Workflow
3 Industry Behemoths Are Rewarding Investors With Dividend Bumps
JNJJ&J(JNJ) MarketBeat·2025-04-28 13:45

Core Insights - Major companies are increasing dividends to provide stability and reliable returns to investors amid market volatility [1] Johnson & Johnson - Announced a 4.8% increase in its quarterly dividend, resulting in an annual dividend of 5.20andadividendyieldof3.355.20 and a dividend yield of 3.35% [2][4] - Has a strong track record with 64 years of consecutive dividend increases and a 3-year annualized dividend growth rate of 5.43% [2][4] - Faces challenges from tariffs estimated to cost 400 million this year, primarily affecting its medical technology business [4] - Engaged in share buybacks, spending nearly 3.1billionoverthelast12months,representingabout0.83.1 billion over the last 12 months, representing about 0.8% of its market capitalization [5] Costco Wholesale - Increased its quarterly dividend from 1.16 to 1.30pershare,markinganotable121.30 per share, marking a notable 12% increase [7] - The indicated annual dividend is 5.20, but the dividend yield is low at 0.53%, significantly below the average yield of 3.3% for the largest consumer staples stocks [8] - Focuses on share buybacks as its primary method of returning capital, having spent nearly 3.8billiononbuybacksinthelast12months,resultinginabuybackyieldofnearly6.53.8 billion on buybacks in the last 12 months, resulting in a buyback yield of nearly 6.5% [8][9] NASDAQ - Announced a 13% increase in its quarterly dividend, bringing the new dividend to 0.27, with an indicated yield of approximately 1.42% [10][11][12] - The company has spent 260milliononsharebuybackssincethebeginningof2024,whichisabout0.6260 million on share buybacks since the beginning of 2024, which is about 0.6% of its market capitalization, with additional buyback capacity of 1.6 billion [13] - Achieved a debt paydown yield of nearly 2% over the last 12 months, indicating effective debt management [13]