13 Highest Yielding Dividend Stocks in the Dow

4. Johnson & Johnson (NYSE:JNJ)

Dividend Yield as of January 16: 3.36%

Johnson & Johnson (NYSE:JNJ) is an American pharmaceutical company, based in New Jersey. The company specializes in a wide range of biotech and medical products and offers related services to consumers. It reported strong third-quarter 2024 earnings, with revenue reaching $22.4 billion, a 5.25% increase from the same quarter last year. Over the first nine months, the company generated $14 billion in free cash flow, up from $11.9 billion the previous year. Following its improved performance and the recent acquisition of V-Wave, the company has updated its 2024 outlook, including adjusted operational earnings per share (EPS). The company now expects adjusted operational sales growth between 5.7% and 6.2%, with a midpoint of 6.0%.

Johnson & Johnson (NYSE:JNJ) is drawing attention for its continued innovation and recent acquisitions. It recently unveiled plans to invest more than $14 billion to enhance its focus on central nervous system disorders by acquiring Intra-Cellular Therapies. The company stated that the deal would be funded through a combination of cash reserves and debt and is anticipated to close later this year. This acquisition represents the largest biotech deal in over a year, signaling a revival in healthcare mergers and acquisitions after a slowdown in 2024 when major pharmaceutical firms took time to integrate previous post-pandemic acquisitions.

Johnson & Johnson (NYSE:JNJ)’s dividend history has also attracted investors over the years. The company has been rewarding shareholders with growing dividends for the past 62 years. Currently, it pays a quarterly dividend of $1.24 per share and has a dividend yield of 3.36%, as of January 16.

As of the end of Q3 2024, 81 hedge funds in Insider Monkey’s database held stakes in Johnson & Johnson (NYSE:JNJ), growing from 80 in the previous quarter. These stakes are worth over $5.4 billion in total.