Yup, held these since 2010 and 2016 for WEC and FAST. One of the problems with strong dividend growers is the market rewards their well covered dividends growing well in excess of inflation with a higher stock price which produces a lower yielding stock. Trick is to find them and recognize strong cash flow growth early when yields are >3%.
Back in Sept and Oct, the S&P dropped to 3600 and the yields on some long term dividend payers and growers, like AFL, TXN and SJM had yields right at 3%. But I was greedy. At an S&P of 3500, I figured, yields would go up to 3.2 or 3.3%, so I blew it. S&P didn’t go to 3500. Dammmmmmm. These stocks grow their dividends at 8-10% consistently. Ahhhh, the cost of being greedy.
With only a few exceptions, I have bought most of my ports holdings at yields greater than 3% My base buy criteria is current yield > 3% and divi growth rate greater than 10% (both MRI and 5 yr CAGR). Utilities I treat a little different, requiring yield >3.5% and growth >6%.
I want to own quality companies and that is more of a judgement thing.
I have been burned by the too greedy thing countless times too. But have been trying hard to correct by buying if my criteria is satisfied and then buy more if the price falls further. That has worked well the last 6 months or so. It helps to remember what it was like when the market was powering upward endlessly not so long ago and how there was almost nothing of quality available at attractive yields.