Quarterly Report 2022 Q3 - Hunting for Large Dividend Increases
How am I doing?
Bond Yields Have Improved
But there is no guarantee that history will repeat itself
Dividend Increases/Decreases of Russell 1000 Index
At Miller/Howard, we are dedicated to increasing the income our clients earn from their portfolios
In an effort to learn what factors have led to sizable dividend increases
Valuation Versus Dividend Changes 1 - Price/Earnings
Valuation Versus Dividend Changes 2 - Free Cash Flow Yield
Valuation Versus Dividend Changes 3 - Free Cash Flow Yield
One of the key tenets of income investing is that dividends are dependable because management teams are loath to cut dividends
Growth Versus Dividend Changes 1 - Earnings Per Share Growth
Growth Versus Dividend Changes 2 - Free Cash Flow Growth
Growth Versus Dividend Changes 3 - Sales Growth
Dividend Coverage Versus Dividend Change 1 - Earnings Coverage
Dividend Coverage Versus Dividend Change 2 - Free Cash Flow Coverage
Why would free cash flow coverage work better than earnings coverage?
How does indebtedness affect dividend-paying behavior?
High Debt Makes Dividend Increases Less Likely
It can be easy for investors to talk themselves into buying levered companies
Do Prior Dividend Changes Predict Future Changes?
But our hunt is for sizable dividend increases
When evaluating performance, dividend increases offer a useful window into the long-term income potential of a portfolio
Miller/Howard Investments Disclosure