These 3 Dividend Aristocrats Are Rated 100% Buy

What a difference a week makes. On November 10, 2022, the previous month’s CPI data came in under expectations resulting in all three indexes ending up solidly in the green. That said, 2022 has been a tough year for investors, and whether or not we’re still in for more pain remains to be seen. But the question remains, “what’s an investor to do with idle money?” Investing in companies with a history of dividend growth, such as dividend aristocrats, can be an excellent way to reduce risk, as dividend payments mitigate losses when the stock price decreases.

I’ll cover three dividend aristocrats with a 100% buy rating in this article, according to Barchart’s technical analysis.

Cintas Corporation (CTAS)

Cintas Corporation (CTAS) serves over one million businesses with various products and services, such as workwear, carpets, wipes, janitorial supplies, first aid and safety equipment, and courses. The company can trace its roots back to 1929. Its headquarters are in Cincinnati, with about 40,000 employees.

The company has 460 operational facilities, along with 13 distribution centers. CTAS’ operations are divided into seven solutions:

• Uniforms and Apparel
• Facility Services
• Flame Resistant Clothing
• Training & Compliance
• Promotional Products
• First Aid & Safety Service
• Fire Protection Services

Dividend growth investors will appreciate that Cintas has increased its dividend yearly since going public 39 consecutive years ago. It is also listed in the S&P 500 index, earning the company a place on the coveted Dividend Aristocrats list.

Barchart Opinion rates Cintas as a “100% Buy” and analysts expect Cintas’ have set a “high target” of $465.

Genuine Parts Company (GPC)

Genuine Parts Company (GPC) is a multinational service provider company that manufactures and sells automotive and industrial replacement parts. The company started in 1928, and today, it is headquartered in Atlanta, Georgia, U.S.

GPC currently has over 52,000 active employees and operates in over 10,000 locations in 15 countries. The company’s operations are divided into three divisions:

The Automotive Parts Group: Distributes spare parts, accessories, and services throughout the United States, Europe, and Mexico. This segment sells parts in North America under the NAPA Auto Parts brand name and is GPC’s largest division.

The Industrial Parts Group division provides more than 10 million industrial replacement parts and associated supplies. More than 170,000 MRO (maintenance, repair, and operations) and OEM (original equipment manufacturer) clients from various industries in North America and Australia are served by this segment.

The Electrical/Electronic Materials Group division provides process materials, production supplies, and fabricated parts. This segment operates under the name EIS, Inc. 

The company also had a division named The Office Products Group, which operated under S. P. Richards Company. But this division was sold to H.I.G Capital on June 30, 2020.

Dividend growth investors will note that Genuine Parts Corp has increased its dividend every year for the past 66 years. The company trades on the S&P 500 index, making it both a dividend aristocrat and a dividend king.

Barchart opinion rates GPC as a “100%” buy, and analysts have set a high target of $185.

ExxonMobil (XOM)

Exxon Mobil Corporation (XOM) is a multinational energy provider and chemical manufacturer. Exxon and Mobil merged to form the company in 1999, but its history dates back to 1870, when it was known as Standard Oil. Today, it is one of the world's largest publicly traded companies and is headquartered in Irving, Texas. 

Exxon Mobil sells fuels, lubricants, and chemicals under four brands worldwide: Esso, Exxon, Mobil, and ExxonMobil. The company’s global operations are divided into five sectors:

• U.S. Operations
• Guyana Operations
• Qatar Operations
• Indonesia Operations
• Papua New Guinea Operations

Exxon Mobil has increased its dividend for 38 consecutive years. The company is also listed in the S&P 500 index earning the company a place on the coveted Dividend Aristocrats list.

Barchart opinion rates Exxon Mobil a “100% Buy”. Furthermore, analysts expect XOM’s stock price to rise to a “high estimate” of $136.

Final Thoughts

Investing in dividend aristocrats like the ones in this article gives investors a little safety net, knowing they are investing in well-known companies with durable competitive advantages and management committed to shareholder value. 

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