Top 20 Highest Yielding Dividend Kings Now | Yields Up To 8.0%

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Top 20 Highest Yielding Dividend Kings Now | Yields Up To 8.0%


Updated on March 16th, 2023 by Bob Ciura

The Dividend Kings are the best-of-the-best in dividend longevity.

What is a Dividend King? A stock with 50 or more consecutive years of dividend increases.

The downloadable Dividend Kings Spreadsheet List below contains the following for each stock in the index among other important investing metrics:

You can see the full downloadable spreadsheet of all 48 Dividend Kings (along with important financial metrics such as dividend yields, payout ratios, and price-to-earnings ratios) by clicking on the link below:


Click here to instantly download your free spreadsheet of all Dividend Kings now, along with important investing metrics.

We typically rank stocks based on their five-year expected annual returns, as stated in the Sure Analysis Research Database.

But for investors primarily interested in income, it is also useful to rank the Dividend Kings according to their dividend yields.

This article will rank the 20 highest-yielding Dividend Kings today.

Table of Contents

High Yield Dividend King #20: Sysco Corp. (SYY)

Sysco Corporation is the largest wholesale food distributor in the United States that serves 600,000 locations with food delivery, including restaurants, hospitals, schools, hotels, and other facilities. According to estimates, the company has a 16% market share of total food delivery within the United States.

Source: Investor Presentation

On January 31st, 2023, Sysco reported second-quarter and six months results for Fiscal Year (FY) 2023. The company ends its fiscal year at the end of June. Sales for the quarter were $18.6 billion, an increase of 13.9% versus the same period in the fiscal year 2022. Gross profit increased 15.9% to $3.3 billion, as compared to the same quarter last year. Gross margin increased 29 basis points to 18.0% and adjusted gross margin is now 18.0% compared to 2Q2022.

Adjusted EPS increased to $0.80 compared to $0.57 for the quarter compared to the second quarter of FY2022, which is an increase of 40.4% year-overyear. The company was able to grow both top and bottom line because they have effectively managed inflation, increased case volume and grew market share.

Overall, the company delivered strong financial results, growing volumes and sales, and improving profitability. At the same time, the company was able to increase free cash flow to $219.3 million for the first six months of the fiscal year, which was an increase of $18.2 million over the prior year period.

Click here to download our most recent Sure Analysis report on Sysco (preview of page 1 of 3 shown below):

High Yield Dividend King #19: Target Corporation (TGT)

Target is a giant discount retailer. Its business consists of about 1,850 big box stores, which offer general merchandise and food, as well as serving as distribution points for the company’s burgeoning e-commerce business. Target should produce about $110 billion in total revenue this year.

Target reported third quarter earnings on November 16th, 2022, and results were weaker than expected, along with somewhat weak guidance for the final quarter of the year. Adjusted earnings-per-share were $1.54 per share, which missed estimates by 64 cents. Revenue was better, rising 3.4% to $26.52 billion, which was $120 million better than estimates.

Comparable sales were 2.7% higher, which was stacked on 12.7% growth from the year-ago period. This was driven by a 1.4% gain in traffic, as well as a 1.3% increase in average ticket size. The company said Beauty, Food and Beverage, and Household Essentials were sources of strength, offset by softness in discretionary categories. Digital sales were 17.1% of total revenue.

The company guided for softening sales and profits in Q4, so guidance was quite vague for Q4. In addition, Target is looking for efficiencies across the business, with a focus on reducing complexity and lowering operating costs. The stated goal was to save $2 billion to $3 billion in the coming three years.

Click here to download our most recent Sure Analysis report on TGT (preview of page 1 of 3 shown below):

High Yield Dividend King #18: Hormel Foods (HRL)

Hormel Foods was founded back in 1891 in Minnesota. Since that time, the company has grown into a juggernaut in the food products industry with nearly $10 billion in annual revenue.

Hormel has kept with its core competency as a processor of meat products for well over a hundred years, but has also grown into other business lines through acquisitions.

Hormel has a large portfolio of category-leading brands. Just a few of its top brands include include Skippy, SPAM, Applegate, Justin’s, and more than 30 others.

