| | Hello and welcome to Dividend Brief, the 2 times weekly newsletter focused on dividend investing. | Today, we will look into Bristol Myers Squibb, Hershey’s, and Honeywell, highlight a few dividend stocks worth watching, as well as share companies that are about to pay a dividend in the next few days. |
|
| | | | Healthcare | Bristol Myers Expands Cost-Cutting Plan to Support Growth Strategy | | Bristol Myers Squibb is stepping up its cost-cutting initiatives, aiming to reduce expenses by $2 billion by 2027. This effort expands on a previous $1.5 billion reduction plan set for completion by 2025. These savings are designed to support investments in drug development and new therapeutic innovations, ensuring the company’s path to long-term growth. | The strategy comes as Bristol Myers prepares to address anticipated revenue declines from key treatments nearing the end of market exclusivity. The transition will be challenging, with older drugs facing increased competition from lower-cost generics. Additionally, the company’s revenue guidance for 2025 reflects a modest shortfall compared to market expectations, partly influenced by currency fluctuations. | Despite these pressures, the company delivered strong performance in the fourth quarter, surpassing projections for both revenue and adjusted earnings. Growth was driven by a robust portfolio of newer drugs, alongside continued demand for its leading blood thinner and other core treatments. | Bristol Myers remains focused on balancing operational efficiency with innovation to navigate evolving market dynamics. As it adapts to upcoming challenges, the company aims to leverage its research and development pipeline to sustain growth and meet future healthcare needs. | BMY currently trades at $60 and pays a dividend of 62 cents per share, a yield of 4.15%. |
|
| | Consumer | Hershey Faces Profit Pressure as Cocoa Costs Surge | | Hershey anticipates a challenging year ahead, projecting annual profits below market expectations due to rising cocoa costs. The price surge in cocoa, fueled by lower supplies from key regions, has heavily impacted production expenses for the confectionery industry. This marks the fourth consecutive season of cocoa shortages in West Africa, driven by unfavorable weather conditions. | Packaged food producers, including Hershey, have responded to escalating costs with price hikes. However, this strategy has only partially offset the financial strain. Hershey's forecast for 2025 earnings reflects this pressure, falling short of analysts’ predictions. | Despite these hurdles, Hershey experienced a boost in demand during the last quarter, with strong performance in its North American snack segment contributing to higher sales volumes. Elevated product pricing also played a role in sustaining revenue growth. Fourth-quarter sales saw significant improvement compared to the previous year, bolstered by strong consumer interest in salty snack offerings. | While the company’s quarterly earnings exceeded market expectations, the broader outlook remains cautious. Hershey’s ability to navigate the ongoing volatility in raw material costs will likely determine its financial performance in the months ahead. The combination of resilient demand and strategic adjustments will be crucial as the company contends with rising commodity challenges. | HSY currently trades at $146 and pays a dividend of $1.37 per share, a yield of 3.76%. |
|
| | Next Magnificent 7 (Sponsored) | | | If you missed out on Apple, Tesla, or Amazon in their early days, you know how painful it is to watch those stocks skyrocket without you. | But here’s the good news—history is about to repeat itself. | We’ve identified 7 rapidly growing companies with the potential to become the next big market winners. These firms are innovating, expanding, and still flying under Wall Street’s radar—but not for long. | Get your FREE report: “The Next Magnificent 7 Stocks for 2025” right here. | (By clicking the link above, you will get this free report and a free subscription to MarketBeat's daily email newsletter. You are also agreeing to the terms of our privacy policy. Unsubscribe at any time.) | Just like the original Magnificent Seven—Apple, Microsoft, Amazon, Alphabet, Nvidia, Meta, and Tesla—these companies are positioned for explosive growth. The key is getting in before the crowd. | Opportunities like this don’t last. Once the mainstream catches on, the biggest gains will be gone. | Click here to claim your free report and discover the next market leaders. | (By clicking the link above, you will get this free report and a free subscription to MarketBeat's daily email newsletter. You are also agreeing to the terms of our privacy policy. Unsubscribe at any time.) |
|
