Stocks have been on a rocky ride to start the year, but income investors have a silver lining: Companies have continued to announce dividend increases. The S & P 500 limped through February, losing 1.4%, with concerns over inflation, President Donald Trump’s impending tariffs and worsening geopolitical risks weighing on investor sentiment. On Friday, the broad-based index briefly slipped into negative territory for 2025. Still, companies have been reporting their fourth-quarter reports – providing another market catalyst. As of Friday, about 97% of the S & P 500 reported earnings, with more than 75% surpassing analysts’ estimates, per FactSet. Several of those S & P 500 names were bearing good news for income investors. In the week ended Feb. 25, there were 20 S & P 500 companies that announced dividend hikes, according to data from JPMorgan. There were no new cuts or suspensions announced in that time, the firm said. Heavy hitters announcing dividend hikes include Coca-Cola , which boosted its payout by about 5.2% to 51 cents per share. “Related to capital return, we have an unwavering priority to grow our dividend, as we’ve done for 62 consecutive years,” said John Murphy, chief financial officer of Coca-Cola, on the company’s Feb. 11 earnings call. “Our dividend is supported by our long-term free cash flow generation. In 2024, dividends paid as a percent of adjusted free cash flow was 73%,” he added. Other big names that have joined the ranks as of late include Occidental Petroleum , Home Depot and General Motors . Dividend raises in 2025 Year to date through Feb. 18, more than 80 S & P 500 companies announced dividend increases, according to data from S & P Dow Jones Indices. See below for a few of the names that raised their income payments. Semiconductor manufacturer Analog Devices lifted its quarterly dividend payment by 8% to 99 cents a share . The stock is holding up in what’s been a rough patch for tech names, up more than 6% in 2025. The tech sector of the S & P 500 is off 6% year to date. This hike marks the 21st consecutive year of higher dividends for Analog Devices. The stock has a current dividend yield of 1.7%. Benchmark Equity Research initiated coverage of the stock earlier this month with a buy rating and a price target of $245, reflecting more than 9% upside from Thursday’s close. “We believe ADI is one of the most attractive opportunities across the high-performance analog semiconductor landscape, uniquely positioned to drive sustained growth, margin expansion and compelling shareholder returns,” wrote analyst David Williams. “Significant cash generating model and generous capital allocation strategy targets return of 100% of [free cash flow] to shareholders,” he added. Of the 32 analysts covering Analog Devices, 20 rate it a buy or strong buy, and consensus price targets call for upside of 13%, according to LSEG. Walmart , a dividend aristocrat – that is, a name that raised dividends for at least 25 years, announced a 52nd year of dividend hikes. The big-box store lifted its dividend by 13% to 94 cents a share – or four quarterly payments of $0.235 per share. The company posted beats on the top and bottom lines in the fiscal fourth quarter, but it warned that profit growth will slow . This cued a 6.5% slide for Walmart shares after the retailer issued its results. “Cash flow remained strong. And as we announced this morning, we’re pleased to raise the dividend by 13% this year, the largest increase in over a decade, reinforcing our commitment to strong cash returns to shareholders,” said CFO John David Rainey on Walmart’s earnings call. The Street was also unfazed by the post-earnings slip in shares, with JPMorgan analyst Christopher Horvers calling it a “Near-Term Buying Opportunity.” He rates it overweight, saying its U.S. same-store sales growth is “high quality” as Walmart continues to gain market share. Analysts are sticking by the stock, with 41 out of 43 rating it a buy or strong buy, per LSEG. Consensus price targets see 12% upside from current levels. Walmart shares are up more than 8% in 2025, and the stock has a current dividend yield of 1%. Shopping for the right names Investors who are willing to do the due diligence for individual dividend-paying stocks will want to keep an eye on companies’ balance sheet and free cash flow. They will also want to track the consistency of a company’s earnings and get into the details of its dividend payout ratio. Indeed, a high dividend payout ratio suggests that a company is paying out more of its earnings toward shareholders, rather than reinvesting in the business. High dividend yields are also worth watching, as they may suggest that a company’s share price is on a downward trajectory. For investors who’d rather take a diversified approach toward adding dividend payers, the S & P 500 Dividend Aristocrats ETF (NOBL) could be a good place to start. Household names including Emerson Electric , Clorox and Walmart are among its holdings.
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