AbbVie Inc. (NYSE:ABBV) has declared another quarterly dividend of $1.73 per share. The dividend will be paid on November 16, 2026, to shareholders of record as of October 15. There is no new increase this time, since AbbVie has kept its quarterly dividend at $1.73 throughout 2026. Still, the latest declaration confirms the higher payout the company introduced at the beginning of the year.
For dividend investors, the bigger story is AbbVie’s history of raising its payout. The stock currently offers a yield of around 2.6% to 2.7%, which is fairly moderate. What makes the dividend more interesting is how much it has grown over the years. AbbVie has increased its quarterly dividend by more than 330% since the company was established in 2013. Its latest increase was 5.5%.
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The $1.73 Dividend and Current Yield
At $1.73 per share every quarter, AbbVie Inc. is on track to pay $6.92 per share over the course of a year. Based on the stock price around the latest dividend announcement, that gives investors a yield of roughly 2.7%. The exact yield will change as the stock price moves, but the annual dividend remains $6.92 unless AbbVie announces another increase or change.
A yield of around 2.7% is not especially high when compared with some of the highest-yielding dividend stocks. However, AbbVie is not really competing on yield alone. The appeal is that investors are getting a reasonably established income stream with a history of growing over time.
Dividend Growth Is the Bigger Story
AbbVie Inc.’s dividend growth is arguably more important than its current yield. The company raised its quarterly payout from $1.64 to $1.73, which works out to an increase of about 5.5%. The higher payment took effect with the February 2026 dividend. The recent history shows that AbbVie has been steadily increasing what it pays shareholders. The quarterly dividend was $1.41 per share in 2022. It rose to $1.48 in 2023, $1.55 in 2024, $1.64 in 2025, and then $1.73 in 2026. That puts the increase from 2022 to today at roughly 23%. Looking further back, the growth becomes even more noticeable. AbbVie’s investor materials show that the quarterly dividend increased from $0.57 per share in 2015 to $1.73 in 2025. That represents a 204% increase over 10 years.
This is the part of AbbVie Inc.’s dividend story that long-term income investors may find most appealing. A 2.7% yield may not look particularly exciting at first, but a growing dividend can become much more valuable over time if the company continues raising the payout.
The Cash Flow Behind the Dividend
A dividend is only as dependable as the cash a company can generate to support it. AbbVie Inc.’s latest SEC filing offers some useful insight here. During the first six months of 2026, the company generated $7.27 billion in operating cash flow, up from $6.79 billion during the same period in 2025. AbbVie paid $6.2 billion in cash dividends during those six months. That shows the company is generating significant cash from its operations, but it also highlights something investors should keep in mind. A large portion of that operating cash flow is going toward dividends, so the company does not have an unlimited cash cushion.
Reported earnings also need to be looked at carefully when assessing dividend coverage. Some third-party dividend databases currently show AbbVie with a payout ratio above 190% based on reported earnings. That figure can be affected by non-cash charges and other accounting items, so it does not necessarily tell the full story about the dividend.
Operating cash flow provides a more useful view of the cash available to support the payout, although it should not be looked at on its own. Debt, acquisitions, investments, and other uses of cash also matter.AbbVie states in its SEC filings that future dividends remain subject to approval by its board. The company also points to factors such as its financial condition, capital requirements, and debt obligations when discussing future dividend payments.
Slower Dividend Growth in Recent Years
The biggest question for dividend investors may not be whether AbbVie Inc. can maintain the current $1.73 payout. It is how quickly the dividend can continue growing from here. AbbVie has built a strong record of increasing its dividend, but the latest increase was 5.5%. That is a respectable raise, but it is not high enough to dramatically change the income generated by a 2.7% starting yield in a short period of time.
There is also competition for AbbVie’s cash. The company has to balance its dividend with acquisitions, investments, share repurchases, and other financial commitments. During the first half of 2026, AbbVie spent about $1.1 billion on acquisitions and investments. It also spent another $1.1 billion buying back its own shares. That makes future cash generation especially important. Investors will want to see AbbVie continue producing enough cash to support the existing dividend and future increases while also leaving enough room to invest in the business and manage its other financial obligations.
Conclusion
AbbVie Inc.’s $1.73 quarterly dividend gives shareholders an annualized payout of $6.92 per share and a yield of roughly 2.7%. The yield by itself is not particularly high, but the dividend’s history of growth makes the overall income proposition more interesting.
The company has continued to raise its payout, with the latest increase coming in at 5.5%. Its operating cash flow also provides meaningful support for the dividend, although the amount of cash being returned to shareholders means investors should continue paying attention to coverage and other capital requirements.
For investors focused on income, AbbVie is therefore more about growing the dividend over time than collecting a very high yield today. The company’s long history of increases is encouraging, but investors should also keep their expectations realistic. If future increases remain around the mid-single-digit range, the income stream can continue to grow, but probably at a more measured pace than AbbVie’s earlier dividend history might suggest.
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This article is originally published at Insider Monkey.
