Core Insights - The article discusses the attractiveness of defensive dividend stocks in the US healthcare sector amidst recent market pressures and policy changes [1][2][3] Industry Overview - The S&P 500 healthcare sector has gained only 3.46% as of October 14, significantly lagging behind the broader market's nearly 14% return due to concerns over drug pricing policies, tariffs, and funding cuts [2] - Recent agreements, such as Pfizer's deal with President Trump to lower prescription drug prices, have provided some relief to the sector, leading to a rally in both US and European healthcare stocks [3] Company Highlights - Eli Lilly and Company (NYSE:LLY) - Dividend yield is 0.74% as of October 14, with a stock price increase of over 4% since the start of 2025 [7] - Erste Group upgraded its rating from Hold to Buy on October 13, citing strong mid-year performance and an improved full-year outlook with projected revenue between $60 billion and $62 billion and earnings per share between $21.80 and $23.00 [8][9] - Eli Lilly has raised its dividend for 11 consecutive years, currently offering a quarterly dividend of $1.50 per share [10] - Cardinal Health, Inc. (NYSE:CAH) - Dividend yield is 1.33% as of October 14, with plans to build a new distribution center in Indianapolis to modernize its pharmaceutical distribution network [11][12] - The company has increased its dividend for 39 consecutive years, currently offering a quarterly dividend of $0.5107 per share [14] - The Cigna Group (NYSE:CI) - Dividend yield is 2.00% as of October 14, with Goldman Sachs initiating coverage with a Buy rating and a price target of $370 [15][16] - The company has raised its dividend for five consecutive years, currently offering a quarterly dividend of $1.51 per share [18]
11 Defensive Healthcare Dividend Stocks To Buy Now