As a new decade approaches, it’s a good time to think about putting a few stocks in your portfolio that can stand the test of time, potentially rewarding investors handsomely over the next 10 years. High-quality dividend stocks, boasting both quality underlying fundamentals and a track record of dividend payments, fit the bill…
Nike (NYSE:NKE) and Starbucks (NASDAQ:SBUX) are two good examples of attractive dividend stocks worth considering. Indeed, both companies recently increased their dividends, adding yet another year of dividend growth to their impressive dividend track record.
Here’s a look at both of these dividend stocks.
Nike
In November, athletic apparel and footwear retailer Nike announced an 11% increase to its quarterly dividend. The quarterly dividend comes out to 24 and a half cents per quarter, or $0.98 annually. That gives Nike a dividend yield of 1%.
The footwear and apparel company has strong fundamentals to support this dividend. Revenue in the company’s most recently reported quarter was up 10% year over year on a currency-neutral basis. Furthermore, this top-line growth was supported by growth across all of Nike’s geographies.
Finally, there’s Nike’s very low payout ratio. The company is currently paying out only 33% of its earnings in dividends, leaving significant breathing room for the dividend and increasing the odds of further strong dividend growth in the coming years.
The company has a long history of dividend growth, with 18 years of consecutive increases.
Starbucks
Coffee giant Starbucks announced a dividend increase on Oct. 30. The company…
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