The name of the game these days is spin-offs. After the rise of the conglomerates, managers, activists and shareholders have realized that focused businesses often provide plenty of extra value and rewards to their owners. Our newest Best Dividend Growth Stocks Model pick is proof positive that this is true. Since its spin-off, our pick has provided plenty of returns for its investors, including a 20% five-year annual dividend growth rate!
You can check out the Best Dividend Growth Stocks Model Portfolio to explore all the stocks.
Our pick was a spin-off of a major industrial concern and focuses its attention on the security sector of the market, which includes everything from physical combination locks and bike locks to steel access doors and hardware. With some of the top global brands in these areas, our pick dominates the industry and features steady cash flow.
Increasingly, these products have focused on high-tech security products. Electric, wi-fi enabled and smartphone-controlled products are quickly becoming a big part of its businesses as well as high-tech security monitoring devices. This has added a touch of higher growth to the firm’s bottom line. More and more customers have turned to these options for their homes and businesses.
With a history of smart M&A, steady rising demand and newfound high-tech growth, our pick has continued to provide plenty of cash flow to its investors.
In order to make room for our new security player, we’ve removed a defense contractor.
