Another Dividend King that's gone through a tumultuous past several years is Johnson & Johnson (J&J). However, the healthcare giant could emerge as a winning stock this year. To start, today's J&J is a more streamlined business, having divested Kenvue, its consumer products business, in 2023. Now, the company is focused on pharmaceuticals, medical devices, and technology exclusively.
Over the past few years, J&J stock hasn't made for a great investment, even with dividend growth, with paltry returns from 2022 through 2024. However, despite the disappointing return in recent years, the five- and 10-year returns are considerably better, even with the recent weakness. With the company now lean and focused on its core pharma and medical devices businesses, 2025 is proving to be a bounce-back year, with 34.6% in total returns this year through mid-October.