Dividend Growth Rates

At a 20 percent growth rate, your dividend starts at $1.28 a share per year ($64 a year if you have 50 shares) and should grow to $ 2.65 a share in five years. By the time your retire, the growing dividends will provide a nice income, but it's the growth of capital where the real money is. Your capital should grow at the same rate as the dividend, so your $2,500 investment, with any luck, doubles in five years. Think about it, at 20% a year, it has to.
Year 1 $ 1.28 dividend $ 2,500 cost
Year 2 $ 1.54 dividend $ 3,000 price,most likely
Year 3 $ 1.84 dividend by year three, hopefully $ 3,600
Year 4 $ 2.21 dividend $ 4,350 price, if everything proceeds normally
Year 5 $ 2.65 dividend $ 5,230 ...with any luck...just about a double

Now you are earning close to 40% return on your initial investment.