Upcoming Dividend Hikes: A Closer Look at U.S. Companies
Lowe's, Target, Caterpillar and UNH to announce increases in June 2024
As we approach the next few weeks, several U.S. companies are expected to announce dividend hikes. Among these, Lowe's Companies (LOW) is a key player. Here’s a closer look at Lowe's and other companies anticipated to increase their dividends soon.
Lowe's Companies (LOW)
Lowe's is a prominent home improvement retailer with operations in the United States, Canada, and Mexico. The company has a long-standing tradition of increasing dividends, marking 62 consecutive years of hikes. In 2023, Lowe's raised its dividend by 4.8%, following over 30% increases in both 2022 and 2021. Analysts predict a 5.4% hike for 2024, raising the quarterly dividend from $1.10 to $1.16 per share. The current dividend yield for Lowe's is 2.05% at a stock price of $214.46.
Other Companies Expected to Announce Dividend Hikes
Casey's General Stores (CASY)
Casey's operates convenience stores in the United States, providing a range of products including fuel, groceries, and prepared foods. The company has 24 consecutive years of dividend increases. In 2023, Casey's hiked its dividend by 13.2% to $0.43 quarterly, the largest increase since 2010. Analysts expect a smaller increase of 7% for 2024, raising the dividend to $0.46 quarterly. The current yield is 0.5% at a stock price of $328.
UnitedHealth Group (UNH)
UnitedHealth Group is a diversified health care company offering a range of products and services. The company has increased its dividend for 14 consecutive years. In 2023, UnitedHealth raised its dividend by 13.9%. For 2024, analysts predict an 8.5% hike, increasing the quarterly dividend from $1.88 to $2.04 per share. The current dividend yield is 1.55% at a stock price of $481.65.
Caterpillar (CAT)
Caterpillar, a leading manufacturer of construction and mining equipment, has 30 consecutive years of dividend increases. In 2023, the company raised its dividend by 8.3%. Analysts expect a 10.8% hike in 2024, increasing the quarterly dividend from $1.30 to $1.44 per share. This increase is anticipated to be announced in mid-June. The current yield is 1.54% at a stock price of $339.25.
Target (TGT)
Target is a major retail corporation with a strong dividend history, being a Dividend Aristocrat. In 2023, Target announced a 1.9% dividend increase, the smallest in decades. Analysts expect an even smaller hike of 0.9% for 2024, raising the quarterly dividend from $1.10 to $1.11 per share. The current dividend yield for Target is 3% at a stock price of $150.
Stay tuned for more updates as we monitor these expected dividend announcements and their potential impacts on the market.
Disclaimer: The information provided here is for informational purposes only and should not be considered financial advice. Investors should conduct their own research or consult with a financial advisor before making any investment decisions.