| | Travel & Hospitality | Expedia Resumes Dividends Following Strong Holiday Quarter | | Expedia is back in the dividend game. The travel giant announced the reinstatement of its quarterly dividend, which signals confidence in its financial position and commitment to shareholder returns. The company had suspended its dividend in 2020 but is now resuming payouts at a higher rate, reinforcing its long-term stability. | This announcement follows a strong holiday quarter, during which Expedia reported higher-than-expected travel bookings. With global travel demand showing resilience, the company exceeded forecasts on both gross bookings and nights stayed, indicating that consumers continue to prioritize vacations and experiences. CEO Ariane Gorin credited Expedia’s operational execution and steady consumer demand as key drivers of the company’s success. | Investors reacted positively, sending Expedia’s stock higher following the announcement. The company was among the top gainers in the S&P 500, highlighting growing confidence in its ability to sustain growth and profitability. The reinstated dividend, scheduled for payout in March, further appeals to income-focused investors seeking stability in the travel sector. | With a solid financial performance and renewed shareholder payouts, Expedia’s latest earnings report has drawn increased attention from investors looking at long-term trends in the travel industry. The company’s ability to maintain growth amid shifting consumer preferences remains a key factor in its market position. | EXPE currently trades at $198 and pays a dividend of 40 cents per share. |
|
| | Dividend Stocks Worth Watching | A.O. Smith (AOS) has a history of consistent dividend growth to keep shareholders happy. Its stock, although down, appears undervalued and slated to increase. | Starbucks (SBUX) had an upbeat first quarter and nice recent share gains. We foresee a repeat performance there and a 2.17% dividend to boot. | Vitesse Energy (VTS) shows promise for its non-operated oil and gas interests that allow steady cash generation with minimal cost. Its 7.84% yield makes the company look even sweeter. | | Dividend Increases | | | MMM increased its dividend payout to 73 cents per share, an increase of 4.3%. Its new forward yield is 1.92%.
PRU boosted its dividend payout to $1.35 per share, an increase of 3.8%. Its new forward yield is 4.8%.
NYT upped its dividend payout to 18 cents per share, an increase of 38.5%. Its new forward yield is 1.29%. |
| |
|
| Dividend Decreases | | | | | CSWC dropped its dividend payout to 58 cents per share, a cut of 7.9%. Its new dividend yield is 10.1%.
APO decreased its dividend payout to 46.25 cents per share, a cut of 0.11%. Its new dividend yield is 1.1%.
OSCL shrunk its dividend payout to 40 cents per share, a cut of 27.2%. Its new dividend yield is 13%. |
| |
| | |
| | AI (Sponsored) | | | AI is the new Bitcoin—a transformative opportunity you can’t afford to miss. | Just as Bitcoin turned early believers into millionaires, artificial intelligence is set to define the next era of wealth creation. From revolutionizing industries to reshaping how businesses operate, AI is more than a trend—it’s the future. | We’ve pinpointed 10 AI stocks poised to dominate in 2025. These companies aren’t just riding the wave; they’re leading the charge, harnessing AI to transform sectors like healthcare, finance, and manufacturing. | (By clicking the link above, you will get this free report and a free subscription to MarketBeat's daily email newsletter. You are also agreeing to the terms of our privacy policy. Unsubscribe at any time.) | Don’t be the one looking back and saying, “I wish I had invested early.” This is your chance to get ahead of a movement that could rival the Bitcoin boom. | Click here to uncover the 10 AI stocks primed for explosive growth. | (By clicking the link above, you will get this free report and a free subscription to MarketBeat's daily email newsletter. You are also agreeing to the terms of our privacy policy. Unsubscribe at any time.) |
|
| | Upcoming Dividend Payers | HBT is going to pay 21 cents per share to all shareholders of record on 2/11/25
TXN is going to pay $1.36 per share to all shareholders of record on 2/11/25 | BRO is going to pay 15 cents per share to all shareholders of record on 2/12/25 | | Everything Else | Bank of America declared a quarterly dividend of $0.26 per share, payable on March 28, 2025. CVS Health announced a quarterly dividend of $0.665 per share, payable on February 3, 2025. Microchip Technology decided to maintain its high dividend by borrowing funds despite cash flow challenges. PepsiCo raised its dividend by 5% to $5.69 per share despite reporting lower-than-expected sales for the third consecutive quarter. Aramark raised its quarterly dividend from $0.095 to $0.105 per share, following a 5% revenue increase and strong adjusted profit.
|
|
| | That’s all for today’s edition of the Dividend Brief.
Thanks for reading, and if you have any feedback or dividend stocks you want me to take a look at, just reply to this email!
—Noah Zelvis
DividendBrief.com | 📧 Like newsletters? Here are some newsletters our readers also enjoy. Explore |
|
