Performance 3. View PBCT's Dividend History ... Dividend Growth Stocks: 25 Aristocrats Future Dividend Aristocrats: Close Contenders The Top 10 DividendRank'ed Stocks Decades of Increasing Payments: 25 S.A.F.E. 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. It also increases potential risk, as high levels of leverage naturally results in higher loan risks. PBCT dividend stock reliability. Updated on November 25th, 2019 by Josh Arnold. "S&P 500® Dividend Aristocrats measure performance of S&P 500 companies that have increased dividends every year for 25 consecutive years."---us.spindices.com. Buying shares of a dividend aristocrat ETF can help you invest in dividend aristocrat stocks more easily and cheaply. That wasn’t the case for People’s. 1. The company has grown its dividend for the last 27 consecutive years and is increasing its dividend by an average of 1.46% each year. However, for a bank, that is a very strong accomplishment. People’s not only has an impressive streak of dividends, but a very high current yield as well. 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). For example, buying one share … S&P … This key strategic pillar is a differentiator and we think it will serve People’s well in the coming years. Final ThoughtsYou can also watch the following video for more information on the Dividend Aristocrats and see a table of the Dividend Aristocrats below. In addition, we see earnings-per-share growth at 5% annually. Net income came to $0.33 per share as net interest income was essentially flat against this year’s Q2. Historical Dividend Aristocrats List (1989 – 2015) 6. People’s loan balance at the end of Q3 was $38.8 billion against deposits of $38.5 billion. This outstanding asset quality means that it has the ability to lend out all of its deposits without fear of high levels of losses. Essentially, the loan-to deposit ratio is a measure of leverage, and People’s is very high. - us.spindices.com. Please send any feedback, corrections, or questions to support@suredividend.com. 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…. Should the stock revert to our estimate of fair value, it would provide a ~1% annual tailwind to total returns for shareholders. Dividend Aristocrats (Sorted by Dividend Yield) Here are the 65 S&P 500 Dividend Aristocrats sorted by dividend yield from highest to lowest. 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. 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. VFC increased dividend to $0.49 per share resulting in a $2.68 increase. 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. Sector Overview 4. Dividend Aristocrats Analysis (The Dividend Aristocrats In Focus Series) 5. Rock-solid dividend aristocrats you can bank on. AWR. Lee Jackson . This is a high expected rate of return, which earns a buy recommendation, particularly for income investors interested in the high current yield. To qualify for membership in the S&P 500 Dividend Aristocrats index, … 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. 5 Highest-Yielding Dividend Aristocrat Stocks to Buy Now for 2021. This stock is a Dividend Aristocrat. The Treasury segment covers the securities portfolio, short-term investments, brokered deposits, wholesale borrowings, and the funding center. Millions of investors own stocks that regularly pay out dividends of varying amounts per share, but few are familiar with an elite class of dividend stocks known as Dividend Aristocrats. Procter & Gamble Co. PG. Dividend Growth Streak. ABBV increased dividend to $1.30 per share resulting in a $15.84 increase. It engages in the provision of commercial banking, retail and business banking, and wealth management services to individual, corporate and municipal customers. 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. The company pays a current dividend yield of 6.51% with a dividend payout ratio of 56%. The 5-year average dividend yield is 4.07% (see red-line in chart). American States Water. 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. They're part of a special collection of dividend stocks that have managed to increase their payouts for at least 25 straight years. 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. The index is equally weighted, and rebalanced every quarter. In fact, the company continued to increase its dividend each year during the Great Recession. Dividend Aristocrat #5: People’s United Financial, Inc (NASDAQ: PBCT) The 52-week low for People’s United is $9.37 and is currently trading just over $11. People’s United Financial (PBCT) Valuation People’s United Financial’s current dividend yield of 4.04% is -1% below its 5-year average. People’s reported third quarter earnings on October 17th and results were somewhat mixed. However, the bank has delivered consistent growth over the long-term and we believe it will continue to do so in the coming years. For these reasons, we continue to rate People’s a buy. December Dividend Aristocrats Savor 6 Super Stocks. People’s has an attractive dividend yield above 4%, and growth potential for the years ahead. 