3 Dividend Growth Stocks With Yields Above 3%
3 Dividend Growth Stocks With Yields Above 3% That You Can Buy and Hold for the Next Decade
https://finance.yahoo.com/news/3-dividend-growth-stocks-yields-082100731.html
Summary
This is an article about dividend growth stocks [1]. It discusses three companies: AbbVie, Bristol Myers Squibb, and Johnson & Johnson [1]. All three are pharmaceutical giants that offer dividend yields above 3% [1]. The article argues that these are good stocks to buy and hold for the long term, despite upcoming patent expirations [1]. The companies have a history of raising their dividends and are expected to continue doing so [1]. AbbVie has a high dividend yield because the market is concerned about sinking sales of its top product, Humira [1]. However, the company has done a great job reinvesting profits from Humira into new growth drivers [1]. Bristol Myers Squibb has a lot of moving pieces, but its lineup of relatively new products appears capable of offsetting upcoming losses [1]. Johnson & Johnson also has a large medical technology business and recently acquired Abiomed, which makes heart pumps [1].
Comment by G.G
The article discusses three dividend growth stocks: AbbVie, Bristol Myers Squibb, and Johnson & Johnson [1]. These are all large pharmaceutical companies with a history of raising their dividends [1]. The article argues that these are good stocks to buy and hold for the long term, even though they face upcoming patent expirations [1]. Here's my take on this:
This is a good starting point for those looking for dividend growth stocks, but it's important to do your own research before investing in any company. While the article mentions that these companies are expected to continue raising their dividends, there is always the risk that they could cut their dividends in the future. It's also important to consider the overall risk profile of each company. For example, AbbVie has a high dividend yield because the market is concerned about sinking sales of its top product, Humira [1].
Here are some additional factors to consider when investing in dividend growth stocks:
The company's financial health: Look for companies with a strong track record of profitability and a healthy balance sheet.
The company's dividend history: Look for companies with a history of raising their dividends over time.
The company's growth prospects: Look for companies with a strong pipeline of new products and a solid track record of innovation.
The overall market environment: Dividend growth stocks tend to outperform in low-interest-rate environments.
By considering these factors, you can make more informed decisions about which dividend growth stocks are right for you.