By Philip van Doorn, MarketWatch

Raytheon Technologies Corp.
In a year of so much uncertainty, having a bit of surety about your investments is a luxury.
The S&P 500 Dividend Aristocrats — stocks of 65 companies that have increased their dividends for at least 25 years — have been solid, in that none of them have cut their payouts.
You might be thinking: Isn’t that what they are supposed to do? Yes. But if you look at the components of the benchmark S&P 500 Index /zigman2/quotes/210599714/realtime SPX -0.27% , 63 companies have cut or suspended their dividends this year. That’s 14% of the non-Aristocrats. They are listed below, and the year-to-date returns are ugly. Of 63 dividend cutters, 56 have suffered double-digit declines (with dividends reinvested), and 49 are down at least 20%.
Among the 65 components of the S&P 500 Dividend Aristocrats Index /zigman2/quotes/210598428/delayed XX:SP50DIV -0.08% , gainers and decliners are pretty much evenly split for 2020, with 33 showing positive returns through Aug. 21.
The entire S&P 500 Dividend Aristocrats Index is down 2.4% this year, which may seem a poor showing against the 6.5% return for the broader S&P 500 Index. However, large technology companies that dominate the benchmark index have had an outsized effect on its market-capitalization-weighted performance.
In the U.S. financial media, “big tech” pretty much means the FAANG stocks and Microsoft Corp. /zigman2/quotes/207732364/composite MSFT +0.67% . This group is on fire this year and carries a tremendous weighting in the S&P 500, but only two of them are in the information technology sector, as defined by S&P Dow Jones Indices:
Company | Ticker | Total return - 2020 | Market capitalization ($ billion) |
Facebook Inc. Class A | 30% | $642 | |
Apple Inc. | /zigman2/quotes/202934861/composite AAPL | 71% | $2,127 |
Amazon.com Inc. | /zigman2/quotes/210331248/composite AMZN | 78% | $1,645 |
Netflix Inc. | /zigman2/quotes/202353025/composite NFLX | 52% | $217 |
Alphabet Inc. Class C | /zigman2/quotes/205453964/composite GOOG | 18% | $527 |
Alphabet Inc. Class A | /zigman2/quotes/202490156/lastsale GOOGL | 18% | $473 |
Microsoft Corp. | /zigman2/quotes/207732364/composite MSFT | 36% | $1,612 |
Source: FactSet |
Together, the FAANG + Microsoft group’s combined $7.24 trillion in market capitalization makes up 25.8% of the cap-weighted S&P 500. So, no, your index fund is not as diversified as you may think.
So it’s no surprise that the tech-heavy S&P 500 has been outperforming the S&P 500 Dividend Aristocrats for many years. But if you look back 15 years, the story changes:

FactSet
One way to invest in the entire Aristocrats group is the ProShares S&P 500 Dividend Aristocrats /zigman2/quotes/208747379/composite NOBL -0.42% .
The Dividend Aristocrats list
An S&P 500 stock is considered a Dividend Aristocrat if it has raised its dividend payout on common shares for at least 25 consecutive years. It makes no difference how high a stock’s current dividend yield might be. S&P Dow Jones Indices will include a newly formed company as a Dividend Aristocrat if it was formed through a merger that included a company that was already an Aristocrat and it continues raising its dividend.
