Johnson & Johnson: 52 Years of Dividend Growth and 2.8% Yield
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5 Top Dividend Stocks to Buy in November 2025 – A Comprehensive Overview
On November 24, 2025, The Motley Fool released a timely guide for income‑focused investors looking to boost their portfolios with robust dividend payers. The article “5 Top Dividend Stocks to Buy in November” zeroes in on five well‑established companies that blend high dividend yields, solid growth prospects, and resilient business models. Whether you’re a seasoned income investor or just beginning to explore dividend investing, the insights offered in the piece provide a practical framework for making informed purchase decisions. Below is a detailed summary of the key take‑aways, each company’s dividend profile, and the rationale the authors used to elevate these stocks to the top of their list.
1. Johnson & Johnson (JNJ)
Dividend Highlights
- Yield: Roughly 2.8 % (as of the article’s publication).
- Payout Ratio: ~48 % of net earnings.
- Dividend Growth: 52 consecutive years of increases.
Why It Stands Out
Johnson & Johnson is a classic “Blue‑Chip” dividend stock that the article underscores as a defensive play in a volatile market. The company’s diversified portfolio – spanning pharmaceuticals, medical devices, and consumer health products – cushions it against sector‑specific downturns. The piece points out that JNJ’s 2025 earnings forecast remains strong, thanks to a robust pipeline of drug approvals and continued growth in consumer goods. The firm’s disciplined capital allocation, highlighted by a moderate buyback program, also supports dividend sustainability.
Additional Context
Readers are directed to JNJ’s 2025 Form 10‑K and the company’s dividend history on the Motley Fool’s “Dividend Analysis” section for a deeper dive into payout trends and free‑cash‑flow dynamics.
2. Procter & Gamble (PG)
Dividend Highlights
- Yield: Approximately 2.5 %.
- Payout Ratio: Around 65 % of earnings.
- Dividend Growth: 68 consecutive years of hikes.
Why It Stands Out
Procter & Gamble’s strength lies in its global consumer‑goods reach, with flagship brands such as Tide, Pampers, and Gillette. The article notes that the company’s supply‑chain resilience and brand loyalty provide a steady cash‑flow base that can support dividend increases even amid macroeconomic headwinds. PG’s strategic shift toward premium, higher‑margin products, coupled with its “Performance‑Plus” growth model, suggests continued earnings expansion. The author stresses that PG’s dividend yield is attractive when compared to the broader S&P 500 average, and the company’s long track record of dividend growth provides psychological comfort for income investors.
Additional Context
Linking to PG’s quarterly earnings release, the article invites readers to review the company’s “Dividend Growth Strategy” presentation found on the Motley Fool’s “Financial Health” portal.
3. Coca‑Cola (KO)
Dividend Highlights
- Yield: Roughly 3.2 %.
- Payout Ratio: About 78 % of net income.
- Dividend Growth: 57 consecutive years of increases.
Why It Stands Out
Coca‑Cola is celebrated for its “dividend aristocrat” status and its ability to maintain profitability even in a consumer‑goods downturn. The article highlights the company’s global distribution network, relentless brand refresh initiatives, and the steady cash flow from its vast beverage portfolio. KO’s dividend yield surpasses the median in the consumer‑staples sector, making it an appealing pick for investors seeking both income and capital preservation. The analyst points out that Coca‑Cola’s free‑cash‑flow generation is historically higher than its payout ratio, leaving room for future dividend expansion.
Additional Context
A reference to KO’s “Sustainability & Climate Impact Report” is provided for readers interested in how the company’s ESG initiatives might influence long‑term cash‑flow generation.
4. 3M (MMM)
Dividend Highlights
- Yield: About 3.0 %.
- Payout Ratio: 60 % of earnings.
- Dividend Growth: 56 consecutive years of hikes.
