Best Dividend Companies For 2014

Equity investors who are looking for income are often tempted by a particular stock's dividend yield. We believe they'd be wiser to focus on a company's expected dividend growth. That's the best way to earn long-term total returns.

Look at the amazing results of McDonald's (NYSE: MCD  ) over the past several decades, for example. The company has been able to deliver outstanding total returns by paying out higher and higher dividends each year over an extremely long time horizon. Ultimately, investors are willing to pay higher and higher prices for shares that offer a growing stream of dividends.

Given the importance of dividend growth for driving long-term, total returns, we've identified five remarkable companies that are projected to grow their dividends significantly over the next five years.

Best Dividend Companies For 2014: (BAJAJ-AUT.NS)

Bajaj Auto Limited manufactures and sells scooters, motorcycles, and three wheeler vehicles and spare parts in India and internationally. It sells its two wheeler products under Avenger, Pulsar, Discover, Platina, and Ninja brands. The company also provides three wheeler commercial vehicles, such as goods and passenger carriers. It sells its products and services through a network of two-wheeler and three-wheeler dealers. The company was founded in 1945 and is headquartered in Pune, India. Bajaj Auto Limited operates independently of Bajaj Holdings & Investment Limited as of May 28, 2008.

Advisors' Opinion:

• [By Admin]

  Unlike cars which are mostly bought through loans, three out of four two-wheelers are bought with own cash. Bajaj Auto would thus be able to bypass the interest rate impact as it seeks growth. After the exit of Honda from Hero Honda, the spotlight is on the second largest two-wheeler maker in the country. Investors who are bearish on Hero Honda could shift to Bajaj for the two-wheeler play. Under managing director Rajiv Bajaj, the company is focussing on a stronger product line and growth opportunity in emerging markets.

Best Dividend Companies For 2014: United Overseas Australia Ltd (EH5.SI)

United Overseas Australia Limited engages in the construction, development, and resale of residential and commercial land and buildings primarily in Australia and Malaysia. It is also involved in the investment of rental properties; and investment of UOA real estate investment trust. The company, formerly known as United Overseas Securities Limited, was founded in 1987 and is based in Osborne Park, Australia.

Best Growth Companies To Invest In 2014: Buffalo Wild Wings Inc.(BWLD)

Buffalo Wild Wings, Inc. engages in the ownership, operation, and franchise of restaurants in the United States. The company provides quick casual and casual dining services, as well as serves bottled beers, wines, and liquor. As of July 26, 2011, it had 773 Buffalo Wild Wings locations in 45 states in the United States, as well as in Canada. The company was founded in 1982 and is headquartered in Minneapolis, Minnesota.

Advisors' Opinion:

• [By Roberto Pedone]

  Buffalo Wild Wings (BWLD) is an owner, operator and franchiser of restaurants featuring a variety of boldly-flavored, craveable menu items. This stock closed up 6% to $103.58 in Wednesday's trading session.

  Wednesday's Volume: 1.55 million
  
  Three-Month Average Volume: 402,120
  
  Volume % Change: 319%

  From a technical perspective, BWLD ripped higher here back above its 50-day moving average of $98.38 with heavy upside volume. This move is quickly pushing shares of BWLD within range of triggering major breakout trade. That trade will hit if BWLD manages to take out its intraday high on Wednesday of $105.32 and then once it clears is 52-week high at $106.03 with high volume.

  Traders should now look for long-biased trades in BWLD as long as it's trending above its 50-day at $98.38 and then once it sustains a move or close above those breakout levels with volume that hits near or above 402,120 shares. If that breakout triggers soon, then BWLD will set up to enter new 52-week-high territory, which is bullish technical price action. Some possible upside targets off that breakout are $110 to $120.