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Dividend investing isn’t about settling for slow growth. To grow your income, you need to own growing companies, and the real wins come when you find them at a discount. The trick is seeing past the headlines and recognizing value even in businesses the market assumes are at risk of disruption. 

In this milestone 50th episode, Greg kicks things off with a Wall Street Journal investor quiz that highlights the timeless power of compounding. From there, the focus shifts to Accenture ($ACN), the world’s largest consulting firm. Despite short-term headwinds from government budget cuts and fears of AI disruption, Accenture’s strong balance sheet, growing dividend, and unique position in the consulting landscape make it a compelling candidate for long-term dividend growth investors. Greg breaks down the numbers, the risks, and the upside scenario if Accenture turns AI into an accelerant for its business model. 

Topics Covered: 

 03:13 – The century-long compounding lesson: Coca-Cola, Nvidia, Altria, and Apple
 05:15 – Berkshire Hathaway’s glitch and 60 years of outperformance
 07:26 – Introducing Accenture ($ACN): A long-held but renewed idea
 08:48 – Why the stock has fallen from $400 to the mid-$200s
 10:39 – AI disruption fears: risk or opportunity?
 11:33 – Morningstar and Value Line’s perspectives on Accenture
 14:34 – Historical dividend, earnings, and revenue track record
 16:25 – Margins, balance sheet strength, and net debt position
 19:03 – Return on invested capital: consistent discipline over decades
 20:08 – Acquisition strategy: why Accenture has succeeded where others fail
 21:59 – Conservative debt issuance and bond market confidence
 24:56 – Profitability metrics: margins remain steady through cycles
 26:14 – Accounts receivable and customer credit strength
 27:41 – Why the federal contract risk looks like a buying opportunity
 28:10 – The 10-year dividend model and forward growth scenarios
 30:01 – Potential upside if AI becomes a growth driver
 31:45 – Valuation: PE, price-to-sales, and free cash flow yield at decade lows
 32:48 – Risks: client concentration, acquisitions, regulation, and AI disruption
 34:04 – Final thoughts

 

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