Top 10 Dividend Companies For 2015

While the talking heads in the financial media argue back and forth about economic strategy on interest rates, there are two inescapable facts. First, interest rates had been at all-time lows for almost five years. Second, as everybody thinking about buying a house knows, interest rates have gone up dramatically since May. We have written about how the bond market is an anticipatory device, and when leveraged debt traders get a whiff of economic growth, they head for the hills long before the actual rate increases.

The banking analysts at Oppenheimer took an in depth look at the top banks and financial stocks to evaluate which would feel the greatest effect from the rise in interest rates. Their conclusion is that the early phases of the rate cycle will be positive for bank stocks, but the later phases become increasingly risky. So they carefully screened for names that can still thrive. Here are the five top stocks to buy.

Capital One Financial Corp. (NYSE: COF) has become famous for its hilarious commercials featuring actor Alec Baldwin. The bank also is slowly but surely becoming one of the top credit card companies. The stock ranks as one of the top holdings in billionaire Andreas Halvorsen’s Viking Global hedge fund, which now owns 15 million shares. Oppenheimer has a $78 price target on the stock. The Thomson/First Call price target is $75. Investors are paid a 1.8% dividend.

Top 10 Dividend Companies For 2015: First Financial Northwest Inc.(FFNW)

First Financial Northwest, Inc. operates as the holding company for First Savings Bank Northwest that provides community-based savings bank services in Washington. Its deposit products include noninterest bearing accounts, NOW accounts, money market deposit accounts, statement savings accounts, and certificates of deposit. The company?s loan products portfolio comprises one-to-four family residential loans, multifamily loans, commercial real estate loans, construction/land development loans, and business loans, as well as consumer loans, including home equity loans, personal lines of credit, second mortgage loans, and savings account loans. First Financial Northwest, Inc., through another subsidiary, First Financial Diversified, Inc., offers escrow services. The company primarily serves customers in the King, Pierce, Snohomish, and Kitsap counties of Washington through a full-service banking office in Renton, Washington. First Financial Northwest, Inc. was founded in 1923 and is based in Renton, Washington.

Advisors' Opinion:

• [By Jim Royal]

  One of my favorite reasons to reinvest in stocks I already own is when an uncertain, but favorable catalyst occurs, but the stock does little. So my Special Situations portfolio is adding $1,000 to each of the following three stocks: Cincinnati Bell (NYSE: CBB  ) , Bridgepoint Education (NYSE: BPI  ) , and First Financial Northwest (NASDAQ: FFNW  ) . Read on to see why.

• [By Jim Royal]

  The special situation
  For those of you following my Special Situations portfolio, Investors Bancorp is in a spot similar to First Financial Northwest (NASDAQ: FFNW  ) and TFS Financial (NASDAQ: TFSL  ) , both of which are featured substantially in the portfolio. While Investors Bancorp is still only a partially demutualized thrift (like TFS Financial today), it will soon become a fully public institution, like First Financial.

Top 10 Dividend Companies For 2015: Medallion Financial Corp.(TAXI)

Medallion Financial Corp., through its subsidiaries, operates as a specialty finance company in the United States. The company engages in originating, acquiring, and servicing loans that finance taxicab medallions and various types of commercial businesses. It offers commercial loans to finance the purchase of the equipment and related assets necessary to open a new business, or the purchase or improvement of an existing business; asset-based loans to small businesses; and secured mezzanine loans to businesses in various industries, including manufacturing and various service providers. The company also raises deposits; originates consumer loans for the purchase of recreational vehicles, boats, motorcycles, trailers, and hearing aids; and conducts other banking activities. In addition, it provides other debt, mezzanine, and equity investment capital to companies in various industries. The company was founded in 1995 and is headquartered in New York, New York.

Advisors' Opinion:

• [By Lawrence Meyers]

  That�� the case with Medallion Financial Corporation (TAXI). This neat little company is primarily focused on the financing of taxi cab licenses in major cities like New York. It does other specialty lending as well — such as asset-backed loans for luxury vehicles like boats and art. But its bread and butter has been the taxi business.

Top 5 Penny Stocks To Buy Right Now: Cornerstone Progressive Return Fund(CFP)

Cornerstone Progressive Return Fund is a closed-ended equity fund of fund launched and managed by Cornerstone Advisors, Inc. The fund invests funds investing in the public equity markets of the United States. It invests in stocks of companies operating across diversified sectors. Cornerstone Progressive Return Fund was formed on April 26, 2007 and is domiciled in the United States.

