The article profiles Nasdaq-listed tech blue chips that have steadily raised dividends on large free cash flow, aimed at income-focused investors. Texas Instruments (TXN) yields 1.83% after a 7% increase to $1.52 per quarter, marking 23 consecutive years of dividend raises, with trailing free cash flow of $8.4 billion. Cisco (CSCO) yields 1.51%, has raised its dividend for 15 straight years, and returned 99% of fiscal 2026 free cash flow to shareholders through dividends and buybacks. Broadcom (AVGO) yields 0.74%, and its dividend used about 22.6% of a record $13.7 billion quarterly free cash flow. Risks include $1.6 billion of TXN's trailing free cash flow coming from CHIPS Act incentives, and Cisco's gross margin falling from 68.4% to 66.3%.
Summary written by Upside AI from the original article. Read the source for full details.
Read the original on Yahoo Finance ↗
Keywords
dividendssemiconductorstech stocks
Open a keyword to see other news on the same topic.
Related news
- TXN to Report Q3 Earnings: Should You Buy, Hold or Sell the Stock?
Texas Instruments (TXN) will release its third-quarter 2026 results on October 21 after market close, guiding to revenue of $5.65 billion to $6.15 billion and EPS of $2.23 to $2.57. The Zacks Consensus Estimate is $5.91 billion in revenue, up 24.7% year over year, and $2.39 per share in EPS, up 61.5%; the Zacks model does not conclusively predict an earnings beat. Demand is driven by analog and embedded chips, with Zacks estimating third-quarter analog revenue at $4.79 billion, up 28.6%. Risks include geopolitical tensions and U.S.-China trade disputes, with China accounting for more than 20% of 2025 revenue. TXN shares are up 61.8% year to date, and the stock trades at a forward 12-month P/E of 29.38X versus the industry's 18.18X.
- Procter & Gamble Has Raised Its Dividend for 70 Straight Years. Here's Why That Matters in a Sell-Off
Procter & Gamble has raised its dividend for 70 consecutive years, making it a 'Dividend King' that has increased payouts for at least 50 straight years. Its 2.6% forward yield looks modest next to the 5% yield on the 10-Year Treasury, but P&G's total return with dividends reinvested was nearly 150% over 10 years and 1,310% over 30 years. The article credits its resilience to essential household and personal care products, after P&G cut its portfolio from around 180 brands in 2014 to 65, focusing on roughly 20 that generate over $1 billion in annual sales. Free cash flow rose 8% to $15.1 billion in fiscal 2026, covering $10.2 billion in dividends, and P&G expects organic sales to grow 1%-3% in fiscal 2027. At $160, the stock trades at 23 times the midpoint of its fiscal 2027 core EPS forecast, a multiple the article calls a bit high relative to its growth potential.
- This Utility Has Raised Its Dividend for 31 Straight Years. Here's the 1 Number I'd Check Before Buying.
NextEra Energy (NEE) has raised its dividend for 31 consecutive years and expects roughly 10% annual growth through 2026, then about 6% in 2027 and 2028. The article highlights the payout ratio as the key number to check: the annualized dividend of about $2.49 per share equals roughly 62% to 64% of 2026 adjusted EPS guidance of $3.92 to $4.02. That level is considered manageable for a regulated utility, but heavy capital spending could limit dividend growth if earnings fail to keep pace. Management targets adjusted EPS growth of at least 8% annually through 2035, and the author believes that, if achieved while the payout ratio stays near current levels, the dividend could keep rising into 2036.
- Here Are Wednesday’s Top Wall Street Analyst Research Calls: Enphase Energy, F5, Marvell Technology, MSG Rangers, Pentair, Silicon Motion Technology, Spotify Technology, Texas Instruments, Whirlpool, and More
The roundup covers Wednesday's analyst calls ahead of the Fed's 2:30 p.m. rate decision and Alphabet and Microsoft earnings. The Nasdaq rose 1.18% to 26,477, the S&P 500 closed at 4,722, and the Anthropic IPO could come as early as the week of November 16. Jefferies upgraded Chemed to Buy from Hold with a $620 target, while Oppenheimer downgraded Enphase Energy to Perform from Outperform and President Capital Management cut Spotify to Neutral from Buy with a $608 target. The 30-year Treasury yield closed at 5.31%, and Brent crude closed at $114.30 after a second straight day of declines.
- Realty Income Has Raised Its Dividend Through Every Market Crash Since 1997 . Should Income Investors Still Buy It ?
Realty Income (NYSE: O), a REIT leasing single-tenant net-leased properties, has raised its dividend at least once a year since its 1994 listing and got through the 1997, 2000 and 2008 crises. It owns nearly 15,600 properties with occupancy of almost 99%, and tenants include Home Depot, Dollar Tree and Wynn Resorts. The annual dividend is about $3.26 per share, a yield of around 5.9% versus 1.1% for the S&P 500, and trailing FFO of $4.27 per share covers it. The P/E of 41 looks high, but the price-to-FFO ratio is only about 13, and the stock has fallen about 18% from its March high as the 10-year Treasury hit a 24-year high. The article argues the stock suits income investors seeking safety, while noting rising rates and the P/E as risks.
- If You Invest $1,000 a Year in Morgan Stanley (MS) Stock, How Much Dividend Income Could It Generate Over 20 Years?
