Top 5 Dividend Kings to Buy for Safe Dividend Growth

2. W.W. Grainger, Inc. (NYSE:GWW)

5-Year Average Dividend Growth Rate: 8.34%

On June 16, DA Davidson initiated coverage of W.W. Grainger, Inc. (NYSE:GWW) with a Neutral rating and a $1,250 price target. The firm said the company is expected to continue delivering above-market growth, supported by its endless assortment “flywheel.” DA Davidson noted that it sees a balanced risk/reward at current share levels, adding that Grainger’s gross margins face structural downward pressure.

On May 27, Morgan Stanley analyst Christopher Snyder raised the firm’s price target on Grainger to $1,300 from $1,190 and maintained an Equal Weight rating on the shares. The firm updated its estimates to reflect first-quarter results and rolled forward its forecasts.

W.W. Grainger, Inc. (NYSE:GWW) is a broadline distributor of maintenance, repair, and operating (MRO) products for businesses and institutions. The company’s segments include High-Touch Solutions North America (High-Touch Solutions N.A.) and Endless Assortment.

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