Last week was a great week to be a dividend investor. Not only did two of my top stocks declare fresh dividends, but both companies also raised those payouts. The ability to enjoy a rising dividend is one reason why I much prefer the income from my dividend stocks than the fixed rate I could be earning on a bond.
But not all dividend-paying stocks are equal. Some companies pay unsustainably high dividends, which is why it is important to double check the company's ability to actually pay its dividend, even if a raise would suggest investors have nothing to fear. With that in mind, let's drill down a bit deeper into the two companies that just gave me a raise.
A gushing of income growth
Oil and gas production company, ConocoPhillips (NYSE: COP ) , announced that it was providing investors with a 4.5% raise this week. The company's CEO, Ryan Lance, pointed out that "[a] compelling dividend is a key part of our offering to shareholders and this increase is aligned with our commitment to target consistent dividend growth over time." This is actually the first raise investors have seen in a while because the company has been in the process of a major three-year repositioning program in which it shed billions of dollars in assets, including its refining arm Phillips 66 (NYSE: PSX ) .
Hot Growth Stocks To Buy For 2015: FutureFuel Corp. (FF)
FutureFuel Corp., through its subsidiary, FutureFuel Chemical Company, engages in the manufacture and sale of specialty chemicals and bio-based products primarily in the United States. The company operates in two segments, Chemicals and Biofuels. The Chemicals segment provides custom chemical manufacturing services for specific customers, such as bleach activators for detergent and consumer products manufacturers; proprietary herbicide and intermediates for life sciences companies; agrochemicals; and industrial and consumer products, such as cosmetics and personal care products, ink colorants, adhesion promoters, polymer additives, polymer and specialty dyes, specialty polymers, photographic and imaging chemicals, and food additives. This segment also manufactures and sells a range of performance chemicals, including a family of polymer (nylon) modifiers and small-volume specialty chemicals for various applications; a family of acetal-based solvents, consisting of diethoxy methane, dimethoxymethane, dibutoxymethane, and glycerol formal; and phenol sulfonic acid that build on sulfonations technology. Its chemical products are used in various markets and end uses, including detergents, agrochemicals, automotive, photographic imaging, coatings, nutrition, and polymer additives. The Biofuels segment produces and sells biodiesel, as well as petrodiesel in blends with or without biodiesel. This segment also operates a granary in central Arkansas that involves in the purchase and sale of agricultural commodities, primarily soybeans, rice, and corn. This segment markets its biodiesel products by truck and rail directly to customers. FutureFuel Corp. was formerly known as Viceroy Acquisition Corporation and changed its name to FutureFuel Corp. in 2006. FutureFuel Corp. was incorporated in 2005 and is based in St. Louis, Missouri.Advisors' Opinion:
- [By Maxx Chatsko]
3. Focus on efficiency
A combination of factors plays a role in efficiently producing biodiesel. FutureFuel (NYSE: FF ) , which owns an annual capacity of 59 million gallons to complement its niche chemical business, relies heavily on location. The company's two biorefineries don't have a nationwide infrastructure to aid in getting product to the market and are dependent on rail and barge access. Despite the FutureFuel's amazing progress is improving its process -- annual capacity jumped from just 35 million gallons in 2011 to 59 million gallons today -- the company admits that its relatively small operations may cease to exist given changes in feedstock prices, government mandates, and tax credits. �
Top High Dividend Stocks To Invest In Right Now: Syntroleum Corporation(SYNM)
Syntroleum Corporation and its subsidiaries engage in commercializing and licensing its Syntroleum technologies to produce synthetic liquid hydrocarbons. Its Syntroleum process involves conversion of carbon containing material into synthesis gas; and conversion of the synthesis gas or coal-derived or biomass-derived syngas into hydrocarbons. The company also develops the Synfining Process technology for the conversion of Fischer-Tropsch wax into various products, including diesel fuels, jet fuels, lubricants, naphtha, and other materials. In addition, it offers the Bio-Synfining technology, a second generation renewable fuels technology that is feedstock flexible, including the use of vegetable oils, fats, fatty acids, and greases. Syntroleum Corporation was founded in 1984 and is based in Tulsa, Oklahoma.Advisors' Opinion:
- [By John Udovich]
As a new Government Accountability Office (GAO) report comes out about wasteful spending on biofuels, small cap renewable biofuel stock Gevo, Inc (NASDAQ: GEVO) reported earnings that came in below expectations -�meaning its worth taking a closer look at the GAO report, the stock and the performance of KiOR Inc (NASDAQ: KIOR), Solazyme Inc (NASDAQ: SZYM) and Syntroleum Corp (NASDAQ: SYNM).
