At Dividends & Income Daily, we are continuously preaching that a dividend payout increase is a powerful signal.
After all, a company raises its dividend for a reason. The management team and Board of Directors are telling you that their underlying business is experiencing sustainable strength.
However, it seems like every company is increasing its dividend nowadays. Keeping track of all of these dividend actions and performing due diligence can be daunting tasks for investors.
That's why we created the Dividend Sonar Report.
One of our goals is to make our readers aware of dividend growth gems that may be hiding among more popular investment choices.
Indeed, the Sonar Report found one - an insurance company that happens to be located smack dab in the middle of America's Corn Belt.
A Worthwhile Policy
FBL Financial (FFG) is headquartered in West Des Moines, Iowa. Its primary operating
In January 2013, I contributed an article on the value I had detected in the insurance industry. A majority of the insurance companies I analyzed seemed to be undervalued historically and compared to the market. As a follow up I wanted to revisit the thesis of my article to examine the past year and see where insurance company values stand today.
As of December 20th, 2013 the insurance companies researched and recommended in the article we up a combined 79%. The past year was fantastic for almost every company and the S&P 500 was up a combined 31%. The 79% return was more than double the 2013 return off the S&P 500. The article was called The Life Insurance Industry is Ripe for the Picking and the article detailed insurance companies that I found were trading at significant discounts to their discounted cash flow value and their book values.