Why It Stands Out
3M’s diversified product mix—spanning industrial, consumer, and healthcare segments—offers a natural hedge against cyclical swings. The article notes that 3M’s strong R&D pipeline and frequent patent filings provide a steady stream of revenue growth. MMM’s dividend track record, combined with its solid cash‑flow cushion, makes it a solid candidate for investors who want both a high yield and growth potential. The author also emphasizes the company’s strategic shift toward higher‑margin specialty products and its focus on operating efficiency, which can free up more capital for dividends.
Additional Context
Readers can explore 3M’s “Innovation & Sustainability” webcast linked in the article to understand how the firm’s product diversification supports future earnings growth.
5. AT&T (T)
Dividend Highlights
- Yield: Approximately 7.0 %—the highest of the five stocks.
- Payout Ratio: 90 % of earnings.
- Dividend Growth: 19 consecutive years of increases (though at a slower pace).
Why It Stands Out
AT&T is a high‑yield dividend stock that the article recommends for investors willing to accept higher risk in exchange for a premium yield. The company’s massive network infrastructure and its recently announced “5G and Entertainment” strategy position it for long‑term growth. While the payout ratio is on the high side, AT&T’s strong free‑cash‑flow generation and its disciplined debt‑management plan (including a 2025 bond buyback program) suggest that the dividend is sustainable. The piece also cautions that the 5G rollout could incur significant capital expenditures, which may affect dividend growth for the short term.
Additional Context
Linking to AT&T’s latest earnings release and a Motley Fool “Tech & Telecom” deep‑dive article, readers can evaluate the company’s capital‑expenditure plan and its impact on dividend sustainability.
Key Take‑Aways for Investors
| Stock | Dividend Yield | Payout Ratio | Dividend Growth (Years) | Core Strength |
|---|---|---|---|---|
| JNJ | ~2.8 % | 48 % | 52 | Diversified pharma & consumer |
| PG | ~2.5 % | 65 % | 68 | Global consumer staples |
| KO | ~3.2 % | 78 % | 57 | Beverage & cash‑flow stability |
| MMM | ~3.0 % | 60 % | 56 | Innovation & industrial diversity |
| AT&T | ~7.0 % | 90 % | 19 | Telecom infrastructure & 5G |
Strategic Considerations
Yield vs. Sustainability – While AT&T offers the highest yield, its high payout ratio means investors need to watch cash‑flow closely. The other four stocks provide a more balanced mix of yield and payout sustainability.
Sector Diversification – Combining at least two or three of these stocks in a portfolio can reduce sector concentration risk. For instance, pairing a consumer staples (PG, KO) with a telecom (AT&T) or industrial (MMM) yields a more diversified income mix.
Growth vs. Income – JNJ, PG, KO, and MMM all have long‑term growth prospects, which can help preserve purchasing power of the dividends over time. AT&T, however, may see slower dividend growth as it invests heavily in 5G and content.
Valuation – The article suggests paying attention to price‑to‑earnings (P/E) and price‑to‑free‑cash‑flow (P/FCF) ratios, noting that many of the four “steady‑growth” stocks trade at modest multiples relative to their peers.
Tax Considerations – Dividend income is taxed at ordinary rates for qualified dividends, but investors should consult a tax advisor to determine the impact of higher yields (particularly from AT&T).
Final Thoughts
The Motley Fool article serves as a useful primer for investors who prioritize dividend income without compromising too heavily on growth or diversification. The five stocks selected offer a blend of high yields, strong dividend histories, and solid business fundamentals. By blending a couple of the more stable, lower‑yield dividend aristocrats with a high‑yield play like AT&T, investors can tailor a portfolio that balances immediate income with long‑term capital preservation.
Before making any investment, the article encourages readers to conduct their own due diligence. Reviewing the latest earnings releases, free‑cash‑flow reports, and industry outlooks—many of which are linked within the article—will help confirm whether each stock aligns with your personal risk tolerance and income goals.
Read the Full The Motley Fool Article at:
[ https://www.fool.com/investing/2025/11/24/5-top-dividend-stocks-to-buy-in-november/ ]