Key Factors
- PayPal initiated its first dividend ever and introduced a key AI partnership with OpenAI.
- Visa elevated its dividend by 14%, sustaining a powerful document of progress.
- Seagate, certainly one of 2025’s top-performing S&P 500 shares, has elevated its dividend and provides a yield above 1.1%, which is extremely aggressive inside the tech sector.
Three big shares simply introduced important dividend will increase. This consists of one of many world’s largest funds firms, which initiated its first dividend ever, and one of many top-performing S&P 500 shares of 2025.
Under, we’ll break down the dividend information coming from these three names.
PayPal Initiates Dividend, Offering Revenue for the First Time in +20 Years
Together with posting robust Q3 2025 earnings outcomes on Oct. 28, PayPal (NASDAQ: PYPL) introduced that it might begin paying a quarterly dividend.
Initiating a dividend has been a very long time coming for PayPal, because the inventory went public again in 2002. Regardless of this lengthy wait, PayPal is making up for misplaced time by beginning with a major dividend.
The agency’s first dividend will likely be 14 cents per share, payable on Dec. 10 to shareholders of document as of Nov. 19. Proper off the bat, this provides PayPal an indicated dividend yield of round 0.8%, already increased than any inventory within the Magnificent Seven.
Trying forward, PayPal stated it is going to goal a payout ratio equal to 10% of its adjusted web earnings. The corporate is concentrating on long-term adjusted earnings per share (EPS) progress within the teenagers, which provides potential for the corporate’s dividends to extend.
Nevertheless, PayPal’s aggressive inventory buybacks may dampen future dividend progress by concentrating earnings per share beneficial properties with out proportionally growing obtainable money circulate for distributions.
The agency additionally introduced a brand new partnership with OpenAI, which is able to allow PayPal customers to purchase and promote merchandise utilizing ChatGPT. ChatGPT has roughly 800 million customers, so this partnership may considerably enhance transaction quantity on PayPal’s community, driving the corporate’s progress.
Visa Points Massive 14% Dividend Improve Alongside Earnings Beats
Whereas PayPal is a distinguished agency within the funds business, Visa (NYSE: V) is its king.
In its Oct. 28 Q3 earnings report, Visa introduced a beat on gross sales and EPS, in addition to a 14% dividend enhance. Visa’s new quarterly dividend of 67 cents per share is payable on Dec. 1 to shareholders of document as of Nov. 12. This provides the inventory an indicated dividend yield of roughly 0.7%.
Dividend yields are likely to fall as share costs rise, except dividend progress is commensurate with the rise in share costs, so Visa’s comparatively low yield can also be a testomony to the unbelievable efficiency of this inventory.
Over the previous 15 years, Visa shares rose by a compound annual progress charge (CAGR) of round 21%, beating the 12.4% CAGR of the S&P 500 Index by an enormous margin.
Nonetheless, Visa has carried out an amazing job of elevating its dividend over time—its dividend additionally grew at a 21% CAGR over that interval, leaving its yield practically the identical as 15 years in the past.
Seagate Delivers Sturdy Tech Dividend Yield Even After Triple-Bagger Efficiency
Final up is without doubt one of the market’s best-performing shares of 2025, Seagate Expertise (NASDAQ: STX).
Seagate has delivered a complete return of simply over 200% this yr. Amongst shares within the S&P 500 Index, Seagate’s return is the third highest, trailing solely Robinhood Markets (NASDAQ: HOOD) and Western Digital (NASDAQ: WDC), whose respective returns are roughly 290% and 230%.
Fast demand for laborious disk drives from knowledge middle operators has been the dominant power behind Seagate’s explosive rise. The corporate posted extremely spectacular earnings on Oct. 28 and introduced a 3% enhance to its quarterly dividend. The agency’s subsequent dividend of 74 cents per share will likely be payable on Jan. 9, 2026, to shareholders of document as of Dec. 24.
This provides the inventory a strong dividend yield of 1.08 %. That is in step with the roughly 1.1% yield of the S&P 500. It’s also greater than double the 0.5% yield of the Expertise Choose Sector SPDR Fund (NYSEARCA: XLK), exhibiting that, particularly amongst U.S. large-cap tech shares, Seagate’s yield is extremely aggressive.
PYPL, V, STX: Completely different Flavors of Dividend Shares
All three of those companies provide one thing to dividend buyers. PayPal is getting off to a sizzling begin with its first dividend, whereas Visa’s dividend progress charge is placing. In the meantime, Seagate’s yield is compelling when in comparison with different tech shares.
For buyers looking for earnings in a tech-driven world, these names present compelling entry factors—whether or not you are chasing progress, yield, or a little bit of each.
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About Leo Miller
Expertise
Leo Miller has been a contributing author for DividendStocks.com since 2024.
- Skilled Background: Leo Miller is a monetary author with a background in funding analysis and market evaluation. He has held roles as an funding analysis affiliate at Laird Norton Wetherby and as a analysis analyst at Sungarden Funding Publishing, the place he gained hands-on expertise evaluating equities and portfolio methods.
- Credentials: He holds a Bachelor of Enterprise Administration in Finance from the College of Washington’s Foster College of Enterprise, a top-ranked public enterprise faculty. He has handed the CFA Stage II examination.
- Finance Expertise: Leo started researching and investing in gold mining shares in 2019 and began writing about finance and investing in 2021. He joined DividendStocks.com as a contributing author in 2024, the place he covers each shares and ETFs. A powerful analysis basis and direct publicity to monetary markets form his views.
- Writing Focus: He makes a speciality of tech shares, dividend-paying firms, ETFs, and value-oriented alternatives. His work emphasizes readability, actionable insights, and training for buyers in any respect ranges.
- Funding Method: Leo follows a disciplined, long-term investing technique rooted in elementary evaluation, with a powerful give attention to economics, sector and business analysis, and passive investing rules.
- Inspiration: Leo finds the inventory market endlessly compelling and enjoys the problem of separating significant knowledge from noise. He’s enthusiastic about analyzing what makes companies stand out—and sharing these insights to information knowledgeable funding selections. As he places it, “Performing robust evaluation requires separating the wheat from the chaff.”
- Enjoyable Truth: Leo credit his grandfather for sparking his curiosity in investing and is a lifelong animal lover.
- Areas of Experience: Elementary evaluation, economics, business and sector evaluation
Training
Bachelor in Enterprise Administration, Finance, Foster College of Enterprise at College of Washington