Here are all 65 S&P 500 Dividend Aristocrats, sorted by current yield, with total returns for 2020 through Aug. 21 (scroll the table to the right to see the yields and returns):
Company | Ticker | Industry | Dividend yield | Total return - 2020 |
Exxon Mobil Corp. | /zigman2/quotes/204455864/composite XOM | Integrated Oil | 8.49% | -38% |
AT&T Inc. | /zigman2/quotes/203165245/composite T | Telecommunications | 7.01% | -20% |
People's United Financial Inc. | Banks | 6.89% | -36% | |
Chevron Corp. | /zigman2/quotes/205871374/composite CVX | Integrated Oil | 6.06% | -27% |
Federal Realty Investment Trust | /zigman2/quotes/202394259/composite FRT | Real Estate Investment Trusts | 5.28% | -36% |
Franklin Resources Inc. | /zigman2/quotes/201997162/composite BEN | Investment Managers | 5.15% | -17% |
AbbVie Inc. | /zigman2/quotes/202428675/composite ABBV | Pharmaceuticals: Major | 4.98% | 11% |
Walgreens Boots Alliance Inc. | /zigman2/quotes/203410933/composite WBA | Drugstore Chains | 4.74% | -31% |
Realty Income Corp. | /zigman2/quotes/200487782/composite O | Real Estate Investment Trusts | 4.58% | -15% |
Consolidated Edison Inc. | /zigman2/quotes/207137172/composite ED | Electric Utilities | 4.24% | -18% |
Amcor PLC | /zigman2/quotes/212673157/composite AMCR | Containers/Packaging | 4.14% | 5% |
Leggett & Platt Inc. | /zigman2/quotes/206009340/composite LEG | Home Furnishings | 4.02% | -20% |
Essex Property Trust Inc. | /zigman2/quotes/207865118/composite ESS | Real Estate Investment Trusts | 3.90% | -28% |
Cardinal Health Inc. | /zigman2/quotes/206646342/composite CAH | Medical Distributors | 3.90% | 0% |
3M Co. | /zigman2/quotes/205029460/composite MMM | Industrial Conglomerates | 3.64% | -6% |
Nucor Corp. | /zigman2/quotes/201889722/composite NUE | Steel | 3.60% | -19% |
Coca-Cola Co. | /zigman2/quotes/209159848/composite KO | Beverages: Non-Alcoholic | 3.47% | -13% |
Genuine Parts Co. | /zigman2/quotes/204247574/composite GPC | Wholesale Distributors | 3.39% | -11% |
Archer-Daniels-Midland Co. | /zigman2/quotes/203479136/composite ADM | Agricultural Commodities/Milling | 3.30% | -3% |
Raytheon Technologies Corp. | /zigman2/quotes/203237915/composite RTX | Aerospace & Defense | 3.15% | -30% |
Sysco Corp. | /zigman2/quotes/205335941/composite SYY | Food Distributors | 3.13% | -31% |
V.F. Corp. | /zigman2/quotes/206706147/composite VFC | Apparel/Footwear | 3.11% | -37% |
Cincinnati Financial Corp. | /zigman2/quotes/208697223/composite CINF | Property/Casualty Insurance | 3.10% | -25% |
Aflac Inc. | /zigman2/quotes/208944541/composite AFL | Life/Health Insurance | 3.08% | -30% |
PepsiCo Inc. | /zigman2/quotes/208744353/composite PEP | Beverages: Non-Alcoholic | 3.00% | 1% |
Caterpillar Inc. | /zigman2/quotes/203434128/composite CAT | Trucks/Construction/Farm Machinery | 2.98% | -4% |
Emerson Electric Co. | /zigman2/quotes/200181610/composite EMR | Electrical Products | 2.95% | -9% |
General Dynamics Corp. | /zigman2/quotes/208560027/composite GD | Aerospace & Defense | 2.94% | -13% |
Kimberly-Clark Corp. | /zigman2/quotes/201766540/composite KMB | Household/Personal Care | 2.72% | 16% |
T. Rowe Price Group | /zigman2/quotes/203200152/composite TROW | Investment Managers | 2.67% | 12% |
Johnson & Johnson | /zigman2/quotes/201724570/composite JNJ | Pharmaceuticals: Major | 2.64% | 6% |
Automatic Data Processing Inc. | /zigman2/quotes/207661132/composite ADP | Data Processing Services | 2.64% | -18% |
Chubb Limited | /zigman2/quotes/209397502/composite CB | Property/Casualty Insurance | 2.56% | -21% |
McDonald's Corp. | /zigman2/quotes/203508018/composite MCD | Restaurants | 2.36% | 8% |