Hormel reported fourth quarter and full-year earnings on November 30th, 2022, and results were somewhat mixed. Earnings-per-share beat expectations by two cents, coming in at 51 cents. Revenue, however, fell 5% to $3.3 billion, and missed estimates by $50 million.

Organic sales were up 2%, excluding the impact of the additional week that was present in the prior year’s fourth quarter. Operating income was $367 million, up 3%. Operating margin was 11.2%, which was 80 basis points higher than last year’s Q4. Earnings-per-share were flat at 51 cents.

Cash flow from operations came to $372 million, down 34% year-over-year. The company said it expects to see volatile costs and sales for the foreseeable future given supply chain constraints and inflationary pressures.

Click here to download our most recent Sure Analysis report on Hormel (preview of page 1 of 3 shown below):

High Yield Dividend King #17: Cincinnati Financial (CINF)

Cincinnati Financial is an insurance company founded in 1950. It offers business, home, auto insurance, and financial products, including life insurance, annuities, property, and casualty insurance.

On February 6th, 2023, Cincinnati Financial reported the fourth quarter and full year results for Fiscal Year (FY) 2022. Total revenues were $3.1 billion for the quarter compared to $3.3 billion in 4Q 2021. Revenues were down (6)% year over year.

However, Earned premiums were up 12% year over year from $1.7 billion in 4Q2021 to $1.9 billion in premiums in 4Q2022. Earned premiums growth was driven by 10% growth net written premiums, including price increases, premium growth initiatives and a higher level of insured exposures.

For the full year, total revenue were down (32)% compared to FY2021. However, earned premiums increased 11% year over year.

Also, the company had a net loss of $486 million, or $(3.06) per share, compared with net income of $2.946 billion, or $18.10 per share, in 2021. Overall, Non-GAAP was $4.24 per share compared to $6.41 per share in 2021, a decrease of (34)% year over year. The company also announced its 63 year in a row dividend increase of 8.7%.

Click here to download our most recent Sure Analysis report on CINF (preview of page 1 of 3 shown below):


High Yield Dividend King #16: PepsiCo Inc. (PEP)

PepsiCo is a global food and beverage company that generates $86 billion in annual sales. The company’s brands include Pepsi, Mountain Dew, Frito–Lay chips, Gatorade, Tropicana orange juice and Quaker foods. The company has approximately 20 $1 billion-brands in its portfolio.

Source: Investor Presentation

On February 9th, 2023, PepsiCo announced that it would increase its annualized dividend by 10% starting with the dividend expected to be paid in June 2023, extending the company’s dividend growth streak to 51 consecutive years. Also on February 9th, 2023, PepsiCo reported fourth quarter and full year results for the period ending December 31st,
2022. Revenue grew 10.9% to $28 billion, beating analysts’ estimates by $1.17 billion.

Adjusted earnings-per-share of $1.67 compared to $1.53 in the prior year and was $0.02 better than anticipated. A stronger U.S. dollar was a 3% headwind to revenue and a 1% drag on earnings-per-share. For the year, revenue grew 8.7% to $23.3 billion while adjusted earnings-per-share of $6.42 compared to $6.26 in 2022. Organic sales grew 14.6% and 14.4% for the fourth quarter and full year, respectively.

For the quarter, volume growth for beverages was flat while convenient foods were lower by 2%. PepsiCo Beverages North America’s revenue grew 10% organically, driven mostly by acquisitions as volume fell 2%. Frito-Lay North America was higher by 18% due mostly to pricing. Quaker Foods North America was up 10%, as pricing action was partially offset by a 7% decrease in volume.

Click here to download our most recent Sure Analysis report on PepsiCo (preview of page 1 of 3 shown below):

High Yield Dividend King #15: Johnson & Johnson (JNJ)

Johnson & Johnson is a global healthcare giant. The company currently operates three segments: Consumer, Pharmaceutical, and Medical Devices & Diagnostics. The corporation includes roughly 250 subsidiary companies with operations in 60 countries and products sold in over 175 countries.

