3 Great Dividends That Increase Payouts with Up to 4% Profit

Some of the most popular companies in the United States are bringing dividend increases to investors. Notably, these names add to their already significant yields, which range from 2% to 4%. Despite the disparity in performance, these companies remain true to their commitment to return more money to shareholders.

Johnson & Johnson Raises Dividends as Soar

The first is pharmaceutical giant Johnson & Johnson (NYSE: JNJ ). The stock has delivered impressive performance since the start of 2026, with its total return exceeding 10%. This compares to a return of less than 4% for the S&P 500 Index over that period. The stock also beats a big name in pharma, Eli Lilly and Company (NYSE: LLY ). LLY is down more than 10% in 2026.

Notably, Johnson & Johnson sees its sales growing 6% year-on-year (YOY) through 2025. Although this may sound small, it is a strong performance considering the history of the company, as the annual YOY growth has not exceeded 7% since 2007. The company expects even better performance in the coming years, targeting double-digit sales growth by the end of the decade.

Johnson & Johnson says its portfolio and pipeline are the strongest in its history. Importantly, the company has 28 platforms or products that generate $1 billion or more in annual revenue, demonstrating the strong diversification of its business.

The company raised its dividend in its latest earnings report, bringing its streak of annual dividend increases to 64 years. The share of the last term and the annual yield of 3.1 %. The company will pay its next quarterly dividend of $1.34 on June 9 to shareholders as of the close of business on May 26.

Albertsons Issues 13% Dividend Rise, Yield Increases Near 4%

On the other hand, consumer staples stock and grocer Albertsons Companies (NYSE: ACI ) underperformed. The stock’s year-to-date loss is about 2%. Sales rose 3.5% YOY in the company’s fiscal year 2026 (FY2026), a significant improvement over 1.5% growth in 2025. (Note that Albertsons’ fiscal year reporting period is several quarters ahead of the calendar period.) However, margins have come under considerable pressure. The company’s full-year operating margin fell more than 30 basis points, to a razor-thin 2.4%.

This is partly due to the growth of Albertson’s e-commerce business. The company’s digital sales rose 16% YOY, accelerating its overall growth. However, e-commerce comes with additional costs, especially with fulfillment. Therefore, higher growth in this segment reduces margins. However, the company’s e-commerce push is still in its early stages, representing about 10% of total sales. As the business grows, margins should improve as fixed costs are spread over a larger base.

Despite the weak share price performance, Albertson’s announced a massive 13.3% dividend increase in its latest earnings call. The company’s quarterly payout now sits at 17 cents per share, giving the stock a solid yield of close to 4.1%. Albertson’s will make its next quarterly payment on May 8 to shareholders of record as of the close of business on April 24.

Oil Spike Hits Procter & Gamble, Prices and Profits Soar

Last but not least is one of the biggest names in the consumer staples sector, Procter & Gamble (NYSE: PG ). With a market capitalization approaching $340 billion, P&G is the third most valuable consumer stock in the world, sandwiched between Costco Wholesale (NASDAQ: COST ) and CocaCola (NYSE: KO ). P&G’s performance was weak this year, as it is almost flat in 2026.

That’s because stocks have been hit hard lately, down more than 10% since early March, possibly because of the Middle East conflict, which has sent oil prices soaring. This affects P&G because the company sells many products derived from oil, such as shampoo, soap, lotions, and moisturizers. As oil prices rise, these products face margin pressure.

Possibly in response to this, the company recently announced a price increase of up to 20% across all its products and services. While this may help protect margins, retail prices may be at risk as consumers face more inflationary pressure.

IP&G is a long-time dividend booster, having now raised its dividend for 70 consecutive years. Its latest 3% increase takes the stock’s quarterly payout to just under $1.09. P&G’s implied yield now sits at around 3%. The company will make its next quarterly payments on April 16 to shareholders of record as of the close of business on April 24.

Analysts Eye for Albertsons’ Return

To this group, Wall Street analysts voiced Albertsons’s resilience going forward. The MarketBeat consensus price target on ACI sits at $21.31, implying a more than 25% upside for the shares. The target was revised to April’s average just below this at $21.25.

Companies mentioned in this article:

Company	Current Price	Price Changes	Dividend Yield	The P/E ratio	Consensus ratio	Consensus Price Target
Johnson & Johnson (JNJ)	$230.78	-1.5%	2.25%	26.67	Buy Medium	$252.48
Procter & Gamble (PG)	$143.92	-2.1%	2.94%	21.30	Buy Medium	$163.00
Albertsons Companies (ACI)	$16.69	-0.1%	4.08%	52.08	Hold on	$21.31

About Leo Miller

Experience

Leo Miller has been a contributing writer for DividendStocks.com since 2024.

• Professional Background: Leo Miller is a financial writer with a background in investment research and market analysis. He held roles as an investment research partner at Laird Norton Wetherby and as a research analyst at Sungarden Investment Publishing, where he gained extensive experience in valuation and portfolio strategies.
• Confirmation: He holds a Bachelor of Business Administration in Finance from the University of Washington’s Foster School of Business, a top-ranked public business school. Passed the CFA Level II exam.
• Financial Experience: Leo started researching and investing in gold mining stocks in 2019 and started writing about finance and investing in 2021. He joined DividendStocks.com as a contributing writer in 2024, where he covers both stocks and ETFs. A strong research base and direct exposure to the financial markets shape his opinions.
• Writing Focus: He specializes in technology stocks, dividend-paying companies, ETFs, and value-oriented opportunities. His work emphasizes clarity, practical understanding, and education for investors at all levels.
• How to Invest: Leo follows a disciplined, long-term investment strategy based on fundamental analysis, with a strong focus on economics, industry and sector research, and passive investment principles.
• Motivation: Leo finds the stock market endlessly compelling and enjoys the challenge of separating meaningful data from the noise. He is passionate about analyzing what makes businesses stand out—and sharing that insight to guide informed investment decisions. As he puts it, “Strong analysis requires separating the wheat from the chaff.”
• Fun fact: Leo credits his grandfather with sparking his interest in investing and is a lifelong animal lover.
• Areas of Expertise: Fundamental analysis, economics, industry and sector analysis

Education

Bachelor in Business Administration, Finance, Foster School of Business at the University of Washington