Johnson & Johnson has recently raised its dividends for 63 years in a row.
Verizon has the longest dividend growth series in the US telecommunications sector.
10 shares we like more than Chevron ›
Dow Jones Industry Average There is an iconic stock market index. This monitors the activities of the 30 most famous companies in the country. Its components change over time when new leaders rise, while old, but usually those who earn and keep a place DOW are one of the worst Blue Chip stocks;
Most of these companies pay dividends. Some of these benefits are At this time Very attractive if you want to generate passive income; Chevron(NYSE: CVX)Is it Johnson and Johnson(NYSE: JNJ)andVerizon(NYSE: VZ) Divide as the best DOW shares you can buy for income in 2025. And later.
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Current stock price – dividends Chevron Now pays just over 5%. This is more than twice as much as the average Dow component yield that has recently been Correctly below 2%.
The oil giant has a great dividend result: it increased its payments for 38 years, which was a time span involving several cycles of goods. In addition, Chevron has not only provided a modest increase in its series to be alive; Over the past decade, it has grown the growth of peer dividends.
Chevron should not have problems and continue to grow its very fertile dividends in the future. The company has resistance in the sectorwith the industrial leading level, which is around $ 30 per barrel. It also has strong Balance. His leverage ratio Currently there are 14%, which is Below 20% to 25% of the target range and at the lowest end of their colleagues. Chevron Management says that expect In order to increase your free cash flow by 9 billion dollars until next year, it assumes that the oil average is $ 60 per barrel (approximately the current level) as it completes several growth projects. All of these factors show that the company will have a lot of fuel to continue to grow its dividends.
The Johnson & Johnson dividends are about 3.4%depending on the current share price. The health care giant recently increased its benefit by almost 5%, increasing the dividend growth stretch to 63 years. This has kept the company in an elite group The kings of dividendscompanies with annual dividends are 50 or more.
Johnson and Johnson have one of the healthiest financial profiles in the world. This is one of two companies with AAA bond ratingwhich is higher than the US government. In the first quarter, it ended only $ 13.5 billion in pure debt ($ 38.8 billion cash and $ 52.3 billion debt) – that is healthy The top limit of the market;
Last year, Johnson & Johnson earned $ 20 billion free cash flows, ie $ 1.6 billion compared to previous years. It easily covered the $ 11.8 billion dividend costs. The company has developed that solid free cash flow, although it has invested more than $ 17 billion in research and development (research and development), which was one of the best RDTP costs in all industries. The company’s financial force also allowed it to invest more than $ 30 billion in inorganic growth initiatives such as acquisitions last year. Due to the great growth investment, the model should lead to increasing cash flows that will allow you to regularly increase your dividend.
Currently, Verizon is following the Dow Jones of the highest dividend yones – 6.2%. The telecommunications giant earns a lot of repetitive income to maintain that wonderful benefit. Last year, Verizon earned $ 36.9 billion cash flow from operations, more than enough to cover its capital costs ($ 17.1 billion) and dividend payment ($ 11.2 billion). The company used free cash flow to reinforce its already Hard balance.
This is the strength of the balance to be used to buy Frontier relationships under a $ 20 billion cash -worth of cash transaction that should be completed to the next year. This acquisition will strengthen your fiber network and should save at least $ 500 million. USD. Verizon too continues to invest Organic capital projects to maintain and expand their broadband and mobile networks. These investments should increase the company’s income and cash flow in the future;
As Verizon’s income increases, it should be enabled to further increase their dividends. At the end of last year, she presented her 18th annual increase in dividends-it was the longest current payout-renovation series in the US telecommunications sector.
The Dow Jones Industry Index may be Great A place for investors to look for high quality dividend shares. Chevron, Johnson & Johnson and Verizon have Of course We were elite dividend payers over the years. Because the yield is significantly higher than the market average and higher dividend growth, all three are excellent DOW shares that can be purchased for passive income in 2025. And later.
Consider this before buying the Chevron stock:
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Matt Darhallo occupies the positions of Chevron, Johnson & Johnson and Verizon Communications. Motley fool is a position and recommends Chevron. The Motley fool recommends Johnson & Johnson and Verizon Communications. The Motley fool has a disclosure policy.
Passive income generation: 3 best Dow dividend shares to be bought in 2025. And later