Core Viewpoint - The article discusses the recent volatility in the stock market and highlights four companies that have recently increased their dividends, providing potential investment opportunities for cautious investors seeking steady income amidst economic uncertainty [2][3]. Economic Context - Major stock indexes have reached all-time highs, but investor sentiment remains low due to a lack of economic data from the government shutdown, the impact of tariffs imposed by President Trump, and uncertainty regarding a potential interest rate cut by the Federal Reserve [2][4]. - The Federal Reserve recently cut interest rates by 0.25 percentage points, but this did not positively affect stock prices, as Chairman Jerome Powell expressed doubts about further cuts this year [4][5]. - The ongoing government shutdown has deprived investors of key economic data, contributing to fears of a recession as the labor market continues to shrink [6]. Company Highlights - CDW Corporation: Announced a dividend of $0.63 per share, with a dividend yield of 1.76%. Over the past five years, CDW has increased its dividend six times, with a payout ratio of 26% of earnings [9][8]. - California Resources Corporation: Declared a dividend of $0.41 per share, yielding 3.32%. The company has increased its dividend four times in the last five years, with a payout ratio of 34% of earnings [11][10]. - Exxon Mobil Corporation: Announced a dividend of $1.03 per share, yielding 3.47%. Exxon has increased its dividend five times over the past five years, with a payout ratio of 57% of earnings [13][12]. - Entergy Corporation: Declared a dividend of $0.64 per share, yielding 2.49%. Entergy has increased its dividend six times in the last five years, with a payout ratio of 59% of earnings [14][12].
The Zacks Analyst Blog CDW, California Resources, Exxon Mobil Corp and Entergy