If the previous month’s market movement has taught us anything, it’s that huge, blue-chip dividend stocks are always in style. This is especially true for the bluest of blue-chip equity-income vehicles: the top Dow dividend equities.
Despite the fact that long-time dividend producers Boeing (BA) and Walt Disney (DIS) have temporarily halted dividend payments in reaction to the COVID-19 situation, the Dow continues to be a wellspring of consistent and growing dividends. A handful of Dow dividend stocks are members of the S&P 500 Dividend Aristocrats, a group of companies that have increased their dividends for at least 25 years.
Is Dow Inc A Good Investment?
Points to Remember. The company is a smart buy because of its low price-to-earnings ratio. Recent sales growth has been strong for the organization. It is well positioned to profit from any increased infrastructure spending.
Which Dow stock pays the highest dividend?
Almost all of the Dow Jones Industrial Average’s 30 firms pay dividends, but not all of them have exceptionally high yields. Nine of the Dow’s 30 firms yield 3% or more, but due to its selectivity, the Dow can be a good place to look for yield if you’re looking for Dividend Aristocrats (stocks that have raised dividends for at least 25 years in a row) or high dividend blue-chip stocks. With that in mind, what are the Dow’s current highest-paying dividend stocks?
The Dow’s highest-paying dividend stocks, like the index itself, are well-established, high-quality American corporations. Many of them are over a century old. However, for some of them, their finest days are behind them. Some have extremely high dividend payout ratios, indicating that they are now sending the majority of their cash to shareholders rather than reinvesting in their business.
Is it better to invest in S&P or Dow Jones?
The S&P 500 stocks are divided into three categories. The top third of the index contains 166 stocks, accounting for around 75% of the total index. The S&P is considered a better indication of overall market activity since it contains more stocks. It also covers a wider range of business sectors, whereas the DJIA is just concerned with industrial issues.
Did Dow Chemical make Agent Orange?
With its headquarters and primary factory in Midland, Michigan, the Dow Chemical Company is one of the world’s major chemical businesses. It is a multinational corporation that has had an impact all over the world. Dow works with a wide range of chemicals, but is best recognized for its plastics expertise.
The use of Agent Orange and its consequences on Vietnam and the US forces stationed there was one of the most contentious aspects of the Vietnam War. Legal fights are still going on forty years after the conflict ended. The main point of contention in these instances is who is to blame for the difficulties created by Agent Orange. These disputes have primarily targeted industries that make Agent Orange for the military. The Dow Chemical Company is one of the most well-known firms involved in the controversies.
Herbert Dow created the Dow Chemical Company in 1897. When it first started out, the company made bleach. Herbert Dow figured out how to get bromide out of brine. When a German bromide producer realized what he was doing, they cut their prices in half to throw him out of business, Herbert Dow was instantly put to the test. Dow was unable to match such pricing and was forced into bankruptcy, but was able to stay afloat until fresh commercial prospects appeared (Reference for Business, 2001).
Dow Chemical originally started associated with the military during World War I. They produced phenol and other chemicals for the United States to use as weapons throughout the war. Dow was also assisting America’s military efforts for the first time. Its first-hand expertise with chemicals during World War I prepared the way for a wider range of products in the future (Reference for Business, 2001).
Dow went on to invest substantially in research on plastics and other materials, eventually becoming a company that prioritized research over product sales. This would be advantageous since it would keep the company at the forefront of the industry with cutting-edge technology. It also led to participation in World War 2. This was largely for airplanes, and due to a rubber shortage, Dow’s synthetic rubber research was extremely beneficial during the war. Dow Chemical proved essential for the military’s chemical needs after both World Wars.
The controversy began during the Vietnam War, when the US military contracted Dow Chemical to manufacture chemicals for the war effort. Dow became a federal contractor legally, which will be significant in the future legal challenges (Hynes, 2011). Agent Orange was the most contentious. Other businesses made these chemicals as well, but Dow was one of the most prominent. Because of the fatal levels of dioxin it carried, Agent Orange would eventually become a big issue. Napalm and Agent Purple were two other chemicals produced. From 1962 through 1971, Agent Orange was manufactured. It would be used by the military by spraying it from planes and saturating areas with it. The goal was to defoliate the plants and prevent future crop growth. Another application was to eliminate vegetation and open supply lines (Frey, 2013).