The company’s most recent earnings report was delivered on January 24th, 2023 for the fourth quarter and full year. For the fourth quarter, adjusted EPS of $2.35 beat by $0.11, while revenue of $23.7 billion missed slightly.

Full-year results can be seen in the image below:

Source: Investor Presentation

For 2023, the company expects 4% adjusted operational sales growth (excluding the COVID-19 vaccine) and 3.5% adjusted earnings-per-share growth.

Johnson & Johnson’s key competitive advantage is the size and scale of its business. The company is a worldwide leader in several healthcare categories. Johnson & Johnson’s diversification allows it to continue to grow even if one of the segments is underperforming.

The company has increased its dividend for 60 consecutive years, making it a Dividend King. The stock is owned by many well-known money managers. For example, J&J is a Kevin O’Leary dividend stock.

Click here to download our most recent Sure Analysis report on JNJ (preview of page 1 of 3 shown below):

High Yield Dividend King #14: Gorman-Rupp Co. (GRC)

Gorman-Rupp is a leading supplier of critical systems that industrial clients count on to run their businesses. The company generates revenue of more than $500 million annually. The company’s products are used in a wide variety of end markets, including agriculture, air conditioning, construction, fire protection, heating, industrial, liquid handling, military, original equipment, petroleum, ventilation, water, and wastewater.

The company’s water-related businesses account for ~58% of annual revenue, non-water contributes 29%, and repair parts account for the remainder.

Related: 7 Best Water Stocks Buys Now

The company’s diversified portfolio helps to protect against declines in any one area of its business.

Source: Investor Presentation

Gorman-Rupp reported fourth quarter earnings on February 3rd, 2023, and results were mixed. Adjusted earnings-per-share missed expectations badly, coming in at 11 cents against an expected 18 cents. Revenue, on the other hand, soared 55% year-over-year to $146 million. This was slightly better than expected, and was helped along by the recent Fill-Rite acquisition.

Excluding Fill-Rite, sales in water markets were up 23% year-over-year, as all of its sub-segments posted gains. In the non-water markets, sales were up 10%, as the industrial sub-segment posted very strong growth, which offset losses elsewhere.

Gross profit was $36.6 million in the fourth quarter, resulting in gross margin of 25.1% of revenue. These were much higher than the $22.3 million and 23.7%, respectively, from the year-ago period. The gains in gross margin were primarily from additional sales leverage.

Click here to download our most recent Sure Analysis report on GRC (preview of page 1 of 3 shown below):

High Yield Dividend King #13: The Coca-Cola Company (KO)

Coca-Cola is the world’s largest beverage company, as it owns or licenses more than 500 unique non–alcoholic brands. Since the company’s founding in 1886, it has spread to more than 200 countries worldwide.

Source: Investor Presentation

The company also has an exceptional 59-year dividend increase streak.

Coca-Cola reported fourth quarter and full-year earnings on February 14th, 2023, and results were better than expected on both the top and bottom lines. Adjusted earnings-per-share came to 45 cents, which was in line with estimates. Revenue was up 6.3% year-over-year to $10.1 billion, which was $180 million better than estimates. Organic sales rose 15% year-over-year, which was much better than the +11.1% analysts expected.

Global unit case volumes were down 1%, so the gain in organic sales was due entirely to pricing and mix gains. Organic sales soared 32% in Latin America, 16% for bottling investments, and 12% in North America. The company noted there was one extra selling day, which added 1% to revenue growth, as well as the timing of concentrate shipments. Operating margin rose from 22.1% of revenue to 22.7% of revenue.

Management guided for organic revenue growth of 7% to 8% for this year, as well as a 2% to 3% currency headwind based on current forex rates. There’s an expected 1% headwind from acquisitions, divestitures, and structural changes. The company guided for ~$2.59 in earnings-per-share.

Click here to download our most recent Sure Analysis report on KO (preview of page 1 of 3 shown below):

High Yield Dividend King #12: National Fuel Gas Co. (NFG)

National Fuel Gas Co. is a diversified energy company that operates in five business segments: Exploration & Production, Pipeline & Storage, Gathering, Utility, and Energy Marketing. The company’s largest segment is Exploration & Production.

