Dividend Growth in the first week of 2026

 Happy New Year, dividend investors! As we step into 2026, the dividend growth train is already rolling. Last week, just three companies announced dividend increases, but what a quality trio they are: Alamo Group Inc. ($ALG), Bank OZK ($OZK), and EMCOR Group Inc. ($EME).These announcements highlight companies with strong fundamentals, conservative payout ratios, and impressive long-term dividend growth track records. Let's break them down.

1. Alamo Group Inc. ($ALG) – 13.3% IncreaseAlamo Group, a leader in vegetation management and infrastructure maintenance equipment, boosted its quarterly dividend by 13.3% to $0.34 per share (from $0.30).

Growth Streak: Continues a consistent history of annual increases.

Key Stats (approximate as of early January 2026):Current Price: ~$170–$186

Annual Dividend (new): ~$1.36

Yield: ~0.8–0.9%

Payout Ratio: Very safe at ~14%

FCF Payout: Comfortably low

5-Year Dividend CAGR: ~18%

This raise reflects confidence in the company's resilient business model and disciplined capital allocation.

2. Bank OZK ($OZK) – 2.2% IncreaseBank OZK, known for its rock-solid dividend reliability, raised its quarterly payout by 2.2% to $0.46 per share.

Impressive Streak: This marks the 62nd consecutive quarterly increase – truly elite territory.

Key Stats:Current Price: ~$46

Annual Dividend (new): ~$1.84

Yield: ~4.0%

Payout Ratio: ~29%

FCF Payout: Excellent coverage

5-Year Dividend CAGR: ~10%

Bank OZK's unwavering commitment to growing dividends quarter after quarter makes it a cornerstone for income-focused portfolios.

3. EMCOR Group Inc. ($EME) – Massive 60% IncreaseEMCOR Group, a powerhouse in electrical and mechanical construction services, delivered a blockbuster 60% hike, lifting its quarterly dividend to $0.40 per share (from $0.25).

Key Stats:Current Price: ~$638

Annual Dividend (new): $1.60

Yield: ~0.25%

Payout Ratio: Extremely low at ~6–9%

FCF Payout: ~4%

5-Year Dividend CAGR: ~26%

While the yield remains modest due to strong share price appreciation, this aggressive increase signals tremendous free cash flow generation and plenty of room for future growth.

Summary of the Dividend Kings and their dividend raise in 2025

 Hey everyone! If you’re looking for the ultimate "set it and forget it" addition to your portfolio, you’ve come to the right place. Today, we are looking at the Dividend Kings—the elite group of companies that have managed to increase their dividends for at least 50 consecutive years.

Think about that for a second: 50 years covers the high inflation of the 70s, the dot-com bubble, the 2008 financial crisis, and a global pandemic. These companies didn't just survive; they gave their shareholders a raise every single year.

I’ve summarized 2025 Dividend Kings list, and there are some fascinating trends regarding yield, safety, and growth that you need to see.

If your primary goal is maximum cash flow right now, two names stand out from the crowd:

• Altria Group Inc (MO): Currently leading the pack with a massive 7.05% dividend yield.

• Universal Corp (UVV): A close second with a 6.14% yield and a solid 55-year growth streak.

While these yields are tempting, always look at the Dividend Payout Ratio. Altria’s sits at 79.39%, which is high but common for their industry.

Yield isn't everything. If you have a longer time horizon, you want Dividend Growth. This is where the 5-Year Compound Annual Growth Rate (CAGR) comes in. Some of these "old" companies are growing their payouts like tech stocks:

• Nordson Corp (NDSN): Boasting a staggering 16.02% 5-year CAGR.

• Parker-Hannifin Corp (PH): Not far behind with 15.36% growth.

• Lowe's Companies Inc (LOW): Proving that retail still has teeth with 14.84% growth.

Investing in a company like Nordson means that even if the starting yield is lower (1.31%), your "yield on cost" could explode over the next decade.

A dividend is only as good as the cash backing it up. We use the FCF Payout Ratio to see if a company is paying dividends out of real cash or just accounting earnings.

• The "Safety" Stars: Archer-Daniels-Midland (ADM) has a very comfortable 20.82% FCF payout ratio, meaning their dividend is incredibly safe. Cincinnati Financial (CINF) is even lower at 19.45%.

