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15 hours ago
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3 Overlooked Dividend Aristocrats To Buy in 2025
Income investors have long trusted dividend stocks for their stable payouts. However, the growing popularity of high-risk, high-income alternatives causes some investors to move away from these reliable stocks, but not me. Investors who are obsessed with stability, like myself, find the Dividend Aristocrats to be an ideal choice. These are companies listed in the S&P 500 that have increased their dividends for at least 25 consecutive years, having dealt with even the strongest market headwinds. With Geopolitical Tensions Running Hot, Buy This Dividend Stock 3 Overlooked Dividend Aristocrats To Buy in 2025 Tired of missing midday reversals? The FREE Barchart Brief newsletter keeps you in the know. Sign up now! Today, we're looking at three Dividend Aristocrats that may have flown under the radar but report massive earnings and momentum that can extend well beyond 2025. Using Barchart's Stock Screener, I selected the following filters to get my results: EPS Basic Growth Last Year (%): At least 1%. I'm looking for companies that have achieved high profits compared to their performance in the previous year. More profit equates to more room to increase dividends. Cash Flow Growth Last Year (%): At least 10%. An increase in cash flow reflects the ability to pay liabilities and, most importantly, dividends. Overall Buy/Sell/Hold Signal: Buy. Number of Analysts: At least 12. A high number of analysts shows greater confidence of the signal. Current Analyst Rating: Moderate to Strong Buy. Watchlist: Dividend Aristocrats I ran these filters and got 6 company hits: Then I sorted it based on EPS Basic Growth % to get the top 3 companies that made the biggest profits, starting with number one: Cardinal Health is a company I feature often, so I'll keep the introduction brief. Cardinal Health is a major player in the medical field, providing customized products and services in over 30 countries, including more than 90% of U.S. hospitals. The company's 2024 annual report reported sales of approximately $227 billion, up 10.7% from the same quarter, last year. Net income increased 157.7% year-over-year to $853 million. EPS came in at $3.48 up 174% from 2023. Cardinal Health is a Dividend Aristocrat and has increased its dividends for 29 consecutive years. Today, it pays a forward annual dividend of $2.04, translating to a yield of roughly 1.24%. Barchart Opinion reports a 100% Buy overall average for CAH, with 14 analysts rating the stock a strong buy. The second Dividend Aristocrat on this list is Abbott Laboratories, a company I've also written about several times. Abbott manufactures health-related products and provides healthcare services to over 160 countries, with more than 300 subsidiaries worldwide. The company's 2024 annual report reported sales of ~$42 billion, up 4.6% from the previous year. Net income increased 134.2% to $13.4 billion. EPS was $7.67, also up 133.8% from 2023. Abbott Laboratories has increased its dividends for 53 consecutive years and pays a current forward annual dividend of $2.36, translating to a yield of approximately 1.73%. Barchart Opinion shows a 100% Buy overall average for ABT, with 26 analysts rating the stock a strong buy. The last Dividend Aristocrat that's often overlooked is Ecolab Inc., a company specializing in water, hygiene, and energy technologies. Together with its subsidiaries, it provides services to various industries, including animal and plant production, food and beverage, mining, and power generation. The company has a presence in 40 industries across more than 170 countries. According to the company's 2024 annual report, sales came in at ~$15.7 billion, up 3% from the previous year. Net income increased 54% to $2.1 billion. And EPS was $7.43, also up 54.1% from 2023. Ecolab Inc. is a Dividend Aristocrat that has increased its dividends for 33 consecutive years and pays a current forward annual dividend of $2.60, translating to a yield of approximately 0.95%. Barchart Opinion reports a 100% Buy overall average for ECL, with 24 analysts rating the stock a moderate buy. So, there you have it, the three overlooked Dividend Aristocrats with a strong technicals and financials, making them an attractive addition to your portfolio. Although current ratings and previous performance do not guarantee a win, they are an excellent indicator of stocks that can benefit the most from a bull run. On the date of publication, Rick Orford did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
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4 days ago
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Cardinal Health (CAH) Beat the Market in 2025 with Solid Healthcare Momentum
Cardinal Health, Inc. (NYSE:CAH) is one of the Best Dividend Stocks of 2025. A senior physician in a modern healthcare institution administering medication to a patient. Cardinal Health, Inc. (NYSE:CAH) has surged by nearly 39% since the start of 2025. The company remains focused on strengthening the growth and stability of its Pharmaceutical and Specialty Solutions segment by expanding its presence in specialty care, advancing high-growth areas, and continuing the execution of its GMPD Improvement Plan. Cardinal Health, Inc. (NYSE:CAH) has also reaffirmed its commitment to investing in Biopharma Solutions. Its Specialty Networks are broadening the reach of their PPS Analytics and SoNaR data platforms, which were initially developed for urology. These platforms are now being extended into oncology, gastroenterology, and rheumatology to better support manufacturing partners and healthcare providers, including physicians connected through Cardinal Health's MSO platforms. On May 6, Cardinal Health, Inc. (NYSE:CAH) declared a 1% hike in its quarterly dividend to $0.5107 per share. Through this increase, the company stretched its dividend growth streak to 39 years. The stock offers a dividend yield of 1.23%, as of June 26. While we acknowledge the potential of CAH as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: and . Disclosure. None.
