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From Trail Shoes to Momentum: A Familiar Name Finds Its Stride Again
Some turnarounds stabilize. The more interesting ones are starting to grow again.
This latest update suggests the reset may be giving way to something with more staying power.
Gold Alert (Sponsored)
While headlines focus on war, the real shift is happening underneath—oil settlement moving outside the dollar.
That’s what sustained global demand for Treasuries for decades.
Now it’s breaking.
Porter Stansberry calls me one of the top gold analysts alive—and this is the kind of structural change that leads to a repricing event in gold and related assets.
Discover the four miners set to benefit most.
Restaurants
Starbucks’ Turnaround Just Hit an AI Reality Check
Starbucks (NASDAQ: SBUX) has scrapped an AI inventory tool across North America, only nine months after rolling it out. The system was meant to help stores track milk and beverage items, but it reportedly miscounted and mislabeled products.
AI Meets the Coffee Counter
Starbucks has been trying to fix product shortages as part of its broader turnaround. A tool that cannot reliably count key items creates the opposite problem: more confusion inside already busy stores.
When you run a giant coffee chain, small inventory mistakes do not stay small. Missing milk or mislabeled supplies can quickly turn into unavailable drinks, frustrated workers, and annoyed customers.
Execution Is the Real Test
Starbucks says it is standardizing inventory counts and improving daily replenishment. That sounds less flashy than AI, but it may be exactly what the company needs right now.
The bigger issue is execution at scale. A smart tool only matters if baristas trust it during the morning rush, when your latte is already emotionally important.
Turnaround Gets More Grounded
Starbucks is still leaning on technology in its comeback plan. But retiring this tool shows the company cannot just throw AI at store problems and call it progress.
For Starbucks, the company news is bigger than one app. The chain has to prove you can get what is on the menu consistently before any tech upgrade feels like a real turnaround.
SBUX currently trades at $103 and pays a dividend of $2.48 per share, a yield of 2.40%.
Retail
Walmart Is Feeling the Pain at the Pump
Walmart (NYSE: WMT) is seeing stronger sales as more shoppers seek value, but higher fuel prices are posing a serious challenge for the company. The retailer said fuel costs have partly offset its income gains, while consumers are also feeling more pressure from rising gas prices.
Fuel Hits Walmart Twice
Walmart runs one of the largest retail operations in America. When fuel becomes more expensive, moving goods across stores, warehouses, and delivery networks becomes more expensive for the business.
When you sell groceries, household basics, and everyday items on a massive scale, transportation costs are not a small side issue. They hit the engine that powers the shelves.
The Customer Is Feeling It Too
Higher gas prices also squeeze Walmart’s shoppers. Money spent at the pump is money not spent as freely in store aisles, especially for households already dealing with food, housing, and utility costs.
That matters for your read on Walmart. The company may gain traffic when people hunt for lower prices, but stretched customers can still make it harder to grow every shopping basket.
A Bigger Retail Stress Test
Walmart is still positioned as the place people turn to when budgets tighten. That strength helps, but it does not make the company immune to fuel pressure.
If fuel stays high, you get a retailer fighting pressure on both sides: higher operating costs inside the business and a more cautious customer walking through the door.
WMT currently trades at $119 and pays a dividend of $0.99 per share, a yield of 0.83%.
Wealth Shift (Sponsored)
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Energy
Exxon's Next Big Oil Move Could Come From Venezuela
Exxon Mobil (NYSE: XOM) is reportedly in talks to return to Venezuela to produce oil there, nearly 20 years after leaving the country following nationalization and lengthy legal battles. The deal could involve oil production rights across multiple fields.
A Major Reversal for Exxon
Exxon once treated Venezuela as too risky to touch. The company had assets seized there, fought years of legal battles, and still has unresolved damages tied to that history.
When you look at that background, a return would not be a routine expansion. It would be one of the biggest strategic reversals in Exxon's global oil playbook.
Venezuela Is Hard to Ignore
Venezuela holds some of the world's largest oil reserves. That makes it attractive again at a time when energy companies want more production options outside the usual hot zones.
The opportunity is big, but so is the baggage. For your read on Exxon, the key point is whether the company believes the reward now outweighs the risk it avoided for years.
Exxon Wants More Supply Options
Exxon has already built a major position in nearby Guyana. A Venezuela return would give the company another big production base in the same broader region.
The company's story is not politics first. It is Exxon looking at global oil demand, higher prices, and rival activity, then deciding you do not leave massive reserves off the table forever.
XOM currently trades at $155 and pays a dividend of $4.12 per share, a yield of 2.66%.
Dividend Stocks Worth Watching
Star Bulk Carriers Corporation (NYSE: SBLK) has delivered a much stronger quarter as improving dry bulk shipping conditions drove a sharp recovery in profitability and supported higher charter rates across its fleet.
