New York, NY – Despite the recent fall in prices for certain healthcare stocks, investors can find reassurance in the steady rise of dividend payouts from companies like Pfizer, Bristol Myers Squibb, and CVS Health. While the S&P 500 has seen a remarkable 25% increase over the past year, not all stocks have experienced the same level of growth. Several healthcare stocks have actually declined more than 25% from their previous peaks.
Pfizer, for instance, has seen its shares drop by about 31% in the past year. Despite challenges in sales for its COVID vaccine and antiviral treatment, the pharmaceutical company has continued to raise its dividend payout annually since 2009. Additionally, with new drugs in development and recent FDA approvals, Pfizer remains optimistic about its future growth potential.
Similarly, Bristol Myers Squibb has faced a significant decrease in stock value, down approximately 35% from its peak last summer. The company’s recent earnings adjustment was influenced by a large acquisition, which could ultimately lead to market-beating gains in the long run if successful. The pending FDA decision on a potential new schizophrenia drug could further impact the company’s outlook.
On the other hand, CVS Health, known for its chain of retail pharmacies and health insurance services, has also experienced a decline in stock prices. Despite recent challenges like lower reimbursement rates, CVS Health’s diversified healthcare businesses have contributed to a significant increase in dividend payouts over the past decade. With rising national healthcare expenditure and a strong industry position, the company remains poised for continued growth and dividend raises.
Overall, while these healthcare stocks may have faced recent setbacks in stock prices, their consistent dividend payouts offer investors a sense of stability and potential long-term growth. The companies’ strategies for future growth and resilience in the face of challenges provide investors with reasons to remain optimistic about their investment in these high-yield stocks.