Buy This Stock Before It Becomes a Dividend Aristocrat
It takes 25 years to become a Dividend Aristocrat, but a company doesn't suddenly become well run at the 25-year mark. That's why you'll want to take a close look at Omega Healthcare Investors (NYSE: OHI), which is sitting on an 18-year streak of annual dividend hikes. Adding to the allure is the company's generous 7.1% dividend yield. Here are some key facts to know about this healthcare real estate investment trust (REIT) as it keeps moving toward Aristocrat status.
Omega Healthcare has an 18-year streak of annual dividend increases, roughly seven years shy of Dividend Aristocrat status. However, the dividend has been stuck at $0.67 per share per quarter since November 2019. There's a good reason for this given the COVID-19 pandemic backdrop, but it means that the full-year dividend in 2020 increased over 2019 even though the dividend wasn't actually increased during the year.
In other words, the annual streak is still intact, but if Omega Healthcare doesn't increase its dividend by the end of 2021, its streak will end.
Source Fool.com
