3M Co (MMM, Financial) and First American Financial Corp. (FAF, Financial) recently announced their next dividends. Dividend investors could be interested in these stocks, as they have been paying dividends for many years and have increased their payments faster than the S&P 500 over the past year. The benchmark for the U.S. market saw the dividends of its member stocks fall by 4.65% over the past 12 months through March 30, 2022.
Furthermore, these companies offer a higher dividend yield than the benchmark index for the U.S. market. The S&P 500’s dividend yield was approximately 1.55% as of early trading on Wednesday, May 11.
After regular hours on Tuesday, the Saint Paul, Minnesota-based international conglomerate announced it will pay a quarterly cash dividend of $1.49 per common share on June 12. The payment will be in line with the previous distribution. Shareholders must be on the company's record by May 20 if they want to benefit. The ex-dividend date is scheduled for May 19.
The company has distributed consecutive dividends for approximately 63 years and increased them by 0.7% over the past year.
At close on Tuesday, the share price of $149.12 was down 25.02% year-over-year and the forward dividend yield was 3.98%. The stock has a market cap of $84.86 billion and a 52-week range of $139.74 to $208.95.
The stock has a median recommendation rating of hold and an average target share price of $162.62 on Wall Street.
First American Financial Corp (FAF, Financial)
After regular hours on Tuesday, the Santa Ana, California-based specialty insurer of residential and commercial properties in the U.S. and internationally announced it will pay a quarterly cash dividend of 51 cents per common share on June 15 to shareholders of record as of June 8. The ex-dividend date is scheduled for June 7. The payment will be in line with the previous distribution.
The company has been paying consecutive dividends for about 11 years, increasing them by 10.6% over the past year.
The share price has dropped by 8.43% over the past year to close at $58.89 on Tuesday, and the forward dividend yield is 3.46%. The stock has a market cap of $6.33 billion and a 52-week range of $57.36 to $81.54.
The stock has a median recommendation rating of overweight and an average target share price of $78.67 on Wall Street.