• The "Caution" Zone: Hormel Foods (HRL) and Stanley Black & Decker (SWK) currently have payout ratios over 100%. This often indicates the company is paying out more than it's bringing in, which is something we need to monitor closely for sustainability.

Finally, let's pay some respect to the companies with the longest-running streaks on the board. These are the "Kings of Kings":

• American States Water Co (AWR): 71 years of increases.

• Northwest Natural Holding Co (NWN): 70 years.

• Dover Corp (DOV): 70 years.

Weekly Income Report: Selling cash secured put and covered call

 

Hello everyone! As we approach the end of the year, I’m sticking to my core strategy: generating consistent weekly income through Covered Calls and Cash Secured Puts. By leveraging the volatility in the market, I was able to collect a total of $484.00 in premiums this past week alone.

With a total portfolio value of approximately $82,700, this week’s activity resulted in a 0.59% weekly return, which scales to an impressive 30.43% annualized yield.

The Week’s Top Performer: NIKE ($NKE)

The standout trade this week was $NKE. I sold a single Cash Secured Put with a $61.00 strike price and walked away with $60.00 in premium. Not only was this my highest single-contract earner, but it also netted a strong 0.98% weekly return on that specific position.

My strategy remains diversified across tech, retail, and crypto-adjacent ETFs. Here is a snapshot of how the week played out:

• Heavy TQQQ Activity: I utilized several TQQQ Puts to take advantage of price fluctuations, with returns ranging from 0.50% to 1.17% per position.

• High Yielders: Some of my most aggressive returns came from EOSE (1.42% weekly) and HIMS (1.00% weekly).

• The Mix: I balanced my risk by selling 11 Puts (bullish/neutral bias) and 8 Calls (neutral/bearish bias), ensuring I was collecting premium regardless of which way the individual tickers moved.

                                                    

Metric	Weekly Result
Total Premium Collected	$484.00
Total Capital Utilized	$82,700.00
Weekly Portfolio Return	0.59%
Projected Yearly Return	30.43%

Out of the Money (OTM)

        18 out of 19 of my positions ended - Out of the Money.

    For my Calls (like $SOFI, $ETHA, $ETHU): The stock price ended or is currently below my strike. This is great because I keep 100% of the premium and get to keep my shares to sell calls against them again next week.

    For my Puts (like $TQQQ, $UBER, $NFLX): The stock price is safely above my strike. These are already or on track to expire worthless, letting me pocket the premium without having to use my cash to buy the shares.         

In the Money (ITM):

     I have one position that is In the Money and I got assigned it on Friday:

$NKE (NIKE) Put – Strike $61.00: With the current price at $58.71, this put was ITM by $2.29.

My Game Plan for $NKE: I’m perfectly happy being assigned here! By taking the $60 premium I collected, my "effective" cost basis for the stock drops to **$60.40**. I’ll immediately pivot to the "Wheel Strategy" and start selling Covered Calls against them to continue generating income. 

   Having 95% of my positions OTM is a fantastic result for a weekly cycle. It shows that my strike price selection is providing a solid "margin of safety" while still allowing me to capture significant yield.           

    

My 2025 Options Income Growth:

I started this journey of selling Cash Secured Puts (CSP) and Covered Calls (CC) back in June 2025, and seeing the progress visualized in this chart is a powerful reminder of what consistency can do.

When I first began in June, my income was just a small "proof of concept" starting at less than $100.00. Since then, I’ve navigated different market cycles to scale this into a significant monthly revenue stream.

The chart highlights a clear growth trajectory as I refined my strategy and likely increased my capital allocation:

After a quiet start, July saw a jump to roughly $700.00, followed by another solid increase in August to approximately $1,600.00.

Things really heated up in the fall. September income climbed to about $2,300.00, and October marked my best month ever, breaking the $3,000.00 barrier because of 5 friday's in a month. Also in September and October I sold options on risky stocks like $ETHU, $MSTR, $BMNR, etc.

Income moderated toward the end of the year, with November bringing in roughly $2,000.00 and December (so far) sitting at approximately $1,200.00. After getting assigned multiple $BMNR and $ETHU, I learned my lessons. Now I am not chasing the yields. I am selling options on good quality stocks which are not so overpriced.