Source: Investor Presentation

In early February, National Fuel Gas reported (2/2/23) financial results for the first quarter of fiscal 2023. The company grew its production 11% over the prior year’s quarter thanks to the development of core acreage positions in Appalachia. In addition, its realized price of natural gas grew 20% thanks to tight supply.

As a result, adjusted earnings per-share grew 24%, from $1.48 to $1.84, and exceeded the analysts’ consensus by $0.15. National Fuel Gas has exceeded the analysts’ consensus in 14 of the last 15 quarters.

On the other hand, the price of natural gas has plunged to a 2-year low lately, primarily due to relatively warm weather. In addition, the global gas market has somewhat absorbed the impact of the sanctions of western countries on Russia for its invasion in Ukraine. As a result, National Fuel Gas lowered its guidance for its earnings-per-share in fiscal 2023 from $6.40-$6.90 to $5.35-$5.75.

Click here to download our most recent Sure Analysis report on NFG (preview of page 1 of 3 shown below):

High Yield Dividend King #11: Kimberly-Clark (KMB)

Kimberly-Clark is a global consumer products company that operates in 175 countries and sells disposable consumer goods, including paper towels, diapers, and tissues.

It operates through two segments that each house many popular brands: Personal Care Segment (Huggies, Pull-Ups, Kotex, Depend, Poise) and the Consumer Tissue segment (Kleenex, Scott, Cottonelle, and Viva), generating nearly $20 billion in annual revenue.

The company recently reported fourth-quarter and full-year 2022 results.

Source: Investor Presentation

Kimberly-Clark reported fourth quarter and full-year earnings on January 25th, 2023, and results were ahead of expectations on both the top and bottom lines. Adjusted earnings-per-share came to $1.54, which was three cents ahead of estimates. Revenue was flat year-over-year at $5 billion, but fractionally beat expectations.

The company reported organic sales growth of 5% for the quarter, which was driven by a 10% increase in net selling prices, as well as a 1% increase from mix. However, that was substantially offset by a 7% decline in volumes. This missed expectations for a 5% decline in volumes. Fourth quarter operating profit was $712 million in 2022, up sharply from $521 million in 2021.

Looking forward, Kimberly-Clark expects net sales growth of 0% to 2% with organic sales growing between 2% and 4%. Forex is expected to reduce operating profits by 2%, while earnings-per-share are expected to grow at a mid-single digit rate.

Click here to download our most recent Sure Analysis report on Kimberly-Clark (preview of page 1 of 3 shown below):

High Yield Dividend King #10: AbbVie Inc. (ABBV)

AbbVie is a pharmaceutical company spun off by Abbott Laboratories (ABT) in 2013. Its most important product is Humira, which is now facing biosimilar competition in Europe, which has had a noticeable impact on the company. Humira will lose patent protection in the U.S. in 2023.

Even so, AbbVie remains a giant in the healthcare sector, with a large and diversified product portfolio.

Source: Investor Presentation

AbbVie reported its fourth quarter earnings results on February 9. The company generated revenues of $15.1 billion during the quarter, which was 2% more than AbbVie’s revenues during the previous year’s quarter. AbbVie generated slightly lower revenues than the analyst community had forecasted, as it missed the top line consensus by $180 million.

AbbVie’s revenues were positively impacted by compelling growth from some of its newer drugs, including Skyrizi and Rinvoq, while Humira remained AbbVie’s biggest drug in terms of overall revenue contribution.

AbbVie earned $3.60 per share during the fourth quarter, which was 17% more than the company’s earnings-per-share during the previous year’s quarter. AbbVie’s earnings-per-share beat the consensus analyst estimate by $0.02. AbbVie’s guidance for 2023’s adjusted earnings-per-share was announced below the analyst consensus, the company expects to earn $10.70 – $11.10 on a per-share basis this year.

Click here to download our most recent Sure Analysis report on AbbVie (preview of page 1 of 3 shown below):

High Yield Dividend King #9: Stanley Black & Decker (SWK)

Stanley Black & Decker is a world leader in power tools, hand tools, and related items. The company holds the top global position in tools and storage sales. Stanley Black & Decker is second in the world in the areas of commercial electronic security and engineered fastening.

