The company maintains its reputation as a not-bad dividend stock in the retail sector.Shareholders in Home Depot (HD 3.84%) are getting more coins in their pockets, and they reacted happily to this news on Friday. As a group, they pushed the DIY retailer's stock up by almost 4% during that trading session, a lift that was more than good enough to beat the S&P 500 index's rather frothy 1.5% increase.Extending the long history of the dividendJust after market close on Thursday, Home Depot announced that its b ...

Core Insights - Realty Income (O) is recognized as the "Monthly Dividend Company," offering a dividend yield of approximately 5.4% and maintaining a strong reputation as a reliable dividend payer [1][2][3] Group 1: Dividend Performance - The company has a remarkable history of over 30 years of consecutive dividend growth, with 111 straight quarterly increases and 662 monthly distributions, making it attractive for income-focused investors [2][3] - Realty Income's net lease structure allows for durable cash flows, as tenants cover most property expenses, contributing to its ability to sustain dividend growth [3][4] Group 2: Portfolio and Operational Strength - The portfolio consists of over 15,600 properties across all 50 U.S. states, the U.K., and seven other European countries, leased to 1,630 clients in 91 industries, with around 90% of rent coming from non-discretionary tenants [3][4] - The company boasts an occupancy rate of 98.6% and rent recapture rates exceeding 100%, indicating strong tenant demand and cash flow visibility [4] Group 3: Financial Management and Growth Strategy - Realty Income's capital allocation strategy focuses on recycling assets and pursuing higher-yielding opportunities, supported by a strong liquidity position of $5.1 billion [5] - The company deployed $1.2 billion in the second quarter at a 7.2% initial cash yield, with 76% of this deployment in Europe, enhancing its growth potential and dividend sustainability [5][9] Group 4: Market Position and Valuation - Realty Income's shares have increased by over 11% year-to-date, contrasting with a 6.3% decline in the industry, indicating strong market performance [8] - The stock trades at a forward 12-month price-to-FFO of 13.75, which is below the industry average, reflecting a potential valuation opportunity [10]

Company Overview - Synovus Financial (SNV) is headquartered in Columbus and has experienced a price change of -3.57% this year [3] - The company currently pays a dividend of $0.39 per share, resulting in a dividend yield of 3.16%, which is higher than the Banks - Southeast industry's yield of 2.34% and the S&P 500's yield of 1.5% [3] Dividend Performance - The current annualized dividend of Synovus Financial is $1.56, reflecting a 2.6% increase from the previous year [4] - Over the past 5 years, Synovus has increased its dividend 3 times year-over-year, with an average annual increase of 4.48% [4] - The company's current payout ratio is 30%, indicating that it pays out 30% of its trailing 12-month earnings per share as dividends [4] Earnings Growth Expectations - For the fiscal year, Synovus expects solid earnings growth, with the Zacks Consensus Estimate for 2025 at $5.43 per share, representing a year-over-year growth rate of 22.57% [5] Investment Considerations - Synovus is considered a compelling investment opportunity due to its strong dividend profile and current Zacks Rank of 3 (Hold) [6] - Income investors are attracted to dividends for various reasons, including tax advantages and reduced overall portfolio risk [5]

Company Overview - Trustmark (TRMK) is headquartered in Jackson and operates in the Finance sector, with a stock price change of 8.88% since the beginning of the year [3] - The company currently pays a dividend of $0.24 per share, resulting in a dividend yield of 2.49%, which is higher than the Banks - Southeast industry's yield of 2.34% and the S&P 500's yield of 1.5% [3] Dividend Performance - Trustmark's annualized dividend of $0.96 has increased by 4.3% from the previous year [4] - Over the past 5 years, the company has raised its dividend once on a year-over-year basis, with an average annual increase of 0.46% [4] - The current payout ratio is 27%, indicating that the company paid out 27% of its trailing 12-month earnings per share as dividends [4] Earnings Outlook - The Zacks Consensus Estimate for Trustmark's earnings in 2025 is $3.70 per share, with an expected increase of 21.71% from the previous year [5] - The company is positioned as an attractive dividend investment, supported by a strong Zacks Rank of 1 (Strong Buy) [6]

Core Insights - M&T Bank Corporation (MTB) has increased its quarterly cash dividend by 11.1% to $1.50 per share, payable on September 30, 2025, to shareholders of record on September 2, 2025 [1][10] - Prior to this increase, MTB raised its dividend by 4% to $1.35 per share in May 2025, and has increased its dividend four times in the last five years with an annualized growth rate of 5.36% [2][10] - MTB's current dividend yield is 2.84%, which is lower than the industry average of 3.45% [2] Dividend and Capital Distribution - MTB has a payout ratio of 34%, indicating a balance between returning capital to shareholders and funding growth strategies [5] - The bank has a share repurchase program authorized for up to $4 billion, with approximately $2.3 billion remaining as of June 30, 2025 [6] - As of June 30, 2025, MTB's total cash and due from banks and interest-bearing deposits at banks amounted to $21.4 billion, exceeding its total debt of $14.5 billion, supporting its capital distribution activities [7] Price Performance - Over the past year, MTB's shares have appreciated by 17.8%, slightly outperforming the industry growth of 17.2% [8][10]