- [By John Udovich]
Small cap biofuel or synthetic fuel stocks Gevo, Inc (NASDAQ: GEVO), KiOR Inc (NASDAQ: KIOR), Solazyme Inc (NASDAQ: SZYM) and Syntroleum Corp (NASDAQ: SYNM) all seem to have been seeing some trading action in recent days���meaning its worth taking a closer look at all four�before taking a look at their rather dismal�long term performance while noting that none are yet profitable:
Top High Dividend Stocks To Invest In Right Now: Coleman Cable Inc.(CCIX)
Coleman Cable, Inc. designs, develops, manufactures, and supplies electrical wire and cable products for consumer, commercial, and industrial applications primarily in the United States and Canada. It provides industrial wire and cable products, including portable cords, machine tool wiring, building wires, welding, mining, pump, control, stage/lighting, diesel/locomotive, instrumentation, tray, thermocouple, high temperature, and metal clad cables, as well as other power cord products under the Royal, Seoprene, Copperfield, Continental, Triangle, and Corra/Clad brand names. The company also offers assembled wire and cable products comprising various types of extension cords, ground fault circuit interrupters, portable lighting, retractable reels, holiday items, solar lighting, recreational vehicle cords and adapters, and surge and strip products, as well as booster cables, battery cables, and battery accessories for the automotive aftermarket. It provides assembled wire a nd cable products under the brand names of Woods, Moonrays, Polar Solar, Yellow Jacket, American Contractor, Road Power, Power Station, Booster-in-a-Bag, TRC, Shock Shield, Electra Shield, Fire Shield, and Designers Edge, as well as privately-labeled brands. In addition, the company offers electronic wire products, such as telephone, data, security, coaxial, industrial automation, instrumentation, twinaxial, fire alarm, plenum, and home automation cables that connect devices under the Signal, Plencote, Soundsational, and Clear Signal brand names. Further, it provides fabricated bare wire products consisting of stranded, bunched, and single-end copper, copper-clad steel, and various copper alloy wires under the brand name of Copperfield. The company sells its products to specialty distributors, retailers, and original equipment manufacturers. Coleman Cable, Inc. was founded in 1970 and is based in Waukegan, Illinois.Advisors' Opinion:
- [By Seth Jayson]
Calling all cash flows
When you are trying to buy the market's best stocks, it's worth checking up on your companies' free cash flow once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That's what we do with this series. Today, we're checking in on Coleman Cable (Nasdaq: CCIX ) , whose recent revenue and earnings are plotted below.
- [By Damian Illia]
On Jan. 17, Mario Gabelli (Trades, Portfolio), the chairman and chief executive officer of GAMCO Investors Inc., bought Coleman Cable Inc. (CCIX) at an average price of $23.26 and currently holds 729,100 shares of the stock. He is betting in favor of the Electrical Components & Equipment sub-industry.