Dow would continue to rise after the Vietnam War ended. It benefited from the early 1970s oil embargo since it had its own petroleum supply that it could use to make plastics. Dow’s sales surpassed $10 billion for the first time in 1980, following a change in leadership and restructure of the corporation. In the future years, the company will begin to work with a variety of businesses. Merrell Drug was purchased in 1981, strengthening the company’s participation in pharmaceuticals. Dow was held accountable for the medicine Bendectin, which was later connected to a slew of birth abnormalities. Dow had to deal with a slew of lawsuits, just as it did in the Agent Orange battle (Reference for Business, 2001). Around the turn of the century, Dow would establish its own Agriculture and Automotive divisions, solidifying its position as one of the world’s major chemical businesses.
The Effect of Agent Orange
Both Vietnamese citizens and American servicemen are still suffering from the long-term effects of Agent Orange. The estimated 12 million gallons dumped in Vietnam are still affecting the soil in that country, preventing plant growth and causing different health problems for the people who live there (Arnold, 1995). The chemical had covered about a seventh of Vietnam (Hynes, 2011). Many of the sprayed areas have lost all vegetation or have poor surface growth. It could take hundreds of years for the environment to recover to its pre-war state (Mirer, 2011).
The health problems that Agent Orange exposed Vietnamese people have been proved to have been severe. They’ve battled conditions including liver damage, cancer, and heart problems. Their ability to reproduce has been impaired, and they suffer from skin and nervous system problems. The Agent Orange exposure that their forefathers and mothers endured has left an indelible mark on their descendants. Mental and physical problems, as well as severe physical deformities, plague the younger generations (Mirer, 2011). According to a study published in the Journal of Environmental and Public Health in 2014 on the soil and crops cultivated in Vietnam, the crops grown from the soil in a central Vietnam town are still poisonous. It was decided that not only are the regions that were directly sprayed still very hazardous, but that the surrounding areas have also been damaged and are detrimental to the people who live there. Its goal is to raise awareness of the challenges in Vietnam in the hopes that health and public-sector institutions will recognize the problem and respond appropriately (Environmental and Public Health, 2014).
The majority of the debate in America is focused on the impacts on US troops stationed in Vietnam, rather than on the effects on the Vietnamese people. Many soldiers have had negative consequences as a result of their proximity to Agent Orange, which are identical to the impacts on the Vietnamese people. Agent Orange was already clearly connected to five different types of cancer and other chronic ailments at the time, according to a Chicago Tribune report from May 2, 1990. (Millensen, 1990)
The Agent Orange Legal Disputes
Many lawsuits have been filed as a result of the health problems caused by Agent Orange. Chemical corporations were mostly to responsible for these issues. They were assaulted because they produced substances that the government had paid them to produce. In the early 1980s, there would be a huge case. In the early 1980s, Agent Orange victims banded together to file a lawsuit against the chemical corporations who created the poison during the war. The number of litigants was estimated to be approximately 30,000. A panel of nine lawyers was to represent the tens of thousands of litigants, each with a compelling case to make. Seven major chemical firms were named as defendants, one of which being The Dow Chemical Company. Major law firms were hired to represent them. The government has also been ordered to join the case as a defendant. The trial was expected to run around a half-year, while additional litigation would clog up other courts for years. The cost of legal fees alone might exceed $100 million (Chicago Tribune, 1984).
The chemical firms would have had a difficult trial, primarily because the jurors could have readily felt sympathy for the afflicted veterans. When deciding on a verdict, this sympathy would have been difficult to ignore. It may have obscured the fact that there was no strong scientific evidence linking Agent Orange to many of the ailments at the time. Most studies at the time of the case were not expected to be completed for another few years. It would have been difficult to convince the jury that the victims’ problems did not yet have much of a pattern. The results of animal testing revealed that the poisons caused cancer and birth abnormalities (Garmon, 1984). Although the only conclusion reached after studying persons who had been exposed was that a skin rash was a sign. For all that was known at the time, the veterans could have simply been blaming Agent Orange for diseases they had acquired naturally. Emotions and pity might have easily impacted the high-risk instance (Chicago Tribune, 1984). If the firms had lost, they would have been forced to take responsibility for Agent Orange indefinitely. This is why they looked for a different way to complete the study.
