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Americans bought nearly 175 million items online in one day recently. No, it wasn’t Black Friday or Cyber Monday. We’re talking about Amazon Prime Day. The two-day shopping event set records for the number of goods sold as well as the dollar amount spent. In the end, it was larger than Black Friday and Cyber Monday combined. While the event is great for Amazon, it’s also great for the entire e-commerce ecosystem. And that includes our Best Dividend Stocks List pick in the industrial sector.

The success of Prime Day highlights the sheer growth of online shopping. More and more consumers are turning to the internet to make their purchases. And with the birth of omnichannel retailing – blending physical stores and online-only operations – the growth is accelerating exponentially.

The problem is it takes a ton of fulfillment centers and warehouses to get the job done. Outfitting these warehouses with all the equipment – such as bar code scanners, label makers, safety lock-out tags and even inventory software – is the basis of our pick’s business. Basically, if you want to build a new warehouse or retrofit an existing space, you need to call our pick for its products to get the job done.

See our original pick here.

Given the e-commerce boom and success of shopping days like Prime Day, this is a great niche to be in. Our pick has continued to see strong sales growth and profits over its history, which has turned it into a dividend machine – its payout has consistently grown over the last 30 years.

With continued demand for new warehouses to make omnichannel happen, a focus on higher-margined software products and continued overall demand, our pick has the goods to keep the dividends and growth going.

To summarize, here are five reasons why you should own this stock:

  1. Revenues for fiscal 2018 clocked in well over $1 billion, setting a record for the company.
  2. The firm’s products are tied to some of the biggest future trends, including e-commerce, food safety and healthcare.
  3. The shift towards higher-margined software and inventory management products has improved margins and made it more profitable.
  4. More than 30 consecutive years of dividend increases, with annual cash generation in excess of net earnings.
  5. Healthy payout ratio of 38% and yield of 1.68%.

Our Best Dividend Stocks List has 20 of the highest-rated stocks by our proprietary rating system. Go Premium to find out the entire list.

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