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5 Solid Stocks to Watch That Recently Hiked Dividends
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Wall Street has remained volatile over the past couple of months owing to multiple domestic and geopolitical reasons. Rising bond yield and lack of clarity over the Federal Reserve’s future course of action with its interest rate hikes have been taking a toll on stocks.
The Federal Reserve kept its benchmark policy rates unchanged in the current range of 5.25-5.5% in its September FOMC meeting. However, Fed Chair Jerome Powell also warned that inflation, despite declining sharply over the past year, remains elevated and a lot higher than the central bank’s 2% target.
He also hinted at another 25-basis point interest rate hike this year and said that the Fed would take each FOMC meeting separately to decide when to end its monetary tightening campaign.
Moreover, the Fed also reduced its rate cut forecast to two from four next year. This saw the 10-year Treasury yield surging to almost 5% earlier this month, leading to huge selloffs.
U.S. GDP grew at a solid 4.9% in the third quarter, surpassing the consensus estimate of a rise of 4.7% and the fastest in almost two years, the Commerce Department reported on Oct 26. However, a resilient labor market has been a major challenge for the Fed as it has been fueling inflation.
Besides, growing geopolitical tensions in the Middle East owing to the recent Israel-Hamas conflict have reignited concerns about the global economy’s health.
Stocks in Focus
Given this situation, dividend-yielding stocks should be an ideal choice for investors aiming to secure their portfolios. We recommend considering stocks that have recently raised their dividend payouts.
AbbVie Inc. has become one of the top-most pharma companies after it acquired Botox maker Allergan in a cash-and-stock deal for $63 billion in May 2020. The deal has transformed ABBV's portfolio by lowering its dependence on Humira, its flagship product, which has lost patent protection in Europe as well as the United States. AbbVie has one of the most popular cancer drugs in its portfolio, Imbruvica. ABBV’s newest immunology drugs, Skyrizi (risankizumab) and Rinvoq (upadacitinib), position it well for long-term growth.
On Oct 27, AbbVieannounced that its shareholders would receive a dividend of $1.55 a share on Feb 15, 2024. ABBV has a dividend yield of 4.26%. Over the past five years, AbbViehas increased its dividend six times, and its payout ratio at present sits at 50% of earnings.Check AbbVie’s dividend history here.
Exxon Mobil Corporation’s bellwether status in the energy space, optimal integrated capital structure that has historically produced industry-leading returns and management's track record of capex discipline across the commodity price cycle make it a relatively lower-risk energy sector play. XOM owns some of the most prolific upstream assets globally. Exxon Mobil has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
On Oct 27, Exxon Mobil declared that its shareholders would receive a dividend of $0.95 a share on Dec 11, 2023. XOM has a dividend yield of 3.45%. Over the past five years, Exxon Mobil has increased its dividend four times, and its payout ratio at present sits at 35% of earnings.Check Exxon Mobil’s dividend history here.
Kontoor Brands, Inc. is an apparel company. KTB designs, manufactures and distributes products. Kontoor Brands’ brand consists of Wrangler, Lee, and Rock & Republic. Kontoor Brands Inc. is based in Greensboro, NC.
On Oct 27, Kontoor Brands announced that its shareholders would receive a dividend of $0.50 a share on Dec 18, 2023. KTB has a dividend yield of 4.11%. Over the past five years, Kontoor Brands has increased its dividend three times, and its payout ratio at present sits at 49% of earnings.Check Kontoor Brands’ dividend history here.
Select Water Solutions, Inc. is a provider of sustainable water and chemical solutions to the energy industry. WTTR, formerly known as Select Energy Services Inc., is based in Houston.
On Oct 26, Select Water Solutions declared that its shareholders would receive a dividend of $0.06 a share on Nov 17, 2023. WTTR has a dividend yield of 2.72%. Over the past five years, Select Water Solutions has increased its dividend once, and its payout ratio at present sits at 33% of earnings.Check Select Water Solutions’ dividend history here.
Macatawa Bank Corporation provides a full range of commercial and consumer banking services, primarily in the communities of Holland and Zeeland, Michigan, as well as the surrounding market area principally located in Ottawa County. MCBC’s services include checking and savings accounts, safe deposit boxes, travelers checks, money orders, trust services and commercial, mortgage and consumer loans.
On Oct 26, Macatawa Bank Corporation declared that its shareholders would receive a dividend of $0.09 a share on Nov 29, 2023. MCBC has a dividend yield of 3.63%. Over the past five years, Macatawa Bank Corporation has increased its dividend thrice, and its payout ratio at present sits at 24% of earnings.Check Macatawa Bank Corporation’s dividend history here.
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5 Solid Stocks to Watch That Recently Hiked Dividends
Wall Street has remained volatile over the past couple of months owing to multiple domestic and geopolitical reasons. Rising bond yield and lack of clarity over the Federal Reserve’s future course of action with its interest rate hikes have been taking a toll on stocks.