Medtronic PLC | /zigman2/quotes/206816578/composite MDT | Medical Specialties | 2.35% | -12% |
Illinois Tool Works Inc. | /zigman2/quotes/208031922/composite ITW | Industrial Machinery | 2.34% | 10% |
Procter & Gamble Co. | /zigman2/quotes/202894679/composite PG | Household/Personal Care | 2.30% | 12% |
Atmos Energy Corp. | /zigman2/quotes/204989507/composite ATO | Gas Distributors | 2.28% | -8% |
Colgate-Palmolive Co. | /zigman2/quotes/200774077/composite CL | Household/Personal Care | 2.24% | 16% |
Clorox Co. | /zigman2/quotes/206443229/composite CLX | Household/Personal Care | 1.96% | 50% |
A. O. Smith Corp. | /zigman2/quotes/208962119/composite AOS | Building Products | 1.96% | 4% |
Air Products and Chemicals Inc. | /zigman2/quotes/201523430/composite APD | Chemicals: Specialty | 1.87% | 23% |
PPG Industries Inc. | /zigman2/quotes/202418877/composite PPG | Industrial Specialties | 1.83% | -10% |
Dover Corp. | /zigman2/quotes/208444467/composite DOV | Oilfield Services/Equipment | 1.80% | -4% |
Target Corp. | /zigman2/quotes/207799045/composite TGT | Specialty Stores | 1.77% | 22% |
Hormel Foods Corp. | /zigman2/quotes/209170265/composite HRL | Food: Meat/Fish/Dairy | 1.77% | 19% |
Stanley Black & Decker Inc. | /zigman2/quotes/206369278/composite SWK | Tools & Hardware | 1.76% | -3% |
W.W. Grainger Inc. | /zigman2/quotes/200853098/composite GWW | Wholesale Distributors | 1.74% | 6% |
Albemarle Corp. | /zigman2/quotes/200578017/composite ALB | Chemicals: Specialty | 1.72% | 24% |
Pentair PLC | /zigman2/quotes/208874493/composite PNR | Miscellaneous Manufacturing | 1.65% | 2% |
Walmart Inc. | /zigman2/quotes/207374728/composite WMT | Food Retail | 1.64% | 12% |
Linde PLC | /zigman2/quotes/207314668/composite LIN | Chemicals: Specialty | 1.58% | 16% |
Abbott Laboratories | /zigman2/quotes/203724446/composite ABT | Medical Specialties | 1.41% | 19% |
Lowe's Cos. Inc. | /zigman2/quotes/205563664/composite LOW | Home Improvement Chains | 1.36% | 37% |
Otis Worldwide Corp. | /zigman2/quotes/217080227/composite OTIS | Building Products | 1.26% | N/A |
Becton, Dickinson and Co. | /zigman2/quotes/205527610/composite BDX | Medical Specialties | 1.23% | -5% |
McCormick & Co. Inc. | /zigman2/quotes/206739653/composite MKC | Food: Specialty/Candy | 1.22% | 21% |
Expeditors International of Washington Inc. | /zigman2/quotes/203110734/composite EXPD | Air Freight/Couriers | 1.21% | 11% |
Carrier Global Corp. | /zigman2/quotes/217080228/composite CARR | Industrial Machinery | 1.08% | N/A |
Brown-Forman Corp. Class B | /zigman2/quotes/209253695/composite BF.B | Beverages: Alcoholic | 0.97% | 7% |
Ecolab Inc. | /zigman2/quotes/202628210/composite ECL | Chemicals: Specialty | 0.96% | 1% |
Cintas Corp. | /zigman2/quotes/201631915/composite CTAS | Other Consumer Services | 0.80% | 19% |
Sherwin-Williams Co. | /zigman2/quotes/210069062/composite SHW | Industrial Specialties | 0.79% | 17% |
S&P Global Inc. | /zigman2/quotes/208931849/composite SPGI | Financial Publishing/Services | 0.74% | 33% |
Roper Technologies Inc. | /zigman2/quotes/204270015/composite ROP | Electronic Equipment/Instruments | 0.47% | 22% |
Source: FactSet |
You can click on the tickers for more about each company.
Despite no dividend cuts among the group this year, they are a possibility. For example, Exxon Mobil Corp. /zigman2/quotes/204455864/composite XOM -1.58% decided in April to leave its quarterly dividend (paid in May) unchanged, when it traditionally raises the dividend at that time each year. Unless the company makes a move later this year, it will no longer be an Aristocrat.
