In short, they have competitive economic advantages (moats), are extremely well run, have sound balance sheets, get fine credit ratings and pay dividends that are safe and growing.
It’s a classic ‘pick-and-shovel play’… and while it doesn’t make semiconductors, cellphones, 5G networks or televisions, its cutting-edge products are absolutely vital to those industries (and more).
Our monthly contribution for April was divided between one of the largest and historically growthiest companies out there, and two proven performers that have been raising their dividends for decades.
Given the strong yield and incredible dividend growth — as well as the company’s solid fundamentals — I’ve been building its position within my personal portfolio as well as within the IBP.