I have been an investor in Dr. Pepper Snapple Group (NYSE: DPS) ever since it spun off from its former parent company Cadbury Schweppes in 2008. It is an excellent company with a good dividend that, not only continues to increase its dividend, but is poised to see a run in its share price as well. It is a good dividend stock that should be added to your watch list.

Here are a few reasons why I like Dr. Pepper Snapple Group shares.

Dr. Pepper Offers A Good Dividend Yield

With returns on Treasuries, money markets, and certificates of deposit still at some of the lowest levels seen in a generation, investors continue to be on the hunt for yield. At current share price levels, Dr. Pepper Snapple Group’s current annual dividend of $1.52 per share provides a dividend yield of 3.33%. Stocks like Dr. Pepper that offer over a 3% annual dividend yield provide investors with a high yield that dividend investors are looking for.

Dr. Pepper Continues To Increase Its Dividend

Dr. Pepper Snapple Group spun off and became a publically traded company in 2008. In 2009, the company started issuing a dividend, and that dividend has increased every year since 2009. The dividend has more than doubling in 4 years, which equates to over an 18% increase to the dividend annually.

Potential Reasons For Dr. Pepper’s Share Increasing

DPS Has A Low P/E Ratio

Dr. Pepper Snapple Group has a Price to Earnings (P/E) Ratio of just 15.2 with its current share price of $45.64. This P/E Ratio is well below its industry rivals Coca-Cola (NYSE: KO) and Pepsi Co. (NYSE: PEP). Currently, both Coke and Pepsi enjoy a P/E Ratio of 21.