JNJ's Consistent Payout Makes It a Top Pick for Down Markets

Johnson & Johnson (NYSE:JNJ) is among the best dividend stocks for a bear market.

The company is facing a combination of slow revenue growth, unresolved legal battles over talc products, and looming drug price negotiations under new Medicare rules. These issues could weigh on investor sentiment and profitability in the near term.

Despite current challenges, Johnson & Johnson (NYSE:JNJ) has a long history of managing legal and regulatory hurdles while maintaining strong performance. With a solid credit rating and the 2023 spinoff of its slower-growth Kenvue unit, the company is better positioned to focus on higher-growth areas and drive future earnings.

Johnson & Johnson (NYSE:JNJ) stands out as a top-tier dividend stock, with 63 consecutive years of dividend increases, an impressive track record that highlights the strength and resilience of its core business. This consistency is a key reason why investors continue to favor the stock, even amid current challenges.

The dividend remains secure, supported by J&J’s strategic focus on innovation in pharmaceuticals and medical devices. The company boasts a robust pipeline of experimental drugs and is advancing cutting-edge technologies like the Ottava robotic surgery system, which could unlock significant long-term growth potential.

Johnson & Johnson (NYSE:JNJ) currently offers a quarterly dividend of $1.30 per share and has a dividend yield of 3.45%, as of June 17.

While we acknowledge the potential of JNJ as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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