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3 Dividend Stocks Raising Payouts in 2025 - With More to Come

By Leo Miller | September 16, 2025, 7:06 AM

Interest rate and dividend concept, Businessman is calculating income and return on investment in percentage. income, return, retirement, compensation fund, investment, dividend tax, stock market — Photo

Two key names just increased their dividends, and another winner in artificial intelligence is likely to do the same by year's end.

Below, we’ll examine these three stocks and outline the yield investors can expect moving forward.

VZ Boosts Its Massive Dividend Even Higher

First up is Verizon Communications Stock (NYSE: VZ). Shares of the Big Three telecom giant have had a solid year in 2025, providing a total return of around 15.5%. That’s moderately higher than the S&P 500’s approximately 12.8% total return. However, it is less than half the 34.2% total return of rival AT&T (NYSE: T), but beats out the 10.6% return of T-Mobile US (NASDAQ: TMUS).

Verizon has experienced sluggish revenue growth of between 0% and 2% over the last four quarters. Nonetheless, shares have performed well due to low expectations and the company’s large dividend yield.

On Sept. 5, Verizon declared a new dividend of 69 cents per share, an approximately 1.8% increase from its previous payment. The dividend is payable on Nov. 3 to shareholders of record as of the Oct. 10 close. Although not a large increase, Verizon’s indicated dividend yield now sits at nearly 6.3%. Overall, Verizon’s indicated yield ranks within the top 10 among all stocks in the S&P 500 Index and is the highest among S&P 500 communications stocks.

Looking forward, Verizon hopes to stop the bleeding in its retail postpaid phone business, which has lost over 400,000 subscribers in 2025. Meanwhile, its broadband business is performing well, adding more than 600,000 customers.

JCI Lifts Dividend 8% With Shares Up Big in 2025

Next up is Johnson Controls International (NYSE: JCI), another name beating the market in 2025. However, JCI’s performance is much more impressive than Verizon’s, with shares notching a total return of more than 37%.

Partially driving the success at Johnson Controls is the company’s data center vertical. Sales to data centers are becoming a larger part of the firm’s business and now make up more than 10% of total sales. The company primarily sells thermal management systems to these customers. Specifically, its chillers cool down data centers as a whole, sort of like specially designed air conditioning systems. They are complementary technologies to cooling systems that are directly placed on server racks.

On September 10, Johnson Controls announced a dividend of 40 cents, marking an 8.1% increase over its previous payout. This new dividend will be paid on October 17 to shareholders of record as of the close of business on September 22. The stock now has a solid indicated dividend yield of 1.5%, slightly higher than the S&P 500 Index's approximately 1.1% indicated yield.

Watch for a December Dividend Increase at Broadcom

Looking into the future, investors should expect a dividend increase from semiconductor giant Broadcom (NASDAQ: AVGO) by the end of 2025. Broadcom’s dividend has stayed at the same 59-cent per share level for the past four quarters. Since 2021, Broadcom has never gone more than four quarters without increasing its dividend.

Additionally, Broadcom’s business is performing extremely well. Its last twelve months (LTM) free cash flow hit a record of just under $25 billion last quarter. Overall, these factors clearly point to Broadcom announcing another dividend increase in December 2025. So how large could Broadcom’s next dividend increase be?

In September, Broadcom will pay a dividend of 59 cents, compared to a 36-cent payout in Sept. 2021. That’s a compound annual growth rate of around 13%. The last time Broadcom increased its dividend, it did so by 11%. With free cash flow booming, it wouldn’t be surprising to see Broadcom announce a dividend boost at the high end of this range.

Assuming a 13% boost, Broadcom’s dividend would move up to around 67 cents per share. Based on Sept. 12 closing prices, that would equate to an indicated yield of nearly 0.75%. Although not high, investors should note that the figure eclipses the current indicated yield of every Magnificent Seven stock.

VZ, JCI and AVGO: Dividend Boosters and a Dividend Booster-to-Be

Overall, VZ and JCI continue to reward their shareholders with increased dividends.

For Broadcom shareholders, the exciting day when the company raises its dividend is very likely approaching, an added bonus to the stock’s stellar 2025 performance.

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The article "3 Dividend Stocks Raising Payouts in 2025 — With More to Come" first appeared on MarketBeat.

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