Top High Dividend Stocks To Invest In Right Now: Edelman Financial Group Inc(EF)
The Edelman Financial Group Inc., through its subsidiaries, provides wealth management and institutional services principally to individuals, corporations, and financial institutions. Its Wealth Management segment provides investment advisory, wealth and investment management, and financial planning services to high net worth and mass affluent individuals and institutions, including investment strategies and alternatives, tax efficient estate and financial planning, trusts, and agent/fiduciary investment management services, as well as private client brokerage services. The company?s Institutional Services segment provides institutional equity brokerage and hedge funds research to various institutions, which include banks, retirement funds, mutual funds, endowments, investment advisors, and insurance companies; and prime brokerage services, such as trade execution, clearing, bookkeeping, reporting, custodial, securities borrowing, financing, research, and fund raising to hedge fund clients. This segment also maintains asset management accounts on behalf of individual asset managers; and provides research, sales, and trading services to institutional investors. In addition, the company provides sports representation and management services to professional athletes, principally professional football players. It was formerly known as Sanders Morris Harris Group Inc. and changed its name to The Edelman Financial Group Inc. on May 26, 2011. The Edelman Financial Group Inc. was founded in 1998 and is headquartered in Houston, Texas.Advisors' Opinion:
- [By CRWE]
The Edelman Financial Group Inc. (NASDAQ:EF) reported that Ric Edelman will assume the role of Chief Executive Officer. For the past year, both Mr. Edelman and George L. Ball had served as Co-Chief Executive Officers of the Company. Mr. Ball will continue in his position as Chairman.
Top High Dividend Stocks To Invest In Right Now: Hydrogenics Corp (HYGS)
Hydrogenics Corporation, incorporated on June 10, 2009, together with its subsidiaries, designs, develops and provides hydrogen generation and fuel cell products based on water electrolysis technology and proton exchange membrane (PEM) technology. The Company conducts its business through two business units: OnSite Generation, which focuses on hydrogen generation products for renewable energy, industrial and transportation customers, and Power Systems, which focuses on fuel cell products for original equipment manufacturers (OEMs) systems integrators and end users for stationary applications, including backup power, and motive applications, such as forklift trucks. The Company�� products include HySTAT hydrogen generation equipment in its OnSite Generation business and HyPM fuel cell products in its Power Systems business.
The Company maintains operations in Belgium, Canada and Germany. Its OnSite Generation business segment is based in Oevel, Belgium and develops products for industrial gas, hydrogen fueling and renewable energy storage markets. The Company�� Power Systems business segment is based in Mississauga, Canada, with a satellite facility in Gladbeck, Germany, and develops products for energy storage, stationary and motive power applications.
The Company�� OnSite Generation business segment, is based on water electrolysis technology, which includes the decomposition of water into oxygen (O2) and hydrogen gas (H2) by passing an electric current through a liquid electrolyte. Its brand includes HySTAT electrolyzer products, which is configured for both indoor and outdoor applications. Its OnSite Generation products are sold to merchant gas companies, such as Air Liquide and Linde Gas and end-users requiring hydrogen produced on-site for industrial applications. The Company also sells and services products for oil and gas companies, such as Shell Hydrogen, requiring hydrogen fueling stations for transportation applications.
The Company�� Power Systems business segment is based on PEM fuel cell technology, which transforms chemical energy liberated during the electrochemical reaction of hydrogen and oxygen into electrical energy. It also develops and delivers hydrogen generation products based on PEM water electrolysis, which can also be used to serve the energy storage markets. Its target markets include backup power for telecom and data centre installations and motive power applications, such as buses, trucks and utility vehicles. The Company�� Power Systems products are sold to original equipment manufacturers (OEMs), such as CommScope, Inc. (CommScope) to provide backup power applications for telecom installations and vehicle and other integrators for motive power, direct current (DC) and alternative current (AC) backup. In addition, its products are sold for prototype field tests. The Company also sells its Power Systems products to the military.
HySTAT Hydrogen Stations
HySTAT Hydrogen Stations offer an on-site supply of hydrogen for a range of hydrogen applications, including vehicle fuelling, distributed power, and a variety of industrial processes. It also provides spare parts and service for its entire installed base.
