Blackrock DGRO Dividend ETF: Unlocking Dividend Growth Potential with iShares Core Dividend Growth ETF
DGRO - Market Position
| Ticker Symbol | Product Type | Asset Class | Strategy | Payment Frequency | Geographic Focus | Expense Ratio | Sponsor |
|---|---|---|---|---|---|---|---|
| DGRO | ETF | Equity Dividend ETF | Dividend Growth | Quarterly | US Domestic |
0.08% | iShares |
DGRO Overview - The iShares Core Dividend Growth ETF
The iShares Core Dividend Growth ETF (DGRO) is an exchange-traded fund that seeks to track the investment results of an index composed of U.S. equities with a history of consistently growing their dividends. The fund aims to provide exposure to high-quality companies that have both the ability and the commitment to grow their dividends over time.
DGRO focuses on dividend growth rather than high dividend yield, which may provide a more sustainable and reliable income stream for investors. The fund invests in large-, mid-, and small-capitalization stocks across various sectors, offering diversification benefits.
As a passively managed ETF, DGRO has a relatively low expense ratio of 0.08%, making it a cost-effective option for investors seeking exposure to dividend growth stocks. The fund pays quarterly distributions to its shareholders.
Investors may consider DGRO as a core holding in a long-term portfolio, particularly those seeking a combination of income and growth. However, it is essential to evaluate individual investment goals, risk tolerance, and overall portfolio composition before making any investment decisions.
While past performance does not guarantee future results, DGRO's focus on high-quality, dividend-paying stocks of larger companies may appeal to investors seeking income that exceeds the average yield of the broader market, along with the potential for long-term growth of principal.
DGRO - Price / Yield
DGRO - Portfolio and Asset Allocation
The iShares Core Dividend Growth ETF (DGRO) is a well-diversified fund that invests in a basket of U.S. companies with a history of consistently growing their dividends. The fund's portfolio comprises large-, mid-, and small-capitalization stocks across various sectors, providing investors with exposure to a broad range of dividend-paying companies.
As of the latest available data, DGRO's top holdings are shown below:
These top 10 holdings represent approximately 26.56% of the fund's total assets, indicating a relatively balanced portfolio with no single stock dominating the fund. The remaining assets are invested in a diverse array of companies from various sectors, such as technology, healthcare, consumer goods, and industrials.
By investing in companies with a proven track record of dividend growth, DGRO aims to provide investors with a stable and growing income stream while also offering the potential for capital appreciation. The fund's diversified portfolio helps mitigate risk by reducing exposure to any single company or sector, making it an attractive option for investors seeking a core holding in their dividend growth strategy.
| Name | Weight |
|---|---|
| Exxon Mobil Corporation | 3.20% |
| Microsoft Corporation | 3.07% |
| Chevron Corporation | 3.07% |
| JPMorgan Chase & Co. | 2.96% |
| Apple Inc. | 2.86% |
| Johnson & Johnson | 2.60% |
| AbbVie, Inc. | 2.52% |
| Broadcom Inc. | 2.33% |
| Procter & Gamble Company | 2.03% |
| Merck & Co., Inc. | 1.92% |
DGRO Dividend Yield and Distribution History
| Section | Details |
|---|---|
DGRO Dividend Information |
The iShares Core Dividend Growth ETF (DGRO) pays quarterly dividends. The most recent ex-dividend date was on March 21, 2024, with a dividend payment of $0.31074 per share on March 27, 2024. |
DGRO Dividend Yield |
As of April 2, 2024, the 30-day SEC yield for DGRO is 2.34%. This means that for every $100 invested in the fund, investors would receive $2.34 in dividends per year, assuming the yield remains constant. |
DGRO Dividend History |
DGRO has a history of paying quarterly dividends. The dividend payments may fluctuate based on the performance of the underlying dividend-paying stocks held by the fund. |
DGRO Dividend Growth |