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: Helping You Make The Most Of Your Money – Invest Smarter with Dividend. Click here to download your Dividend Aristocrats Excel Spreadsheet List now. Finding great dividend stocks is hard work. Thus, People’s offers decent value at current prices. The drop of -33.12% is a “average” performance during recession among the dividend aristocrats. The bank is not immune from economic downturns, and a flat yield curve is a risk. Headquartered in Bridgeport, People's United (PBCT) is a Finance stock that has seen a price change of 16.63% so far this year. This has helped People’s bolster its organic branch growth, and as mentioned, earnings have grown steadily over time. It crimps future growth potential simply because there isn’t much more the bank can do to boost it from very high levels, so this is not a lever the bank can pull to boost revenue growth going forward. A "dividend aristocrat" is an elite class of dividend stock that has increased its payout at least once a year for the last 25 years or more. This indicates the stock looks reasonably valued today. Finding great dividend stocks is hard work. 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. People’s has enjoyed class-leading asset quality over the years, and that continues today. Click here to download your Dividend Aristocrats Excel Spreadsheet List now. Combined with valuation changes and the current 4.4% yield, total annual returns are expected to reach approximately 10%. Competitive advantages are difficult to come by for banks given that they largely offer the same products and services as their competitors. "S&P 500® Dividend Aristocrats measure performance of S&P 500 companies that have increased dividends every year for 25 consecutive years."---us.spindices.com. Use the Portfolio Builder for Dividend Income Stocks: Dividend Aristocrats to display a table and chart of dividend income for the last (trailing) year of dividends for a portfolio of two or more stocks selected from the 65 Dividend Aristocrats in the following menu. However, People’s has proven to be adept at finding and acquiring growth in its key markets, and we have no reason to believe that won’t continue. A company that pays out close to half its earnings as dividends and retains the other half of earnings has ample room to grow its business and pay out more dividends in the future. › Dividend Aristocrats › Dow 30 ... A stock’s dividend reliability is determined by a healthy payout ratio that is higher than other stocks. The bank has boosted its total assets to $52 billion, of which $38.8 billion is comprised of loans. How To Use The Dividend Aristocrats List To Find Dividend Investment Ideas 2. Find the latest dividend history for People's United Financial, Inc. Common Stock (PBCT) at Nasdaq.com. Its performance during the Great Recession was not spectacular, but it did fare much better than many of its larger competitors in the banking industry. Recessions survived. In other words, People’s has lent out more than it has collected in deposits, for a loan-to-deposit ratio of just over 100%. Noninterest income was flat against Q2 as well, while noninterest expense rose about 1% due to higher compensation expense. Here are nine of the best dividend aristocrats to buy. At a time when both the S&P 500 and the financial sector both have yields just under 2%, People’s is sporting a 4.4% yield, making it very attractive to those seeking current income. Annualized net charge-offs in the past decade have been just 0.17%, which is well below most of its peers and the class average. 20, 2020 12:42 PM ET|| Includes: ABBV, ADM, AMCR, BEN, CAH, CVX, ED, FRT, KMB, LEG, MCD, NUE, O, PBCT, RTX, T, WBA, XOMby: Fredrik ArnoldFredrik Arnold The Dividend Dog … People’s has a strong history of dividend growth, particularly for the highly cyclical financial sector, which saw many of even its largest constituents cut their dividends during the financial crisis. However, that certainly does not insulate People’s from economic downturns. Dividend Aristocrats are an elite group. However, one way to offer an advantage is to grow scale in key markets, and that is exactly what People’s is doing with Boston as an example. This week I bought Nucor, Caterpillar, and People's Bank. Dividend Retirement Portfolio up 7.32% in November, Defensive Aristocrats update December 2020, 10 Dividend Aristocrats to Buy in December according to Wall Street, Two new dividend Aristocrats for 2021 and one at risk. This year’s earnings-per-share should be roughly in line with 2018 levels, at $1.33. Seeking AlphaDividend Quick PicksDecember Dividend Aristocrats Savor 6 Super StocksDec. People’s most recent dividend increase was its 27th consecutive annual increase, making it one of the newer Dividend Aristocrats. People’s is an appealing stock for its decent valuation, strong competitive position in key markets in the Northeast, and its 4%+ yield. The bank began operations with just $97 in total deposits and had no paid employees for its first 10 years of operations. 2. recessions. Growth has been robust since that time, however, and the company is expected to generate earnings-per-share of $1.33 this year. Net interest margin was unchanged at 3.12%, as small moves in loan yields and deposit costs offset. Thanks for reading this article. The builder assumes the same number of shares are owned for each stock. See the stock price chart below: People’s United Financial, Inc. (PBCT) Dividends 2007-2010. Dividend Aristocrat People’s United Financial has been able to increase dividends for … Stocks that have a longer growth streak than PBCT. The Retail Banking segment comprises consumer lending, and consumer deposit gathering activities, consumer lending, and merchant services. People’s United Financial, Inc. is a bank and financial holding company. It operates through the following Commercial Banking, Retail Banking, Treasury and Others segments. 