If you’re a fan of mid caps and dividends, then this article was written with you in mind. I’ve scoured the market and compiled a list of three of the best mid-cap dividend stocks from different industries, so let’s take a quick look at each to determine if you should add one of them to your portfolio today.
1. First Capital Realty Inc.
First Capital Realty Inc. (TSX:FCR) is one of Canada’s largest owners, developers, and managers of grocery-anchored commercial real estate with interests in 159 properties. It currently pays a quarterly dividend of $0.215 per share, or $0.86 per share annually, which gives its stock a yield of about 4.2% at today’s levels.
Investors must also note that First Capital has raised its annual dividend payment for four consecutive years, and I think its slight growth in funds from operations, including 2% year-over-year growth to an adjusted $1.02 per share in fiscal 2015, and its reduced payout ratio, including 84.3% in fiscal 2015 compared with 85% in fiscal 2014, could allow it to continue this streak with a slight increase in the second half of the year.
2. WSP Global Inc.
WSP Global Inc. (TSX: WSP) is one of the world’s largest engineering professional services consulting firms. It currently pays a quarterly dividend of $0.375 per share, or $1.50 per share annually, which gives its stock a yield of about 4% at today’s levels.
Investors must also note that WSP Global has maintained its current annual dividend rate since 2012, and I think its ample free cash flow, including $2.13 per share in fiscal 2015, will allow it to continue to do so going forward.
3. ATCO Ltd.
ATCO Ltd. (TSX: ACO.X) is a diversified global corporation with operations in the utilities, energy, structures, and logistics industries. It currently pays a quarterly dividend of $0.285 per share, or $1.14 per share annually, which gives its stock a yield of about 3% at today’s levels.
Investors must also note that ATCO has raised its annual dividend payment for 22 consecutive years, making it one of the top dividend-growth plays in the market, and its 15.2% hike in January has it on pace for 2016 to mark the 23rd consecutive year with an increase.
Does one of these mid caps belong in your portfolio?
First Capital Realty, WSP Global, and ATCO are three of the most attractive dividend-paying mid caps in their respective industries. Foolish investors should take a closer look at each and strongly consider initiating positions in one of them today.