Source: Investor Presentation

On February 2nd, 2023 Stanley Black & Decker announced fourth quarter and full year results for the period ending December 31st, 2022. For the quarter, revenue declined 1.5% to $4 billion, but beat estimates by $120 million. Adjusted earnings-per-share of -$0.10 compared very unfavorably to $2.14 in the prior year, but was $0.24 above expectations.

For the year, revenue grew 11% to $16.9 billion. Adjusted earnings-per-share of $4.62 was down from $11.20 in 2021, but at the high end of the company’s guidance.

Organic sales for Tools & Outdoor, the largest segment within the company, declined 5% as a 7% benefit from pricing was once again more than offset by a decline in volume. North America fell 7%, Europe was lower by 3% and Emerging Markets improved 1%. Industrial organic growth remained strong, improving 10%.

Click here to download our most recent Sure Analysis report on SWK (preview of page 1 of 3 shown below):

High Yield Dividend King #8: Northwest Natural Holding Co. (NWN)

NW Natural was founded in 1859 and has grown from just a handful of customers to serving more than 760,000 today. The utility’s mission is to deliver natural gas to its customers in the Pacific Northwest and it has done that well, affording it the ability to raise its dividend for 66 consecutive years.

Source: Investor Presentation

NW Natural reported Q4 and FY2022 results on February 24th. The company reported a net income of $86.3 million (or $2.54 per share) for 2022, an increase of $7.6 million or 10% compared to the net income of $78.7 million (or $2.56 per share) for 2021. The company added 8,600 natural gas meters over the last 12 months, which equates to a 1.1% growth rate.

Additionally, the company invested $338.6 million in its gas and water utility systems to support growth, reliability, and resiliency. In the 2022 J.D. Power Gas Utility Residential Customer Satisfaction Study, the company ranked second in the West for customer satisfaction among large utilities, making it the 19th consecutive year that customers have ranked NW Natural among the top two utilities.

The company’s new rates related to Oregon and Washington NW Natural general rate cases went into effect on November 1, 2022.

Click here to download our most recent Sure Analysis report on NWN (preview of page 1 of 3 shown below):

High Yield Dividend King #7: Black Hills Corporation (BKH)

Black Hills Corporation is an electric utility that provides electricity and natural gas to customers in Colorado, Iowa, Kansas, Montana, Nebraska, South Dakota, and Wyoming. Black Hills was founded in 1941, and the company is headquartered in Rapid City, South Dakota.

Source: Investor Presentation

Black Hills Corporation reported its fourth quarter earnings results on February 7. The company generated revenues of $790 million during the quarter, which was 41% more than the revenues that Black Hills Corporation was able to generate during the previous year’s quarter. Black Hills Corporation’s revenues were higher than what the analyst community had expected, beating the consensus estimate by a hefty $130 million.

Black Hills Corporation generated earnings-per-share of $1.11 during the fourth quarter, which was above the consensus analyst estimate. Earnings-per-share were unchanged versus the previous year’s quarter. Q4 and Q1 are seasonally stronger quarters due to higher natural gas demand for heating, which was again showcased by the above-average profitability during the fourth quarter. Black Hills Corporation forecasts earnings-per-share of $3.65 to $3.85 for the current fiscal year.

Click here to download our most recent Sure Analysis report on Black Hills (preview of page 1 of 3 shown below):

High Yield Dividend King #6: Federal Realty Investment Trust (FRT)

Federal Realty was founded in 1962. As a Real Estate Investment Trust, Federal Realty’s business model is to own and rent out real estate properties. It uses a significant portion of its rental income, as well as external financing, to acquire new properties. This helps create a “snow-ball” effect of rising income over time.

Federal Realty primarily owns shopping centers. However, it also operates in redevelopment of multi-purpose properties including retail, apartments, and condominiums. The portfolio is highly diversified in terms of tenant base.

