The stock market has had a turbulent start to the year 2025, with the S&P 500 Index already down 3%. While many dividend stocks are struggling even more, this could be an opportunity for value and income investors to find some hidden gems.
If you’re looking for quality dividend growth stocks, you might want to start with the Dividend Champions. These are stocks that have consistently increased their dividends for at least 25 consecutive years. You can access the Dividend Champions list, complete with relevant financial metrics, by clicking the link below.
Investors are likely familiar with the Dividend Aristocrats, a group of S&P 500 stocks with impressive dividend track records. However, it’s essential to also explore the Dividend Champions, which offer similar stability and growth potential.
In this article, we will delve into the three worst-performing Dividend Champions of 2025 and discuss their expected returns over the next five years.
The 3 Worst-Performing Dividend Champions of 2025:
1. Matthews International Corp. (MATW)
- Year-to-Date Performance: -15.6%
- 5-year expected returns: 12.2%
Matthews International Corporation operates globally, providing brand solutions, memorialization products, and industrial technologies. Despite a challenging first quarter in FY 2025, the company’s unique diversification across its three business segments is a competitive advantage. With a history of conservative dividend payouts and consistent dividend increases over 31 years, Matthews International remains a reliable choice for income investors.
2. T. Rowe Price Group (TROW)
- Year-to-Date Performance: -16.0%
- 5-year expected returns: 13.6%
T. Rowe Price Group, a prominent asset manager, has shown resilience despite market fluctuations. With a consistent track record of share repurchases and growth in assets under management, T. Rowe Price remains a strong choice for both individual and institutional investors.
3. Target Corporation (TGT)
- Year-to-Date Performance: -20.9%
- 5-year expected returns: 13.6%
Target, a retail giant, has faced challenges in 2025 but has shown strength in key categories like apparel and hardlines. With a focus on digital expansion, supply chain enhancements, and shareholder returns, Target remains well-positioned for future growth.
In a volatile market environment, it’s crucial for investors to be aware of the opportunities presented by beaten-down Dividend Champions. By analyzing their financial performance and long-term prospects, investors can make informed decisions to navigate the uncertainty of the market.
Don’t miss out on the potential value these Dividend Champions offer. Download the full report on Matthews International Corp., T. Rowe Price Group, and Target Corporation to gain deeper insights into their investment potential.
Conclusion:
While the stock market may be facing challenges in 2025, savvy investors can seize the opportunity to invest in undervalued Dividend Champions. By examining their performance, outlook, and dividend history, investors can build a resilient portfolio for the future. Stay proactive, stay informed, and make sound investment decisions to weather the storm and emerge stronger than before.
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