02-19-2016, 09:46 AM
(02-18-2016, 01:16 PM)RyanCMason Wrote: Great week for Dividend Growth Investors despite Walmart's low annual increase (1 cent a quarter). Walmart is in a tough spot now as their dividend growth is so small and there are many viable options with better dividend growth with similar yields (JNJ or PEP) or better yields with similar low dividend growth. (T, VZ, SO).
I'm okay with this, as they are allocating a considerable amount to buybacks (granted, not as good as a strong dividend increase). I read an article (can't find it now, but I wish I could) about how the Walton family is pressuring the board to keep dividend increases small and buybacks large. Their collective ownership % is rising, as are the rest of us who hold WMT. It speculated that they may even take WMT private down the road, but I want to be the last WMT shareholder standing, and I'll sell my stock to them for a great premium at some point.