The Dividend Kings, a group of stocks with a history of consistently paying dividends, saw a modest gain of 0.64% in July, trailing the SPDR S&P 500 ETF's 2.30% gain. The Kings' performance is expected to be reviewed in 2025.
The Dividend Kings, a group of stocks renowned for their consistent dividend payments, experienced a modest gain of 0.64% in July. This performance was notably lower than the 2.30% gain posted by the SPDR S&P 500 ETF (SPY). Despite this, the Kings are expected to show improved performance in August, having already gained 2.94% as of August 21st, compared to SPY's 0.55% gain [1].
Year-to-date, the Dividend Kings have lagged behind SPY, with a gain of 5.71% compared to SPY's 8.75%. However, 17 Dividend Kings have achieved double-digit total returns this year, with one, National Fuel Gas (NFG), exceeding a gain of 44.92%. Other notable performers include Altria Group (MO) at +34.05% and Tootsie Roll (TR) at +25.86% [1].
Dividend growth has been a significant factor in the Kings' performance. As of August 21st, fifteen Dividend Kings have achieved double-digit total returns this year, with one exceeding a gain of 40%. The collective 2025 dividend growth rate for all the Dividend Kings has increased from 5.23% to 5.49% since last month, driven by increases in dividends for several companies [1].
Earnings projections have also seen modest shifts. Analysts have revised their 3-5 year earnings growth projections for the Kings, with some notable upward revisions for Archer-Daniels-Midland (ADM) and Cincinnati Financial (CINF), among others. However, there were also downward revisions for California Water Service Group (CWT) and Kenvue [1].
The Dividend Kings continue to present interesting opportunities for investors seeking consistent dividend income. As the year progresses, it will be crucial to monitor their performance and earnings projections to gauge their long-term prospects. Investors should also consider the potential risks associated with these stocks, including market volatility and sector-specific challenges.
References:
[1] https://seekingalpha.com/article/4816341-best-dividend-kings-august-2025
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