In my recent article quantitatively screening the Dividend Kings, based on my criteria I identified four stocks that are currently potentially interesting for Dividend Growth Investors. One of these was Target Corporation (TGT). The company is a relative newcomer as a Dividend King, having paid a growing dividend for 51 straight years. Importantly, it is the only general retailer that is a Dividend King. Even Walmart (WMT) has only paid a growing dividend for 46 years.
Target has a dividend yield over 3%, a P/E ratio (fwd) of 13.7, which is below the broader market average, a fairly conservative balance sheet, and a long history of growing dividends. Target has faced some recent difficulties. In 2017 the stock price was trading in the low $50s and the dividend yield was over 4%. The company’s top line and bottom lines are now rebounding as has the stock price.