Yahoo
5 days ago
- Business
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Cardinal Health (CAH) Beat the Market in 2025 with Solid Healthcare Momentum
Cardinal Health, Inc. (NYSE:CAH) is one of the Best Dividend Stocks of 2025. A senior physician in a modern healthcare institution administering medication to a patient. Cardinal Health, Inc. (NYSE:CAH) has surged by nearly 39% since the start of 2025. The company remains focused on strengthening the growth and stability of its Pharmaceutical and Specialty Solutions segment by expanding its presence in specialty care, advancing high-growth areas, and continuing the execution of its GMPD Improvement Plan. Cardinal Health, Inc. (NYSE:CAH) has also reaffirmed its commitment to investing in Biopharma Solutions. Its Specialty Networks are broadening the reach of their PPS Analytics and SoNaR data platforms, which were initially developed for urology. These platforms are now being extended into oncology, gastroenterology, and rheumatology to better support manufacturing partners and healthcare providers, including physicians connected through Cardinal Health's MSO platforms. On May 6, Cardinal Health, Inc. (NYSE:CAH) declared a 1% hike in its quarterly dividend to $0.5107 per share. Through this increase, the company stretched its dividend growth streak to 39 years. The stock offers a dividend yield of 1.23%, as of June 26. While we acknowledge the potential of CAH as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: and . Disclosure. None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
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6 days ago
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5 Must-Read Analyst Questions From Cardinal Health's Q1 Earnings Call
Cardinal Health's first quarter results were received positively by the market, with management attributing performance to strong execution in its Pharmaceutical and Specialty Solutions business and profit growth across all five operating segments. CEO Jason Hollar highlighted that the onboarding of new large customers and the integration of recent acquisitions, such as GI Alliance and Integrated Oncology Network, contributed to both top-line and segment profit gains. CFO Aaron Alt noted that operating leverage was achieved through a combination of disciplined cost control and efficiency initiatives, especially in the face of a flat revenue environment. Is now the time to buy CAH? Find out in our full research report (it's free). Revenue: $54.88 billion vs analyst estimates of $55.46 billion (flat year on year, 1% miss) Adjusted EPS: $2.35 vs analyst estimates of $2.15 (9.4% beat) Adjusted EBITDA: $872.8 million vs analyst estimates of $876.8 million (1.6% margin, in line) Adjusted EPS guidance for the full year is $8.10 at the midpoint, beating analyst estimates by 1.7% Operating Margin: 1.3%, in line with the same quarter last year Market Capitalization: $39.08 billion While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Lisa Gill (JPMorgan) asked about the sustainability of strong specialty and branded drug growth. CEO Jason Hollar responded that growth was broad-based and supported by secular demand, with new customer wins and GLP-1 sales contributing to volume gains. Allen Lutz (Bank of America) inquired about potential demand headwinds from tariffs and macroeconomic weakness. Hollar replied that pharmaceutical demand has historically been resilient during economic downturns, and no material pullback was observed. Eric Percher (Nephron) questioned how Cardinal Health plans to offset remaining tariff exposure. Hollar explained that most mitigation would come through operational actions and targeted price increases, particularly for Cardinal Health-branded products. Michael Cherny (Leerink Partners) probed the relative impact of tariffs versus other GMPD business factors. Hollar clarified that tariffs represent the main headwind, but operational improvements and cost reductions should partially offset the impact. Erin Wright (Morgan Stanley) requested updates on new customer onboarding and its impact on pharma growth. Hollar confirmed that $10 billion in new customer revenue was successfully onboarded and is expected to benefit results in coming quarters. In the coming quarters, the StockStory team will be monitoring (1) the pace and profitability of new customer and acquisition integrations, (2) sustained demand and margin trends in specialty pharmaceuticals, and (3) Cardinal Health's ability to mitigate tariff-related cost pressures in GMPD. Progress in ancillary businesses and the ramp-up of automation and technology investments will also be key markers of execution. Cardinal Health currently trades at $163.76, up from $141.14 just before the earnings. At this price, is it a buy or sell? Find out in our full research report (it's free). The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025). Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+351% five-year return). Find your next big winner with StockStory today. Sign in to access your portfolio
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7 days ago
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Want Decades of Passive Income? 5 Stocks to Buy Now and Hold Forever
