For this series of posts, I will use Todd Wenning's Dividend Compass to analyze 16 quality, wide moat companies and we'll pit them against each other and see who earns the (fictitious) Dividend Compass Cup.
The sixteen companies that we're analyzing all have some shared characteristics:
- A track record of paying dividends
- A reasonable current yield, should exceed market average
- Sell for a fair price
The Dividend Compass generates a score to grade out each companies' dividend, and we'll use that score to bake off the sixteen companies against each other. Just like the NCAA Sweet Sixteen each company will be paired into brackets and try to advance to the next round.
The pairings are as follows:
- Coca Cola vs Pepsi
- Tim Horton's vs McDonald's
- Microsoft vs IBM
- Unilever vs PG
- Exxon Mobil vs Royal Dutch Shell
- McCormick vs Walmart
- CH Robinson vs Ritchie Brothers
- Baxter vs Novo Nordisk
The outcome is that winners of each of the Sweet Sixteen match will advance to the round of eight until we get to the winner of the Dividend Compass Cup. First match up is an attempt to answer an age old question - Coke or Pepsi?
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