Latest news with #DividendAristocrat
Yahoo
17-05-2025
- Business
- Yahoo
Chubb Limited (CB) Hikes Dividend as It Continues Dividend Aristocrat Tradition
Chubb Limited (NYSE:CB) announced a hike in its quarterly dividend, staying true to its shareholder-friendly track record. On May 15, Chubb Limited (NYSE:CB) declared a 6.6% hike in its quarterly dividend to $0.97 per share. Through this increase, the Zurich-based property-and-casualty insurance giant stretched its dividend growth streak to 32 years. The stock will trade ex-dividend on June 13. As of May 16, CB has a dividend yield of 1.32%. Chubb Limited (NYSE:CB) has consistently maintained a strong dividend policy over the years. As a Dividend Aristocrat, it has achieved a nearly 4% dividend growth rate over the past five years—an impressive figure when considering its overall shareholder returns. The stock has surged by 8% since the start of 2025, and its 12-month return came in at over 11%. The company also announced that its board has approved a new $5 billion stock repurchase program, set to take effect on July 1 without a set expiration date. Its existing buyback plan will remain in place until the end of June, according to the company's statement on Thursday. Additionally, it repurchased nearly 1.35 million shares for $385 million, leaving $1.3 billion still available for buybacks as of March 31. In the first quarter of 2025, Chubb Limited (NYSE:CB) reported an adjusted operating cash flow of $2 billion. Staying true to its commitment to shareholder value, the company paid out $366 million in dividends during the quarter. While we acknowledge the potential of CB to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than CB and that has 100x upside potential, check out our report about this cheapest AI stock. READ NEXT: and Disclosure. None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
10-04-2025
- Business
- Yahoo
5 Dividend Aristocrats with sky-high yields above 5%
There are several ways for investors to add stable investments that provide a stream of income to their portfolios. One of the most common ways to do so is by investing in dividend stocks. In fact, there are some companies, referred to as Dividend Aristocrats, that have consistently been raising their dividends every year for 25 years or more. Here's a look at five Dividend Aristocrats with yields above 5 percent. If you are considering adding any new investments to your portfolio, you may want to consult with a financial advisor who can help you devise a plan based on your individual needs, time horizon and risk tolerance. Company Dividend yield Franklin Resources Group (BEN) 6.89 percent Realty Income Corp. (O) 5.97 percent Amcor Plc (AMCR) 5.65 percent T. Rowe Price Group Inc. (TROW) 5.63 percent Stanley Black & Decker Inc. (SWK) 5.11 percent A Dividend Aristocrat is a stock with a long track record of paying investors dividends. These are typically large, resilient companies that have stable, income-generating businesses. This means they aren't necessarily the fastest-growing companies, but they typically have solid fundamentals. To qualify as a Dividend Aristocrat, a company must meet these criteria: Increase its dividend payout every year for at least 25 years; Be a member of the S&P 500; Have a market cap of at least $3 billion; And meet the liquidity requirement of $5 million in average daily trading volume. If you're looking to cash in on the high dividends these stocks pay, you have a couple of options. If you're choosing this route, you will have to put in some research to figure out which individual stocks fit into your long-term financial goals. A financial advisor can also help you pick investments that align with your overall financial plan. Probably the easiest and most accessible way to invest in Dividend Aristocrats is to buy shares of an ETF. In fact, dividend stock ETFs are very popular, and you can even buy a Dividend Aristocrats ETF specifically. One option is the S&P 500 Dividend Aristocrats ETF (NOBL). ETFs are an affordable way to diversify your portfolio because the expense ratios tend to be low. Also, these funds expose you to a basket of different stocks at one time, diversifying your holdings. Need an advisor? Need expert guidance when it comes to managing your investments or planning for retirement? can connect you to a CFP® professional to help you achieve your financial goals. For all the benefits that come with generating passive income through stocks that pay dividends, there are a few risks to keep in mind when investing in high-dividend stocks. Competitive weakness. Some companies pay high dividends while neglecting to reinvest that money into their business so that the company can grow. This can potentially weaken their market position over