Investors seeking a reliable dividend income could consider investing in consumer goods manufacturing company Procter & Gamble (NYSE:PG) This stock has a stellar track record of dividend payouts and growth. Indeed, PG is a dividend king (offering consistently increased dividends for over 50 years), which signifies the reliability of its payouts.
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PG’s Dividend Payment & Growth
PG’s commitment to return cash to its shareholders reflects in its dividend payment history. Procter & Gamble has been uninterruptedly paying dividends for 132 years.
What’s more, Procter & Gamble increased its dividends for 66 years in a row.
In Fiscal 2022, PG returned approximately $19 billion to its shareholders. This included $10 billion in share repurchases and $8.8 billion in dividends.
PG’s payouts are supported by its defensive business model, which delivers steady organic sales and earnings growth. Notably, PG’s organic sales have increased by 5% or more since Fiscal 2019. Moreover, its earnings and cash flows continue to chug along nicely despite the difficult operating environment.
Procter & Gamble stock pays a quarterly dividend of $0.91 a share, reflecting a dividend yield of approximately 3% (2.8%, to be precise). Moreover, investors could expect PG to raise its dividend further in the coming years.
Is Procter & Gamble a Buy, Sell, or Hold?
On TipRanks, Procter & Gamble stock has a Moderate Buy consensus rating based on seven Buy and five Hold recommendations. Further, the analysts’ average price target of $153.25 implies 18.6% upside potential.
Meanwhile, PG stock has a Neutral Smart Score of five out of 10 on TipRanks.
Bottom Line
Investors seeking regular dividend income could leverage TipRanks’ dividend calendar to learn more about the ex-dividend dates of companies (investors need to purchase stocks before this date to be eligible to receive the dividend).
As for Procter & Gamble, the company’s commitment to enhancing shareholders’ return and its solid fundamentals (consistent sales and earnings growth) make it a top stock for investors to earn reliable dividend income on their investments.
