4 Stocks in Focus That Recently Announced Dividend Hikes

After a solid 2023 and a great start to this year, volatility returned to Wall Street a couple of weeks ago as concerns grew over the Federal Reserve’s timing for the first rate cut. Investors were expecting that the Federal Reserve would soon announce the first rate cut, but hopes dimmed after data showed that inflation increased in January.

The consumer price index (CPI) rose 0.3% month over month in January and 3.1% from a year ago, the Commerce Department reported. Also, core CPI, which excludes the volatile energy and food prices, rose 0.4% sequentially and 3.9% year over year in January.

The hotter-than-expected inflation reading has dented investors’ confidence. Also, the minutes of the Federal Reserve’s January FOMC meeting suggest that the central bank is in no rush to cut interest rates. It will go for the first rate cut only after the officials have “greater confidence” that inflation has eased.

The Federal Reserve had already ruled out a chance of a rate cut in March as inflation remains above its 2% target rate. Markets were expecting the first rate cut in May but now many believe that the first rate cut won’t happen before the June FOMC meeting.

Markets are now pricing in just a 2.5% chance of the Federal Reserve going for a rate cut in March, according to the CME FedWatch tool. The probability was more than 90% in the first week of January.

Higher interest rates can keep markets volatile for a longer time.

Stocks in Focus

Given the current situation, investors looking to safeguard their portfolios may find dividend-yielding stocks a wise choice. It is advised to explore stocks that have recently increased their dividend payments.

Four such stocks are CSG Systems International, Inc. CSGS, Ramaco Resources, Inc. METC, L3Harris Technologies, Inc. LHX and Universal Display Corporation OLED.

CSG Systems International, Inc.is a leading provider of outsourced billing, customer care, and print and mail solutions and services supporting the North American cable and direct broadcast satellite markets. CSGS' solutions support some of the world's largest and most innovative providers of bundled multi-channel video, Internet, voice and IP-based services.  CSG Systems International has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

On Feb 25, CSG Systems International announced that its shareholders would receive a dividend of $0.30 a share on Mar 28, 2024. CSGS has a dividend yield of 2.08%. Over the past five years, CSG Systems International has increased its dividend six times, and its payout ratio at present sits at 38% of earnings.Check CSG Systems International’s dividend history here.

Ramaco Resources, Inc. is an operator and developer of metallurgical coal primarily in southern West Virginia, southwestern Virginia and southwestern Pennsylvania. METC operates principally in Charleston, West Virginia. Ramaco Resources Inc. is based in Lexington, Kentucky.

On Feb 24, Ramaco Resourcesdeclared that its shareholders would receive a dividend of $0.14 a share on Mar 15, 2024. METC has a dividend yield of 2.76%. Over the past five years, Ramaco Resourceshas increased its dividend four times, and its payout ratio at present sits at 33% of earnings.Check Ramaco Resources' dividend history here.

L3Harris Technologies, Inc. is a technology-oriented aerospace and defense player that delivers advanced defense and commercial technologies across air, land, sea, space and cyber domains.

On Feb 23, L3Harris Technologiesannounced that its shareholders would receive a dividend of $1.16 a share on Mar 22, 2024. LHX has a dividend yield of 2.13%. Over the past five years, L3Harris Technologieshas increased its dividend six times, and its payout ratio at present sits at 37% of earnings.Check L3Harris Technologies’ dividend history here.

Universal Display Corporation is a leading developer of technology and intellectual property for the Organic Light Emitting Diodes (“OLED”) market. OLEDs are thin, lightweight and power-efficient solid-state devices that emit light.

On Feb 22, Universal Display Corporation declared that its shareholders would receive a dividend of $0.40 a share on Mar 29, 2024. OLED has a dividend yield of 0.81%. Over the past five years, Universal Display Corporationhas increased its dividend six times, and its payout ratio at present sits at 33% of earnings.Check Universal Display Corporation’s dividend history here.

Zacks Names #1 Semiconductor Stock

It's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.

With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.

See This Stock Now for Free >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

CSG Systems International, Inc. (CSGS) : Free Stock Analysis Report

Universal Display Corporation (OLED) : Free Stock Analysis Report

Ramaco Resources, Inc. (METC) : Free Stock Analysis Report

L3Harris Technologies Inc (LHX) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

More Related Articles

Info icon

This data feed is not available at this time.

Sign up for the TradeTalks newsletter to receive your weekly dose of trading news, trends and education. Delivered Wednesdays.