Their dividends look safe despite the slump

Article Excerpt

NEWELL BRANDS INC. $20 (Nasdaq symbol NWL; Conservative-Growth Payer Portfolio, Manufacturing & Industry sector; Shares outstanding: 466.8 million; Market cap: $9.3 billion; Dividend yield: 4.6%; Dividend Sustainability Rating: Above Average; www.newellbrands.com) last raised its dividend with the June 2017 payment. Investors currently receive $0.23 a share, up 21.1% from $0.19. The new annual rate of $0.92 yields a high 4.6%. Activist investor Carl Icahn owns almost 10% of Newell. The billionaire supports the company’s plan to focus on nine key product lines: writing; baby; home fragrance; food; fishing; Jostens (jewellery); appliances and cookware; outdoor and recreation; and safety and security. As part of its strategy, Newell aims to sell its less-important operations for a total of $10 billion. It will also reduce its number of factories and warehouses by 50%. The company expects to complete the process by the end of 2019. In the quarter ended September 30, 2018, revenue fell 7.7%, to $2.28 billion from $2.47 billion a year earlier. Sales for Newell’s ongoing operations…