Learn with me post 21!! 📚🤓
⚙️ New day new topic! Topics are ranging from well-known to unknown investing tools for any type of investor! Don’t want to miss any posts? Consider following me to stay up to date!
👉🏼 Today’s topic:
Dividend Growth Rate (DGR)
👉🏼 What does dividend growth rate mean?
The dividend growth rate is the percentage of growth of a particular company’s stocks over a period of time. Typically, this rate is calculated on an annual basis, considering the fact that companies increase their dividend payouts to shareholders, over a number of years. You can also calculate the dividend growth rate in stock markets on a quarterly, half-yearly or monthly basis, if required.
👉🏼 How do we calculate the growth rate?
It is possible to calculate the dividend growth rate however the process is too expansive to fit in the short nature of these posts, you can find the desired growth rate by simply googling it.
E.g. SeekingAlpha has sufficient data. Usually websites provide data in the following time periods, 3 years, 5 years and 10 years.
👉🏼 Benefits of assessing DGR in stock markets!
Calculating the dividend growth rate in stock markets can provide the following benefits to individual investors:
- Assessment of earnings from stocks
- Determining the intrinsic value of stock
- Freedom to calculate dividend growth rate for any time period
👉🏼 Who has grown their dividend the most?
1. 200% $OUT (Outfront Media Inc)
2. 200% $OWL (Blue Owl Capital Inc)
3. 133% $SAH (Sonic Automotive Inc)
4. 100% $ALC.ZU (Alcon Inc.)
5. 80% $AMH (American Homes 4 Rent)
*Somewhat reasonable growth used instead of obscene numbers.
👋 That’s where we’ll leave it for now, hopefully you’ve enjoyed this as much as I did putting it together! Stay tuned for the next post where we’ll dive into something new 📚!
Thank you for reading and see you tomorrow! 👊🏼
Kind Regards
Bjorn Crienen
Sources: Investopedia, Angelone, SeekingAlpha... Show More