A settlement with the chemical firms was reached in 1984, just before the trial was to begin. They decided to compensate the victims in exchange for not having to bear responsibility for the damage caused in Vietnam and to the veterans. The chemical corporations agreed to pay $180 million into a settlement fund as part of the agreement. Only until December 31, 1994, would the fund be available. After the fund finished, the settlement would not give any payouts. This meant that after 1994, anyone who had Agent Orange-related health concerns would not be covered by the settlement. After 1994, this would result in more legal cases. According to the agreement, each corporation would pay in proportion to how dangerous their particular chemical mixture was. Because Dow Chemical manufactured a less toxic version of Agent Orange than many of the other businesses, the settlement did not cost them as much money.
The American Association for the Advancement of Science issued an essay in 1989 detailing how, despite the substantial 1984 payout, the government refused to accept responsibility for Agent Orange. Their defense was that Agent Orange was not to blame for the Veteran’s health problems because there was no definitive proof of its negative effects. Congress made every effort to avoid it. Soft tissue sarcoma and non-Hodgkins lymphoma were two diseases connected in some research, and compensation for just those two diseases may have cost $100 million (Barinaga, 1989). Any additional illness linkages discovered would exacerbate the problem. Congress had authorized a study in 1979 due to strong pressure a few years prior. They needed a precise research, but how to do so was a point of contention from the start. The study was finally turned over to the Centers for Disease Control and Prevention (CDC). The study began in 1983, and the conclusion was reached in 1987 that dioxin exposure could not be determined solely from records. The American Legion took over and sent out questionnaires to veterans, inquiring about when and where they served, as well as any health issues they may have had. It would then be determined whether or not they had been exposed to Agent Orange. Some people believed this was enough, but a dioxin lab test was subsequently discovered, and the results were considerably different from the questionnaire answers. According to the results of the blood test, very few people were actually exposed to Agent Orange. Many others, however, did not believe this and attempted to overturn the results (Barinaga, 1989). The study as a whole stalled and failed miserably. Even future studies would be challenged as invalid, effectively absolving the government of accountability.
Legal disputes over Agent Orange are still going on today, with chemical corporations being the constant targets. Dow and the other businesses deny responsibility, claiming that they are not culpable because they were government contractors. Despite the government’s denial of complicity, The Dow Chemical Company remains a prime target due to its huge production of Agent Orange and its long history of military participation.
Is AT&T dividend Safe 2021?
Simply Safe Dividends assigns a number from 0 to 99 to corporations, with 99 being the safest for dividends. AT&T (T), with a 7.6% yield and a score of 40, is the Aristocrat with the lowest dividend safety score from Simply Safe.
Are simply safe dividends worth it?
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The platform’s main feature is that it offers a 14-day free trial period. You may put it to the test and determine for yourself whether it is worthwhile. Last but not least, a 60-day money-back guarantee is included. You can get your money back if you aren’t satisfied during the first two months.
How long do you have to hold a stock to get the dividend?
You must keep the stock for a certain number of days in order to earn the preferential 15 percent tax rate on dividends. Within the 121-day period around the ex-dividend date, that minimal term is 61 days. 60 days before the ex-dividend date, the 121-day period begins.
Do Tesla pay dividends?
Tesla’s common stock has never paid a dividend. We want to keep all future earnings to fund future expansion, so no cash dividends are expected in the near future.
Does Vanguard S&P 500 pay dividends?
The dividend cover is roughly 1.0, and there are normally four dividends per year (excluding specials). Vanguard S&P 500 UCITS ETF was forecasted with a 24 percent accuracy by our premium tools. Your Vanguard S&P 500 UCITS ETF account is set up to receive notifications.