  

Weekly option trading update: I earned $891 by selling options

 This week I earned $891 by selling cash secured puts and covered calls on 7 different stocks. I earned this money from $66,050 which is 71% yearly return. I got assigned one call and one put options. My covered call on $SBUX was assigned at $82. I earned $1,185 in total by selling options on $SBUX plus my average cost of $SBUX was $81.5 per share. So I received another $150 gain by selling 3 contracts of the stock. So in one month I received $1,335 while keeping my invested money of $81.5x300 =$24,500. 

After the earnings $DUOL Duolingo fell more than 20%. I sold a cash secured put at $220 strike price for $300. I got assigned but I am hopeful the stock will bounce back. I will keep doing the whiling strategy on $DUOL. 

My other options were called away. So I took the premiums. I earned $125 from $75 $ETHU (ethereum 2x), $NVO $53 covered call for $100.

The following is the full list:

My weekly options activity for this week

 Today I sold weekly covered call and cash secured put, which will expire this Friday. The full list is the following:

Today I collected $530 premium by selling the weekly options. Last week, I was assigned to $NVO and $BMNR. I will look to sell $BMNR tomorrow as it was down today. I am hoping for a comeback.

Today, I collected $300 by selling 3 covered calls with a strike price of $82. If it is assigned, I will sell them. I also sold covered call of $NVO for $100 per contract with a strike price of $53. Last week I was assigned at $51.

I also collected $125 premium by selling cash secured put on $ETHU 2x $ETH. The strike price was $75. 

So I got $530 from $39,400 which is 1.35% weekly return and yearly it is 69.95%.

I earned $3,059 by selling options in October 2025

 Option Income Summary in October 2025

In October, I earned $3,059 by selling options cash secured put and covered call. This is the highest income so far for me. Most of my income came from $SBUX, $BMNR, $NVO, $NKE, and $ETHU. I earned $3,059 from $173,200, which gave me 91.84% yearly return. 

The most income came from $SBUX. I earned $885 followed by $BMNR and $ETHU. I am also selling stocks on $NVO which is undervalued.

I started to sell options in June 2025. I wish I had known this before.  

So far, I have earned $7,735 since June 2025.

Stock market update on 10/28/2025

Today's notable top performing stocks:

$REGN Regeneron Pharm 11.82%

$UPS United Parcel Service  8.01%

$NOV Nov Inc 7.17%

$SOFI SoFi Technologies Inc 5.53%

$SHW Sherwin-Williams Co 5.47%

$NUE Nucor Corp 5.43%

$INTC Intel Corp 5.03%

$NVDA NVIDIA Corp 4.98%

$WSM Williams-Sonoma Inc 3.51%

$CRWD Crowdstrike  3.25%

Today's notable worst performing stocks:

$ARE Alexandria Real Estate -19.18%

$IONQ IONQ Inc -8.98%

$QBTS D-Wave Quantum Inc -8.68%

$RGTI Rigetti Computing Inc -7.88%

$RIOT Riot Platforms Inc -6.28%

$CE Celanese Corp -6%

$KULR KULR Technology Group Inc -6.11%

$DOC Healthpeak Properties Inc -5.4%

$BITF Bitfarms Ltd -5.29%

$CLSK CleanSpark Inc -5.2%

The following stocks reached a new 52 week high:

$NVDA NVIDIA Corp

$MSFT Microsoft Corp

$AAPL Apple Inc

$GOOG Alphabet Inc Class C

$AMD Advanced Micro Devices Inc

$ASML ASML Holding NV

$BAC Bank of America Corp

$TM Toyota Motor Corp

$GE General Electric Co

$IBM IBM Common Stock

$CSCO Cisco Systems Inc

$MS Morgan Stanley

$SFTBY SoftBank Group Corp - ADR

$RTX Rtx Corp

$SHOP Shopify Inc

$RY Royal Bank of Canada

$INTC Intel Corp

$NEE NextEra Energy Inc

$PANW Palo Alto Networks Inc

$TD Toronto-Dominion Bank

$CRWD Crowdstrike Holdings Inc

$WELL Welltower Inc

$DELL Dell Technologies Inc

$CVS CVS Health Corp

$SNOW Snowflake Inc

$RIO Rio Tinto plc ADR Common Stock

$BNS Bank of Nova Scotia

$CM Canadian Imperial Bank of Commerce

$GM General Motors Co

$NOK Nokia Oyj

$SOFI SoFi Technologies Inc

$LUMN Lumen Technologies Inc

The following stocks reached a new 52 week low today:

