A Excessive-Yield Dividend Inventory within the Supplies Sector

Dow Inc. (NYSE:DOW) is included among the many 10 Highest Dividend-Paying Shares to Purchase within the S&P 500.

Dow Inc. (DOW): A Excessive-Yield Dividend Inventory within the Supplies Sector

Dow Inc. (NYSE:DOW) is the producer of polyethylene and different commodity chemical compounds which are used as uncooked supplies in packaging and client product industries. In the meantime, the corporate has confronted stress in recent times from rising US rates of interest and rising home provide in China. Including to the issues, Dow slashed its dividend by 50% this yr, a transfer that weighed on the corporate’s inventory. The inventory has fallen by virtually 42% because the starting of 2025.

However, Dow Inc. (NYSE:DOW) continues to be counting on its core strengths to show its fortunes round — manufactured integration, entry to cheap feed shares, and a deep dedication to sustainability. Its operations rely on its world provide chain administration and the continuous adoption of latest applied sciences. The corporate focuses on innovation, world attain, and an built-in worth chain because the core of what’s going to drive success in the long run. With unstable market circumstances, it has shifted focus towards slicing prices, optimizing property, and preserving capital.

Although Dow Inc. (NYSE:DOW) reduce its dividend, the agency nonetheless paid $496.0 million to shareholders in dividends within the final quarter. The corporate supplies an annual dividend of $0.35 per share and has a dividend yield of 6.10%, as of September 27.

Whereas we acknowledge the potential of DOW as an funding, we consider sure AI shares provide better upside potential and carry much less draw back threat. Should you’re searching for a particularly undervalued AI inventory that additionally stands to learn considerably from Trump-era tariffs and the onshoring pattern, see our free report on the greatest short-term AI inventory.

Disclosure: None.