Source: Investor Presentation

On February 8th, 2023 FRT reported operating results for its year and quarter ended December 31, 2022. For the year ended December 31, 2022 and 2021, net income available for common shareholders was $4.71 per diluted share and $3.26 per diluted share, respectively. For the three months ended December 31, 2022 and 2021, net income available for common shareholders was $1.40 per diluted share and $1.44 per diluted share, respectively.

For the year ended December 31, 2022 and 2021, Federal Realty reported operating income of $526.4 million and $394.7 million, respectively. For the three months ended December 31, 2022 and 2021, operating income was $155.1 million and $147.5 million.

Click here to download our most recent Sure Analysis report on Federal Realty (preview of page 1 of 3 shown below):

High Yield Dividend King #5: Canadian Utilities (CDUAF)

Canadian Utilities is an $8.07 billion company with approximately 5,000 employees. ATCO owns 53% of Canadian Utilities. Based in Alberta, Canadian Utilities is a diversified global energy infrastructure corporation delivering solutions in Electricity, Pipelines & Liquid, and Retail Energy.

Source: Investor Presentation

The company prides itself on having Canada’s longest consecutive years of dividend increases, with a 50-year streak. Unless otherwise noted, US dollars are used in this research report.

On March 2nd, 2023, Canadian Utilities reported its Q4-2022 and FY2022 results for the period ending December 31st, 2022. Revenues for the year amounted to nearly $3.0 billion, 15.2% higher year-over-year (in constant currency), while earnings-per-share came in at $1.53 compared to $0.96 in fiscal 2021.

These increases were primarily the result of rate relief provided to customers in 2021 in light of the COVID-19 global pandemic and, subsequently, the decision to maximize the collection of 2021 deferred revenues in 2022. Higher revenues were also due to higher electricity and natural gas commodity prices at ATCO Energy, higher flow-through revenues in Natural Gas Distribution, growth in rate base in the Alberta Utilities, and additional revenue from the Alberta Hub natural gas storage facility acquired in December, 2021.

Click here to download our most recent Sure Analysis report on CDUAF (preview of page 1 of 3 shown below):

High Yield Dividend King #4: Leggett & Platt (LEG)

Leggett & Platt is an engineered products manufacturer. The company’s products include furniture, bedding components, store fixtures, die castings, and industrial products. Leggett & Platt has 14 business units and more than 20,000 employees.

Leggett & Platt reported its fourth quarter earnings results in February. The company reported revenues of $1.2 billion for the quarter, which represents a 10% decline compared to the prior year’s quarter. Revenues were slightly lower than the consensus estimate.

The company’s revenue performance was weaker than the one recorded during the previous quarter, when Leggett & Platt had recorded a smaller revenue decline compared to the most recent quarter.

Leggett & Platt generated earnings-per-share of $0.39 during the fourth quarter, which was weaker than the company’s earnings-per-share during the previous quarter, when Leggett & Platt had earned $0.52 per share. A pullback in profits was expected, however, and did not come as a surprise to the market.

Management has announced its revenue guidance for the current fiscal year. The company is forecasting revenues of $4.8 billion to $5.2 billion, implying flat to down revenues this year. The earnings-per-share guidance range has been set at $1.50 to $1.90 for 2023.

Click here to download our most recent Sure Analysis report on Leggett & Platt (preview of page 1 of 3 shown below):

High Yield Dividend King #3: 3M Company (MMM)

3M sells more than 60,000 products that are used every day in homes, hospitals, office buildings and schools around the world. It has about 95,000 employees and serves customers in more than 200 countries.

The company separately announced that it will spinoff its healthcare segment. This is a major announcement, as the healthcare business itself generates over $8 billion in annual sales.

Source: Investor Presentation

The transaction is expected to close by the end of 2023.

On January 24th, 2023, 3M reported announced earnings results for the fourth quarter and full year for the period ending December 31st, 2022. For the quarter, revenue declined 5.9% to $8.1 billion, but was $10 million more than expected. Adjusted earnings-per-share of $2.28 compared to $2.31 in the prior year and was $0.11 less than projected.

For 2022, revenue decreased 3% to $34.2 billion. Adjusted earnings-per-share for the period totaled $10.10, which compared unfavorably to $10.12 in the previous year and was at the low end of the company’s guidance.