Morgan Stanley (MS) currently has a dividend yield of 2.5%, and its dividend has grown at an impressive pace. The article illustrates how investing $1,000 annually over 20 years could generate meaningful dividend income, depending on future dividend growth, stock price growth and whether dividends are reinvested. Assuming the stock grows at an average annual rate of 15%, the investment would be worth about $117,800, and the 20th-year dividend payment would be around $2,950, up from $25 in the first year. The author highlights the power of patience and compounding, and suggests Morgan Stanley may merit a closer look from long-term income-seeking investors.
Related markets
Latest news
- What the Big Banks' Third-Quarter Reports Say About Credit Card Borrowers
The article uses 30-day and 90-day delinquency rates and charge-off ratios from third-quarter reports at large banks to gauge credit card borrowers. Citigroup's 30-day delinquency rate was 1.16% for its own branded cards and 1.96% for private-label cards, both lower than a year earlier. JPMorgan reported a 30-day delinquency rate of 1.97% and a 90-day rate of 0.96%, while Bank of America posted net charge-offs of 3.22%. Capital One's 30-day delinquency rate of 3.72% was the highest in the group, though still down from a year ago, and its charge-off rate was 4.01%. The article says the data suggest consumers are holding up well despite inflation pressures.
- Microsoft Offers Voluntary Exits to 60,000 Workers. After 37 Years, He Risks Losing a 401(k) Tax Break With One IRA Rollover
Microsoft offered voluntary exits on October 26 to about 60,000 eligible employees in the U.S., Canada, India and Britain. Using a hypothetical 62-year-old with 37 years at the company, the article describes a $1.2 million 401(k) that includes $250,000 of Microsoft stock. Under net unrealized appreciation (NUA) rules, the example pays $42,400 in federal tax, versus $55,000 if the shares go into a traditional IRA, a $12,600 difference before other effects. The benefit requires distributing the whole balance from qualified plans within one tax year after a qualifying event, such as leaving the employer or reaching age 59½, and it is lost once shares move into an IRA. The article also notes that the timing of income and later sales can affect Medicare premium surcharges.
- 4 Words From Fed Chair Kevin Warsh Should Have Wall Street and Investors Quaking in Their Boots
The Fed held interest rates steady at the FOMC meeting on Oct. 28, but Chair Kevin Warsh said the central bank is 'working on' price stability as inflation remains above the 2% target. The article reads his remarks as implying further rate hikes, consistent with an ongoing tightening cycle. CME's FedWatch Tool puts a 65% probability that rates rise by at least 75 basis points, to 4.50%-4.75%, by Sept. 15, 2027. The article links inflation to tariffs, the Iran war and the AI build-out, noting that import prices for computer and electronic products rose 7.4% in the first 6 months of 2026.
- Alphabet (GOOGL) Stock Sees Fair Value Cut After Q3 Miss And Higher AI Spending
Alphabet's Fair Value Estimate was adjusted from US$429.46 to US$408.09, narrowing the implied upside in some analyst models. TD Cowen, BMO Capital and Oppenheimer highlighted AI and Google Cloud momentum, while Citi, JPMorgan, Piper Sandler, Deutsche Bank and BofA cut price targets after Search revenue growth came in below buy-side expectations, free cash flow softened and heavier AI and TPU capex weighed on sentiment. Updated assumptions include revenue growth moving from 21.31% to 22.16%, net profit margin from 30.54% to 29.44%, future P/E from 28.95x to 26.94x, and discount rate from 8.77% to 8.69%.
- 3 Capital Efficient Software Stocks For Steady Cash Flow
The article argues that as AI-heavy giants such as Amazon and Intel pour cash into data centers and chips, the market is punishing expensive or cash-hungry stocks, which may shift attention to quieter firms that generate steady free cash flow. It highlights 3 stocks from a high free-cash-flow screener, noting that the same screen found 32 more cash-generative businesses not covered in the piece. R Systems International (NSEI:RSYSTEMS) generates about ₹20.1b from IT services and ₹2.2b from BPO work, with a market value of roughly ₹29.7b, and its OptimaAI platform and AI-first delivery already influence an estimated 28% to 30% of revenue. Sonata Software (NSEI:SONATSOFTW), with a market value of about ₹61.9b, provides IT services, cloud and AI solutions, and the article says it avoids the heavy capital spending and balance sheet strain that worry some investors in hardware-intensive peers.
- Trumpflation Is Getting Worse and It Could Trigger a Wall Street Nightmare
The PCE price index rose 3.6% year over year in September, up from 3.4% in August, while core inflation accelerated to 3.1%, both above the Fed's 2% target. The article notes NY Fed research found businesses and consumers absorbed nearly 90% of the economic burden of tariffs imposed in 2025, but argues the Iran war now plays a larger role: Brent crude averaged $114 per barrel in September, up $23 from August, and gasoline jumped 9.1%, accounting for more than half the rise in consumer prices. At the October 28 meeting, the Fed held rates at 3.75% to 4.00% in a 10–2 vote, with two members wanting another quarter-point hike after September's unanimous increase. Real disposable income fell 0.3% in September even as nominal consumer spending rose 0.5%. The article warns that AI infrastructure spending could approach $1 trillion annually by 2027, and heavily indebted firms like CoreWeave, with about $35 billion in debt and $640 million in quarterly interest costs, could face higher financing costs if rates rise.
Get the briefing on Telegram or Zalo
Join the Upside Telegram channel or Zalo group for the Vietnam stocks and gold briefing at 8:00 and 19:00 (Vietnam time) on trading days, plus a weekly wrap on Saturday morning.