Top 7 Dividend Stocks for a Tax-Efficient Portfolio in 2024

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By: Aquib Nawab

Finance

Let's understand why these metrics are crucial. They help us identify strong investments based on consistent dividend payments, attractive yields, and the potential for dividend growth.

The Importance of Metrics

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United Parcel Service is a standout with a remarkable track record of 15 consecutive years of dividend increases. Investors are rewarded with an attractive 4% yield, and the company has demonstrated a 5-year dividend growth rate of 10.3%. UPS exhibits both resilience and potential for future growth.

1 - United Parcel Service (UPS)

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2 - Corning (GLW)

Corning is well-positioned for success in the 5G and specialty glass sectors. It offers a compelling 3.7% dividend yield, boasting 14 consecutive years of dividend growth. Additionally, its impressive 5-year dividend growth rate of 10.4% reflects its commitment to rewarding shareholders.

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Haverty Furniture shines with a decade of dividend growth and a 5-year dividend growth rate matching Corning's at 10.4%. What sets Haverty apart is its strong financial position, characterized by a robust free cash flow per share of $2.43 and a debt-free balance sheet.

3 - Haverty Furniture Companies (HVT)

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Cogent excels in the internet services sector, offering a forward dividend yield of 5%. With 11 years of consistent dividend growth and an estimated forward revenue growth rate of 24%, Cogent demonstrates its strength and potential for the future.

4 - Cogent (CCOI)

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5 - Extra Space Storage (EXR)

Extra Space Storage, with a vast portfolio of over 2,000 self-storage properties, showcases financial strength with a 4.4% dividend yield. Investors benefit from 13 years of dividend increases and a remarkable 5-year dividend growth rate of 14%.

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Magna International plays a crucial role in the electric vehicle (EV) sector and presents a strong 3.3% dividend yield. The company has consistently increased its dividend for six years, supported by a robust sales growth of 10% year-over-year.

6 - Magna International (MGA)

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Mercantile Bank shines in the regional banking sector with a 3.4% dividend yield and a 5-year dividend growth rate of 7.6%. Its success is underscored by robust commercial loan growth and a solid financial position.

7 - Mercantile Bank (MBWM)

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GuruFocus Screener Criteria

We used a special tool to pick these stocks. We focused on stocks that pay between 3% and 5%, have a history of increasing payments for over 10 years, and have a growth rate under 15%.

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