DGRO's dividend payments are dependent on the dividend growth and performance of the underlying stocks in the fund's portfolio. The fund's investment strategy focuses on companies with a history of consistent dividend growth, which may contribute to increasing dividend payments over time. However, dividend growth is not guaranteed. |
DGRO Dividend Stability |
DGRO aims to provide a relatively stable income stream by investing in high-quality, dividend-paying stocks of larger U.S. companies. However, the dividend payments are not guaranteed and may be affected by changes in market conditions or the performance of the underlying stocks in the fund's portfolio. |
DGRO - Chart
DGRO - Comparative Analysis
Let's compare DGRO with prominent competitors, focusing on key aspects like performance, fees, and strategy: (as of Apr 2024)
| DGRO | NOBL | VIG | |
|---|---|---|---|
| Investment Focus | U.S. companies with a history of consistently growing dividends | S&P 500 companies with at least 25 consecutive years of dividend growth | U.S. companies with at least 10 consecutive years of dividend growth |
| Current Yield | 2.39% | 1.98% | 1.92% |
| Expense Ratio | 0.08% | 0.35% | 0.06% |
| Investment Strategy | Passively tracks the Morningstar US Dividend Growth Index | Passively tracks the S&P 500 Dividend Aristocrats Index | Passively tracks the NASDAQ US Dividend Achievers Select Index |
| Strengths | Focuses on companies with consistent dividend growth, low expense ratio | Invests in companies with a long history of dividend growth, potential for lower volatility | Broad exposure to U.S. dividend growth stocks, low expense ratio |
| Weaknesses | Relatively short dividend growth history requirement (5 years) compared to NOBL and VIG | Higher expense ratio than DGRO and VIG, potentially lower yield | Lower yield than DGRO, companies with shorter dividend growth history compared to NOBL |
DGRO Dividend History (Last 5 distributions)
| Ex-Dividend Date | Cash Amount | Record Date | Pay Date |
|---|---|---|---|
| Mar 21, 2024 | $0.31074 | Mar 22, 2024 | Mar 27, 2024 |
| Dec 20, 2023 | $0.37005 | Dec 21, 2023 | Dec 27, 2023 |
| Sep 26, 2023 | $0.38821 | Sep 27, 2023 | Oct 2, 2023 |
| Jun 7, 2023 | $0.2597 | Jun 8, 2023 | Jun 13, 2023 |
| Mar 23, 2023 | $0.29799 | Mar 24, 2023 | Mar 29, 2023 |
News
Technical Analysis
Conclusion and Risks
The iShares Core Dividend Growth ETF (DGRO) is an attractive option for investors seeking exposure to companies with a strong stock dividend history. By focusing on firms that have consistently grown their dividends over time, DGRO aims to provide investors with a reliable income stream and the potential for capital appreciation. The fund's investment objective is to track the investment results of the Morningstar US Dividend Growth Index, which constrains the fund's investable universe to companies with a minimum of five consecutive years of dividend growth.
As with any investment, there are risks associated with investing in DGRO. The investment return and principal value of an investment in the fund will fluctuate, and an investor's shares, when sold or redeemed, may be worth more or less than their original cost. The fund's performance may also be affected by changes in market conditions, interest rates, and the financial stability of the companies within the fund's portfolio.
Investors should carefully consider the investment objectives, risks, charges, and expenses of the fund before investing. This and other information can be found in the BlackRock fund prospectus, which may be obtained by visiting the iShares website. Investors should also note that the market price returns for BlackRock and iShares ETFs may differ from the NAV-based returns due to various factors, including management fees and other expenses.
In conclusion, DGRO offers investors a cost-effective way to gain exposure to a diversified portfolio of dividend growth stocks. By investing in companies with a proven track record of dividend growth, the fund seeks to provide investors with a stable and growing income stream while also offering the potential for long-term capital appreciation. However, as with any investment, it is essential for investors to carefully consider their individual financial goals, risk tolerance, and investment horizon before making a decision to buy iShares ETFs.
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