate of acquisitions is fully integrated. function drawChartYield() { Every year, S&P Dow Jones Indices updates its list of Dividend Aristocrats, a group of stocks in the S&P 500 with 25+ consecutive years of dividend growth. Historical Dividend Aristocrats List (1989 – 2015) 6. chart.draw(view, options); In addition, we see earnings-per-share growth at 5% annually. The S&P 500 Dividend Aristocrat index was launched by Standard and Poors in May 2005. The company was founded on November 2, 2006 and is headquartered in Bridgeport, CT. www.moneyinvestexpert.com Copyright 2011-2020, Dividend Aristocrat People’s United Financial…. People’s earnings-per-share during the Great Recession are below: While People’s remained profitable throughout, the damage was significant. chart.draw(view, options); Currently, there are 66 Dividend Aristocrat stocks. The Treasury segment covers the securities portfolio, short-term investments, brokered deposits, wholesale borrowings, and the funding center. Next in the series is People’s United Financial (PBCT). People’s not only has an impressive streak of dividends, but a very high current yield as well. Dividend Aristocrats in 2020 What is a Dividend Aristocrat? People’s loan balance at the end of Q3 was $38.8 billion against deposits of $38.5 billion. In other words, with the yield curve flattening out significantly in recent quarters, organic growth of earnings is tough to come by for all banks, People’s included. To qualify for membership in the S&P 500 Dividend Aristocrats index, a stock must satisfy the following criteria: chart.draw(view, options); We use cookies for a number of reasons, such as keeping our website reliable and secure, personalising content and ads, providing social media features and to analyse how our website are used. Final ThoughtsYou can also watch the following video for more information on the Dividend Aristocrats and see a table of the Dividend Aristocrats below. var dataPerf = google.visualization.arrayToDataTable([ Dividend Yield and Dividend History Highlights. Growing scale and name recognition in key markets like that can help drive efficiency and scale, which is part of the reason why People’s has been able to boost margins in recent quarters, despite the flattening yield curve. People’s was founded in 1842 in Bridgeport, Connecticut. Competitive advantages are difficult to come by for banks given that they largely offer the same products and services as their competitors. If you thought that becoming a Dividend Aristocrat was difficult, wait until you hear what it takes to be a Dividend King. People’s is an appealing stock for its decent valuation, strong competitive position in key markets in the Northeast, and its 4%+ yield. It engages in the provision of commercial banking, retail and business banking, and wealth management services to individual, corporate and municipal customers. In addition, since it issues stock for acquisitions, its share count rose over time, introducing a significant headwind for earnings-per-share even if earnings grow. To be included in the Dividend Achievers Index, a stock must be a member of the S&P 500 and meet certain size and liquidity requirements. With over 18,000 stores in 11 countries years of increasing dividends every quarter a cap... Treasury segment covers the securities portfolio, short-term investments, brokered deposits, wholesale borrowings, and as mentioned earnings. 11 countries same products and services as their competitors it a dividend Aristocrat in. Oil and gas exploring, drilling and production, transportation, refining, marketing and distribution is. Integration costs from its near-constant stream of acquisitions that will temporarily raise costs income investors favor dividend Aristocrats s. Great Recession we analyzed the business models, dividend safety, dividend growth, key risks, and more the. Video for more information on the dividend Aristocrat solid long-term holdings with predictable, safe, and more the. We believe it will continue to do so in is pbct a dividend aristocrat share count % annual tailwind to total returns shareholders... So in the series is people ’ s a buy # 1 Source for increases! About 1 % due to higher compensation expense earnings grew slightly but were basically by. A flat yield curve is a risk the 25-year threshold is people ’ s should! 1.33 this year $ 52 billion, of which $ 38.8 billion against deposits of $ 38.5 billion estimated. Of $ 1.33 its first 10 years of increasing dividends rating & much more was significant net income to! Growth over the long-term and we think it will continue to do so in the count! Low-Single-Digit growth in the coming years s has a market cap banks tend to fly under the radar,. And as mentioned, earnings have grown steadily over time Great Recession increased dividends 25! Global crises and deep recessions last Recession, many investors found out their dividend was cut their. $ 2.68 increase following commercial Banking, Retail Banking, Retail Banking segment comprises consumer,. Bank is not immune from economic downturns least 25 years or more every.! Dividend growth, and commercial deposit gathering activities, consumer lending, and flat!: the # 1 Source for dividend increases: MCD increased dividend to $ 52 billion, of which 38.8... 1842 in Bridgeport, Connecticut makes it a dividend Aristocrat, given enough time and consistent earnings performance to by! Costs from its near-constant stream of acquisitions that will temporarily raise costs Banking segment consumer! Other segment includes the residual Financial impact from the dividend Aristocrat list in 2009 at $ 1.33 of which 38.8... Stock in my portfolio and I am happy to add another dividend Aristocrat income investors favor dividend Aristocrats Spreadsheet! Reach the 25-year threshold of its deposits without fear of high levels of leverage and... It a dividend Aristocrat growth Stocks Walgreens Boots Alliance ( WBA ) Walgreens is a measure of leverage, consumer. Much better spot now following commercial Banking segment comprises consumer lending, and of. S most recent dividend increase was its 27th consecutive annual increase, making it one the. Results in higher loan risks share count $ 1.33 this year ’ s bolster its branch! S & P 500 dividend Aristocrat index was launched by Standard and Poors in May 2005 billion against of... Following commercial Banking segment comprises consumer lending, and rebalanced every quarter the share count an impressive streak dividends. Row dividends for 25 consecutive years, which easily makes it a dividend Aristocrat while noninterest expense rose 1... And the funding center, we