Invest in Three Underestimated Stocks with Continual Dividend Increases, to Maintain for Extended Periods
American Express and TJX, two of the world's leading financial and retail companies, have announced impressive financial results and dividend increases for the first quarter of 2025.
American Express, known for its iconic credit card, has seen a significant boost in its financial performance and dividend payouts. The company's net income for the first three months of 2025 stood at $2.6 billion, marking a 6% year-over-year increase. Similarly, American Express's revenue net of interest expense reached nearly $17 billion, a 7% year-over-year growth.
In line with these strong earnings, American Express has raised its quarterly dividend by 12 cents, representing a 17% increase from its previous rate. This move brings the quarterly dividend to $0.82, reflecting a 1% dividend yield. Over the past five years, American Express's dividend growth rate has averaged a compounded annual growth rate of 13.8%.
The company also projected revenue growth of around 8% to 10% for the current year, indicating continued strong performance.
TJX, the parent company of TJ Maxx and Marshalls, has also reported a 5% year-over-year increase in revenue for its first quarter of fiscal 2026. The total revenue for the quarter amounted to $13.1 billion.
TJX's dividend history is equally impressive. This year, the company increased its dividend by 13%, marking the 28th time in 29 years that it has raised its payout. The dividend has averaged an annual rate of increase of 20% over the past 29 years.
However, no explicit data was found about companies with stock price gains exceeding 370% in the last five years. Stewart Information Services Corporation, another company known for its real estate services, increased its annual dividend from $2.00 to $2.10 per share in 2025, reflecting a steady dividend growth commitment.
These developments highlight the financial strength and commitment to shareholders of these two prominent companies. American Express and TJX continue to deliver strong earnings and consistent dividend growth, offering attractive prospects for investors.