time and create a decline in profit. Taxes. It's important to understand that any dividends you receive are taxable as income (unless they're in a 401(k) or other tax-advantaged account). The dividends are also taxable if you reinvest them. Warning signs. Sometimes, a company's dividend yield is high because it has recently experienced a major drop in its stock price, sending the yield up. Make sure to evaluate the financial health of the company and metrics like its payout ratio, which will tell you what percent of the company's profits are paid out as dividends. If the company has a large payout ratio, that means it may have to dip back into that during times of economic distress, taking away from the dividend you'll receive. Investing in Dividend Aristocrats is just one way to generate passive income. There are a few ways to go about investing in stocks, including buying them individually or purchasing shares of an ETF that includes Dividend Aristocrats. Whichever route you choose to go, remember to take the time to consider your risk tolerance, time horizon and how Dividend Aristocrats fit into your long-term investing strategy. A financial advisor can help you navigate the answers to these questions. Editorial Disclaimer: All investors are advised to conduct their own independent research into investment strategies before making an investment decision. In addition, investors are advised that past investment product performance is no guarantee of future price appreciation. Sign in to access your portfolio
Yahoo
09-03-2025
- Business
- Yahoo
Is Verizon Communications Inc. (VZ) the Best Performing Dividend Stock to Buy Now?
We recently compiled a list of the . In this article, we are going to take a look at where Verizon Communications Inc. (NYSE:VZ) stands against the other dividend stocks. Dividend stocks have taken a backseat in the market as technology and AI-driven equities have soared to record highs. However, analysts at Ned Davis Research believe that a more challenging macroeconomic landscape this year could create opportunities for dividend stocks to regain momentum. Amid concerns about economic growth and uncertainty surrounding former President Trump's tariff policies, investors have been turning to defensive strategies. In this environment, dividend stocks have proven resilient, offering both stability and attractive passive income. The Dividend Aristocrat index, which tracks companies with a history of at least 25 years of consistent dividend growth, has climbed by over 5.3% in 2025. In contrast, the broader market has declined by nearly 1.7%, as of the close of March 7. READ ALSO: While analysts remain cautious about the market's ability to sustain its recent gains, dividend stocks have increasingly drawn their attention for several reasons. According to Ameriprise Financial, the S&P index is widely regarded as one of the most significant benchmarks for global equity markets. Over the past decade, dividend growth and share buybacks have become defining characteristics of the index, which includes numerous global dividend-paying companies. Dividend growth saw a sharp slowdown in the final quarter of 2024, largely attributed to the election and uncertainty surrounding potential policy changes. With these concerns now in the past, Ameriprise Financial expects a resurgence in dividend growth within the broader market. For 2025, projections indicate a potential 8% increase in dividend payouts, following growth rates of 6% in 2024 and 5% in 2023. The report further mentioned that The Tax Cuts and Jobs Act (TCJA) of 2017 also played a significant role in boosting dividends and share buybacks in 2018. By lowering the corporate federal tax rate from 35% to 21%, the legislation contributed to a surge in shareholder returns, with buybacks and dividend payouts reaching multi-year highs the following year. As the TCJA approaches its expiration in 2025, discussions around corporate tax reductions have resurfaced. While the proposed decrease from 21% to 15% is not as substantial as the previous cut, it could still provide an upside for shareholder returns within the broader market once a final decision is reached. Companies with a history of regular dividend payments are generally seen as stable investments, reflecting their strong cash flow and financial resilience. These businesses are often found in defensive sectors such as consumer staples, utilities, and healthcare, which tend to be less affected by economic fluctuations. As a result, they help investors manage portfolio risks more effectively. At the beginning of 2025, growing concerns over rising inflation and sluggish economic growth led investors to increase their exposure to defensive stocks. This shift in strategy was intended to protect