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Top Dividend Stocks of the Week: Pepsi

Here are some of the latest stocks to raise their dividends.
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Last week was a big week for dividends, as more than 20 companies increased their shareholder payouts and only one stock suspended its dividend. A dividend increase is a sign of a company's strength and management's confidence.

Stockpickr has reviewed the companies that recently raised their dividends and compiled a list of the Top Dividend-Increasers for the Week.

One of the biggest dividend increases last week courtesy of FactSet Research Systems (FDS), a producer of financial and economic information and fundamental corporate financial data. The company raised its quarterly dividend by 50% to 18 cents a share. The stock has a price-to-earnings ratio of 26, a P/E-to-growth (PEG) ratio of 1.4 and pays a yield of 0.8%.

FactSet shares are owned by the T. Rowe Price New Horizons Fund, a four-star Morningstar-rated fund managed by John Laporte. The fund also holds shares of Roper Industries (ROP), which has a yield of 0.5%, Oshkosh (OSK), which yields 1%, and Global Payments (GPN), which yields 0.2%.

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Barrick Gold (ABX) was another stock that upped its dividend last week, raising its semiannual payout by 33% to 20 cents a share. Barrick, the largest gold mining company in the world and a miner of copper, silver and zinc, offers a P/E of 30, a PEG ratio of 2.4 and a yield of 0.7%.

Barrick shows up in the portfolio of the Jennison Natural Resources Fund, a four-star Morningstar-rated fund managed by David Kiefer. Jennison also owns shares of Freeport-McMoRan (FCX), yielding 1.5%, Suncor Energy (SU), with a yield of 0.3%, and Schlumberger (SLB), yielding 0.8%.

Another notable dividend increase cam from big recession-proof play, PepsiCo (PEP). The sodamaker raised its annual dividend by 13% to $1.70 a share. The Purchase, N.Y., company just acquired Russia-based beverage company Sobol-Aqua JSC. Pepsi offers a P/E of 19, a PEG of 1.7 and a yield of 2.5%.

PepsiCo is a favorite of Navellier & Associates, a $4.5 billion fund managed by Louis Navellier. His other stocks include Potash (POT), which yields 0.2%, Vimpel-Communications (VIP), yielding 0.8%, and Lockheed Martin (LMT), with a 1.6% yield.

For more newly raised dividend plays, check out the Top Dividend-Raisers for the Week Ending May 10 at Stockpickr.com.


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