These robust companies may be primed to start offering a dividend, Wolfe says

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Skechers USA Inc,OREILLY AUT DRN,Paypal Holdings Inc

Meta Platforms and Alphabet announced dividends earlier this year. Wolfe highlights a few companies that may join their ranks.

A few notable names have started making dividend payments this year – and a handful of stocks just might have what it takes to begin spinning off income to investors, Wolfe Research found. Just this year alone, big names that have heralded their first dividend payments include Salesforce and Meta Platforms. Alphabet joined the ranks of dividend payers in April when it authorized its first-ever dividend of 20 cents per share, along with a $70 billion share buyback.

Shares are up 13% in 2025, and the company has an estimated 2024 free cash flow to firm yield of 3%, according to Wolfe's analysis. Analysts also generally like the stock, with 11 out of the 14 analysts covering the name rating it a buy or strong buy, according to LSEG. "We see strong pricing, an improving sales mix, and fixed cost leverage as margin tailwinds," UBS said of buy-rated Skechers on April 15.

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