This Is A Must-Own Stock For Serious Dividend Growth Investors

Interested in owning stock in one of the best businesses the world has ever seen? Are you an Apple shareholder and excited about a potential boost to your passive dividend income? Want to know why Apple could soon be increasing its dividend?

Apple Inc. - stock ticker AAPL - is one of the best businesses humankind has ever seen. It's a true marvel. They sell products. They provide services. You could argue they're every type of business that exists. Tech, consumer, payments, even healthcare at this point. One of my favorite aspects of the business? They provide a safe, growing dividend... a dividend growth investing dream.

See, I only invest in companies that directly share with me my fair share of profits. As a shareholder, I own part of a publicly-traded company. The profit they earn is technically my profit. And that's where dividends come in. As corporate profit flows and grows, so should my dividend payments.

Well, Apple stock gets this. They really, really get this. They've increased their dividend like clockwork over the last decade. And I'm going to give you three reasons why they're about to do it again. Let's dig in.

The first reason is simple. They have a very consistent track record of doing this. They've increased their dividend for nine consecutive years. Somewhere between the last week of April and the first week of May, Apple increases their dividend. It's about as sure a thing as you'll find. The five year dividend growth rate is 9.7%, which is outstanding and well in excess of inflation. This makes up for the low yield of 0.7%. This isn't a big income stock. It's not your typical profile of the usual dividend stocks. It's instead a long-term compounder that'll exponentially grow your wealth and passive dividend income. I regard it as a must-own stock for serious dividend growth investors and possibly one of the best stocks to buy now.

The second reason Apple will soon increase their dividend? Just look at the money. You know, that giant pile of it. The dividend costs the company over $14 billion per year. Sounds like a lot. Until you realize they brought in over $57 billion in net income last fiscal year - during a global pandemic. And that's before getting into the cash on the balance sheet, which is substantial. That would, on its own, be enough to fund the dividend for years to come. This fortress balance sheet means the dividend isn't only sure to increase, but it's also one of the safest dividends out there.

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