13 Best Dividend Growth Stocks With 10%+ Yearly Increases

5. UnitedHealth Group Incorporated (NYSE:UNH)

5-Year Average Annual Dividend Growth Rate: 14.59%

UnitedHealth Group Incorporated (NYSE:UNH) is a Minnesota-based health insurance company. It recently reported its fiscal year 2024 earnings, exceeding investor expectations with solid performance. The company generated $400 billion in revenue, reflecting an 8% increase from the previous year, driven by growth in its diverse services. Operating earnings for the year amounted to $32.3 billion, but after factoring in expenses related to responding to a cyberattack and challenges in South America, adjusted operating earnings were $34.4 billion.

UnitedHealth Group Incorporated (NYSE:UNH) posted strong cash flow results that met investor expectations. The company generated $24.2 billion in operating cash flow for the year, which was 1.6 times its net income. Throughout 2024, it returned over $16 billion to shareholders via dividends and share repurchases. In the fourth quarter, its return on equity reached 23.7%, demonstrating strong earnings and efficient capital management.

Thanks to its solid cash position, UnitedHealth Group Incorporated (NYSE:UNH) has built a strong dividend track record. The company began paying annual dividends in 1990 and switched to quarterly payouts in 2010, consistently increasing its dividend ever since, which makes UNH one of the best dividend stocks on our list. The company’s per-share quarterly dividend comes in at $2.10 per share for a dividend yield of 1.59%, as of February 8.