Investors tend to ignore inflation rates because they’ve been low for years. We’ve only touched 3% annually once since the 2007-08 market crash, and the June reading was a paltry 1.6%. Thing is, companies still need to increase their dividends faster than the rate of inflation, or else their payouts will actually have less purchasing power than they were the previous year. And while 1.6% seems like an awfully low bar to clear (it is!), five Dividend Aristocrats have won this investor-cheating game of limbo, offering some of the most meager dividend growth on Wall Street of late. Dividend Aristocrats That Can’t Keep Up With Inflation...
PPG Industries, Inc. (NYSE:PPG) is a paints fiberglass specialist whose reach spans more than 70 countries, and in fact is the world’s largest coatings company. You could argue that PPG rival Sherwin-Williams Co (NYSE:SHW) has an excuse for its most recent dividend hike, which was unsatisfying at best. But I would say that excuse is flimsy. Unlike PPG and SHW, where the jury might still be out, Emerson Electric Co. (NYSE:EMR) looks just plain lifeless. At least Chevron Corporation (NYSE:CVX) has a healthier yield that sits north of 4%, but that’s the best thing I can say about its dividend. Steel and steel products manufacturer Nucor Corporation (NYSE:NUE) has had an exciting past year or so as it and other steelmakers.
Source: InvestorPlace
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5 Dividend Aristocrats That Can’t Keep Up With Inflation
Posted by D4L | Saturday, August 12, 2017 | ArticleLinks | 0 comments »________________________________________________________________
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