Legacy techs are still solid dividend payers

Article Excerpt

These two senior technology companies are shifting into faster-growing fields. Those moves brighten their long-term prospects and should lead to more dividend hikes in the years to come. INTEL CORP. $48 is a buy. The company (Nasdaq symbol INTC); Conservative Growth Dividend Payer Portfolio, Manufacturing & Industry sector; Shares outstanding: 4.1 billion; Market cap: $196.8 billion; Dividend yield: 3.0%; Dividend Sustainability Rating: Above Average; www.intel.com) is the world’s leading maker of computer chips. With the March 2022 payment, Intel raised your quarterly dividend by 5.0%. Investors now receive $0.365 a share instead of $0.3475. The new annual rate of $1.46 yields 3.0%. Intel announced a new strategic plan in 2021, which mainly involves improving its technical expertise and expanding its ability to make chips for other companies. As part of that strategy, the company is now buying Tower Semiconductor Ltd. (Nasdaq symbol TSEM) for $5.4 billion. Based in Israel, Tower makes a variety of analog chips, which convert touch, sound and pressure into the electronic signals that computers…