8 Best Dividend Kings To Invest In For Safe Dividend Growth

6. S&P Global Inc. (NYSE:SPGI)

5-Year Average Annual Dividend Growth Rate: 9.81%

S&P Global Inc. (NYSE:SPGI) ranks sixth on our list of the best dividend kings, with a 5-year average annual dividend growth rate of nearly 10%. The American capital market company offers services in financial information and analytics. Since the start of 2024, the stock has surged by nearly 18%. The impressive results demonstrate the company’s resilience across various sectors, even amidst economic challenges and intense competition.

S&P Global Inc. (NYSE:SPGI) aims to sustain a diversified revenue stream by capitalizing on various segments, including Ratings, Market Intelligence, Commodity Insights, and Indices, to drive growth and stability, even in fluctuating markets. Recently, the company has prioritized technological innovation, incorporating generative AI and introducing tools like ChatAI. Additionally, strategic actions such as divesting PrimeOne and acquiring Visible Alpha have strengthened its portfolio and enhanced its core strengths.

S&P Global Inc. (NYSE:SPGI) generated $3.6 billion in revenues in the third quarter of 2024, up 16% from the same period last year. In addition to its ratings division, the company benefits from consistent cash flow generated by its data and analytics segment. Year-to-date, it has produced nearly $4 billion in operating cash flow, marking a substantial increase from $2.4 billion during the same period the previous year.

Aristotle Atlantic Partners, LLC highlighted S&P Global Inc. (NYSE:SPGI)’s strong performance in its Q3 2024 investor letter. Here is what the firm has to say:

“S&P Global Inc. (NYSE:SPGI) contributed to portfolio performance in the third quarter, driven by growth in corporate bond issuance and refinancing activity, with expectations for further acceleration if interest rates decline. The company has also achieved better-than-expected expense and revenue synergies from its acquisition of IHS Markit.”

S&P Global Inc. (NYSE:SPGI) has been rewarding shareholders with growing dividends for the past 52 years. The company currently pays a quarterly dividend of $0.91 per share and has a dividend yield of 0.71%, as of December 9.

Of the 900 hedge funds tracked by Insider Monkey at the end of Q3 2024, 85 hedge funds owned stakes in S&P Global Inc. (NYSE:SPGI), compared with 90 in the previous quarter. The consolidated value of these stakes is more than $9.8 billion.