Group 1: UnitedHealth Group - UnitedHealth Group experienced a significant stock price drop of over 22% following a weak first-quarter report, marking its worst single-session decline since August 1998 [1] - The company was previously the largest component in the Dow Jones Industrial Average, but this position has now been taken over by Goldman Sachs [1][2] Group 2: Market Overview - Major indices including the Dow, S&P 500, and Nasdaq Composite are currently in correction territory, defined as a decline of at least 10% from recent highs [2] - Despite the downturn, there are potentially better dividend stocks in the Dow, such as Visa, Chevron, and Procter & Gamble, that investors may consider [2] Group 3: Visa - Visa operates a payment processing model that generates fees from credit and debit card transactions, maintaining partnerships with financial institutions [3] - The company boasts an impressive operating margin of 66.2% and a profit margin of 54.3%, indicating strong profitability [4] - Visa's business model allows it to remain profitable even during economic slowdowns, with a current dividend yield of 0.7% due to a focus on stock buybacks [5] - Visa is considered a safe investment option, especially in a declining stock market [6] Group 4: Chevron - Chevron offers a dividend yield of 5%, making it the second-highest yielding component in the Dow, with a history of 38 consecutive years of payout increases [7] - The company has faced a sell-off in 2025 due to falling oil and natural gas prices, influenced by macroeconomic concerns [8] - Key investment factors for Chevron include its reliable dividend, strong balance sheet with low debt, and improvements in operational efficiency [9] - The stock has declined by 16% over the last month, presenting a potential buying opportunity for income-focused investors [10] Group 5: Procter & Gamble - Procter & Gamble has shown resilience during market downturns, as consumer staples tend to maintain steady demand [11] - The company has significant international exposure, which makes it vulnerable to tariffs and currency fluctuations, but it has historically managed to pass on costs to consumers [12] - Procter & Gamble is set to report its fiscal 2025 third-quarter earnings soon, with investors keen on management's insights regarding tariffs and trade issues [13] - With 69 consecutive years of dividend increases and a yield of 2.5%, Procter & Gamble is viewed as a safe investment, although its valuation is considered high at 27.2 times earnings [14]
UnitedHealth Stock Crash: 3 Better Dow Jones Dividend Stocks to Buy Now