15 Blue Chip Stocks with Highest Dividends

13. Stanley Black & Decker, Inc. (NYSE:SWK)

Dividend Yield as of April 8: 4.64%

On April 8, Wells Fargo analyst Joseph O’Dea lowered the firm’s price recommendation on Stanley Black & Decker, Inc. (NYSE:SWK) to $75 from $82. It reiterated an Equal Weight rating on the shares. The firm noted that housing stocks have lagged the SPX by 12 points following the start of the Iran war. Even so, Wells Fargo said the group is not fully derisked heading into Q1, which keeps the firm selective across its calendar reporters.

On April 6, the company said it completed the previously announced sale of its Consolidated Aerospace Manufacturing (CAM) business to Howmet Aerospace for about $1.8 billion in cash. Stanley Black & Decker expects to use net proceeds of roughly $1.57 billion, after taxes and fees, to reduce debt.

Chris Nelson, Stanley Black & Decker’s President & CEO, made the following statement:

“The successful sale of CAM further focuses our portfolio on our core businesses. The proceeds from this transaction are expected to significantly reduce our debt, positioning us to achieve our target leverage ratio of at or around 2.5 times net debt to adjusted EBITDA by year end, and enabling additional capital allocation opportunities. We remain committed to disciplined capital allocation and accelerating value creation for our shareholders. We would also like to recognize the CAM team for their dedication and outstanding contributions, which have been instrumental to our business success. As they now embark on their next chapter with Howmet Aerospace, we are confident they will continue to set new standards of excellence and continue to drive meaningful impact.”

Stanley Black & Decker, Inc. (NYSE:SWK) operates as a global provider of hand tools, power tools, outdoor products, and related accessories. It also supplies engineered fastening solutions. The company reports through two segments: Tools & Outdoor and Engineered Fastening.