Human resources or human capital management has changed a lot over the years. These days, it can be a complex nut to crack. Items like payroll, benefits management, and claims can be difficult to manage even for the largest organizations. It can pay to go with a specialist. And our latest Best Technology Dividend Stocks List pick happens to be one of the biggest. That status has rewarded investors with more than 40 years’ worth of dividend increases!
You can check out the Best Technology Dividend Stocks List to explore all the stocks.
The secret to our pick’s sauce is its dominant status in the human resource world and stickiness of switching providers. Since most firms go with a single provider for payroll, benefits, and claims management, switching to another firm is often a huge headache. This stickiness creates a lot of long-term contracts and cash flows for our pick. With jobs growth and the labor market still very healthy, our pick has continued to feast as the employment picture remains strong.
Meanwhile, our pick has a secret way to generate additional earnings: a hefty float. Our pick makes millions off payroll deposits waiting to be paid out. With interest rates rising, that float is generating even more income.
With new forays into data mining and other benefits applications, our pick has a long runway for additional growth and profits. And given its market-beating dividend growth rate, long history of buybacks, and current market matching yield, investors will share in the rewards.
In addition to our human resources stock, we’ve increased our position in a defense and technology focused consultant, while reducing our holdings in two network-focused stocks.
