The last time I reviewed Stanley Black & Decker (SWK) was over 2 year ago, in June of 2015. At the time, shares in the company were trading near their 52-week high at a price of $106.63. I decided not to buy at that point. I waited for a pullback, which never came. Today, SWK is trading at $169.69, less than 1% below its 52-week high of $170.90.
SWK's increase in share price has brought the dividend yield down to 1.43% for investors getting in at current prices. This is the lowest dividend yield the company has had in over two decades. SWK has been paying a dividend for 141 years and has increased it annually in each of the past 50 years, so it's certainly reliable. However, historically dividend increases have always been in the mid-single digit range, with a 3 and 5-year dividend growth rate of 4.5% and 6.6% respectively.
