These 3 Stocks Grew Dividends +50% Annually Over the Last 3 Years

When looking for dividend stocks, high dividend yields are one important factor to consider. Even if a company’s dividend yield isn’t nearing double-digit percentages, finding stocks with yields at least higher than those of the market is a nice consolation. At the same time, looking for growth in the company’s dividends per share (DPS) is also extremely relevant. This shows that a company is attempting to return more capital to shareholders over time, leading to more income as the life of an investment increases.

The three stocks below all have two things in common. First, they all have indicated dividend yields above the 1.2% yield of the S&P 500 Index. An indicated yield assumes that the company will maintain a stable quarterly payment for each of the next four quarters.

Additionally, they have all massively raised their DPS. The compound annual growth rate (CAGR) of their DPS has been above 50% over the last three years. Specifically, this analysis looks at the total dividends these firms paid in 2021 versus 2024. Additionally, it focuses on dividends actually paid in those years rather than dividends declared.

Overall, these firms not only have indicated yields higher than the market, but they also have a strong recent history of growing dividends, which is a nice combination.

Blue Owl Capital: Alternative Asset Manager With Quickly Rising Dividends

Blue Owl Capital (NYSE: OWL) is an investment company specializing in alternative asset management. The firm generates revenue by charging fees and realizing profits on different types of investment opportunities, primarily in private markets. The company manages $250 billion in assets, 54% of which are in private credit. This involves lending to companies unable to access capital through public bond markets.

The financials firm went public back in 2021 and paid out $0.13 in DPS that year. In 2024, that figure reached $0.70 per share. This equates to a three-year CAGR of 75%. However, this brisk growth rate is partially due to the fact that the stock went public halfway through the start of 2021, limiting its payments that year. Since 2022, its DPS CAGR is 26%.

Based on its Feb. 28 closing price, Blue Owl has an indicated dividend yield of 3.3%, which is about 1% higher than at the end of 2021. This is especially impressive given that the stock has achieved a solid price return of 45% over that period. When adding in its dividends, the stock has provided a total return of 63%.

Occidental Petroleum: Strong Dividend Growth Backed by Buffett’s Favor

Occidental Petroleum (NYSE: OXY), aside from being a top pick of famed investor Warren Buffett, has also greatly increased its DPS since 2021. That year, the stock paid out just $0.04 per share. In 2024, it paid out $0.84 per share. That is a three-year CAGR of 175%. Although impressive, that growth rate certainly won’t continue at this rapid pace.

Most of this increase came in 2022 when the firm stepped up its annual dividend payment to $0.40 per share, a 10-fold increase in just one year. Still, the company has continually announced moderate increases in its DPS each year since 2022.

Since 2022, its CAGR of DPS is 45%. For 2025, its indicated annual dividend of $0.94 would be a 12% increase from the dividends paid out in 2024. Now, the stock’s indicated dividend yield sits at 1.9%.

Ford: Dividend Rebounder With Strong Growth and High Yield

Last up is Detroit Three automaker Ford Motor (NYSE: F). The truck company paid out almost nothing in the way of dividends in 2021, as demand for its vehicles was weak amid the COVID pandemic. That year, it paid out a dividend of just $0.10. Things have certainly turned around financially at Ford. In 2024, the company was able to pay dividends of $0.78 per share. This three-year CAGR rate of DPS is 98%. Since 2022, the stock has a still strong DPS CAGR of 27%.

Ford got back to making dividend payments every quarter in 2022 after making just two payments in 2020 and 2021 combined. Now, the stock is back to paying $0.15 per share each quarter, similar to the level it was at prior to the pandemic.

Additionally, Ford also authorized special dividend payments for the beginning of 2023, 2024, and 2025. The company now has an indicated dividend yield of 7.8% as of the Feb. 28 close.

Companies Mentioned in This Article: