2022 hasn't been a great year for the S&P 500. Year to date, the index is down 9%. Inflation, the threat of rising interest rates, and geopolitical issues have all been weighing on the markets in just the first two months of the year.
For investors, seeking out dividend stocks has been a way to find some safety, not to mention recurring income. One income stock that has been doing particularly well and outperforming the markets by a wide margin is tobacco giant Altria Group (NYSE:MO). Year to date, its shares are up over 9% and over the past three months it has risen by 16%.
Even with the sharp rise in price, however, Altria's stock is still paying investors an impressive 7% yield. The company released its year-end earnings report last month and the business has proven to be relatively resilient, with net revenue of $26 billion in 2021 declining by just 0.5% from the previous year. Its adjusted per-share profit of $4.61 was also 5.7% higher than a year ago. And in 2022, it projects the bottom line to continue to grow, to an adjusted earnings per share between $4.79 to $4.93.
The company says in the past year, it returned $8.1 billion to shareholders through a combination of dividends and share buybacks.
Given the Altria's stable performance and it offering a top dividend, it's little wonder why it has been a top performing stock of late. For investors looking for a safe place to park their money amid some challenging times, Altria might be a good option.
