Semiconductor Manufacturer Adds 16% to Dividend

Hello and welcome to Dividend Brief, the 2 times weekly newsletter focused on dividend investing.

Today, we will look into Target, Wells Fargo, and Salesforce, highlight a few dividend stocks worth watching, as well as share companies that are about to pay a dividend in the next few days.

What’s Musk Planning?

“A Maniacal Sense of Urgency”

A Boston based think tank believes we could be just days away from Elon Musk launching his next big venture.

It’s uniquely connected to his new role in the Department of Government Efficiency ("DOGE")… but could have a far reaching impact on every facet of life in America.

They’ve released a fascinating new documentary connecting all the dots on what they believe Elon’s planning and how it could impact your money.

Get the details here.

Retail

Target Faces Shareholder Lawsuit Over Social Initiatives Backlash

Target is facing a lawsuit from shareholders accusing the company of misleading investors about the potential risks tied to its social and diversity-focused initiatives. According to the suit, these actions led to consumer boycotts, reputational damage, and a sharp decline in the retailer's stock value. The allegations claim that leadership failed to provide transparency on the financial impact of these programs, leaving investors unaware of potential repercussions.

The backlash gained momentum after Target's 2023 Pride Month campaign, which resulted in merchandise changes and safety concerns for employees following in-store confrontations. Additionally, shareholders argue that the company's financial struggles, including a significant drop in stock price last November, contrast sharply with the stronger performance of competitors like Walmart.

Target recently announced plans to scale back its diversity and inclusion efforts, including initiatives to support Black-owned businesses. This move aligns with similar steps taken by other major corporations amid growing criticism of such programs.

The lawsuit, filed in federal court, seeks compensation for affected investors over a two-year period. As Target navigates these legal and financial challenges, the outcomes could influence corporate strategies on balancing social initiatives with investor expectations.

TGT currently trades at $135 and pays a dividend of $1.12 per share, a yield of 3.34%.

Financial Services

Wells Fargo Nears Potential End to Longstanding Asset Cap

Wells Fargo's prolonged struggle with a regulatory asset cap may finally be nearing a turning point, sparking cautious optimism across the company. This restriction, in place for seven years, has severely limited the bank’s ability to grow and is estimated to have significantly impacted its profitability. The cap was imposed by the Federal Reserve following widespread misconduct revelations and required the bank to overhaul its risk management and oversight systems.

Over the years, the process of addressing the Fed's concerns has been painstaking, involving thousands of revisions to internal procedures and significant investment in compliance and operational improvements. Despite these efforts, progress has been slow, and the restriction remains a significant hurdle for the bank. However, recent steps, including submitting a third-party review of its internal reforms, have fueled hope that the cap could be lifted soon.

If the restriction is removed, Wells Fargo could shift its focus to expansion, including bolstering trading operations, increasing corporate deposits, and enhancing its credit card offerings. For now, the asset cap serves as a reminder of the regulatory consequences tied to mismanagement, but its potential end could mark a new chapter for the bank’s growth and reputation.

WFC currently trades at $80 and pays a dividend of 40 cents per share, a yield of 2.05%.

Cryptocurrency

Better than Bitcoin? (top crypto for less than $1)

Over the past 15 years, Bitcoin has outperformed stocks, bonds, and every other asset you could've bought.

Many predict 2025 will be an even bigger year—hitting $200,000 or higher. But there's a better way to profit from this new crypto rally.

Most people don't know about it... and yet it's returned over 1,000% in 4 months.

This could be the #1 way to invest in crypto in 2025.

Get full details here

Software

Salesforce Balances Workforce Cuts With AI Expansion

Salesforce is beginning its new fiscal year with job cuts, even as it ramps up hiring in areas related to artificial intelligence products. The workforce reductions are part of a broader trend in the tech industry, where major players like Amazon, Microsoft, and Meta have also trimmed their employee numbers in recent months. These shifts reflect an increased focus on maintaining profitability while navigating changing market dynamics.

The company has not disclosed which departments will be impacted, but employees affected by the layoffs may have opportunities to apply for internal roles. Salesforce, a leader in customer management software, ended its last fiscal year with nearly 73,000 employees. Despite the job cuts, it remains committed to expanding its sales teams to support its growing portfolio of AI-driven solutions.

This dual approach highlights the company’s balancing act between investing in innovation and addressing financial expectations. After facing pressure from investors in 2023, Salesforce has intensified efforts to optimize efficiency and improve profit margins. These strategic adjustments are expected to play a role in its upcoming financial performance, with fourth-quarter earnings anticipated later this month.

CRM currently trades at $346 and pays a dividend of 40 cents per share, a yield of 0.47%.

CMCSA increased its dividend payout to 33 cents per share, an increase of 6.4%. Its new forward yield is 3.9%.

ASLM upped its dividend payout to $.1.64 per share, an increase of 16.6%. Its new forward yield is 0.8%.

CI boosted its dividend payout to $1.51 per share, an increase of 7.9%. Its new forward yield is 2.1%.

RCI decreased its dividend payout to 34.7 cents per share, a cut of 3.9%. Its new dividend yield is 5.3%.

CP dropped its dividend payout to 13.1 cents per share, a cut of 5.8%. Its new dividend yield is 0.7%.

BBU lowered its dividend payout to 6.2 cents per share, a cut of 0.8%. Its new dividend yield is 1.14%.

AI

The AI Energy Miracle

All the Energy You Need to Power Your Entire Life... Could Fit Inside This Single Soda Can.

Three Companies Set to See Enormous Profit Potential.

Details Here.

Everything Else

• Regeneron has exceeded quarterly earnings expectations, driven by eczema drug demand, and announced the launch of a dividend program.

• Equifax has declared its latest quarterly dividend, showcasing continued shareholder returns.

• Southwest Airlines has announced its 184th consecutive quarterly dividend, reinforcing its commitment to consistent payouts.

• Trane Technologies has increased its dividend by 12% while declaring its quarterly payout, reflecting its strong financial position.

• Alexander’s has declared a quarterly dividend of $4.50 per common share, continuing its robust distributions.

• Stryker has announced a quarterly dividend of $0.84 per share, maintaining its track record of shareholder returns.