Company Overview - Morgan Stanley (MS) is headquartered in New York and has experienced a price change of 14.6% this year [3] - The company currently pays a dividend of $1.00 per share, resulting in a dividend yield of 2.78%, which is higher than the Financial - Investment Bank industry's yield of 1.02% and the S&P 500's yield of 1.49% [3] Dividend Performance - The current annualized dividend of Morgan Stanley is $4.00, reflecting a 12.7% increase from the previous year [4] - Over the past 5 years, the company has increased its dividend 4 times year-over-year, with an average annual increase of 22.85% [4] - The current payout ratio is 42%, indicating that the company paid out 42% of its trailing 12-month earnings per share as dividends [4] Earnings Growth - The Zacks Consensus Estimate for Morgan Stanley's earnings in 2025 is $8.82 per share, with an expected increase of 10.94% from the previous year [5] - The company is viewed as a strong dividend play, particularly due to its solid earnings growth prospects [6] Investment Considerations - Established firms like Morgan Stanley are often seen as attractive dividend options, especially for income investors [6] - The stock currently holds a Zacks Rank of 3 (Hold), indicating a stable investment opportunity [6]

Company Overview - Janus Henderson Group plc (JHG) is headquartered in London and operates in the Finance sector, specifically in Investment Management [3] - The company has experienced a price change of 0.16% so far this year [3] Dividend Information - JHG currently pays a dividend of $0.40 per share, resulting in a dividend yield of 3.76%, which is higher than the Financial - Investment Management industry's yield of 2.72% and the S&P 500's yield of 1.49% [3] - The annualized dividend of $1.60 represents a 2.6% increase from the previous year [4] - Over the past 5 years, JHG has increased its dividend 3 times, averaging an annual increase of 1.70% [4] - The current payout ratio for JHG is 44%, indicating that the company pays out 44% of its trailing 12-month earnings per share as dividends [4] Earnings Expectations - JHG is expected to see earnings growth this fiscal year, with the Zacks Consensus Estimate for 2025 at $3.62 per share, reflecting a 2.55% increase from the previous year [5] Investment Appeal - JHG is considered a compelling investment opportunity due to its attractive dividend and strong Zacks Rank of 2 (Buy) [6] - The company is positioned well for income investors, especially in the context of improving stock investing profits and reducing overall portfolio risk [5][6]

Company Overview - Fulton Financial (FULT) is a financial holding company headquartered in Lancaster, with a year-to-date price change of -3.48% [3] - The company currently pays a dividend of $0.18 per share, resulting in a dividend yield of 3.87%, which is higher than the Banks - Northeast industry's yield of 2.66% and the S&P 500's yield of 1.49% [3] Dividend Performance - Fulton Financial's annualized dividend of $0.72 has increased by 4.3% from the previous year [4] - Over the past five years, the company has raised its dividend five times, achieving an average annual increase of 7.25% [4] - The current payout ratio is 35%, indicating that the company distributes 35% of its trailing 12-month earnings per share as dividends [4] Earnings Growth - The Zacks Consensus Estimate for Fulton Financial's earnings per share for 2025 is $1.97, reflecting a year-over-year growth rate of 6.49% [5] - The company is viewed as an attractive dividend option and a compelling investment opportunity, holding a Zacks Rank of 2 (Buy) [6]

Company Overview - Simmons First National (SFNC) is a bank holding company based in Pine Bluff, operating in the Finance sector. The company's shares have experienced a price change of -10.05% this year [3]. Dividend Information - SFNC currently pays a dividend of $0.21 per share, resulting in a dividend yield of 4.26%, which is significantly higher than the Banks - Southeast industry's yield of 2.34% and the S&P 500's yield of 1.51% [3]. - The annualized dividend of $0.85 has increased by 1.2% from the previous year. Over the last five years, SFNC has raised its dividend five times, achieving an average annual increase of 5.01% [4]. Earnings Growth - The Zacks Consensus Estimate for SFNC's earnings in 2025 is projected at $1.66 per share, indicating a year-over-year earnings growth rate of 17.73% [5]. Payout Ratio - SFNC has a current payout ratio of 58%, meaning it distributes 58% of its trailing 12-month earnings per share as dividends [4]. Investment Appeal - SFNC is characterized as an attractive dividend play and a compelling investment opportunity, holding a Zacks Rank of 1 (Strong Buy) [6].

Company Overview - Toronto-Dominion Bank (TD) is based in Toronto and operates in the Finance sector, with a year-to-date share price change of 38.82% [3] - The bank currently pays a dividend of $0.77 per share, resulting in a dividend yield of 4.18%, which is significantly higher than the Banks - Foreign industry's yield of 2.84% and the S&P 500's yield of 1.51% [3] Dividend Performance - The current annualized dividend of TD is $3.09, reflecting a 2.2% increase from the previous year [4] - Over the past five years, TD has increased its dividend three times on a year-over-year basis, achieving an average annual increase of 5.24% [4] - The current payout ratio for TD is 53%, indicating that the bank pays out 53% of its trailing 12-month earnings per share as dividends [4] Earnings Outlook - TD is expecting earnings to expand in the current fiscal year, with the Zacks Consensus Estimate for 2025 projected at $5.75 per share, representing a year-over-year earnings growth rate of 0.17% [5] Investment Considerations - Dividends are favored by investors as they enhance stock investing profits, reduce overall portfolio risk, and offer tax advantages [5] - While high-growth firms or tech start-ups typically do not provide dividends, larger, established companies like TD are viewed as strong dividend options [6] - TD is considered a compelling investment opportunity due to its strong dividend profile and current Zacks Rank of 3 (Hold) [6]