Advisors' Opinion:

• [By Dan Caplinger]

  But you can see in several places the consequences of the stampede toward high yield. Here are just a few:

  Closed-end funds Cornerstone Progressive (NYSEMKT: CFP  ) and Pimco High Income (NYSE: PHK  ) both make fixed payments back to fund shareholders on a monthly basis, and their distribution yields are truly extraordinary, at about 17% and 12%, respectively. Those dividends have enticed shareholders to pay $1.30 to $1.40 or more for each $1 of assets in the funds. Yet during most months, a substantial portion of those distribution payments has simply been a return of investor capital rather than true income from the funds' investments. A recent study discussed in The Wall Street Journal found that returns on a portfolio with a combined value and dividend-income strategy outperformed a strategy focused more exclusively on maximizing dividends by an average of 1.7 percentage points per year, a huge edge in long-run returns. In the dividend ETF arena, most funds tend to focus on maximizing yield. Although the popular Vanguard Dividend Appreciation (NYSEMKT: VIG  ) ETF bucks the trend by screening first for consistent dividend growth and only then looking at yield as a factor, many rival ETFs start with high-yielding stocks as their baseline and only then consider other desirable traits. Others focus solely on high-dividend niches of the market, such as iShares FTSE NAREIT Mortgage-Plus (NYSEMKT: REM  ) and its concentration on high-yield mortgage REITs.

  When dividend stocks get too popular, their prices get out of line with both their dividend income and the fundamentals of the businesses that underlie those stocks. In simpler terms, when dividend stocks become bad values, it's time to consider looking elsewhere for a margin of safety.

Top 10 Dividend Companies For 2015: UniSource Energy Corporation(UNS)

UniSource Energy Corporation engages in the electric generation and energy delivery businesses. The company?s TEP segment generates, transmits, and distributes electricity to approximately 403,000 retail electric customers, including residential, commercial, industrial, and public sector customers in southeastern Arizona. It also sells electricity to other utilities and power marketing entities. As of December 31, 2010, this segment owned or leased 2,245 MW of net generating capacity, as well as owned or participated in electric transmission and distribution system consisting of 512 circuit-miles of 500-kV lines; 1,087 circuit-miles of 345-kV lines; 379 circuit-miles of 138-kV lines; 478 circuit-miles of 46-kV lines; and 2,621 circuit-miles of lower voltage primary lines. TEP segment generates electricity from coal, gas, oil, and solar sources. The company?s UNS Gas segment distributes gas to approximately 146,500 retail customers in Mohave, Yavapai, Coconino, and Navajo c ounties in northern Arizona, as well as Santa Cruz County in southeastern Arizona. As of December 31, 2010, this segment?s transmission and distribution system consisted of approximately 30 miles of steel transmission mains, 4,211 miles of steel and plastic distribution piping, and 136,439 customer service lines. The company?s UNS Electric segment transmits and distributes electricity to approximately 91,000 retail customers consisting of residential, commercial, and industrial customers in Mohave and Santa Cruz counties. As of December 31, 2010, UNS Electric?s transmission and distribution system consisted of approximately 56 circuit-miles of 115-kV transmission lines, 271 circuit-miles of 69-kV transmission lines, and 3,599 circuit-miles of underground and overhead distribution lines. This segment also owns the 65 MW Valencia plant, as well as 39 substations having an installed capacity of 1,788,050 kilovolt amperes. The company was founded in 1902 and is based in Tucson, Arizona.

Advisors' Opinion:

• [By David Dittman]

  And with its December 2013 offer to buy Arizona-based UNS Energy Corp (NYSE: UNS) for $2.5 billion in cash St. John’s, Newfoundland and Labrador-based Fortis Inc (TSX: FTS, OTC: FRTSF), making its second foray in the US in two years, signaled its interest in regulated utility assets in states with favorable population and economic trends as a means of driving its growth going forward.

• [By Lauren Pollock]

  Fortis Inc.(FTS.T) agreed to acquire UNS Energy Corp.(UNS) for about $2.5 billion, as the Canadian utility moves to boost exposure within the U.S. by acquiring a firm with a presence in the U.S. southwest. Shares of UNS jumped 30% to $59.02 premarket.

• [By Jake L'Ecuyer]

  Equities Trading UP
  UNS Energy (NYSE: UNS) shot up 27.75 percent to $58.56 after the company agreed to be acquired by Fortis Utility Group for $60.25 per share in cash.