portfolios from potential market volatility linked to these economic uncertainties. Ned Davis's Clissold and his team shared their perspective on the situation: 'One would expect that companies that pay dividends are more stable and have lower growth rates. As a result, they should rally less in up markets and decline less in down markets. In other words, they have lower betas than non-dividend-payers. … As a group, dividend-payers have a beta of 0.99 versus 1.11 for nonpayers.' For this article, we scanned the list of companies that have delivered positive returns in 2025. From that group, we identified dividend companies with strong dividend policies and stable cash positions. We began with a pool of fifty companies, narrowed it down by considering their share price increases, and ultimately selected the top 14 dividend stocks with the highest share price gains as of March 7, arranging them in ascending order of performance. At Insider Monkey, we are obsessed with hedge funds. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (). A smiling customer receiving customer contact center solutions on their smartphone. Year-to-Date Return as of March 7: 13.84% An American multinational telecommunications company, Verizon Communications Inc. (NYSE:VZ) ranks ninth on our list of the best performing stocks that pay dividends. The company is currently advancing its "AI Connect" initiative, which offers the necessary infrastructure and connectivity solutions for businesses to deploy and manage AI workloads. This effort is aimed at capitalizing on the expanding AI infrastructure market, which is expected to attract over $1 trillion in investments over the next decade. The initiative leverages the company's existing fiber network and edge computing capabilities. As of the fourth quarter of 2024, it had already secured a $1 billion deal pipeline, with major players like Google and Meta utilizing Verizon Communications Inc.'s (NYSE:VZ) network for AI workloads. Verizon Communications Inc. (NYSE:VZ) delivered solid fourth-quarter results in 2024, posting $35.7 billion in revenue, a 1.6% year-over-year increase. Growth was fueled by higher customer additions across both mobile wireless and internet services. In the mobile wireless segment, net postpaid phone subscriber additions reached 568,000, up from 449,000 in the same period last year. Revenue from this segment grew 3.1% year-over-year to $20 billion, marking its 18th consecutive quarter of expansion. Verizon Communications Inc. (NYSE:VZ) has garnered investor interest due to its strong cash flow and focus on innovation. In fiscal 2024, the company reported $37 billion in operating cash flow, while free cash flow increased to $19.8 billion from $18.7 billion in the prior year. It offers a quarterly dividend of $0.6775 per share and has a dividend yield of 5.88%, as recorded on March 7. VZ's dividend growth streak currently spans over 18 years. Overall VZ ranks 9th on our list of the best performing dividend stocks to buy now. While we acknowledge the potential for VZ as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than VZ but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
Yahoo
09-03-2025
- Business
- Yahoo
Is Johnson & Johnson (JNJ) the Best Performing Dividend Stock to Buy Now?
We recently compiled a list of the . In this article, we are going to take a look at where Johnson & Johnson (NYSE:JNJ) stands against the other dividend stocks. Dividend stocks have taken a backseat in the market as technology and AI-driven equities have soared to record highs. However, analysts at Ned Davis Research believe that a more challenging macroeconomic landscape this year could create opportunities for dividend stocks to regain momentum. Amid concerns about economic growth and uncertainty surrounding former President Trump's tariff policies, investors have been turning to defensive strategies. In this environment, dividend stocks have proven resilient, offering both stability and attractive passive income. The Dividend Aristocrat index, which tracks companies with a history of at least 25 years of consistent dividend growth, has climbed by over 5.3% in 2025. In contrast, the broader market has declined by nearly 1.7%, as of the close of March 7. READ ALSO: While analysts remain cautious about the market's ability to sustain its recent gains, dividend stocks have increasingly drawn their attention for several reasons. According to Ameriprise Financial, the S&P index is widely regarded as one of the most significant benchmarks for global equity markets. Over the past decade, dividend growth and share buybacks have become defining characteristics of the index, which includes numerous global dividend-paying companies. Dividend growth saw a sharp slowdown in the final