Stanley Black & Decker, Inc. (NYSE:SWK) is included among the many Greatest Dividend Shares for a Dividend Champions Record.
Picture by Steve Buissinne from Pixabay
Stanley Black & Decker, Inc. (NYSE:SWK) is a family title in instruments and {hardware}, with a historical past that stretches again greater than a century. Its portfolio consists of among the most acquainted manufacturers within the area, like Stanley, Black+Decker, and Craftsman.
The previous few years have been a bumpy experience. When the pandemic hit, demand for dwelling enchancment and DIY initiatives exploded, and gross sales took off. Using that wave, Stanley Black & Decker, Inc. (NYSE:SWK)doubled down, taking over debt and spending almost $2 billion on acquisitions in late 2021. However the surge didn’t final. A lot of the demand had merely been pulled ahead, and as circumstances normalized, gross sales slipped again. The inventory has misplaced greater than half its worth during the last 5 years, a pointy reversal from its pandemic-era highs.
As we speak, the majority of income nonetheless comes from instruments and out of doors merchandise, which stay the corporate’s core. In 2024, gross sales got here in at $15.4 billion, roughly flat with the prior 12 months when you strip out the consequences of acquisitions, divestitures, and forex swings.
That mentioned, Stanley Black & Decker, Inc. (NYSE:SWK) is a Dividend King, which signifies that the corporate has been rising its payouts yearly for 59 years. This is likely one of the longest development streaks available in the market, and was definitely not straightforward to realize, contemplating the corporate’s current efficiency. This reveals that its stability sheet is in place to help its future payouts as nicely. At the moment, it provides a quarterly dividend of $0.83 per share for a dividend yield of 4.48%, as recorded on October 2.
Whereas we acknowledge the potential of SWK as an funding, we imagine sure AI shares supply better upside potential and carry much less draw back danger. Should you’re searching for an especially undervalued AI inventory that additionally stands to profit considerably from Trump-era tariffs and the onshoring pattern, see our free report on the greatest short-term AI inventory.
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Disclosure: None.
