Dividend Champion Portfolio – January Update

The High Yield Dividend Champion Portfolio is a publicly tracked stock portfolio on Scott’s Investments.  Its goal is to capture quality high yield stocks with a history of raising dividends.

The screening process for this portfolio starts with the “Dividend Champions” as compiled by DRIP Investing. The list is comprised of stocks that have increased their dividend payout for at least 25 consecutive years.  Stocks are then ranked on yield, P/E and 3 year dividend growth rate but payout ratio is no longer a factor.

Stocks are sold on the re-balance date (generally around the 5th of the month) when they drop out of the top 15 (to limit turnover) and are replaced with the next highest rated stock.

The top 25 stocks are below and displayed in order of their overall ranking (figures are from the end of December):

Name Symbol Yield P/E 3-yr
Target Corp. TGT 3.32 13.25 13.66
VF Corp. VFC 3.15 18.52 18.69
AT&T Inc. T 4.61 18.10 2.17
T. Rowe Price Group TROW 2.87 16.95 12.43
Old Republic International ORI 3.95 13.01 1.37
Consolidated Edison ED 3.64 18.19 2.90
Altria Group Inc. MO 3.61 25.42 8.59
Helmerich & Payne Inc. HP 3.62 999.00 28.76
Computer Services Inc. CSVI 2.82 19.27 20.89
Eagle Financial Services EFSI 3.42 15.42 2.57
Kimberly-Clark Corp. KMB 3.22 20.75 6.21
Coca-Cola Company KO 3.38 25.13 7.72
Emerson Electric EMR 3.44 22.66 4.70
Universal Corp. UVV 3.39 18.97 1.96
National Retail Properties NNN 4.12 40.55 3.62
Wal-Mart Stores Inc. WMT 2.89 14.99 3.26
PepsiCo Inc. PEP 2.88 22.95 9.11
Vectren Corp. VVC 3.22 20.86 4.37
Archer Daniels Midland ADM 2.63 17.29 16.45
ExxonMobil Corp. XOM 3.32 42.18 6.60
Mercury General Corp. MCY 4.14 27.12 0.41
Johnson & Johnson JNJ 2.78 20.18 6.74
McDonald’s Corp. MCD 3.09 22.75 4.98
Eaton Vance Corp. EV 2.67 19.75 9.45
Procter & Gamble Co. PG 3.19 23.82 4.12

There is no turnover in the portfolio this month.

The current portfolio is below:

Position Average Purchase Price Initial Purchase Date Percentage Gain/Loss Excluding Dividends
VFC 57.39 12/7/2016 -7.23%
ED 70.41 12/7/2016 3.17%
ORI 16.22 4/4/2014 17.08%
KO 41.29 12/7/2016 -0.61%
TGT 68.65 6/3/2016 4.05%
MO 58.14 1/7/2016 16.48%
TROW 71.35 7/5/2016 2.99%
HP 80.9 10/6/2014 -2.55%
UVV 56.96 10/6/2016 15.70%
T 38.13 3/7/2016 7.03%

The portfolio equity curve is below:

 

2 thoughts on “Dividend Champion Portfolio – January Update”

  1. Thanks for keeping us updated! I’m sure you covered this somewhere, but I can’t remember the answer. In your rankings list, what does the far right column mean? The one labeled “3-yr?” Is that 3-year return? Total including dividends?

    Thanks!
    Steve W

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