quarter of 2024, largely attributed to the election and uncertainty surrounding potential policy changes. With these concerns now in the past, Ameriprise Financial expects a resurgence in dividend growth within the broader market. For 2025, projections indicate a potential 8% increase in dividend payouts, following growth rates of 6% in 2024 and 5% in 2023. The report further mentioned that The Tax Cuts and Jobs Act (TCJA) of 2017 also played a significant role in boosting dividends and share buybacks in 2018. By lowering the corporate federal tax rate from 35% to 21%, the legislation contributed to a surge in shareholder returns, with buybacks and dividend payouts reaching multi-year highs the following year. As the TCJA approaches its expiration in 2025, discussions around corporate tax reductions have resurfaced. While the proposed decrease from 21% to 15% is not as substantial as the previous cut, it could still provide an upside for shareholder returns within the broader market once a final decision is reached. Companies with a history of regular dividend payments are generally seen as stable investments, reflecting their strong cash flow and financial resilience. These businesses are often found in defensive sectors such as consumer staples, utilities, and healthcare, which tend to be less affected by economic fluctuations. As a result, they help investors manage portfolio risks more effectively. At the beginning of 2025, growing concerns over rising inflation and sluggish economic growth led investors to increase their exposure to defensive stocks. This shift in strategy was intended to protect portfolios from potential market volatility linked to these economic uncertainties. Ned Davis's Clissold and his team shared their perspective on the situation: 'One would expect that companies that pay dividends are more stable and have lower growth rates. As a result, they should rally less in up markets and decline less in down markets. In other words, they have lower betas than non-dividend-payers. … As a group, dividend-payers have a beta of 0.99 versus 1.11 for nonpayers.' For this article, we scanned the list of companies that have delivered positive returns in 2025. From that group, we identified dividend companies with strong dividend policies and stable cash positions. We began with a pool of fifty companies, narrowed it down by considering their share price increases, and ultimately selected the top 14 dividend stocks with the highest share price gains as of March 7, arranging them in ascending order of performance. At Insider Monkey, we are obsessed with hedge funds. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (). A smiling baby with an array of baby care products in the foreground. Year-to-Date Return as of March 7: 16.06% Johnson & Johnson (NYSE:JNJ) is an American pharmaceutical company that operates through its subsidiaries to develop, manufacture, and market a wide range of healthcare products. The company is one of the strongest dividend payers in the market, having raised its payouts for 62 consecutive years. Currently, it pays a quarterly dividend of $1.24 per share and has a dividend yield of 2.98%, as of March 7. In the fourth quarter of 2024, Johnson & Johnson (NYSE:JNJ) posted $22.5 billion in revenue, reflecting a 5.2% increase from the prior year. As a leading healthcare company, it remains focused on addressing diseases with significant unmet medical needs, including multiple myeloma, lung cancer, inflammatory bowel disease, and heart failure. The MedTech division saw 6.2% operational sales growth globally, with acquisitions and divestitures contributing 1.5% to this increase. Growth in the Cardiovascular segment was driven by strong demand for electrophysiology products and Abiomed, while robust sales of wound closure products supported the General Surgery division. Over the past 15 years, Johnson & Johnson (NYSE:JNJ) has strengthened its position through a strategic shift toward brand-name drug development. Following the 2023 spinoff of its consumer health segment, Kenvue, the company's innovative medicine segment now accounts for nearly two-thirds of its total sales. While brand-name drugs have a limited window of exclusivity, their strong pricing power and high margins make them a key driver of profitability. JNJ has surged by over 16% in 2025 so far, which makes it one of the best performing stocks on our list. Overall JNJ ranks 5th on our list of the best performing dividend stocks to buy now. While we acknowledge the potential for JNJ as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than JNJ but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
Yahoo
09-03-2025
- Business
- Yahoo
Is McDonald's Corporation (MCD) the Best Performing Dividend Stock to Buy Now?
