Jun '24 dividend portfolio update: two very different stories

I review results issued by two of my dividend portfolio shares in June. While one is approaching a cyclical slowdown from a position of strength, I think the second may be facing greater challenges.

Jun '24 dividend portfolio update: two very different stories
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June was a relatively quiet month for corporate results, with just two companies in my model dividend portfolio reporting results during the period. Both of these businesses are facing weaker external demand than they would like to see, largely to cyclical factors.

However, the first of these companies has a strong balance sheet and is investing to add capacity to support future growth.

Despite this extra expenditure, the company in question has also found enough surplus cash to fund a generous special dividend. I expect this stock to give me a yield on cost of nearly 7% for the financial year just ended.

Although the second company discussed in this review is also investing for the future, I feel it's playing catchup somewhat and is potentially more vulnerable.

Last month's quiet reporting schedule gave me a chance to learn a little more about the technology behind this business, which is currently one of the portfolio' weaker performers. While I remain confident in the opportunity, I have also flagged up the bear arguments below, as I see them.

In this month's report...

Here is a list of the companies covered in this month's model dividend portfolio update.

Please click on the links alongside each summary, or scroll down to read the full review for each company:

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