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For dividends in the U.S. stock market, May 2018 fell pretty much in the middle of every other May during the previous five years.
Nothing particularly exciting or worrying, just a pretty solid month for dividend-paying stocks overall.
Let's run through the numbers for May 2018's dividends....
Focusing in closer on the firms that cut their dividends during May 2018, our two near-real time sources for dividend declarations captured 18 of the 23 reductions that were announced during the month. Here's the list:
Half of these firms hail from the U.S. oil and gas industry, where most of these firms are monthly dividend payers that distribute their variable earnings to their shareholders each month. We do note that the number of firms in this industry is elevated because of a March 2018 tax rule change that negatively affects the earnings of a number of firms set up as Master Limited Partnerships (MLP), many of which operate pipelines.
Meanwhile, the finance industry made up one-third of the dividend reductions in our sample for May 2018, while the healthcare and technology sectors made up the balance for the month.
Standard and Poor. S&P Market Attributes Web File. [Excel Spreadsheet]. Accessed 1 June 2018.
Seeking Alpha Market Currents. Filtered for Dividends. [Online Database]. Accessed 1 June 2018.
Wall Street Journal. Dividend Declarations. [Online Database]. Accessed Accessed 1 June 2018.