No Matter What Happens to the S&P 500 in November, These 3 Dividend Stocks Belong in Your Portfolio
A retailer, a spice maker, and a food distributor have raised their dividends for a combined 151 years.
As November approaches and the market's future becomes uncertain, three dividend stocks stand out as reliable investments for portfolios. These companies have a long history of raising dividends through various market conditions, making them an attractive option for investors.
Target (TGT) is one such company, having paid and increased its dividend for 55 consecutive years. With a current yield of just over 3%, Target's dividend consumption is less than half of its earnings, allowing for share buybacks and store investments. The retailer has been proactive with initiatives like relaunching its house brand, Threshold, and promoting a Thanksgiving dinner package for just $30.
McCormick (MKC), a spice and sauce powerhouse, has raised its quarterly dividend for 40 consecutive years. Currently paying $0.48 per share, the stock has fallen to about $48, resulting in a nearly 4% yield. The company is also preparing to acquire Unilever's foods business, which will create a company with a significant revenue base and cost savings.
Sysco (SYY) is a distributor of goods to restaurants and has raised its dividend for 57 straight years, earning the title of Dividend King. With a payout ratio of around 60%, Sysco's dividend growth is sustainable. The company has also acquired Restaurant Depot, expanding its presence in a higher-margin channel.
These three companies - Target, McCormick, and Sysco - offer stability and consistent dividend growth, making them the perfect ballast for a portfolio during uncertain times.
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