With the pandemic in the rearview mirror, investors in the healthcare sector have once again turned their attention towards innovation – and our latest Best Dividend Stocks Model Portfolio pick has been innovating within the sector for over 100 years. In that innovation, our pick has continued to reward shareholders with nearly six decades’ worth of dividend increases and a healthy 2.95% yield!
You can check out the Best Dividend Stocks Model Portfolio to explore all the stocks.
The secret to our pick’s success lies in its huge size and diversification. Covering drug development, medical devices as well as consumer healthcare products, our pick benefits from a variety of macroeconomic and healthcare trends. Both our aging population as well as rising medical innovation have continued to boost our pick’s fortunes and sales. These trends have also allowed our pick to spend heavily on M&A and R&D, boosting its future potential.
And that potential is finally being realized with a series of asset sales and spin-offs. By jettisoning some boring and slow-moving businesses, our pick will be 100% focused on drug and medical device innovation, which is expected to boost cash flow, reduce legal liabilities and improve overall margins.
For investors, this should only enhance its dividend potential. Already being a member of the elite ‘Dividend Kings,’ our pick’s new moves is expected to support future share buybacks and dividends.