Top 10 Dividend Companies For 2015: Chevron Corporation(CVX)

Chevron Corporation, through its subsidiaries, engages in petroleum, chemicals, mining, power generation, and energy operations worldwide. It operates in two segments, Upstream and Downstream. The Upstream segment involves in the exploration, development, and production of crude oil and natural gas; processing, liquefaction, transportation, and regasification associated with liquefied natural gas; transportation of crude oil through pipelines; and transportation, storage, and marketing of natural gas, as well as holds interest in a gas-to-liquids project. The Downstream segment engages in the refining of crude oil into petroleum products; marketing of crude oil and refined products primarily under the Chevron, Texaco, and Caltex brand names; transportation of crude oil and refined products by pipeline, marine vessel, motor equipment, and rail car; and manufacture and marketing of commodity petrochemicals, plastics for industrial uses, and fuel and lubricant additives. It a lso produces and markets coal and molybdenum; and holds interests in 13 power assets with a total operating capacity of approximately 3,100 megawatts, as well as involves in cash management and debt financing activities, insurance operations, real estate activities, energy services, and alternative fuels and technology business. Chevron Corporation has a joint venture agreement with China National Petroleum Corporation. The company was formerly known as ChevronTexaco Corp. and changed its name to Chevron Corporation in May 2005. Chevron Corporation was founded in 1879 and is based in San Ramon, California.

Advisors' Opinion:

• [By Claudia Assis]

  Shares of Chevron Corp. (CVX) �were also among the worst hit on Thursday, off 1.9%. The two other major oil and gas companies fared better, with shares of Exxon Mobil Corp. (XOM) �down 0.8% and shares of ConocoPhillips (COP) �off 1.1%.

• [By Ben Levisohn]

  Shares of Anadarko have dropped 2.8% to $93.22 at 11:30 a.m. today, a bigger loss than those experienced by others in the sector.�Chevron�(CVX) has fallen 0.2% to $117.90, for instance,�Devon Energy�(DVN) has declined 0.7% to $63.98 and�ConocoPhillips (COP) has 0.8% to $72.76.

• [By Charley Blaine]

  Apple (NASDAQ: AAPL) reports fiscal-fourth-quarter results after Monday's close. Starbucks (NASDAQ: SBUX) reports after Wednesday's close. Oil giants Exxon Mobil (NYSE: XOM) and Chevron (NYSE: CVX) report on Thursday and Friday, respectively.

Top 10 Dividend Companies For 2015: S&P GSCI(GD)

General Dynamics Corporation, an aerospace and defense company, provides business aviation; combat vehicles, weapons systems, and munitions; military and commercial shipbuilding; and communications and information technology products and services worldwide. Its Aerospace group designs, manufactures, and outfits various large and mid-cabin business-jet aircraft; provides maintenance, repair work, fixed-based operations, and aircraft management services; and performs aircraft completions for aircraft. The company?s Combat Systems group offers tracked and wheeled military vehicles, weapons systems, and munitions. Its product lines include wheeled combat and tactical vehicles; battle tanks and infantry vehicles; munitions and propellant; rockets and gun systems; and axle and drivetrain components and aftermarket parts. This group also manufactures and supplies engineered axles, suspensions, and brakes for heavy-load vehicles for military and commercial customers. The company Advisors' Opinion:

• [By Rex Moore]

  The Navy League's Sea-Air-Space Exposition, the largest maritime expo in the U.S., brings together dozens of defense contractors and military decision-makers. Our Rex Moore was at the event in National Harbor, Md., and saw demonstrations of several technologies. In the following video, he shows us how General Dynamics' (NYSE: GD  ) new dry combat submersibles will deliver special operations to dry land in comfort.

• [By Rich Smith]

  Armaments destined for the Iraqi military include Textron (NYSE: TXT  ) Bell 412 EP transport helicopters -- a dozen of them. Also, 50 M1135 Stryker wheeled armored personnel carriers from General Dynamics (NYSE: GD  ) , outfitted for survivability in a chemical warfare environment. And finally, a shipment of spare parts to be used in maintaining everything from Humvees to howitzers to heavy equipment for salvaging damaged tanks from the battlefield.

• [By Rich Smith]

  As the week wound down, General Dynamics (NYSE: GD  ) claimed a pair of contract wins from the Pentagon, worth more than $59 million combined.

• [By Katie Spence]

  Who builds what
  Both General Dynamics' (NYSE: GD  ) Bath Iron Works shipbuilding company and Huntington Ingalls Industries' (NYSE: HII  ) Ingalls Shipbuilding build the DDG 51 Aegis Destroyer, with the Navy typically buying ships from each builder.

