In my recent article quantitatively screening the Dividend Kings based on my criteria, I identified four stocks that are potentially interesting for Dividend Growth Investors. One of these was Emerson Electric (EMR). The company is a long time Dividend King, having paid a growing dividend for 62 straight years, one of the few public companies with 60+ years of increased dividends.
Emerson Electric has a dividend yield over 3%, a P/E ratio below the broader market average, a fairly conservative balance sheet, and a long history of growing dividends. With that said, there are some negatives in that historical EPS growth has been choppy, the payout ratio has recently been above my threshold criteria, and dividend growth has been only about 1% for the past few years. Emerson has also overpaid for acquisitions in the past that did not work out as well as expected.
Notably, The Dividend Power blog was recently selected as a Top 100 Dividend Blogs on the web by Feedspot.