Dividend Kings List: Top 15

6. Stanley Black & Decker, Inc. (NYSE:SWK)

Dividend Yield as of December 3: 3.69%

Stanley Black & Decker, Inc. (NYSE:SWK) ranks sixth on our list of the best dividend kings. The Connecticut-based manufacturing company deals in industrial tools, household hardware, and security products. Industrial manufacturers have faced a tough year, and Stanley experienced sluggish demand in its key markets during the third quarter. Declines in interest-sensitive sectors like consumer DIY tools and the automotive industry outweighed growth in aerospace and a rebound in industrial fasteners. Since the start of 2024, the stock has declined by over 10%.

In Q3 2024, Stanley Black & Decker, Inc. (NYSE:SWK) reported revenue of $3.75 billion, which fell by over 5% from the same period last year, as well as missed analysts’ estimates by $52.4 million. However, the company achieved improvements in gross margins and strong cash generation, driven by the effective execution of its operational priorities. In the future, it aims to drive organic revenue growth at a rate of 2 to 3 times faster than the market by focusing on innovation and electrification and expanding its presence in global markets.

Stanley Black & Decker, Inc. (NYSE:SWK)’s cash generation was a relief for income investors. In the third quarter of 2024, the company generated $286 million in operating cash flow and its free cash flow came in at approximately $200 million. The free cash flow facilitated a debt reduction of approximately $100 million during the third quarter. The company pays a quarterly dividend of $0.82 per share and has a dividend yield of 3.69%, as of December 3. It maintains a 58-year streak of consistent dividend growth.

Stanley Black & Decker, Inc. (NYSE:SWK) remained popular among elite funds at the end of Q3 2024, with hedge fund positions in the company growing to 29, from 24 in the previous quarter, as per Insider Monkey’s database. The stakes held by these hedge funds have a consolidated value of over $516.6 million.