The DivGro Weekly—04.11.22

110 Consecutive dividend increases

This week we received further real-time, tangible evidence of outstanding business progress when we collected our quarterly dividends from American Tower, Stryker and Watsco.

Having marked our calendars, we look forward to shortly receiving our quarterly dividends from Costco and Zoetis.

Since DivGro's inception we have predicted and benefited from 110 consecutive dividend increases across our portfolio companies. The average rate of these dividend increases is 15.5%.

Beginning as Pfizer Animal Health in 1952, Zoetis was spun out in 2013 and is by far the largest and most dominant player in the animal health space. Zoetis directly benefits from the twin tailwinds of the growing pet population and increasing bond between humans and their pets (which translates into an ever greater willingness to spend on pet health needs). As Zoetis and others innovate across the pet health category to better diagnose and treat diseases, the life expectancy of our pets is getting longer. This means pets spend more years in their senior and geriatric life stages during which they consume more of Zoetis' extremely high margin medications and diagnostics. With the growing and aging pet population dynamic in its favour, Zoetis is very well positioned to extend its superb dividend growth record, which has already risen every year since its 2013 IPO at a compounded average rate above 18% per year.