Casey’s(US:CASY) ZACKS·2024-06-21 13:30Economic Indicators - The Consumer Price Index (CPI) data for May showed inflation remained flat at 3.3% year-over-year, with a monthly change of 0% compared to a 0.3% increase in April, while Wall Street expected a 0.1% monthly gain and a 3.4% annual increase [1] - The Producer Price Index (PPI) fell by 0.2% in May, down from a 0.5% increase in April, attributed to lower energy costs [1] - The Michigan Consumer Sentiment Index (MCSI) dropped to 65.6 in June, the lowest in seven months, down from 69.1 in May, indicating consumer concerns about inflation and income [2] - The GDP growth rate for Q1 2024 was 1.3%, significantly lower than the 3.4% in Q4 2023, marking the weakest growth since spring 2022 [2] - The Federal Open Market Committee (FOMC) maintained the benchmark interest rates at 5.25-5.50%, with expectations of one rate cut this year, as inflation remains above the target of 2% [12] Dividend-Paying Companies - National Fuel Gas Company (NFG) announced a dividend of 52 cents per share, with a dividend yield of 3.6% [4] - KornFerry International (KFY) declared a dividend of 37 cents per share, with a dividend yield of 2% and a payout ratio of 31% of earnings [16][6] - Caterpillar (CAT) announced a dividend of $1.41 per share, with a dividend yield of 1.6% and a payout ratio of 24% of earnings [7][18] - Target (TGT) declared a dividend of $1.12 per share, with a dividend yield of 3.1% and a payout ratio of 49% of earnings [19][9] - Casey's General Stores (CASY) announced a dividend of 50 cents per share, with a dividend yield of 0.5% and a payout ratio of 13% of earnings [10][21] Market Performance - Major U.S. indexes, including the Dow, S&P 500, and Nasdaq, reported year-to-date returns of 3.8%, 14.8%, and 18.1%, respectively [11] Investment Strategy - In a volatile market, companies that consistently pay dividends tend to outperform non-dividend-paying stocks, making them attractive for investors seeking regular income and capital preservation [13]