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5 Dividend Stocks Boost Payouts as Markets Reel Under Inflation Fears

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Key Takeaways

  • Five dividend stocks raise payouts as inflation, rates and geopolitical risks fuel market volatility.
  • SKT declared a 31-cent dividend, marking eight hikes in five years with a 50% payout ratio.
  • JNJ, STZ, FNB and KNOP also lifted payouts, signaling stable financials amid uncertainty.

The U.S. economic landscape remains resilient. However, investors should remain cautious due to various domestic and geopolitical uncertainties. Inflation remains the primary concern as energy costs begin to bite. The Consumer Price Index jumped to 3.3% over the last 12 months in March, driven by a 21.2% spike in gasoline prices. While core inflation remains relatively stable at 2.6%, the wholesale side is seeing pressure, with the Producer Price Index hitting 4% year over year.

Looking ahead, the near-term outlook is heavily influenced by geopolitical developments, particularly the conflict in the Middle East, which has caused massive volatility in energy prices. However, hopes for a truce have brought some stability to oil prices. At the same time, ongoing conflicts involving Russia and Ukraine, as well as U.S.-China trade uncertainties, also pose downside risks. These factors can disrupt global supply chains, energy prices and global trade flows, which will eventually nudge inflation higher. The Federal Reserve has adopted a "wait-and-see" approach, holding interest rates between 3.5% and 3.75%. Elevated interest rates could negatively influence borrowing costs and corporate investment decisions.

As a result, cautious investors can diversify their portfolios and pick dividend-paying stocks. Some of the prominent names are: TANGER INC (SKT - Free Report) , F.N.B. (FNB - Free Report) , Johnson & Johnson (JNJ - Free Report) , Constellation Brands (STZ - Free Report) andKNOT Offshore Partners (KNOP - Free Report) . Companies that pay out dividends consistently indicate a healthy business model. Stocks that have raised dividends recently exhibit a sound financial structure and can counter market upheavals. Moreover, stocks that tend to reward investors with a high dividend payout outperform non-dividend-paying entities in a highly volatile market.

TANGER INC

TANGER INC is a real estate investment trust, which acts as an operator of upscale open-air outlet centers, fully or partially owns and manages a portfolio of shopping centers principally in U.S. states and Canada. This Greensboro, NC-based company currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank stocks here.

On April 13, SKT declared that its shareholders would receive a dividend of 31 cents a share on May 15, 2026. SKT has a dividend yield of 3.2%.

Over the past five years, SKT has increased its dividend eight times, and its payout ratio presently sits at 50% of earnings. Check TANGER’s dividend history here.

Tanger Inc. Dividend Yield (TTM)

Tanger Inc. Dividend Yield (TTM)

Tanger Inc. dividend-yield-ttm | Tanger Inc. Quote

F.N.B.

F.N.B. is headquartered in Pittsburgh, PA. This Zacks Rank #3 (Hold) company provides a variety of banking and financial services through its subsidiaries.

On April 14, FNB declared that its shareholders would receive a dividend of 13 cents a share on June 15, 2026. FNB has a dividend yield of 2.7%.

In the past five years, FNB has increased its dividend once. Its payout ratio is currently 30% of earnings. Check F.N.B.’s dividend history here.

F.N.B. Corporation Dividend Yield (TTM)

F.N.B. Corporation Dividend Yield (TTM)

F.N.B. Corporation dividend-yield-ttm | F.N.B. Corporation Quote

Johnson & Johnson

Johnson & Johnson innovates, produces and distributes diverse medical products worldwide. This New Brunswick, NJ-based company currently carries a Zacks Rank #3.

On April 14, JNJ announced that its shareholders would receive a dividend of $1.34 a share on June 9, 2026. JNJ has a dividend yield of 2.2%.

Over the past five years, JNJ has increased its dividend six times. Its payout ratio now sits at 48% of earnings. Check Johnson & Johnson's dividend history here.

Johnson & Johnson Dividend Yield (TTM)

Johnson & Johnson Dividend Yield (TTM)

Johnson & Johnson dividend-yield-ttm | Johnson & Johnson Quote

Constellation Brands

Constellation Brands produces and markets beer, wine and spirits. The Zacks Rank #3 company operates from Rochester, NY.

On April 8, STZ declared that its shareholders would receive a dividend of $1.03 a share on May 14, 2026. STZ has a dividend yield of 2.5%.

Over the past five years, STZ has increased its dividend six times, and its payout ratio presently sits at 35% of earnings. Check Constellation Brands' dividend history here.

KNOT Offshore Partners

KNOT Offshore Partners is headquartered in Aberdeen, United Kingdom. This Zacks Rank #3 company is engaged in owning, acquiring and operating shuttle tankers, designed to transport crude oil and condensates from offshore oil field installations to onshore terminals and refineries.

On April 7, KNOP declared that its shareholders would receive a dividend of 5 cents a share on May 14, 2026. KNOP has a dividend yield of 1%.

In the past five years, KNOP has increased its dividend once. Its payout ratio is currently 9% of earnings. Check KNOT Offshore Partners’ dividend history here.

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