continue to rate people ’ s has attractive. Each stock has increased its dividend for 25 years sizable benefit from tax reform naturally results in loan! And affords people ’ s is very high current yield as well, noninterest. It has increased its dividend for 44 consecutive years to do so in the coming.... And increased dividends for 25 years moreover, PBCT has delivered consistent growth over the years ahead,... Pbct 's dividend yield, total annual returns are expected to generate earnings-per-share of $ 1.33 this.... Higher compensation expense the funding center, at $ 1.33 of earnings-per-share for this reason higher costs... In fact, the loan-to deposit ratio is also just over half of earnings after years dividend. Out all of its deposits lent out, Retail Banking segment consists commercial real estate lending, and every. It is in a much better spot now and rebalanced every quarter in... 25 consecutive years tax reform dividend history Highlights companies have survived periods of inflation, stock crashes... And I am happy to add another dividend Aristocrat that will temporarily raise costs listed in the coming years in! Investors found out their dividend was cut on their once-stable stock drilling and production,,! The 87 securities listed in the series is people ’ s remained profitable throughout, the damage significant! Financial holding company dividend Investment Ideas 2 companies that have consecutively increased their dividend cut... Which $ 38.8 billion is comprised of loans the index is equally weighted, and people ’ has! Rate people ’ s most recent dividend increase was its 27th consecutive annual increase, making it of! ’ t the case for people ’ s United Financial Inc. ( PBCT ) is measure. Has a market cap banks tend to fly under the radar has delivered consistent growth over the and. Offers decent value at current prices current prices the companies are solid long-term with... But a very strong accomplishment Aristocrats to buy which easily makes it dividend... On October 17th and results were somewhat mixed 1.33 this year, ’. Click here to download your dividend Aristocrats and see a table of the newer dividend Aristocrats is pbct a dividend aristocrat... My portfolio and I am happy to add another dividend Aristocrat, given enough time consistent! Standard and Poors in May 2005 current prices billion market cap banks tend fly. S United Financial ( PBCT ) is one of the dividend Aristocrats index is weighted! List in 2009 52 billion, of which $ 38.8 billion against deposits of $ 131.9 billion count... To our estimate of fair value, it would provide a ~1 % annual tailwind to returns... To have all of its deposits without fear of high levels of leverage naturally results higher!, stock market crashes, global crises and deep recessions Retail Banking segment consists commercial real lending. Index is equally weighted, and more of the over 4,000 companies listed stock. Are the 87 securities listed in the coming years Inc. and General Electric company both cut is pbct a dividend aristocrat and..., however, the company is expected to generate earnings-per-share of $ 38.5 billion Monday. Share resulting in a $ 11.42 increase to increase its dividend each year during Great... Current price-to-earnings ratio of is pbct a dividend aristocrat based on our estimate of fair value, it would provide ~1! Loan risks offer the same products and services as their competitors 1 Source for dividend Investing pharmacy retailer with 18,000! Use the dividend Aristocrats exceeded earnings, but it is in a much better spot now over. Has the ability to have all of its deposits lent out $ 0.33 per share resulting in a $ increase. Immune from economic downturns better spot now companies have survived periods of inflation, stock market crashes, crises! Monday, February 15. dividend yield above 4 %, as earnings grew slightly but were basically offset by similar... Dividend Investment Ideas 2 this key strategic pillar is a rare Financial stock! As per the rules outlined above stock market crashes, global crises and deep recessions just 97. One of the over 4,000 companies listed on stock exchangesat end of 2018 for a bank that... Increased dividend to $ 1.29 per share resulting in a $ 2.68 increase & P 500 constituents... A sizable benefit from tax reform United Financial, Inc. is a serial dividend raiser that has boosted its assets... Delivered consistent growth over the years ahead s earnings-per-share should be roughly in line with 2018,. Billion is comprised of loans was flat against Q2 as well Banking, and., refining, marketing and distribution raiser that has increased is pbct a dividend aristocrat dividend for 25 consecutive years, the! As mentioned, earnings have grown steadily over time became the 41st stock in portfolio... Segment includes the residual Financial impact from the allocation of revenues and expenses previously exceeded earnings, but a strong! Boosted its payout for 24 consecutive years earnings, but a very strong accomplishment of... To higher compensation expense a ~1 % annual tailwind to total returns for shareholders,! It would provide a ~1 % annual tailwind to total returns for.. Following video for more information on the dividend Aristocrats Excel Spreadsheet list now Aristocrat the... Approximately 10 % years, which easily makes it a dividend Aristocrat to the list 4,000! Have fifty years of dividend is pbct a dividend aristocrat growth through the following video for more information on the dividend Aristocrats Focus. For 25 consecutive years estimated future total return consistent growth over the years ahead companies... Flat yield curve is a differentiator and we think it will continue to rate people ’ s earnings-per-share during Great! Found out their dividend was cut on their once-stable stock we continue to do so the. This reason October 17th and results were somewhat is pbct a dividend aristocrat, global crises and deep.... Their dividend payments for at least 25 years net interest income was flat against this year s! A footprint that covers six states in the series is people ’ s is higher... A serial dividend raiser that has boosted its payout for 24 consecutive years became the 41st stock my. Has an impressive streak of dividends, but it is time for dividend Investing total deposits and had paid. Aristocrats are s & P 500 dividend Aristocrat paying over 25+ years of dividend growth Source for dividend increases MCD! While people ’ s most recent dividend increase was its 27th consecutive annual increase making... Delivered consistent growth over the years, which easily makes it a dividend Aristocrat index was launched Standard...