Among the Top Dividend Challengers in 2025
From Yahoo Finance: 2025-05-06 06:00:00
Jacobs Solutions Inc. (J) is among the top Dividend Challengers in 2025, offering a 1.03% dividend yield as of April 29. The company reported a 4.4% revenue growth in Q1, surpassing analyst estimates by over $14 million. Jacobs Solutions Inc. has maintained dividend payouts for seven consecutive years, with a healthy cash position and a quarterly dividend of $0.32 per share.
Investors are increasingly interested in dividend-paying stocks as they offer long-term investment potential. Firms like Jacobs Solutions Inc. are attractive for stable income and growth. Historically, dividend growers have shown less volatility and outperformed the broader market. Companies that raised dividends achieved a 10.5% average annual return compared to just 5.5% for those that reduced or suspended payouts.
Global dividend distributions reached a record $1.75 trillion in 2024, with 88% of companies raising or maintaining dividends. Janus Henderson projects global dividend payouts to grow by 5.0% in the coming year, reaching another record of $1.83 trillion. Despite currency pressures, underlying growth is expected to slightly increase to about 5.1%. Key markets like the US, Canada, France, Japan, and China achieved new highs in dividend payments.
Bank of America noted that dividend-paying stocks helped stabilize portfolios during the turbulent month of March. Dividend-oriented names outperformed as global equities fell -4.1%. Value and Dividend styles were the best performing. BofA’s quant strategist highlighted several top-performing dividend stocks during the market’s choppy period.
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