The Federal Reserve kept its benchmark policy rates unchanged in the current range of 5.25-5.5% in its September FOMC meeting. However, Fed Chair Jerome Powell also warned that inflation, despite declining sharply over the past year, remains elevated and a lot higher than the central bank’s 2% target.
He also hinted at another 25-basis point interest rate hike this year and said that the Fed would take each FOMC meeting separately to decide when to end its monetary tightening campaign.
Moreover, the Fed also reduced its rate cut forecast to two from four next year. This saw the 10-year Treasury yield surging to almost 5% earlier this month, leading to huge selloffs.
U.S. GDP grew at a solid 4.9% in the third quarter, surpassing the consensus estimate of a rise of 4.7% and the fastest in almost two years, the Commerce Department reported on Oct 26. However, a resilient labor market has been a major challenge for the Fed as it has been fueling inflation.
Besides, growing geopolitical tensions in the Middle East owing to the recent Israel-Hamas conflict have reignited concerns about the global economy’s health.
Stocks in Focus
Given this situation, dividend-yielding stocks should be an ideal choice for investors aiming to secure their portfolios. We recommend considering stocks that have recently raised their dividend payouts.
Five such stocks are AbbVie Inc. (ABBV - Free Report) , Exxon Mobil Corporation (XOM - Free Report) , Kontoor Brands, Inc. (KTB - Free Report) , Select Water Solutions, Inc. (WTTR - Free Report) and Macatawa Bank Corporation (MCBC - Free Report) .
AbbVie Inc. has become one of the top-most pharma companies after it acquired Botox maker Allergan in a cash-and-stock deal for $63 billion in May 2020. The deal has transformed ABBV's portfolio by lowering its dependence on Humira, its flagship product, which has lost patent protection in Europe as well as the United States. AbbVie has one of the most popular cancer drugs in its portfolio, Imbruvica. ABBV’s newest immunology drugs, Skyrizi (risankizumab) and Rinvoq (upadacitinib), position it well for long-term growth.
On Oct 27, AbbVieannounced that its shareholders would receive a dividend of $1.55 a share on Feb 15, 2024. ABBV has a dividend yield of 4.26%. Over the past five years, AbbViehas increased its dividend six times, and its payout ratio at present sits at 50% of earnings.Check AbbVie’s dividend history here.
Exxon Mobil Corporation’s bellwether status in the energy space, optimal integrated capital structure that has historically produced industry-leading returns and management's track record of capex discipline across the commodity price cycle make it a relatively lower-risk energy sector play. XOM owns some of the most prolific upstream assets globally. Exxon Mobil has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
On Oct 27, Exxon Mobil declared that its shareholders would receive a dividend of $0.95 a share on Dec 11, 2023. XOM has a dividend yield of 3.45%. Over the past five years, Exxon Mobil has increased its dividend four times, and its payout ratio at present sits at 35% of earnings.Check Exxon Mobil’s dividend history here.
Kontoor Brands, Inc. is an apparel company. KTB designs, manufactures and distributes products. Kontoor Brands’ brand consists of Wrangler, Lee, and Rock & Republic. Kontoor Brands Inc. is based in Greensboro, NC.
On Oct 27, Kontoor Brands announced that its shareholders would receive a dividend of $0.50 a share on Dec 18, 2023. KTB has a dividend yield of 4.11%. Over the past five years, Kontoor Brands has increased its dividend three times, and its payout ratio at present sits at 49% of earnings.Check Kontoor Brands’ dividend history here.
Select Water Solutions, Inc. is a provider of sustainable water and chemical solutions to the energy industry. WTTR, formerly known as Select Energy Services Inc., is based in Houston.
On Oct 26, Select Water Solutions declared that its shareholders would receive a dividend of $0.06 a share on Nov 17, 2023. WTTR has a dividend yield of 2.72%. Over the past five years, Select Water Solutions has increased its dividend once, and its payout ratio at present sits at 33% of earnings.Check Select Water Solutions’ dividend history here.
Macatawa Bank Corporation provides a full range of commercial and consumer banking services, primarily in the communities of Holland and Zeeland, Michigan, as well as the surrounding market area principally located in Ottawa County. MCBC’s services include checking and savings accounts, safe deposit boxes, travelers checks, money orders, trust services and commercial, mortgage and consumer loans.
On Oct 26, Macatawa Bank Corporation declared that its shareholders would receive a dividend of $0.09 a share on Nov 29, 2023. MCBC has a dividend yield of 3.63%. Over the past five years, Macatawa Bank Corporation has increased its dividend thrice, and its payout ratio at present sits at 24% of earnings.Check Macatawa Bank Corporation’s dividend history here.