We are buying these 7 dividend growth beauties
Dividend portfolio shake up to keep momentum going!
Today marks a decisive move in our dividend portfolio strategy. After extensive research and thorough preparation, we’ve pulled the trigger and added seven high-quality stocks to the portfolio. These new positions are driven by one central theme: robust dividend growth backed by solid fundamentals.
At the same time, we are taking a disciplined approach by removing four underperforming stocks—positions that have disappointed both in terms of price action and, crucially, dividend growth. Also we are selling three stocks that are doing just fine, but have to leave because we think we have found even better replacements.
Each of the 7 new purchases for our Dividend Hike Portfolio are ‘Focus Stock’ worthy investments that we will highlight later on in 2025 with a more detailed analysis. Three of our new buys are Dividend Heroes.
One notable exit is PepsiCo PEP 0.00%↑ , which is raising its dividend by just 5% this year—a clear signal of slowing momentum. In its place, we’ve identified a much stronger candidate with superior long-term growth potential and significantly more compelling dividend prospects. Another stock we are selling is Abbott Laboratories ABT 0.00%↑ the Dividend Aristocrat that is the second best performer YTD with a 18.4% gain. We think we have a replacement from the Health Care sector with a lower valuation, stronger balance sheet en better dividend growth prospects.
This rebalancing reflects our ongoing commitment to quality, performance, and sustainable income growth.
One of the stocks that we are buying just announced a big 20% dividend hike last week. This stock is one of the Dividend Heroes with now 13 consecutive years of (double digit) dividend hikes. Another one that we are buying is actually raising its dividend each single quarter; they just did their second dividend hike in 2025. Want to know what stocks we are talking about?