Organic growth for the quarter was 1.2%. Health Care, Transportation & Electronics, and Safety & Industrial grew 1.9%, 1.4%, and 1.3%, respectively. Consumer fell 5.7%. The company will cut 2,500 manufacturing jobs. 3M provided an outlook for 2023, with the company expecting adjusted earnings-per-share in a range of $8.50 to $9.00.

Click here to download our most recent Sure Analysis report on 3M (preview of page 1 of 3 shown below):

High Yield Dividend King #2: Universal Corporation (UVV)

Universal Corporation is a tobacco stock. It is the world’s largest leaf tobacco exporter and importer. The company is the wholesale purchaser and processor of tobacco that operates as an intermediary between tobacco farms and the companies that manufacture cigarettes, pipe tobacco, and cigars. Universal also has an ingredients business that is separate from the core leaf segment.

Universal Corporation reported its second quarter (fiscal 2023) earnings results in November. The company generated
revenues of $1.1 billion during the quarter, which was 34% more than the revenues that Universal Corporation generated during the previous year’s period. Management explains that revenues were up due to a stronger product mix primarily.

Universal’s gross margin was down slightly compared to the previous year’s period, but that headwind was offset by higher revenues, which is why operating income still was up year over year. Universal’s adjusted earnings-per-share totaled $1.13 during the quarter, which was up on a year-over-year basis, thanks to higher operating income.

As the leader in a declining industry, we do not expect the company to deliver strong growth in the future. The company’s earnings-per-share could still rise over the next couple of years, however. Universal’s shares trade at a moderate valuation based on the earnings and cash flows that the company generates.

Universal also does not need to invest large amounts of money into its business, which gives it the ability to utilize a substantial amount of its free cash flows for share repurchases and dividends.

With a dividend payout of ~79% for the current fiscal year, we view Universal’s dividend as moderately safe, with the caveat that the company faces headwinds due to the steady decline of the tobacco industry.

Click here to download our most recent Sure Analysis report on Universal (preview of page 1 of 3 shown below):

High Yield Dividend King #1: Altria Group (MO)

Altria Group was founded by Philip Morris in 1847. Today, it is a consumer staples giant. It sells the Marlboro cigarette brand in the U.S. and a number of other non-smokeable brands, including Skoal, Copenhagen, and more. Altria also has a 10% ownership stake in global beer giant Anheuser Busch InBev, in addition to large stakes in Juul, a vaping products manufacturer and distributor, as well as cannabis company Cronos Group (CRON).

The Marlboro brand holds over 42% retail market share in the U.S.

On February 1st, 2023, Altria reported third-quarter results. Its Q4 Non-GAAP EPS of $1.18 beat analyst estimates by $0.02 while its revenue of $5.08B (-0.2% Y/Y) missed analyst estimates by $70M. Management’s plans for 2023 include a continuation of their strategy to balance earnings growth and shareholder returns with strategic investments.

The company expects to deliver 2023 full-year adjusted diluted EPS in a range of $4.98 to $5.13, representing a growth rate of 3% to 6% from a base of $4.84 in 2022. It expects its full-year adjusted effective tax rate will be in a range of 24.5% to 25.5% and capital expenditures to be between $175M and $225M. The company authorized a new $1 billion share repurchase program, which it expects to complete by December 31, 2023.

Click here to download our most recent Sure Analysis report on Altria (preview of page 1 of 3 shown below):

Final Thoughts

High yield dividend stocks have obvious appeal to income investors. The S&P 500 Index yields just ~1.7% right now on average, making high yield stocks even more attractive by comparison.

Of course, investors should always do their research before buying individual stocks.

That said, the 20 stocks in this list have yields at least double the S&P 500 Index average, going all the way up to 8%. And, each of these stocks has increased their dividends for 50 consecutive years. They are all part of the exclusive Dividend Kings list.

As a result, income investors may find these 20 dividend stocks attractive.

Further Reading

If you are interested in finding high-quality dividend growth stocks and/or other high-yield securities and income securities, the following Sure Dividend resources will be useful:

High-Yield Individual Security Research

Other Sure Dividend Resources

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