Comparing Procter & Gamble and Walmart: Which is the Better Dividend Stock?

Monday, 25 March 2024, 11:35

In this article, we analyze and compare Procter & Gamble and Walmart as two prominent dividend stocks in the market. While both companies have a history of consistent annual dividend increases, Walmart stands out for its strong sales growth and expanding e-commerce segment. On the other hand, Procter & Gamble offers a higher dividend yield and stronger profit margin, making it an attractive choice for income investors.

Growth goes to Walmart

Strong sales growth is the foundation of a healthy dividend investment. Walmart posted a 4% sales uptick driven by rising customer traffic, while P&G's growth is price-driven. Walmart's e-commerce segment expanded 23% last year, indicating growth potential beyond retail.

Yields and returns

P&G has a higher dividend yield at 2.3% compared to Walmart's 1.3%. Walmart announced a 9% payout increase for 2024, while P&G's raise is anticipated to be similar to last year's 3% boost.

Pay up for quality

P&G, despite being the more expensive stock, offers a higher yield and a stronger profit margin compared to Walmart. Walmart's potential in tech growth niches poses an opportunity for investors.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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