Top 10 Dividend Companies For 2015: Resource Capital Corp.(RSO)

Resource Capital Corp. operates as a specialty finance company that focuses primarily on commercial real estate and commercial finance in the United States. The company?s commercial real estate-related investments include first mortgage loans, first priority interests in first mortgage real estate loans, subordinate interests in first mortgage real estate loans, mezzanine loans, and commercial mortgage-backed securities. It also invests in commercial finance assets, including senior secured corporate loans, other asset-backed securities, equipment leases and notes, trust preferred securities, and debt tranches of collateralized debt and loan obligations. The company qualifies as a real estate investment trust (REIT) for federal income tax purposes. As a REIT, it is not subject to federal corporate income tax to the extent that it distributes 90% of its REIT taxable income. The company was founded in 2005 and is based in New York, New York.

Advisors' Opinion:

• [By Eric Volkman]

  Resource Capital (NYSE: RSO  ) is dipping into its coffers for another shareholder payout. The company has declared a dividend for its current quarter of $0.20 per share, which is to be paid on July 26 to shareholders of record as of June 28. That amount matches each of the company's previous five distributions, the most recent of which was paid in late April. Before that, Resource Capital was more generous, dispensing $0.25 per share.

• [By Wallace Witkowski]

  Shares of Resource Capital Corp. (RSO) �declined 3.8% to $5.82 in moderate volume after the real-estate investment trust said it would launch a $100 million offering in notes due 2018.

Top 10 Dividend Companies For 2015: ITT Industries Inc.(ITT)

ITT Corporation designs, manufactures, and sells a range of engineered products, and provides related services worldwide. Its Defense & Information Solutions segment develops tactical communications equipment, electronic warfare and force protection equipment, radar systems, integrated structures equipment, and imaging and sensor equipment, including night vision goggles, as well as weather, location, surveillance, and other related technologies for military and government agencies. It also provides services comprising air traffic management, information and cyber solutions, large-scale systems engineering, and integration and defense technologies; satellite-based imaging payloads for intelligence, surveillance, and reconnaissance solutions; and high-resolution commercial imaging systems with earth and space science applications, climate and environmental monitoring sensors and systems, and GPS navigation and software applications designed for image and data processing and dissemination. The company?s Fluid Technology segment provides water transport and wastewater treatment systems, pumps and related technologies, and other water and fluid control products with municipal, residential, commercial, and industrial applications. Its Motion & Flow Control segment manufactures shock absorbers and brake friction materials for the transportation industry; switch applications for the industrial and aerospace industries; electrical connectors used in telecommunications, computers, aerospace, medical, and industrial applications; and a range of pumps and tailored products for marine, food and beverage, and general industrial markets. The company was formerly known as ITT Industries, Inc. and changed its name to ITT Corporation in July 2006. ITT Corporation was founded in 1920 and is based in White Plains, New York.

Advisors' Opinion:

• [By Jeremy Bowman]

  What: Shares of ITT Educational Services (NYSE: ITT  ) were flying higher today, gaining as much 34% after smashing analyst estimates in its quarterly report.

• [By Stephen Simpson, CFA]

  This is a logical deal for SKF on multiple fronts. For starters, Kaydon will meaningfully expand the company's U.S. presence - something it could have done on its own eventually, but certainly not without spending money. With that, there is the possibility of using Kaydon's existing U.S. footprint to sell more SKF products and further trouble rivals like RBC Bearings (ROLL) and ITT (ITT).

Top 10 Dividend Companies For 2015: Integrys Energy Group(TEG)

Integrys Energy Group, Inc., through its subsidiaries, operates as a regulated electric and natural gas utility company in the United States and Canada. It provides natural gas utility services in Chicago, Wisconsin, Michigan, and Minnesota. As of December 31, 2009, the company served approximately 1,669,000 residential, commercial and industrial, transportation, and other customers. It had approximately 22,000 miles of natural gas distribution mains; and approximately 1,010 miles of natural gas transmission mains. The company also generates and distributes electric energy form coal, natural gas, fuel oil, hydroelectric, and wind resources in Wisconsin and Michigan. It served approximately 489,000 residential, commercial and industrial, wholesale, and other customers. In addition, Integrys Energy offers nonregulated energy supply and services; and electric transmission services. The company was formerly known as WPS Resources Corporation and changed its name to Integrys En ergy Group, Inc. in February 2007. Integrys Energy Group, Inc. was founded in 1883 and is based in Chicago, Illinois.