$PGR Progressive Corp

$CMCSA Comcast Corp

$MMC Marsh & McLennan Companies Inc

$BMY Bristol-Myers Squibb Co

$WM Waste Management Inc

$ROP Roper Technologies Inc

$BRO Brown & Brown Inc

$CHD Church & Dwight Co Inc

$CLX Clorox Co

$ARE Alexandria Real Estate Equities Inc

$CZR Caesars Entertainment Inc

$FIZZ National Beverage Corp

$UA Under Armour Inc Class C

Last week's stock performance

 Weekly performance update:

Last week's top performing stocks:

$TEM Tempus AI Inc 23.00%

$UNH UnitedHealth Group Inc 20.00%

$INTC Intel Corp 20.00%

$U Unity Software Inc 16.00%

$RDDT Reddit Inc 15.00%

$UAL United Airlines Holdings Inc 13.00%

$DAL Delta Air Lines Inc 13.00%

$CHWY Chewy Inc 12.00%

$LLY Eli Lilly And Co 12.00%

$NVO Novo Nordisk A/S 11.00%

$INCY Incyte Corp 11.00%

$NXPI NXP Semiconductors NV 11.00%

$AFRM Affirm Holdings Inc 10.00%

$RKT Rocket Companies Inc 10.00%

$DOW Dow Inc 10.00%

Last week's notable worst performing stocks:

$CRWV CoreWeave Inc -25.00%

$COHR Coherent Corp -19.00%

$SBET Sharplink Gaming Inc -18.00%

$AMAT Applied Materials Inc -13.00%

$CART Instacart -13.00%

$DUOL Duolingo Inc -12.00%

$SFTBY SoftBank Group Corp - ADR -12.00%

$HIMS Hims & Hers Health Inc -10.00%

$RBLX Roblox Corp -8.80%

$MSTR Strategy Inc Class A -8.80%

$CSCO Cisco Systems Inc -8.50%

$TPR Tapestry Inc -7.60%

$CRCL Circle Internet Group Inc -6.70%

$SHOP Shopify Inc -6.20%

$BJ BJ's Wholesale Club Holdings Inc -6.00%

$BROS Dutch Bros Inc -5.70%

$PAYC Paycom Software Inc -5.10%

In June, 36 companies increased and 3 companies cut its dividends. The list of companies with their increase, growth year, and 5 years dividend CAGR is as follows

In June, 36 companies increased and 3 companies cut its dividends. The list of companies with their increase, growth year, and 5 years dividend CAGR is as follows

Notable companies that increased their dividends in June.

1. Target Corporation (TGT)

• Dividend Increase: Target announced a 1.8% increase in its quarterly dividend, raising it from $1.12 to $1.14 per share, effective for the dividend payable on September 10, 2025, to shareholders of record as of August 20, 2025. This marks the 54th consecutive year of dividend growth, solidifying Target’s status as a Dividend King (a company with 50+ years of consecutive dividend increases).
• Context: Target’s first-quarter fiscal 2025 dividend payout totaled $510 million, slightly up from $508 million the previous year, reflecting its commitment to consistent shareholder returns. The company has paid dividends every quarter since October 1967, totaling 232 consecutive payments.
• Financial Health: The modest increase aligns with Target’s strong cash flow and focus on balancing shareholder returns with investments in its retail operations.

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2. Caterpillar Inc. (CAT)

• Dividend Increase: Caterpillar raised its quarterly dividend by 7% in June 2025, from $1.41 to $1.51 per share, payable on August 20, 2025, to shareholders of record as of July 21, 2025. This marks 31 consecutive years of dividend increases, earning Caterpillar Dividend Aristocrat status (25+ years of increases).
• Context: The company also added $20 billion to its stock buyback program, bringing the total to $21.8 billion, signaling confidence in its financial stability. Caterpillar has paid dividends without interruption since 1933. The annual dividend of $6.04 per share yields approximately 1.7%.
• Financial Health: As the largest U.S. machinery stock by market cap, Caterpillar’s consistent dividend growth is supported by strong free cash flow, which it uses primarily for dividends and buybacks.