What makes this notable is that the gains were not driven solely by fleet expansion. Even with a smaller average fleet, stronger market conditions helped lift voyage revenue and earnings significantly, suggesting Star Bulk is benefiting from improved pricing power rather than simply adding capacity.
Management is also using the stronger backdrop to reshape the business. The company is selling older vessels, investing in newer and more efficient ships, and refinancing debt to improve flexibility and extend maturities. With additional vessels arriving throughout the year, Star Bulk is positioning the fleet for lower operating costs and stronger long-term competitiveness.
For dividend investors, this remains a cyclical income story worth watching. Dry bulk markets can move quickly, but stronger charter rates, a more efficient fleet, and active balance-sheet management suggest Star Bulk is seeking to convert favorable market conditions into more durable shareholder returns. SBLK pays a 50-cent dividend, yielding 7.49%.
Kinetik Holdings Inc. (NYSE: KNTK) has approved a major expansion of its Kings Landing natural gas processing complex in New Mexico, increasing the project’s planned scale to capture stronger-than-expected activity in the Delaware Basin.
The company increased the plant’s planned size by 50% before construction even began, reflecting stronger customer demand and accelerating development across its existing footprint.
This also continues a broader growth strategy already underway. Alongside recent infrastructure acquisitions, Kinetik is expanding its gathering, processing, and transportation network to strengthen its position across the Permian-to-Gulf Coast corridor. The design of the new facility also leaves room for future expansion if demand continues to grow.
For dividend investors, this is an infrastructure growth story rather than a commodity price bet. Kinetik is investing to increase throughput and lock in future volumes, with the opportunity tied to whether today’s capital spending translates into stronger cash generation and durable shareholder returns over time. KNTK pays a 75-cent dividend, yielding 6.47%.
Wolverine World Wide, Inc. (NYSE: WWW) is beginning to show what a successful brand rebuild actually looks like. Revenue, margins, and earnings all came in ahead of expectations, but more importantly, growth is becoming concentrated in the parts of the portfolio with the strongest consumer pull.
That showed up clearly in Merrell and Saucony. Merrell continued to take share in US hiking, while Saucony delivered a record quarter and kept building relevance across both performance and lifestyle categories. Those are the kinds of gains that tend to compound, as stronger brands yield greater pricing power.
What makes the quarter more convincing is that management raised profit expectations while still investing in marketing, digital capabilities, and international expansion, despite tariffs and freight pressure. The company appears to be choosing acceleration over protection.
Investors are no longer just looking for signs that the reset worked. The more interesting question is whether these brands have enough momentum to turn a cleaner business into a meaningfully stronger one. WWW pays a 10-cent dividend, yielding 2.49%.
Dividend Increases
SBLK has increased its dividend to 50 cents, a 35.14% increase. Its new yield is 7.49%.
GLPI has raised its dividend to 82 cents, up 5.13%. Its new yield is 6.95%.
RL has increased its dividend to $1.00, up 9.59%. Its new yield is 1.07%.
TOWN has increased its dividend to 28 cents, up 3.70%. Its new yield is 3.24%.
HLNE has increased its dividend to 60 cents, up 11.11%. Its new yield is 2.71%.
LII has raised its dividend to $1.36, a 4.6% increase. Its new yield is 1.13%.
ESEA has grown its dividend to 80 cents, up 6.7%. Its new yield is 4.49%.
Hidden Stocks (Sponsored)
A new Tesla production line could be coming to Fremont — and it may point to a much bigger tech shift.
One analyst believes five small companies could benefit if Elon’s next product goes mainstream.
Two reportedly trade under $4, which could make this setup worth watching before the expected July 22 update.
Poll: When interest rates are high, how does it affect your dividend stock allocation? |
Upcoming Dividend Payers
KVUE’s ex-dividend date for the forthcoming 21-cent payment is 05/27/26.
CTSH’s ex-dividend date for the forthcoming 33-cent payment is 05/27/26.
FRAF’s ex-dividend date for the forthcoming 34-cent payment is 05/27/26.
ARR’s ex-dividend date for the forthcoming 24-cent payment is 05/28/26.
LPX’s ex-dividend date for the forthcoming 30-cent payment is 05/28/26.
Everything Else
Three academic health systems have launched a legal battle against CVS Health, alleging $249 million in drug discount savings were withheld.
Estée Lauder says it has ended discussions with Spanish brand Puig after months of discussion regarding a potential merger.
Eli Lilly’s latest obesity drug, TRIUMPH-1, has completed a Phase 3 clinical trial with results showing impressive weight loss amongst participants.
Stellantis has unveiled an ambitious €60 billion, five-year strategic plan to accelerate growth and profit across multiple business streams, but notes the US is expected to be the main growth area.
That’s all for today’s edition of the Dividend Brief.
Thanks for reading, and if you have any feedback or dividend stocks you want me to take a look at, just reply to this email!
—Noah Zelvis
DividendBrief.com