From Nasdaq:

Investors should focus on the reasons behind a stock’s yield, like Apple’s low yield due to its stock price outpacing dividend raises. Air Products and MSC Industrial provide over 3% yield but have underperformed the S&P 500. Expect record-high payouts from all three companies this year.

Apple prefers buybacks over dividends in its capital return program, keeping its yield low at 0.5%. Despite the possibility for larger dividends, buybacks have been a more successful use of capital. Apple could shift focus to dividends due to slower growth.

Air Products is set to achieve a record payout in 2024 with a 3% yield. The company has consistently raised its dividend for 42 years, offering value to income and value investors. Air Products’ diverse industries and competitive advantage make it a strong dividend stock.

MSC Industrial’s first-quarter earnings showed challenging conditions in 2024. The company is affected by manufacturing sector slowdown and high interest rates. However, trends indicate potential improvement later in the year as conditions soften. Investors can earn a well-covered 3.3% dividend while waiting for conditions to improve.



Read more at Nasdaq: 3 Top Dividend Stocks That Could Deliver Record Payouts In 2024