Dividend cuts for Exxon and Chevron Corp. /zigman2/quotes/205871374/composite CVX -1.15% have traditionally seemed “virtually unthinkable,” as Raymond James analyst Pavel Molchanov said in March. Sure enough, Exxon has shown a real commitment to maintaining the current payout by taking drastic measures to preserve cash during the extended period of low fuel demand. These measures include a suspension of matching 401(k) contributions for its employees.
So you need to do your own research before considering a Dividend Aristocrat, or any other company, for investment.
Dividend cutters
Here are all 63 companies among the S&P 500 that have suspended or lowered their dividend payments this year. This list is sorted by ascending total returns. Current dividend yields are included:
Company | Ticker | Total return - 2020 | Dividend yield |
Carnival Corp. | /zigman2/quotes/202325446/composite CCL | -71% | 0.00% |
Occidental Petroleum Corp. | /zigman2/quotes/207018272/composite OXY | -66% | 0.30% |
Coty Inc. Class A | /zigman2/quotes/208645074/composite COTY | -66% | 0.00% |
TechnipFMC PLC | /zigman2/quotes/207530935/composite FTI | -64% | 1.74% |
Nordstrom Inc. | /zigman2/quotes/203902116/composite JWN | -64% | 0.00% |
Kohl's Corp. | /zigman2/quotes/210414114/composite KSS | -61% | 0.00% |
Macy's Inc. | /zigman2/quotes/201854387/composite M | -61% | 0.00% |
Marathon Oil Corp. | /zigman2/quotes/205031829/composite MRO | -61% | 0.00% |
Alliance Data Systems Corp. | -61% | 1.94% | |
Helmerich & Payne Inc. | /zigman2/quotes/209685666/composite HP | -60% | 5.92% |
Noble Energy Inc. | -59% | 0.80% | |
American Airlines Group Inc. | /zigman2/quotes/209207041/composite AAL | -57% | 0.00% |
Simon Property Group Inc. | /zigman2/quotes/209746667/composite SPG | -55% | 8.06% |
Wells Fargo & Co. | /zigman2/quotes/203790192/composite WFC | -55% | 1.69% |
Royal Caribbean Group | /zigman2/quotes/208854639/composite RCL | -53% | 0.00% |
Delta Air Lines Inc. | /zigman2/quotes/200327741/composite DAL | -53% | 0.00% |
Schlumberger NV | /zigman2/quotes/201012972/composite SLB | -53% | 2.69% |
National Oilwell Varco Inc. | /zigman2/quotes/208758290/composite NOV | -53% | 0.00% |
PVH Corp. | /zigman2/quotes/208313660/composite PVH | -52% | 0.00% |
DXC Technology Co. | /zigman2/quotes/200279350/composite DXC | -50% | 0.00% |
Boeing Co. | /zigman2/quotes/208579720/composite BA | -48% | 0.00% |
Alaska Air Group Inc. | /zigman2/quotes/200972303/composite ALK | -47% | 0.00% |
Western Digital Corp. | /zigman2/quotes/204213617/composite WDC | -46% | 0.00% |
Tapestry Inc. | /zigman2/quotes/207417762/composite TPR | -45% | 0.00% |
Vornado Realty Trust | /zigman2/quotes/207195881/composite VNO | -44% | 5.98% |
Apache Corp. | /zigman2/quotes/200648444/composite APA | -44% | 0.70% |
Kimco Realty Corp. | /zigman2/quotes/202836571/composite KIM | -43% | 0.00% |
Ralph Lauren Corp. Class A | /zigman2/quotes/207257694/composite RL | -42% | 0.00% |
Host Hotels & Resorts Inc. | /zigman2/quotes/201760234/composite HST | -42% | 0.00% |
