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3 Dividend Stocks That Have Already Raised Their Payouts in 2025

Theodore QuinnSunday, Mar 2, 2025 4:40 am ET
5min read

As the new year unfolds, several companies have already announced sizable dividend hikes, providing an attractive opportunity for long-term investors and retirees seeking steady cash flow and inflation protection. meta platforms (META), comcast (CMCSA), and nexstar media group (NXST) are among the companies that have increased their payouts in the past month or so. Let's take a closer look at what their yields are, their prospects for more dividend hikes, and why they look like good stocks to add to your portfolio today.

Meta Platforms (META)Meta Platforms only began paying a dividend last year, but it didn't take long for the social media giant to begin increasing it. On Feb. 13, the company announced it would be raising its quarterly dividend by 5% to $0.525 per share. Even with the increase, it's yielding a fairly modest 0.3%, which is nowhere near the S&P 500 average of 1.3%. But Meta's financials are strong enough to easily support many more payout hikes in the future. In 2024, the company's diluted earnings rose by a mammoth 60% to $23.86 per share -- more than 10 times its annualized dividend of $2.10 per share. Revenues also rose by 22% to $164.5 billion as ad spending on its social media platforms, including Facebook and Instagram, remained strong. While meta has plenty of capacity to expand its dividend payouts, the stock may not be a suitable option for income-focused investors just yet given its light yield. And with the stock recently hitting all-time highs, even growth investors may want to consider sitting on the sidelines for now, especially if TikTok doesn't end up getting banned in the U.S., as its continued presence in the market could put a damper on Meta's growth prospects.

Comcast (CMCSA)Comcast has more of a track record when it comes to dividend hikes. On Jan. 30, it announced it would be increasing its dividend by 6.5%, making 2025 the 17th straight year it has boosted its payout. The new annualized payment of $1.32 per share means that at the current share price, it yields 3.6% -- a level that income investors will find more appealing. Comcast isn't a pricey stock, either: It trades at just 9 times its trailing earnings. It generated modest 1.8% revenue growth in 2024 with its top line climbing to $123.7 billion. It also carries close to $100 billion in debt on its books. Investors likely aren't thrilled about that burden at a time when interest rates are still high. Still, for dividend-centric investors, Comcast can be a solid buy right now as its payout ratio is a modest 32% of earnings. While its top-line growth rate may not be all that exciting, it's the type of stable income investment you can comfortably hold onto for years.

Nexstar Media GroupOn Jan. 29, media company Nexstar announced it would be increasing its payout for the 12th straight year. And at 10%, it's the largest dividend hike on this list. At the current share price, its new annualized dividend of $7.44 yields approximately 5%. Through its diversified mix of media assets, including The CW network, Nexstar reaches 220 million people. Its operations have been fairly stable over the years, and while there hasn't always been growth, the company has been able to achieve profitability. And with a modest payout ratio of around 44%, it's probable that management will further increase the dividend in the future, even if revenues don't rise. The company's profit margin is typically around 10%. Like Comcast, Nexstar trades at a fairly modest 9 times trailing earnings, which makes it an attractive option for income investors who are looking for a good. While traditional media may not be a hot place to invest in these days, Nexstar stock could be a good choice for investors looking to secure a fairly safe, high-yielding payout.



In conclusion, while META's low dividend yield may not be attractive to income-focused investors, its strong financial performance and growth prospects make it an appealing long-term investment. cmcsa and NXST, on the other hand, offer higher dividend yields and sustainable payout ratios, making them attractive options for income-focused investors seeking stable, long-term investments in the media and telecom sectors. By considering the trade-offs between income, growth, and risk, investors can make informed decisions about which stocks to add to their portfolios.
Disclaimer: the above is a summary showing certain market information. AInvest is not responsible for any data errors, omissions or other information that may be displayed incorrectly as the data is derived from a third party source. Communications displaying market prices, data and other information available in this post are meant for informational purposes only and are not intended as an offer or solicitation for the purchase or sale of any security. Please do your own research when investing. All investments involve risk and the past performance of a security, or financial product does not guarantee future results or returns. Keep in mind that while diversification may help spread risk, it does not assure a profit, or protect against loss in a down market.