We recently published a list of the 10 shares of past dividends to buy now. In this article, we are going to take a look where Silgan Holdings Inc. (NYSE: SLGN) faces other actions of past dividends overlooked.
In recent times, dividend investment, also known as capital income, has fallen out of favor. Once a broadly followed and reliable strategy has gradually eclipsed. The strong capital gains delivered by the growth shares seem to have moved the attention of the investors of the most stable and consistent returns that come with shares that pay dividends.
However, the recent market recession, combined with the economic impact of Trump’s commercial policies, has brought renewed attention and attractiveness for this type of actions. The S&P dividend aristocrat index, which tracks the performance of companies with at least 25 consecutive years of dividend growth, has fallen a little more than 2% since the beginning of 2025, compared to a 6% drop in the broader market.
Dividend stocks have seen mixed results on different economic cycles, presenting well in some recessions and being behind in others. In general, they exceeded the broader market during recessions as of July 1981, March 2001 and December 2007. However, its performance was delayed during the shortest recessions in 1980 and 2020. This was mainly due to the dividend cuts of the main companies, together with the exposure limited to the rapid growth technical names. For the context, the most pronounced fall in dividends occurred during the 2008-09 financial crisis, when S&P dividends payments decreased by 24%, although investors still received 76% of their income.
That said, although the possibility of dividend reductions is a valid concern and a possible inconvenience of this strategy, it should not be a reason to overlook the dividend shares completely. When they join carefully, they can still play a valuable role in a full investment portfolio.
M&G Investments pointed out that dividends serve as more than only income; They also indicate the confidence of health and financial management of a company. While short -term market yields often depend on shares of shares, dividends play a much more substantial role in driving capital yields for longer periods, such as 10 or 20 years. The report also mentioned, citing Bloomberg data, that dividends play a vital role in long -term returns. In the last 25 years, almost half of the total profits of US actions come from reinvesting dividends and the composition power. During this period, the broader market delivered an average annual yield of 7.4%, with 55% attributed to the increase in shares prices and the remaining 45% from revenue income income.
The fact that dividends are not guaranteed highlights a deeper financial history behind corporate decisions. Companies must carefully weigh compensation between profits that return to shareholders and maintain enough hand profits to support future expansion. Obtaining this correct balance is a strategic task.
A particularly high dividend payment relationship, typically above 75%, although this varies according to the sector, it can increase red flags on sustainability. When too many profits are paid, little space is left to increase dividends in the future. This could eventually lead a company to climb or even stop their dividend payments completely, which can contain both commercial growth and long -term profits in the value of the shares. Given this, we will take a look at some outstanding actions that are paid dividends.
Silgan Holdings Inc. (SLGN): Among the actions of past dividends over high to buy now
An industrial robotic arm that automates the production of metal containers.
For this list, we thoroughly review sources of good reputation, such as Forbes, Morningstar, Barron’s and Business Insider, and we look for actions that remain under the radar but have solid balances and solid finance. In addition, these less known dividend companies also have the dividend growth monitoring records, which makes them a reliable option for income investors. After compiling our data, we chose 10 companies with the largest number of coverage fund investors, according to the database of the fourth quarter of Insider Monkey.
Why are we interested in stocks in which coverage funds accumulate? The reason is simple: our research has shown that we can overcome the market imitating the best selections of shares of the best coverage funds. The strategy of our quarterly bulletin selects 14 small capitalization shares and large capitalization each quarter and has returned 373.4% since May 2014, exceeding its reference point in 218 percentage points (See more details here).
Coverage fund holders number: 21
Silgan Holdings Inc. (NYSE: SLGN) is an American manufacturing company based in Connecticut. The company specializes in packaging for consumer goods. It has expanded over the years to become an outstanding global provider of sustainable rigid packaging solutions for consumer goods, with operations that cover 107 manufacturing sites on four continents. In the last 12 months, the action has increased by almost 10%.
Silgan Holdings Inc. (NYSE: SLGN) reported strong profits in the fourth quarter of 2024. The company registered revenues of $ 1.4 billion, which showed a growth of 5.3% of the same period last year. Income also exceeded analysts estimates at $ 12.4 million. During the quarter, the company completed the acquisition of Weener Packaging. He also reported an adjusted record of registration for its closing segment of dispensing and specialty and marked three straight quarters of the volume growth of two digits in its line of dispensing products.
Silgan Holdings Inc.’s cash position (NYSE: SLGN) also remained stable in 2024. In February, he declared a 5% increase in his quarterly dividend at $ 0.20 per share. This marked the 21st consecutive year of company dividend growth. With a 1.56%dividend yield, as of April 25, SLGN is one of the best passed shares.
In general, Slgn It occupies the tenth In our list of the best shares of past dividends over high to invest. While we recognize SLGN’s potential as an investment, our sentence lies in the belief that some deeply undervalued dividend actions are more promising to deliver greater returns and do it within a shorter framework. If you are looking for a deeply undervalued dividend action that is more promising than SLGN, but that is quoted 10 times your profits and increase your earnings at two -digit rates annually, see our report on the report on the report Cheap dividend stock.
