Dividend aristocrat stocks have largely done well in the past few years. The closely-followed ProShares S&P 500 Dividend Aristocrats ETF (NOBL) has jumped by over 133% from its lowest level in 2020.
NOBL has risen by 2% this year, lagging behind the S&P 500 index that has gained by about 3% so far. This article explores some of the top dividend aristocrats that are doing relatively well this year.
Top dividend aristocrats in 2024
The best-performing dividend aristocrats for the year so far are firms like IBM, Walmart, Abbott Labs, Air Products, Medtronic, and Dover.
IBM (IBM)
IBM is the best-performing dividend aristocrat this year as its stock jumped by about 20%. Most of these gains accelerated after the company published strong financial results, which showed strong performance of its software business, which also includes its artificial intelligence solutions.
IBM’s revenue rose by 1% as its software business was offset by a decline in consulting and infrastructure solutions. The company also provided an upbeat forward guidance. IBM is a dividend aristocrat that has boosted its payouts for over 25 years.
Abbott Laboratories (ABT)
Abbott Laboratories is another top-performing dividend aristocrat this year as its stock has jumped by 19% and is nearing its all-time high of $135. It has jumped by over 50% from its lowest level in 2023.
Abbot stock price jumped after the company published strong results. Full-year revenue rose by 9.6% to $42 billion, helped by the strong demand of its diabetes drugs. Fourth-quarter revenue ose by 10% as its medical devices in the diabetes subsection rose. The company expects that its business will continue thriving.
Air Products & Chemicals (APD)
Air Products & Chemicals is a top American company that provides industrial gas to companies around the world. It supplies gases like hydrogen, argon, carbon dioxide, and oxygen. These gases are used across most industries like aerospace, healthcare, food, beverage, and cement.
APD stock has jumped by 14% this year, making it the third best-performing dividend aristocrat in the US. It has done well as investors focus on the recent board changes that saw new members. These board members were suggested by Mantle Ridge, a hedge fund that has criticized the company of poor capital allocation.
Medtronic (MDT)
Medtronic is another dividend aristocrat that is doing well. Its stock has jumped by over 13%, pushing it to a high of $92, its highest level since 2022. Medtronic is a leading provider of devices for handling key industries like diabetes, ear, nose & throat, patient monitoring, surgical robotics, and access instruments.
Medtronic stock has done well because of its strong performance as its revenue rose by 5% to $8.4 billion in the third quarter. Most of this growth was in the neuroscience, cardiovascular, and medical surgery industries. Medtronic stock is also seen as a highly undervalued company.
MDT stock has formed an inverse head and shoulders pattern, pointing to further gains in the coming weeks.
Dover Corporation (DOV)
Dover Corporation is another top dividend aristocrat that has done well this year as it jumped by 10%. Dover is a top firm that manufactures engineered products, clean energy & fueling, imaging & identification, and pumps. Its stock has risen by over 10% this year after publishing strong numbers.
Dover’s revenue rose to $1.9 billion in the last quarter, bringing the 2024 figures to $7.7 billion. Its organic growth was 7%, while the adjusted free cash flow rose to $1.04 billion. Dover’s stock price has jumped to a record high and this momentum may continue.The other top dividend aristocrats this year are Linde, Beckton Dickinson & Company, Abbvie, and Cardinal Health.
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