Alright, let’s dive into the messy, tangled world of dividend stocks. Graco Inc. (NYSE:GGG) might not be on everyone’s radar, but that’s kinda the point, right? We just put out a list of overlooked dividend stocks, and Graco’s hanging out with the cool kids there.
So, tell me this — when did dividend investing become like that one great pair of shoes you forget in the back of your closet? People used to chase after dividends like kids after the ice cream truck. But now, it’s all about those fast-talking growth stocks that promise the world but might leave you high and dry. Times have changed, thanks a lot to market slumps and wonky trade policies (looking at you, Trump!).
Anyway, the S&P Dividend Aristocrats Index—a mouthful, I know—has sorta tanked by 2% since the start of 2025. But that’s actually better than the broader market’s 6% nosedive. It’s like the tortoise and the hare, man—slow and steady sometimes saves your financial neck!
Now, historical tidbits: These dividend stocks are playing their own game during economic rollercoasters. They shone during downturns in ’81, ’01, and ’07 but kinda dropped the ball in 1980 and 2020. Remember the 2008–09 crisis? Dividend payouts kissed the floor, dropping by 24%. Still, not totally out of the game. Keep your eye on the prize though—dividends aren’t just about quick cash but a peek into a company’s soul (or balance sheet, to be less poetic).
M&G Investments, those financial gurus, say dividends tell us a lot—a sign that a company’s got its act together. There’s been this dance between short-term stock jumps and long-term gains. Over 25 years, dividends pulling their own weight have contributed a hefty chunk of returns.
But here’s the kicker: Dividends are no promise. Companies have to juggle paying shareholders and saving for future growth—tricky balance, right? A fat dividend might look sweet but don’t get too comfy. If a company’s payin’ out like there’s no tomorrow, it might run into problems. That’s where our list of hidden gems comes in.
We crawled through Forbes and the like to sniff out stocks under the radar but sturdy. Hedge funds are secretly hoarding these, we noticed. Graco Inc., clocking in at 7th on our list, ain’t just twiddling its thumbs. They make fluid handling gear (yep, that’s a thing) that’s super durable, with 40% of their cash flow coming from parts. That spells stability, folks.
Their Q1 2025 earnings? Up by 7.3%, with profits jumping too. They dish out dividends at $0.275 a pop with a yield of 1.35% as of April 25. Reliable much? Absolutely—but don’t let your curiosity stop here because we sniffed out even cheaper, more promising stocks we bet you’ll wanna check out.
For more wild rides, check out lists like “20 Best AI Stocks.” Go nuts! ✨
Disclosure: Nothing to disclose here, straight from the folks at Insider Monkey!