Advisors' Opinion:

• [By Daniel Ferry]

  Another important development last week was the announcement that Trillium CNG, a division of Integrys Energy Group (NYSE: TEG  ) , would build 101 new compressed natural gas (CNG) refueling stations across the country by 2016. This would expand the existing infrastructure of publicly available CNG refueling stations by nearly 20%. This is good news for Westport because many of Westport's products run on CNG, including its bi-fuel WiNG system for light-duty Ford pickup trucks, as well as the medium-duty ISL G and heavy-duty ISX12 G engines it produces through Cummins Westport Incorporated, its manufacturing joint-venture with independent engine maker Cummins (NYSE: CMI  ) . Users of the ISL G and ISX12 G engines include long-haul truck manufacturers like PACCAR (NASDAQ: PCAR  ) , Volvo, and Daimler. Freight trucking is a critical growth industry for natural gas engines, because the long miles and heavy loads that freight trucks endure relative to passenger vehicles make them especially sensitive to fuel costs.

• [By Justin Loiseau]

  Other utilities are following suit, pushing hard to turn coal into "clean coal." Integrys (NYSE: TEG  ) currently has a $17 million rate request on the table to add coal dust collectors to an 824 MW facility, a move that would put the utility one step closer to covering environmental costs.

• [By Justin Loiseau]

  Integrys Energy (NYSE: TEG  ) has officially received regulatory approval for a $220 million modernization project for its Wisconsin Public Service subsidiary. After completing a pilot project in 2012, the utility developed plans for a five-year large scale project to start in 2014.

• [By Justin Loiseau]

  In the same week that TECO is applying for its foray into New Mexico natural gas, Illinois is solidifying its own reliance on the fuel source. Integrys (NYSE: TEG  ) released a statement this week commending Illinois politicians for their "swift signing" of the Natural Gas Consumer, Safety, & Reliability Act.

Top 10 Dividend Companies For 2015: New York Mortgage Trust Inc.(NYMT)

New York Mortgage Trust, Inc., together with its subsidiaries, operates as a real estate investment trust (REIT) in the United States. The company engages in acquiring, investing, financing, and managing mortgage-related assets. It primarily invests in agency residential adjustable-rate, hybrid adjustable-rate, and fixed-rate mortgage-backed securities (RMBS); non-Agency RMBS; prime adjustable-rate residential mortgage loans held in securitization trusts; commercial mortgage-backed securities; commercial mortgage loans; and other commercial real estate-related debt investments. The company has elected to be taxed as a REIT and will not be subject to federal income tax if it distributes at least 90% of its REIT taxable income to its stockholders. New York Mortgage Trust, Inc. was founded in 1989 and is headquartered in New York, New York.

Advisors' Opinion:

• [By Lawrence Meyers]

  Next Page

  Preferred Stocks: New York Mortgage Trust (NYMT)

  Dividend Yield: 8.2%

  New York Mortgage Trust (NYMT) is a mortgage real estate investment trust, or mREIT, that acquires, invests in, finances and manages mortgage related securities. These mREITs are very much tied to interest rates, so while rates are low, the stocks will do well. NYMT common stock, in fact, yields more than 14%. Yet that�� why I would choose the New York Mortgage Trust 7.75% Preferred Series B (NYMTP).

• [By Amanda Alix]

  More mREITs stay the course, but two trim payouts
  Despite suffering many tumbles and bruises, several mREITs have announced that their dividends will be unchanged from the previous quarter. Several did so last week, and yesterday saw Hatteras Financial (NYSE: HTS  ) , an agency-only trust, keeping its own $0.70 per share�payout the same. Hybrid New York Mortgage Trust (NASDAQ: NYMT  ) also kept its dividend stable, at $0.27 per share, in line with its four most recent distributions.

• [By Susan J. Aluise]

  LEN stock is only up about 3% in 2014, but it’s clearly a growth play. With a price-to-earnings-growth (PEG) ratio of just 0.6 and a forward P/E of a little more than�12, LEN stock looks undervalued now. LEN pays a nominal dividend with a 0.4% current yield, but the company knows its market and is positioning its new properties well, so LEN promises to be a solid buy-and-hold stock.

  REIT:�New York Mortgage�(NYMT)

  There are two basic types of REITs –�those that hold real property and those that hold mortgages on property (mortgage or mREITs). Among mREITs, New York Mortgage�(NYMT)�is a so-called ��ybrid mREIT�� meaning that it holds a combination of federally guaranteed (agency) and non-agency debt, like commercial mortgage-backed securities (CMBS).