Investing $5,000 in these 3 high-yield dividend stocks, currently situated near their 52-week lows, could be a profitable move for investors.
In the world of finance, three companies have been making headlines recently: Lockheed Martin, Colgate-Palmolive, and Pembina Pipeline. Let's take a closer look at their current financial performances and outlooks.
Lockheed Martin, a leading player in the military and aerospace sectors, has seen a significant decline in net earnings for Q2 2025. Despite a slight increase in sales to $18.2 billion, net earnings dropped sharply to $342 million, a decrease of nearly 80%. This decline was primarily due to $1.6 billion in program-related losses and $169 million in other charges. However, the company remains optimistic, reaffirming its 2025 guidance with projected sales between $73.75 billion and $74.75 billion. They plan to focus on improved program execution and rising demand for their defense technologies.
Lockheed Martin's stock has been on a downward trend, with a 12% year-to-date decrease as of July 25, and a recent 52-week low of $410.11. Despite this, the company's cash dividend yield stands at a safe 3.1%, and its free cash flow is more than double what it pays in cash dividends.
On the other hand, Colgate-Palmolive, a Dividend King, has shown a modest 3% increase in total sales last year, reaching $20.1 billion. The company's stock is trading within a few dollars of its 52-week low of $85.32, but its current dividend yield remains attractive at 2.4%. Colgate-Palmolive's payout ratio is less than 60%, providing a good buffer for dividend payments.
Pembina Pipeline, a Canadian energy infrastructure company, has reported a strong start to the year. The company's earnings for the first three months rose by 15% to CA$502 million, and revenue increased by 48% to 2.3 billion Canadian dollars. Pembina Pipeline's stock is currently hovering around its 52-week low of $34.13, but the company raised its dividend by 3% this year. With a current yield of 5.6%, Pembina Pipeline continues to be a high-yield dividend stock.
In conclusion, while Lockheed Martin faces operational challenges impacting earnings, it maintains strong sales and growth prospects. Colgate-Palmolive and Pembina Pipeline, despite recent stock price weakness, show stable business conditions and solid financial performances, supporting their status as high-yield dividend stocks. These companies continue to be worthy of investor consideration.
[1] Lockheed Martin reaffirms 2025 guidance despite Q2 earnings decline [2] Colgate-Palmolive and Pembina Pipeline: Stable Businesses Despite Recent Stock Price Weakness [3] Lockheed Martin Q2 Earnings Miss Estimates, Sales Rise [4] Pembina Pipeline Reports Q1 2022 Results [5] Lockheed Martin Q2 2022 Earnings Call Transcript
- Investors might want to consider Lockheed Martin for long-term investing, despite its Q2 2025 decline in net earnings, as the company reaffirms its 2025 guidance and plans to focus on improved program execution and rising demand for defense technologies.
- Despite recent stock price weakness, Colgate-Palmolive and Pembina Pipeline remain stable businesses, supporting their status as high-yield dividend stocks, with Colgate-Palmolive showing a modest sales increase last year, and Pembina Pipeline reporting a strong start to 2022 with a 15% increase in Q1 earnings and a 48% increase in revenue.
- The stock market has seen Lockheed Martin's Q2 2022 earnings miss estimates, with a 80% decrease in net earnings despite a slight increase in sales, due to program-related losses and other charges. However, the company's cash dividend yield remains attractive at 3.1%, and its free cash flow is more than double what it pays in cash dividends.
