The DivGro Weekly—16.06.23

133 Consecutive dividend increases

This week we received further real-time, tangible evidence of outstanding business progress when we collected our quarterly dividends from Home Depot, S&P Global and Cintas, all significantly higher than this time last year.

Having marked our calendars, we look forward to shortly receiving our quarterly American Tower and Domino's Pizza dividends, meaningfully higher than the same time last year.

Since DivGro's inception we have predicted and benefited from 133 consecutive dividend increases across our portfolio companies. The average rate of these dividend increases is 15.3%.

Cintas is quite literally a rags to riches story, born of necessity during the Great Depression when Doc and Amelia Farmer began collecting discarded rags to launder and resell. Over subsequent decades Cintas gradually evolved from selling washed rags to a few local clients into a critical business services company, becoming the dominant market leader in uniform, sanitation, and safety services, today serving more than a million businesses across North America. As Cintas continuously fortifies and extends its leadership in these foundational areas, it mobilizes its immense advantages in know-how, distribution density and customer intimacy to rapidly develop adjacent businesses in fast-growing, high-margin fire safety and first aid services. Together, these overlapping niches provide Cintas with an extensive runway to enhance its remarkable dividend growth record, having raised its dividend every year since 1983 at a compounded average rate above 18% per year.