Dow Inc.: Dividend Star or Cautionary Tale?

Dow Inc.: Dividend Star or Cautionary Tale?

Dow Inc. (NYSE:DOW) has been highlighted as one of the top ten dividend stocks by finance expert Jim Cramer, underscoring its appeal among dividend-focused investors. On June 11, 2025, Citi reaffirmed a Hold rating on Dow’s stock while slightly adjusting the price target from $29 to $30.

A significant boost for the company came following a favorable legal ruling in Canada, where a court mandated that Nova Chemicals pay Dow Inc. $1.2 billion in damages related to a jointly owned ethylene asset in Joffre, Alberta. This judgment, delivered on June 10, was met with encouragement by market analysts, especially after Dow saw a decline in its stock price earlier in the month due to the sale of its 50% interest in DowAksa Advanced Composites Holdings BV.

Dow Inc. is known for its robust dividend yield of 9.29%, appealing to those looking for reliable income. However, investors are advised to consider the company’s high payout ratio, which exceeds 700%, suggesting potential caution when investing.

Continued exploration of investment opportunities is crucial, particularly given the shifting marketplace dynamics. While Dow presents solid prospects, there are suggestions that certain artificial intelligence stocks may offer greater potential for growth with lower associated risks.

As the landscape evolves, maintaining a balanced perspective on various sectors will be vital for investors aiming for long-term growth.

Popular Categories


Search the website