As of December 31, 2011, the Company offered its HySTAT Hydrogen Station in multiple configurations based on the amount of hydrogen required. This product is suitable for producing continuous or batch supplies of hydrogen for industrial processing applications and generates between 10 - 60 normal cubic meters per hour (Nm3/hr) of hydrogen.
HyPM Fuel Cell Products
The Company�� HyPM fuel cell products provide electrical power from clean hydrogen fuel. Its HyPM fuel cell products include HyPM Fuel Cell Power Modules, HyPX Fuel Cell Power Pack, Integrated Fuel Cell Systems and Engineering Development Services. Its HyPM power module runs on hydrogen and produces direct current (DC) power. This product! is suita! ble for a range of stationary, mobile and portable power applications. The HyPM XR model is targeted at backup power applications and the HyPMHD model is targeted at motive power applications. The Company�� HyPX Power Pack includes a HyPM power module integrated with hydrogen storage tanks and ultracapacitors that provide higher power in short bursts. Its integrated fuel cell systems are built around its HyPM power modules and used for portable and stationary applications, including portable and auxiliary power units for military applications and DC backup power system for cellular tower sites. The Company also enters into engineering development contracts with certain customers for new or custom products.
The Company competes with Air Liquide and Linde Gas.Advisors' Opinion:
- [By Paul Ausick]
Peers Plug Power Inc. (NASDAQ: PLUG), Ballard Power Systems Inc. (NASDAQ: BLDP), and Hydrogenics Corp. (NASDAQ: HYGS) have also shared in the stock price run-up. Any investor expecting more from FuelCell�� results was, perhaps, being irrationally exuberant.
- [By John Udovich]
Small cap hydrogen fuel stocks Hydrogenics Corporation (NASDAQ: HYGS), FuelCell Energy Inc (NASDAQ: FCEL), HyperSolar Inc (OTCMKTS: HYSR) and HydroPhi Technologies Group, Inc (OTCMKTS: HPTG) are some of the lesser known small caps that are�working with hydrogen fuel or hydrogen fuel cell related technology. I should say that small cap hydrogen stocks are not for risk adverse investors as there are considerable unanswered questions about hydrogen fuel related technology and whether it can be a viable green technology given the fueling infrastructure needed along with the�energy and expense involved in creating hydrogen�(Note: None of these small cap�stocks are profitable at ). But any new technology will pose the same types of risks for early stage investors���especially if its so-called green technology.�
Top High Dividend Stocks To Invest In Right Now: Pixelworks Inc.(PXLW)
Pixelworks, Inc., together with its subsidiaries, engages in the design, development, and marketing of video and pixel processing semiconductors and software for digital video applications. Its products include ImageProcessor integrated circuits (ICs), which comprise embedded microprocessors, digital signal processing technology, and software that control the operations and signal processing within high-end display systems, such as projectors and high-resolution flat panels; Video Co-Processor ICs that work in conjunction with an image processor to post-process video signals to enhance the performance or feature set of the overall video solution; and Networked Display ICs, which allow the same video stream to be networked across multiple displays. The company serves the manufacturers of digital display and projection devices, such as liquid crystal display (LCD) large-screen televisions and 3LCD, and digital light processing digital front projectors, as well as the flat pa nel display market, including digital signage. Pixelworks, Inc. sells its products through its direct sales force, distributors, and manufacturers? representatives in Japan, Taiwan, China, Korea, the United States, Europe, and southeast Asia. The company was founded in 1997 and is based in San Jose, California.Advisors' Opinion:
- [By Paul Ausick]
Another heavily traded Nasdaq stock today is Pixelworks Inc. (NASDAQ: PXLW). The maker of of video processing chips said that Apple Inc. (NASDAQ: AAPL) contributed more than 10% to the company�� revenues last year. Analysts expect more upside for the company this year and next as a result. Pixelworks��shares are looking to close up 84.37% at $8.88 in a 52-week range of $2.11 to $9.05 (a new 52-week high today). Share volume was approaching 15-times more than the daily average of around 500,000 shares traded.