Texas Instruments is presented as an example of a stock that has grown its dividends significantly over a long period, even when its stock price stagnated.
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How To Build a Dividend Empire in 2027!
Oct 1, 2026
The creator discusses building a dividend empire by focusing on dividend growth stocks rather than just high initial yields. They use Coca-Cola as an example of a stock with a decent yield but highlight Broadcom (AVGO) as a better example of a dividend growth stock, showing how its yield on cost has significantly increased over time due to high dividend growth, making it a more attractive long-term investment despite a lower initial yield.
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The Dow Jones US Dividend 100 Index has historically outperformed the S&P 500, particularly during market downturns.
Zoetis (ZTS) is presented as an example of high dividend growth, but the creator cautions that if dividend growth outpaces free cash flow growth, it can become unsustainable.
MPLX is highlighted as a new addition with a high yield of around 8.5% that has seen its dividends grow by over 12%, demonstrating a rare case of a high-yield stock with high dividend growth.
ASML is noted as an international, low-yield stock that generates substantial free cash flow and reinvests in its operations for long-term dividend growth.
Caterpillar is mentioned as a low-yield stock that generates significant free cash flow and reinvests in its business, supporting long-term dividend growth.
Microsoft is highlighted for generating approximately $9.63 per share in free cash flow in 2025, demonstrating its strong capital generation capabilities.
Visa is presented as a company that generated $11.11 per share in free cash flow in 2025, highlighting the importance of FCF over just dividend payouts.
Boeing is mentioned as an example of a company whose earnings were distorted by restructuring charges and accounting choices.
Broadcom (AVGO) is highlighted as a prime example of a dividend growth stock, with its yield on cost reaching 15.29% after ten years, demonstrating the power of high dividend growth despite a low initial yield.
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AVGObuy opened Oct 1, 2026
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