This Dividend King is Worth Buying in a Choppy Market

Bond yields have collapsed in May and early June, which has thrust income-yielding equities back into favour. Today, we are going to look at a stock that has achieved at least 50 consecutive years of dividend growth. For this reason, it qualifies as a dividend king.

Dover Corp. (NYSE:DOV) is a diversified manufacturing company. Some of its products and services include digital printing for fast-moving consumer goods, loaders for the waste collection industry, and pumps for transport of fluids. Shares of Dover have climbed 28.6% in 2019 as of mid-afternoon trading on June 4.

The company released its first quarter 2019 results on April 18. Revenue rose 5% year-over-year to $1.72 billion. Adjusted net earnings climbed 29% to $182 million and on an adjusted diluted earnings per share basis increased 38% to $1.24.

The bump in revenue and earnings was primarily due to positive trading conditions in Fluids and Engineered Systems segments. The solid quarter saw Dover reaffirm its full-year 2019 adjusted EPS guidance between $5.65 and $5.85.

In early May, Dover declared a quarterly cash dividend of $0.48 per share. The company has now achieved dividend-growth for 62 consecutive years.

Current forecasts have Dover bumping up its dividend in August 2019. In any case, its current dividend represents a 2% yield. Dover’s forward P/E of 15 makes it value solid even after a big run up in the first half of this year.