Invesco Ltd. | /zigman2/quotes/200294387/composite IVZ | -41% | 6.11% |
Wynn Resorts Ltd. | /zigman2/quotes/208845907/composite WYNN | -40% | 0.00% |
Capital One Financial Corp. | /zigman2/quotes/204480509/composite COF | -37% | 0.63% |
Marriott International Inc. Class A | /zigman2/quotes/200170042/composite MAR | -37% | 0.00% |
MGM Resorts International | /zigman2/quotes/209932643/composite MGM | -36% | 0.05% |
Southwest Airlines Co. | /zigman2/quotes/201071949/composite LUV | -35% | 0.00% |
Halliburton Co. | /zigman2/quotes/210488727/composite HAL | -35% | 1.14% |
WestRock Co. | /zigman2/quotes/202346656/composite WRK | -32% | 2.81% |
Molson Coors Beverage Co. Class B | /zigman2/quotes/205165133/composite TAP | -31% | 0.00% |
Welltower Inc. | /zigman2/quotes/200485564/composite WELL | -29% | 4.35% |
Las Vegas Sands Corp. | /zigman2/quotes/208792014/composite LVS | -28% | 0.00% |
Ford Motor Co. | /zigman2/quotes/208911460/composite F | -27% | 0.00% |
CenterPoint Energy Inc. | /zigman2/quotes/206368471/composite CNP | -25% | 3.03% |
Ventas Inc. | /zigman2/quotes/206376229/composite VTR | -25% | 4.32% |
Ross Stores Inc. | /zigman2/quotes/202639496/composite ROST | -25% | 0.00% |
Harley-Davidson Inc. | /zigman2/quotes/207565294/composite HOG | -25% | 0.29% |
Universal Health Services Inc. Class B | /zigman2/quotes/208539347/composite UHS | -24% | 0.00% |
Darden Restaurants Inc. | /zigman2/quotes/200092615/composite DRI | -24% | 0.00% |
Hilton Worldwide Holdings Inc. | /zigman2/quotes/202780307/composite HLT | -21% | 0.00% |
General Motors Co. | /zigman2/quotes/205226835/composite GM | -21% | 0.00% |
Gap Inc. | /zigman2/quotes/206554267/composite GPS | -17% | 0.00% |
Expedia Group Inc. | /zigman2/quotes/202291990/composite EXPE | -15% | 0.00% |
TJX Cos. | /zigman2/quotes/203136811/composite TJX | -15% | 0.00% |
CME Group Inc. Class A | /zigman2/quotes/210449693/composite CME | -13% | 1.96% |
Walt Disney Co. | /zigman2/quotes/203410047/composite DIS | -12% | 0.00% |
Aptiv PLC | /zigman2/quotes/204162392/composite APTV | -11% | 0.00% |
HCA Healthcare Inc. | /zigman2/quotes/205934574/composite HCA | -10% | 0.00% |
Weyerhaeuser Co. | /zigman2/quotes/200438029/composite WY | -3% | 0.00% |
Estee Lauder Cos. Inc. Class A | /zigman2/quotes/200740220/composite EL | 0% | 0.93% |
Freeport-McMoRan Inc. | /zigman2/quotes/200215692/composite FCX | 10% | 0.00% |
Maxim Integrated Products Inc. | 13% | 0.00% | |
Progressive Corp. | /zigman2/quotes/202480455/composite PGR | 31% | 0.44% |
Rollins Inc. | /zigman2/quotes/206314900/composite ROL | 67% | 0.58% |
L Brands Inc. | 68% | 0.00% | |
Source: FactSet |






























































































































































































































































































































































































