Dividend growth stocks have a secret weapon in their arsenal: consistent outperformance. Companies like (NYSE: V), Lockheed Martin (NYSE: LMT), and Lowe's (NYSE: LOW) have all soundly beaten the benchmark S 500 index over the prior 10-year period.

This trend extends to most large-cap stocks with annualized dividend growth rates above 6%. The strong correlation between dividend growth and crucial financial metrics -- like payout ratios, earnings power, and free cash flow -- is the reason.

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Source Fool.com