As a dividend-driven investor, one of the first things I look for when screening higher-yielding stocks is a company's ability to maintain and further enhance it's annualized dividend payout. That being said, I wanted to highlight a number of reasons behind my decision to remain bullish on Kraft Foods in the wake of its latest dividend hike.

Kraft Foods Group (KRFT) – On Tuesday, October 7^th , Kraft Foods, which now possesses a forward yield of 3.95% ($2.20/share annualized), announced a 4.76% or $0.025/share increase from its prior payout of $0.525/share for the upcoming quarter.

Headquartered in Northfield, Illinois, Kraft Foods Group, Inc. operates as a consumer packaged food and beverage company in North America and worldwide. It operates through Beverages, Cheese, Refrigerated Meals, Meals & Desserts, Enhancers & Snack Nuts, Canada, and Other Businesses segments.

As a result of Tuesday’s closing price of $55.57/share, Kraft Foods now has a market capitalization of $33 billion, a P/E ratio of 13.79, and a forward yield of $3.95% ($2.20). Its trend behavior, although fairly negative in the near-term (given the fact shares are trading 2.46% below their 20-DSMA and 2.48% below their 50-DSMA), is actually quite flat over the long-term (considering the fact shares are trading at just 0.84% below their 200-DSMA).

If the company can continue to return value to its shareholders through increased dividend payouts, and additional licensing agreements (as was the case with Keurig Green Mountain (GMCR) on August 22) then there’s a very good chance we could see its trend behavior reverse course over the next 6-12 months.

Conclusion

For those of you who may be considering a position in Kraft Foods, I strongly recommend keeping a close eye on the company's dividend behavior over the next 18-24 months as it should directly impact both the company’s near-term trend behavior and the long-term value of its shares.