Their payouts look safe despite rising costs

Article Excerpt

NEWELL BRANDS INC. $42 (New York symbol NWL; Conservative-Growth Payer Portfolio, Manufacturing & Industry sector; Shares o/s: 490.1 million; Market cap: $20.6 billion; Divd. yield: 2.2%; Divd. Sustainability Rating: Above Average; www.newellbrands.com) makes a variety of household goods such as pens (top brands include Sharpie and Paper Mate), coffee makers (Mr. Coffee) and baby strollers (Graco). North America supplies 78% of sales. On April 15, 2016, the company took its current form through the merger of Newell Rubbermaid and Jarden Corp. Starting with the quarterly dividend payment in June 2017, investors receive $0.23 a share. That’s up 21.1% from $0.19. The new annual rate of $0.92 yields 2.2%. Partly due to acquisitions, sales in the second quarter, ended June 30, 2017, rose 5.1%, to $4.1 billion from $3.9 billion a year earlier. Excluding costs to integrate new businesses and other unusual items, Newell earned $0.87 a share (or a total of $421.9 million) in the quarter. That’s up 11.5% from $0.78 a..