Focus On High Margin Drugs Solidify Pharma Giant's Position On The Best Dividend Stocks List
There’s no secret that healthcare demand continues to skyrocket.
A growing and aging population continues to drive innovation and overall demand for new drugs, devices and therapies. And despite all the hubbub about rising drug pricing, insurance and taxes, the overall trajectory for healthcare seems well intact. And that trajectory continues to benefit our Best Dividend Stocks pick in the sector.
But you would have no idea that the housing market had any troubles at all, if you continue to look at our pick’s earnings.
As one of the largest pharmaceutical firms on the planet, our healthcare pick has been designing new drugs and therapies for decades. This includes several cash-minting blockbuster drugs throughout its history. And the prognosis for our firm remains very good.
The firm continues to win the war against diabetes and various cancers as a new focus on biotech applications has become its mantra. Rising sales at these two divisions have continued to boost the firm’s blockbuster cash flows and help power its dividend in recent quarters. But our pick isn’t done yet. In addition to winning the new drug war, our pick is planning on IPOing one of its divisions to unlock shareholder value, build a larger biotech war chest and have more money down the road to pay dividends/fund buybacks.
All in all, our drug manufacturer pick is as healthy as they come and investors should write a prescription for the stock in their portfolios.
To summarize, here are five reasons why you should own this stock:
- One of the world’s largest pharmas with clinical operations conducted in more than 55 countries and its drugs sold in more than 120
- One of the leading diabetes specialists with a robust oncology program and numerous biotech drugs in its pipeline
- Recorded a 9% jump in revenues and nearly 35% in year-over-year profits during the recent quarter
- Increased its dividend by nearly 9% at the start of the year and unveiled a new robust buyback program
- Healthy payout ratio of 41% and increasing yield of 2.13%
All data in the table above updated as of 08/28/2018. UPGRADE TO UNLOCK THIS STOCK!
MORE ABOUT THIS STOCK
Trailing 5-Year Dividend Payout History
- Annualized Growth Over The Last 5 Years: 1.2%.
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