Dividend investing for retirement Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Dividend investing for retirement

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Steve Felix who wrote (6296)	11/7/2010 12:32:26 PM
From: E_K_S	Read Replies (1) of 34328

Hi Steve - My dividend achiever I have recently been accumulating is MDU Resources Group Inc. (MDU). This stock has grown (split adjusted) from $2.00/share in 1980 to over $20.00/share in 2010 (20 years). MDU Resources Group (MDU) operates in six segments: Electric, Natural Gas and Oil Production, Construction Services, Pipeline and Energy Services, Construction Materials and Contracting, and Other. The company increased its quarterly dividend by 1.60% to 15.75 cents per share. MDU Resources Group is a dividend achiever, which has raised distributions for 19 years in a row. The company also boasts 72 consecutive years of uninterrupted quarterly common stock dividend payments. The stock currently yields 3.10%. The stock has been basing out at prices between $20.00/share and $30.00/share for the past five years. Currently it is selling at the low end of it's range. I expect that over the next 10 years, this company should realize at least a 10% annual growth rate in price while the company increases their dividend each year during this period. This will result in more than a two bagger in 10 years. The driver for the growth is their E&P division which I expect will deliver 20% compounded growth in two to three years. Their Fidelity Exploration & Production subsidiary ( fidelityepco.com ) is scheduled to complete well development on recently acquired acreage in the Green River Basin in southwest Wyoming and acquired leasehold interests in the Bakken area of western North Dakota. They have interests in the emerging oil shale play in the Niobrara formation in southeastern Wyoming and north-central Colorado. (see this link for more detail: investing.businessweek.com ). This represents more than a $200 million investment in 2010 by MDU for future growth. Not too shabby for an integrated utility company. I continue to accumulate shares below $20.00/share as I sell other winners so I can purchase more shares. This will become a top 10 holding for me soon and maybe even a top 5 position if I peel off some of my shares in the integrated oils since they continue to run higher with the Fed's QE2 stimulus program. EKS

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next