“Apple (AAPL) has now paid the same quarterly dividend of $3.05 per share for 4 consecutive quarters,” Tradevestor writes for Seeking Alpha. “That brings up only one question in the minds of dividend growth investors. Is a dividend increase on its way?”
“The answer is an emphatic “yes” based on the factors discussed below. The article also lists a few points why Apple might in fact “need” the dividend increase,” Tradevestor writes. “Let us start with the obvious reasons why a dividend increase is almost guaranteed. Apple can afford it. And equally important, Apple needs it.”
“Most investors will agree that Apple’s days of super growth are behind it and that it, like the rest of the companies shown below, must attempt to please investors through dividends and buybacks as well,” Tradevestor writes. “This is not to say there will be no growth but the point should be clear… For the record, we believe the new dividend will be between $13.50/yr and $14/yr, an increase of 10% to 15%.”
Read more in the full article here.