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3 Dividend Stocks That Recently Raised Their Payouts

If you’re looking to boost your portfolio’s value over the long term, dividend stocks are a great way to do just that. Below are three stocks that not only pay a good dividend, but that have recently hiked their payouts as well.

Pembina Pipeline Corp (TSX:PPL)(NYSE:PBA) released its quarterly results earlier this month, announcing that the company would be increasing its monthly dividend payments from 19 cents to 20 cents for an increase of 5%. Pembina has regularly hiked its payouts over the years, making the eighth consecutive year in which it has done so.

Five years ago, Pembina was paying a monthly dividend of 14 cents, meaning that it has grown by 43% during that time and averaged a compounded annual growth rate (CAGR) of 7.4%. With the stock down 4% in the past month combined with the hike in dividends, that has helped push Pembina’s annual yield to more than 5%.

The stock offers more than just dividends, as it also has a lot of potential upside. With sales up 7% in its most recent quarter and the company consistently posting a profit, it’s not a bad buy for those who want to make a relatively safe bet on oil and gas.

A&W Revenue Royalties Income Fund (TSX:AW.UN) has been doing very well for a dividend stock in 2019, rising more than 26% year to date. The company is coming off an impressive quarter where same-store sales were up 10% year over year. Along with the strong results, A&W announced it would be raising its monthly distributions by 4.8% and investors would now be receiving 15.4 cents. The company has already increased its dividends once in the past year and it too has made a habit of raising payouts.

In addition to being a good dividend stock, A&W has focused on providing healthy options for its consumers, a move that has proven to be successful for the company’s growth. The fast-food chain does appear to have the longevity and popularity needed to make it a great long-term investment, and with a growing dividend, it could help grow your portfolio’s value in multiple different ways. The stock recently hit a new 52-week high, as there’s been a lot of bullishness around A&W lately.

Loblaw Companies Ltd (TSX:L) is another good dividend stock to your portfolio. The company is also coming off a good quarterly result, announcing announced that its dividend payments would be rising from 29.5 cents every quarter up to 31.5 cents for an increase of 6.8%. At an annual payout of 1.9%, it’s still not nearly as high of a yield as the other two stocks on this list. However, the company has been making efforts to make its dividend a lot more competitive for investors. In 2014, quarterly dividend payments were 24.5 cents and have increased 29% since then for a CAGR of 5.2%.

With Loblaw, you wouldn’t be investing just for its dividend, but also for the overall stability that the stock offers. As one of the biggest brands in the country, investors needn’t worry about Loblaw suddenly struggling or closing up shop. While there are risks in the retail landscape, Loblaw has proven that it can weather the storm and find ways to achieve sales growth.

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Fool contributor David Jagielski has no position in any of the stocks mentioned. Pembina is a recommendation of Dividend Investor Canada.

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