{"id":24527,"date":"2026-01-08T10:09:23","date_gmt":"2026-01-08T10:09:23","guid":{"rendered":"https:\/\/finderica.com\/?p=24527"},"modified":"2026-01-08T10:09:23","modified_gmt":"2026-01-08T10:09:23","slug":"safety-net-the-great-dividend-predictor","status":"publish","type":"post","link":"https:\/\/finderica.com\/?p=24527","title":{"rendered":"Safety Net: The Great Dividend Predictor"},"content":{"rendered":"
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\u201cOops, I did it again\u201d<\/em>
\u2013 Britney Spears<\/em><\/p>\n

In 2025, Safety Net was once again an excellent resource for evaluating the safety of a company\u2019s dividend.<\/p>\n

During the year, 10 stocks were rated \u201cA\u201d for dividend safety. None of them cut their dividends. In fact, since 2023, not one of the 29 \u201cA\u201d-rated stocks has lowered its payout within a year after we evaluated it.<\/p>\n

Even more impressive, 50% of 2025\u2019s \u201cA\u201d-rated stocks boosted<\/em> their dividends during the year, including Iron Mountain<\/strong> (NYSE: IRM), which raised its dividend by 10% six months after my \u201cA\u201d rating was released, Delek Logistics Partners<\/strong> (NYSE: DKL), which raised its distribution each quarter, and MPLX<\/strong> (NYSE: MPLX), which hiked its payout by 12% less than a week after I gave it an \u201cA\u201d rating.<\/p>\n

I only gave four stocks a \u201cB\u201d for dividend safety in 2025, but two of them boosted their dividends, while the other two kept them the same. There were no cuts.<\/p>\n

Energy Transfer<\/strong> (NYSE: ET) was rated \u201cB\u201d in April and raised its distribution every quarter in 2025.<\/p>\n

There were seven stocks whose dividends were considered to have a moderate risk of being cut, receiving a \u201cC\u201d rating. Two raised their dividends; two cut them. The average change to the dividend of those seven stocks was -10.6%.<\/p>\n

There were a handful of cuts among the \u201cD\u201d and \u201cF\u201d-rated stocks as well. We gave 12 stocks a \u201cD\u201d grade, and 17 others were rated \u201cF.\u201d Two out of the 12 \u201cD\u201ds lowered their dividends, while three out of the 17 \u201cF\u201ds did so.<\/p>\n

\u201cD\u201d-rated stocks had the biggest average drop at 12.4%. \u201cF\u201d-rated stocks only saw a 6.4% average decline, but that number is skewed a bit by one variable dividend that saw a sizable \u2013 yet likely temporary \u2013 increase.<\/p>\n

Back in February, Stellantis<\/strong> (NYSE: STLA) slashed its dividend by more than 50% a week after I issued a \u201cD\u201d rating on the stock.<\/p>\n

Advanced Flower Capital<\/strong>\u2019s (Nasdaq: AFCG) dividend wilted in 2025. After I gave it a \u201cD\u201d rating, management proved me right by cutting the dividend twice and then skipping it altogether in the fourth quarter.<\/p>\n

In June, Research Analyst John Oravec said there was a strong likelihood that OFS Capital<\/strong> (Nasdaq: OFS) would \u201chave a repeat of 2020 with a cut coming down the line\u201d before slapping the stock with an \u201cF\u201d rating. The dividend was cut in half in December.<\/p>\n

All in all, it was another terrific year for Safety Net.<\/p>\n

\"Chart:<\/a><\/p>\n

Thanks to all of you who submitted requests for stocks to be evaluated in the Safety Net column. Keep them coming! Leave the ticker symbols in the comments section below.<\/p>\n

You can also check to see if I\u2019ve rated your favorite dividend payer recently. Just type the company name in the search box in the upper-right corner of this page, and hit \u201center.\u201d<\/p>\n<\/p><\/div>\n