From Yahoo Finance: 2025-05-06 07:22:00

Innovative Industrial Properties, Inc. (IIPR) is a top dividend challenger in 2025, offering real estate opportunities in the cannabis industry. It ranks 1st on the list of dividend challengers with a 14.41% dividend yield as of April 29. IIPR has steadily increased dividends every year since its inception in 2016, making it an attractive investment option.

Investor interest in dividend-paying stocks continues to rise as companies globally increase dividend distributions. In 2024, global dividends reached a record $1.75 trillion, with underlying growth expected to continue at 5.1% in the coming year. Dividend growth strategies have historically shown less volatility and better performance than the broader market, making them compelling for long-term investors.

Analysts suggest that dividend growers outperform the market, with companies raising dividends showing average annual returns of 10.5% compared to 5.5% for those that reduced payouts. Dividend-paying stocks helped stabilize portfolios during market turbulence in March, highlighted by Bank of America. Dividend-oriented names held up better during the uncertain period, emphasizing the appeal of reliable dividend stocks for investors.

Fidelity Equity-Income Fund and Fidelity Global Equity Income Fund focus on stable dividend-paying firms with attractive valuations. Lower interest rates make dividend stocks more appealing than bonds due to relatively attractive yields. Analysts emphasize the importance of balancing income and growth by focusing on dividend growers, which historically outperform the broader market. Dividend growth strategies offer a compelling option for investors seeking long-term returns while protecting their portfolios during market downturns.



Read more at Yahoo Finance: A Top Dividend Challenger in 2025