Becton Dickinson and (BDX) DIvidends Date & History

Key Takeaways

• Becton, Dickinson and Company (BDX) pays a quarterly dividend of $1.05 per share, or $4.20 annually, with a current yield of roughly 2.5%.
• The company is a Dividend King, having increased its dividend for 53 consecutive years, one of the longest streaks in the market.
• Its five-year annualized dividend growth rate is approximately 5.65%, reflecting steady, dependable increases rather than rapid expansion.
• The payout appears well supported by cash flow, with a cash-flow payout ratio in the high-teens to low-20% range and a forward earnings payout ratio near 33%.
• The stock is best suited to long-term dividend growth investors seeking reliability rather than maximum current income.

Dividend Overview

Becton, Dickinson and Company is a global medical technology firm best known for its medical devices, diagnostic products, and biosciences portfolio. From a dividend perspective, BDX is a quintessential dividend growth stock rather than a high-yield play. The company distributes $1.05 per share each quarter, for an annualized total of $4.20 per share, translating to a yield of approximately 2.5% at recent share prices.

Payments are made on a quarterly schedule, and the most recent ex-dividend date was September 9, 2026, with the subsequent payment distributed on September 30, 2026. While the yield is modest compared with pure income vehicles, it is underpinned by one of the most durable dividend records in the healthcare sector, making the company a notable candidate for investors who prioritize consistency and compounding over time.

Dividend History and Growth

The defining feature of BDX's dividend is its longevity. The company has raised its payout for 53 consecutive years, earning it membership in the elite "Dividend Kings" — a group of companies with at least 50 straight years of dividend increases. This streak reflects a deliberate, multi-decade commitment to returning capital to shareholders through both good and challenging market cycles.

Growth has been steady but measured. Over the past five years, the dividend has risen at an annualized rate of about 5.65%, with the quarterly payment climbing from $0.95 per share in 2024 to $1.05 per share by 2026. The most recent increase was a modest $0.01 raise announced in November 2025. Rather than aggressive hikes, the company favors small, predictable annual increases — a hallmark of mature, cash-generative businesses that prioritize long-term stability.

Dividend Sustainability and Payout Ratio

Assessing BDX's dividend sustainability requires nuance, because reported earnings-based payout ratios can be misleading. On a trailing basis, the earnings payout ratio has appeared elevated at times, but this is largely the result of non-cash accounting charges and separation-related items that depress near-term reported earnings per share (EPS), which measures a company's profit allocated to each share of stock. On a forward-looking basis, the payout ratio is far more comfortable at roughly 33% of estimated earnings.

Most importantly, the dividend is strongly supported by cash generation. The company pays out only about 18% to 19% of its free cash flow as dividends, leaving ample room for reinvestment, share repurchases, and future increases. Combined with a diversified medical technology portfolio that produces recurring revenue, this low cash-flow payout suggests the dividend is well covered and unlikely to be reduced under normal operating conditions.

Dividend Compared to Industry Peers

Within the medical technology and healthcare sector, BDX's yield of roughly 2.5% sits above the sector median, which typically falls near 1.5% to 1.7%. The company's yield is broadly comparable to, or slightly below, larger diversified peers such as JNJ and MDT, which also offer yields in the 2% to 3% range, while exceeding lower-yielding device makers such as ABT and SYK.

Where BDX distinguishes itself is in the consistency of its growth record. Few healthcare peers can match a 53-year streak of annual increases, which places the company among the most dependable dividend payers in the sector even if its current yield is not the highest available.

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Is This Stock Attractive for Dividend Investors?

BDX is likely to appeal most to long-term, conservative dividend growth investors who value a dependable and steadily rising income stream over a high starting yield. Its 53-year streak of increases and low cash-flow payout make it a candidate for investors building a portfolio designed to compound income over decades.

For pure income investors seeking maximum current yield, the roughly 2.5% yield may be less compelling than higher-yielding alternatives, and the company's modest annual raises mean income growth is incremental rather than dramatic. That said, the combination of a diversified healthcare business, recurring revenue, and disciplined cash management supports the view that the dividend is durable. As always, investors should evaluate the stock in the context of their own objectives, risk tolerance, and time horizon rather than relying on dividend metrics alone.

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