"There are three methods to gaining wisdom. The first is reflection, which is the highest. The second is imitation, which is the easiest. The third is experience, which is the bitterest."
On the weekends I like to wander through all that rich data that screeners so easily spew out with a couple of quick clicks of a mouse. The whole exercise usually ends up being a rather lengthy but leisurely activity accompanied by great coffee and great music (see below for music by pianist Doug Smith titled "West Texas" with photographs by Wyman Meinzer, the official photographer of Texas).
What I've noticed the most when reviewing those dividend increases is that the companies that have increased their dividends greater than the current rate of inflation, plus have a forward dividend yield of 2% or greater are potential candidates for accumulation. These two things alone are generally a good indicator that these companies have the "right stuff" and should be investigated further. In addition, if these companies are not currently included in the lists of Dividend Aristocrats or Dividend Kings, I may have just found some diamonds in the rough.
I also like to review the current list of Dividend Aristocrats and Dividend Kings for bargains. These are the ones that are fundamentally sound but technically weak. Generally I can find a dozen or so companies that fit this description. These are the ones that make up my list of potential buys for that week, depending on the amount of dividends residing in my accounts. Buying dividend growth stocks at bargain prices is the best way I know of to obtain financial freedom and independence. Since the limited amount of money available to me each week limits my buying to usually only one security, I spend my weekends drilling down into the fundamentals of that week's candidates. The best places to do just that are Yahoo! Finance, FINVIZ.com, and the individual company's own website.
Enjoy the weekend and good luck investing next week.