Annual healthcare expenditures in the United States alone approach $5 trillion. Healthcare industry leaders have proven remarkably consistent as dividend growers. Abbott, J&J, Medtronic, Cardinal Health, and West Pharmaceutical are all worth a closer look. 10 stocks we like better than Johnson & Johnson › The magic of dividends is that you don't need to do anything to earn them aside from holding the stocks that pay them. Someone who accumulates enough dividend stocks could live off their portfolio's passive income stream and never have to work another day in their life. The trick is finding the right stocks. There aren't many businesses that can deliver decade after decade. That said, the healthcare industry is a great place to look for such companies. Healthcare spending is in the trillions of dollars annually in the United States alone, and the desire for better care and more of it is only expanding as the world's population grows and the median age rises. Here are five proven healthcare winners that can deliver decades of passive income. Nothing is truly forever, but these stocks are about as close as you can get. It's hard not to start with Johnson & Johnson (NYSE: JNJ). The stock is a Dividend King with a streak of 62 consecutive annual dividend increases. It's among the world's leading developers of pharmaceuticals, medical devices, and products. It's an industry titan with a fortress-like balance sheet that enables it to balance dividend increases with strategic acquisitions and product development, driving steady growth. At its current share price, the stock offers a solid 3.5% dividend yield, and its payout ratio is a cozy 49% of 2025 earnings estimates. Johnson & Johnson is growing earnings at a mid-single-digit percentage pace annually, so it won't make you rich quickly. However, reinvest those dividends, and your Johnson & Johnson holding could eventually become a cash cow for your portfolio. The Dividend Kings club is a small group, but it includes another long-standing industry giant: Abbott Laboratories (NYSE: ABT). That company has raised its dividends annually for 53 consecutive years. After spinning off its pharmaceutical business as AbbVie over a decade ago, Abbott has centered its business around medical devices for cardiovascular and diabetes patients, as well as diagnostics and consumer nutrition products. Abbott should remain a dependable dividend payer for years to come. At the current share price, its yield is just under 1.8%, but investors can expect some notable dividend increases in the near future. Analysts expect Abbott to grow its earnings by 10% annually over the next three to five years, and the payout ratio is only 45% of 2025 earnings estimates. Some of healthcare's most essential players operate behind the scenes. Cardinal Health (NYSE: CAH), for example, is a global distributor of pharmaceuticals and healthcare products to hospitals, care providers, and patients. The company has also built a strong reputation as a dividend stock, with 30 consecutive years of payout hikes. The stock yields 1.2% at its current share price, but there is considerable room for management to increase the dividend. Its payout ratio is barely a quarter of this year's estimated earnings, and analysts project nearly 11% annualized earnings growth over the next three to five years. Cardinal Health is an excellent stock for investors who have time to let those dividend increases stack up for a couple of decades. Another under-the-radar name, West Pharmaceutical Services (NYSE: WST), designs and sells delivery systems for injectable medicines. Its products include stoppers and plungers in injection devices, wearable injectors, and injection pens. The company's business has gradually shifted from standardized offerings to more advanced, proprietary products that carry higher profit margins. That bodes well for the company's dividend, which it has already raised for 32 consecutive years. Additionally, the dividend payout ratio remains at only 13% of 2025 earnings estimates, and the business is poised to grow at a mid-to-high single-digit percentage pace. So, while its current yield is just 0.4%, investors can expect their payouts to rise steadily for many years to come. Closing out this list is medical device and equipment giant Medtronic (NYSE: MDT). It specializes in products and equipment used by patients and healthcare professionals for a wide range of conditions and care categories. The company is on course to become a Dividend King, with management's dividend-hiking streak currently at 47 years. The stock also offers a solid yield of 3.2% at the current share price. Medtronic's diverse product portfolio and history of continuous innovation have driven its consistent growth for generations. Today, the company has nearly 200 clinical trials underway and over 43,000 active patent matters. The dividend remains safe with a comfortable 50% payout ratio, while analysts expect annualized earnings growth of 6% to 7% moving forward. Investors who buy and hold Medtronic can expect more of what the company has already delivered for decades now. Before you buy stock in Johnson & Johnson, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Johnson & Johnson wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $687,731!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $945,846!* Now, it's worth noting Stock Advisor's total average return is 818% — a market-crushing outperformance compared to 175% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 23, 2025 Justin Pope has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends AbbVie and Abbott Laboratories. The Motley Fool recommends Johnson & Johnson and Medtronic and recommends the following options: long January 2026 $75 calls on Medtronic and short January 2026 $85 calls on Medtronic. The Motley Fool has a disclosure policy. Want Decades of Passive Income? 5 Stocks to Buy Now and Hold Forever was originally published by The Motley Fool Sign in to access your portfolio