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. Next in the series is People’s United Financial (PBCT). Well, the video capture got cut short, but for the sake of keeping records, I'm publishing it anyway. One shortcut to finding great dividend stocks is to look at the "dividend aristocrats… The Commercial Banking segment consists commercial real estate lending, commercial and industrial lending, and commercial deposit gathering activities. People’s has acquired its way to a footprint that covers six states in the Northeast US over time. People's United Financial pays an annual dividend of $0.72 per share, with a dividend yield of 5.57%. In the 177 years since that humble beginning, People’s has grown into a regional bank with more than 5,000 employees and almost 400 retail locations in the Northeast United States. To help you align the calendar to these stocks, here are the Dividend Aristocrats Payout Schedules organized by the common patterns they follow. People’s has a current price-to-earnings ratio of 12.2 based on our estimate of $1.33 of earnings-per-share for this year. 65 years of dividend growth. The company has a 13-year high dividend yield of 3.89%. A “dividend aristocrat” is an elite class of dividend stock that has increased its payout at least once a year for the last 25 years or more. People’s United Financial (PBCT) People’s United Financial is a regional bank and financial services … This was necessary as People’s payout ratio had previously exceeded earnings, but it is in a much better spot now. With 2020 thankfully almost over, many investors are looking to … December 24, 2020 8:28 am. 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. But People's United Financial (PBCT) is a rare financial sector stock that has increased its dividend for 25 consecutive years. Next in the series is People’s United Financial (PBCT). A Dividend Aristocrat is a company in the S&P 500 that has paid and increased its base dividend every year for at least 25 consecutive years. We are forecasting low-single-digit growth in the payout in the coming years for this reason. Other stocks mentioned: ABBV , BEN , CAH , CVX , FRT , O , T , WBA , XOM They have paid and grown their dividend payout every year since 1993. This was the case in Q3 again, as earnings grew slightly but were basically offset by a similar rise in the share count. The Other segment includes the residual financial impact from the allocation of revenues and expenses. - us.spindices.com. 28. years of consecutive increase. PBCT became the 41st stock in my portfolio and I am happy to add another dividend aristocrat to the list! View. Today, People’s produces $1.85 billion in annual revenue from its $52 billion in total assets, and the stock has a market capitalization of $7.1 billion. PBCT's most recent quarterly dividend payment was made to shareholders of record on Sunday, November 15. Rock-solid dividend aristocrats you can bank on. Now it is time for dividend increases: MCD increased dividend to $1.29 per share resulting in a $11.42 increase. Database of Dividend Aristocrats stocks comes from … 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. The payout ratio is also just over half of earnings after years of slow payout growth. This year, People’s is seeing higher integration costs from its near-constant stream of acquisitions that will temporarily raise costs. 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. Dividend Stocks Best High Dividend Stocks 2000-2020 The DividendRank Top 25 The Top 10 DividendRank'ed DJIA Components Feel-Good Income: 25 Socially Responsible Dividend Stocks Top Dividend Stocks … As you’re building your dividend portfolio, knowing the common patterns and schedules that companies pay their dividends is helpful. People’s earnings-per-share during the Great Recession are below: While People’s remained profitable throughout, the damage was significant. People’s was founded in 1842 in Bridgeport, Connecticut. Here are nine of the best dividend aristocrats to buy. Stock buyback: PBCT buyback: Website: www.peoples.com: Sector: Banking & Savings: Number of ETFs Holding PBCT: 93 (see which ones) Total Market Value Held by ETFs: $1,645,995,195: Total Market Capitalization: $5,502,000,000 % of Market Cap. Each stock has increased its annual dividend 25 or more consecutive years. Last year saw a sizable benefit from tax reform. One shortcut to finding great dividend stocks is to look at the "dividend aristocrats… The S&P Dividend Aristocrats index tracks companies in the S&P 500 that have increased dividends every year for at least 25 years in a row. "S&P 500 Dividend Aristocrats measure performance of S&P 500 companies that have increased dividends every year for 25 consecutive years." Published Sun, 20 Dec 2020 12:42:21 -0500 on Seeking Alpha. It has a diversified portfolio of financial services it can offer to customers, but its bread and butter is still core deposit-taking and lending activities. Asset quality, however, is outstanding and affords People’s the ability to have all of its deposits lent out. , of which $ 38.8 billion pbct stock dividend aristocrat deposits of $ 38.5 billion any feedback, corrections, or questions support... 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