We recently compiled a list of the . In this article, we are going to take a look at where McDonald's Corporation (NYSE:MCD) stands against the other dividend stocks. Dividend stocks have taken a backseat in the market as technology and AI-driven equities have soared to record highs. However, analysts at Ned Davis Research believe that a more challenging macroeconomic landscape this year could create opportunities for dividend stocks to regain momentum. Amid concerns about economic growth and uncertainty surrounding former President Trump's tariff policies, investors have been turning to defensive strategies. In this environment, dividend stocks have proven resilient, offering both stability and attractive passive income. The Dividend Aristocrat index, which tracks companies with a history of at least 25 years of consistent dividend growth, has climbed by over 5.3% in 2025. In contrast, the broader market has declined by nearly 1.7%, as of the close of March 7. READ ALSO: While analysts remain cautious about the market's ability to sustain its recent gains, dividend stocks have increasingly drawn their attention for several reasons. According to Ameriprise Financial, the S&P index is widely regarded as one of the most significant benchmarks for global equity markets. Over the past decade, dividend growth and share buybacks have become defining characteristics of the index, which includes numerous global dividend-paying companies. Dividend growth saw a sharp slowdown in the final quarter of 2024, largely attributed to the election and uncertainty surrounding potential policy changes. With these concerns now in the past, Ameriprise Financial expects a resurgence in dividend growth within the broader market. For 2025, projections indicate a potential 8% increase in dividend payouts, following growth rates of 6% in 2024 and 5% in 2023. The report further mentioned that The Tax Cuts and Jobs Act (TCJA) of 2017 also played a significant role in boosting dividends and share buybacks in 2018. By lowering the corporate federal tax rate from 35% to 21%, the legislation contributed to a surge in shareholder returns, with buybacks and dividend payouts reaching multi-year highs the following year. As the TCJA approaches its expiration in 2025, discussions around corporate tax reductions have resurfaced. While the proposed decrease from 21% to 15% is not as substantial as the previous cut, it could still provide an upside for shareholder returns within the broader market once a final decision is reached. Companies with a history of regular dividend payments are generally seen as stable investments, reflecting their strong cash flow and financial resilience. These businesses are often found in defensive sectors such as consumer staples, utilities, and healthcare, which tend to be less affected by economic fluctuations. As a result, they help investors manage portfolio risks more effectively. At the beginning of 2025, growing concerns over rising inflation and sluggish economic growth led investors to increase their exposure to defensive stocks. This shift in strategy was intended to protect portfolios from potential market volatility linked to these economic uncertainties. Ned Davis's Clissold and his team shared their perspective on the situation: 'One would expect that companies that pay dividends are more stable and have lower growth rates. As a result, they should rally less in up markets and decline less in down markets. In other words, they have lower betas than non-dividend-payers. … As a group, dividend-payers have a beta of 0.99 versus 1.11 for nonpayers.' For this article, we scanned the list of companies that have delivered positive returns in 2025. From that group, we identified dividend companies with strong dividend policies and stable cash positions. We began with a pool of fifty companies, narrowed it down by considering their share price increases, and ultimately selected the top 14 dividend stocks with the highest share price gains as of March 7, arranging them in ascending order of performance. At Insider Monkey, we are obsessed with hedge funds. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (). A cook in a busy kitchen assembling cheeseburgers for orders. Year-to-Date Return as of March 7: 9.43% McDonald's Corporation (NYSE:MCD) is an American multinational fast-food company that offers a wide menu of food, beverages, and desserts. The company delivered a disappointing quarterly performance, falling short of investor expectations. One factor was an E. Coli outbreak that impacted certain menu items, including the widely popular Quarter Pounder. However, while this incident contributed to the decline, the company's challenges extended beyond just the fourth quarter. For the fourth quarter of 2024, McDonald's Corporation (NYSE:MCD) reported $6.4 billion in revenue, reflecting a slight 0.2% year-over-year decline and missing analysts' estimates by over $88 million. Global same-store sales, which measure the performance of locations open for at least a year, inched up by 0.4%. However, in its core US market, same-store sales dropped 1.4%, highlighting a slowdown in growth and difficulty in sustaining sales momentum. Despite these challenges, the stock has risen by over 9% in 2025 so far, which makes it one of the best performing stocks that pay dividends. Even with these setbacks, McDonald's Corporation (NYSE:MCD) remains attractive to investors due to its solid dividend history and financial stability. The company's quarterly dividend came in at $1.77 per share for a dividend yield of 2.21%, as of March 7. By the end of fiscal 2024, it held over $1 billion in cash and cash equivalents, with total assets nearing $12 billion. In addition, the company has raised its dividend for 48 consecutive years. Overall MCD ranks 12th on our list of the best performing dividend stocks to buy now. While we acknowledge the potential for MCD as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than MCD but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
