This Under-the-Radar Dividend King Just Raised its Payout

On May 21, Universal Corporation (NYSE:UVV) announced a 1% increase in its quarterly dividend to $0.82 per share.

Universal Corporation (NYSE:UVV) is a global agricultural firm with over a century of experience, delivering high-quality products and tailored solutions to meet the specific needs of its customers. With a broad network of farmers and partners spanning more than 30 countries across five continents, the company is recognized for providing reliable and traceable agricultural products.

Universal Corporation (NYSE:UVV)’s latest dividend increase marks its 55th straight annual raise, securing its place among the Dividend Kings, though it often flies under the radar. While its average dividend growth over the past five years has been modest at 1.28%, the consistent stability it has offered shareholders for more than five decades stands out. In addition, its trailing twelve-month payout ratio of 48% suggests continued strength and room for future dividend growth.

Preston D. Wigner, Chairman, President, and Chief Executive Officer of Universal, made the following statement regarding the dividend hike:

“We are pleased to announce our 55^th annual dividend increase as we continue to execute our business strategy and deliver on our commitment to returning value to our shareholders. Our focus on consistent performance and operational excellence positions us well for continued success.”

As of May 21, UVV’s dividend yield stands at 5.57%, and it will trade ex-dividend on July 14. The stock has surged by over 6% in 2025 so far.

While we acknowledge the potential of UVV as an investment, our conviction lies in the belief that some deeply undervalued dividend stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for a deeply undervalued dividend stock that is more promising than UVV but that trades at 10 times its earnings and grows its earnings at double digit rates annually, check out our report about the dirt cheap dividend stock.

READ MORE: 10 Unstoppable Dividend Stocks to Buy Now and 25 High Dividend Stocks Being Targeted By Short Sellers

Disclosure. None.