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3. The Kroger Co. (KR)

• Dividend Increase: Kroger approved a 9% increase in its quarterly dividend, raising it from 32 cents to 35 cents per share, resulting in an annual dividend of $1.40 per share. The next quarterly dividend is payable on September 1, 2025, to shareholders of record as of August 15, 2025. This marks the 19th consecutive year of dividend increases since reinstating dividends in 2006.
• Context: Over the past 19 years, Kroger’s dividend has grown at a compound annual growth rate of 13%. The company expects adjusted free cash flow of $2.8 billion to $3 billion for fiscal 2025, supporting its capital allocation strategy focused on sustainable growth and shareholder returns.
• Financial Health: Despite challenges like the blocked Albertsons merger, Kroger’s strong operating performance and cash flow generation underpin its ability to sustain dividend growth.

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4. UnitedHealth Group (UNH)

• Dividend Increase: No specific information is available from the provided sources regarding a recent dividend increase for UnitedHealth Group in 2025. However, UnitedHealth Group is known for consistent dividend growth, having increased its dividend annually for over a decade as a Dividend Aristocrat.
• Context: UnitedHealth Group was mentioned in market updates, but no explicit mention of a 2025 dividend increase was found. Investors should check the company’s investor relations page or recent press releases for the latest dividend announcements.
• Financial Health: As a leading health insurer, UnitedHealth Group generates robust cash flows, supporting its dividend policy, though specific 2025 data is unavailable here.

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5. General Mills Inc. (GIS)

• Dividend Increase: No specific 2025 dividend increase is detailed in the provided sources. However, historical data indicates General Mills has a strong dividend track record, with a quarterly dividend of $0.54 per share noted in 2022, yielding approximately 2.85% at the time.
• Context: General Mills has consistently paid dividends and raised them over time, supported by its stable consumer staples business. The company raised its fiscal 2023 guidance, reflecting solid pricing power and margins, which likely supports ongoing dividend growth.
• Financial Health: General Mills’ ability to raise prices to offset inflation and its acquisition of Blue Buffalo pet food bolster its cash flow, but investors should verify recent dividend announcements for 2025.

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6. Darden Restaurants, Inc. (DRI)

• Dividend Increase: Darden Restaurants increased its quarterly dividend by 6.9%, from $1.31 to $1.40 per share, announced in 2024 and continuing into 2025.
• Context: Darden, which operates chains like Olive Garden and Ruth’s Chris Steak House, also authorized a $1 billion stock buyback program in June 2025. Fiscal 2025 fourth-quarter results showed 11% year-over-year sales growth (partly due to the 2024 acquisition of Chuy’s Tex-Mex) and a 9% increase in non-GAAP net income to over $400 million. Same-restaurant sales rose nearly 5%.
• Financial Health: Darden’s strong sales growth and profitability support its dividend increase and buyback program, with fiscal 2026 guidance projecting 7-8% total sales growth.

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7. FedEx Corporation (FDX)

• Dividend Increase: No specific information on a 2025 dividend increase is available from the provided sources. FedEx is noted as a tenant in Realty Income’s portfolio, indicating its operational stability, but no recent dividend announcements are cited.
• Context: FedEx has a history of paying dividends, and its inclusion in stable REIT portfolios suggests financial reliability. Investors should check FedEx’s investor relations page for updates on dividend actions in 2025.
• Financial Health: FedEx’s cash flow from logistics operations supports its dividend, but without specific data, no recent increase can be confirmed.

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8. Delta Air Lines, Inc. (DAL)

• Dividend Increase: No specific 2025 dividend increase is mentioned in the provided sources. Delta is one of only two U.S. passenger airlines with a market cap over $5 billion that pays a dividend, but no recent increase is detailed.
• Context: Analysts are bullish on Delta, with a consensus price target implying over 30% upside, but dividend-specific updates are absent. Delta reinstated its dividend in 2023 after suspending it during the pandemic, and it has been paying dividends since.
• Financial Health: Delta’s operational recovery and analyst optimism suggest potential for future dividend increases, but investors should verify recent announcements.

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9. W. P. Carey Inc. (WPC)

• Dividend Increase: No specific 2025 dividend increase is mentioned in the provided sources. W. P. Carey, a real estate investment trust (REIT), is known for consistent dividend payments, often with modest increases due to its REIT structure requiring high payout ratios.
• Context: W. P. Carey’s diversified commercial real estate portfolio generates stable cash flows, supporting its dividend. However, no recent increase is documented in the provided data. Investors should check the company’s investor relations page for 2025 updates.
• Financial Health: As a REIT, W. P. Carey prioritizes dividend payments, and its long-term lease structures provide predictable income, but specific 2025 dividend actions are unavailable here.