Five Cash-Generating Dividend Stocks to Consider

American States Water AWR When it comes to stocks that regularly hand over dividends, few can top the standard set by American States Water. With a regularity that humans can only reach with fiber supplements, American Water pays out a dividend each and every quarter. On Tuesday, the Board of Directors approved a $0.02 per share increase in its quarterly cash dividend to $0.28 per common share. This represents a 7.7% increase in the quarterly dividend and marks the 300th consecutive dividend payment by AWR. For more than 56 consecutive years, American States Water Company shareholders have received an increase in their aggregate annual dividend. “By approving this increase, the Board of Directors have affirmed their continued confidence in the company and its growth prospects by rewarding those who have supported us for many years - our shareholders,” said Robert J. Sprowls, President and CEO of American States Water Company. Dividends on the Common Shares will be payable on June 1, 2011 to shareholders of record at the close of business on May 12, 2011. Amgen AMGN Is it time to get in on the ground floor of a stock paying out its first dividend? As part of its capital allocation plan, the Amgen announced that Amgen's Board of Directors has approved a dividend policy on its common stock. Amgen will declare its first quarterly dividend with its second quarter 2011 earnings results. Based on its current liquidity, anticipated cash flow from operations and expected capital needs, Amgen is planning an annual payout ratio of 20 percent on adjusted net income. The company stated that it plans to increase the dividend meaningfully over time. Mattel MAT Mattel is another company paying out a dividend this quarter. In their 2011 first quarter financial results, the company reported net income of $16.6 million, or $0.05 per share, compared to last year's first quarter net income of $24.8 million, or $0.07 per share. “Our diverse portfolio of brands and countries has once again allowed us to deliver on our goal of consistent growth,” said Robert A. Eckert, chairman and chief executive officer of Mattel. “Additionally, we are well positioned to improve operating margin and deliver strong cash flow for the year.” Mattel also announced that its board of directors declared a second quarter cash dividend of $0.23 per share on the company's common stock. The dividend will be payable on June 17, 2011 to stockholders of record on May 25, 2011. The dividend is the second of four quarterly dividends the company expects to pay this year, reflecting an annualized dividend of $0.92 per share, which represents an increase of $0.09, or 11 percent, versus last year's annual dividend of $0.83 per share. Clorox CLX Has the long winter left your portfolio in need of spring cleaning? Maybe a little bleach can help clear the air. The Clorox Company today announced that its board of directors declared a quarterly dividend of 55 cents per share on the company's common stock, payable May 13, 2011, to stockholders of record on April 27, 2011. Clorox is a leading manufacturer and marketer of some of consumers' most trusted and recognized brand names, including its namesake bleach and cleaning products, Green Works® naturally derived home care products, Pine-Sol® cleaners, Poett® home care products, Fresh Step® cat litter, Kingsford® charcoal, Hidden Valley® and K C Masterpiece® dressings and sauces, Brita® water-filtration products, Glad® bags and wraps and containers, and Burt's Bees® natural personal care products. Nearly 90 percent of Clorox Company brands hold the No. 1 or No. 2 market share positions in their categories. The company's products are manufactured in more than two dozen countries and sold in more than 100 countries. Microsoft MSFT Microsoft definitely falls under the heading of “giant company that will probably hand you a pile of cash”. Not that you won't necessarily turn around and hand that cash back over to Microsoft, buying one of their many, many products, services, and essential computing components. Either way, Microsoft offers a reasonable dividend now and has the potential for a dividend bump this fall. Consider the tech giant worth a second look.