Normal view

Received before yesterday

The Smartest Dividend Stocks to Buy With $500 Right Now

Key Points

  • CVS is up big so far in 2025 after a tough stretch over the past few years.

  • You may not have heard of it, but VeriSign plays a critical role in the internet.

  • Beverage and snack giant PepsiCo is on the move, up nearly 10% in the past month.

When you're building a diversified portfolio for long-term wealth, it sometimes can be easy to ignore dividend stocks in favor of high-powered growth names in the tech sector. After all, companies like Nvidia, Palantir Technologies, and Microsoft are some of the biggest players out there, and investors flock to them to lock in market-beating gains.

I love those stocks too. But I also know that it's important to have a well-rounded portfolio which includes value stocks that represent several different sectors. These value stocks provide stable earnings, solid returns, and often a sustainable dividend that pays you back for holding them.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »

I get a lot of my value stocks by holding exchange-traded funds (ETFs) because they provide instant diversification. But if you're looking to add some individual dividend stocks without breaking the bank, I'm suggesting CVS Health (NYSE: CVS), VeriSign (NASDAQ: VRSN), and PepsiCo (NASDAQ: PEP).

And you can pick up shares of each for less than $500 -- and still have some money left over.

A photo illustratoin of dice stacked on coins. The dice read yield.

Image source: Getty Images.

1. CVS Health

CVS Health is one of the biggest pharmacy and retail companies in the U.S. It operates more than 9,000 pharmacies, as well as more than 1,000 walk-in clinics. The stock is on a roll this year, up 33% in 2025, which is a massive turnaround following a disappointing 2024.

In addition, CVS is a health insurer through its 2018 purchase of Aetna, giving the company another valuable revenue stream. Its healthcare segment, which includes Aetna, saw revenue of $34.8 billion in the first quarter, up from $32.2 billion a year ago.

The company's health services segment, which includes its pharmacy benefits manager Caremark, also saw a strong quarter with revenue of $43.5 billion versus $40.3 billion the previous year. The third segment, pharmacy, saw revenue increase from $28.7 billion in Q1 2024 to $31.9 billion in Q1 2025.

CVS projects full-year guidance to include revenue of at least $382.6 billion and adjusted earnings per share of $6 to $6.20. The company offers a strong dividend yield of 4.5%, making it an appealing healthcare dividend stock to hold for the long term.

2. VeriSign

VeriSign is a tech company, but you may not have heard of it. However, the company plays an indispensable role in how the internet works, which makes it a great long-term play for income investors looking for a stable stock.

This company provides domain name registry services and internet infrastructure. In short, it is the exclusive registrar for websites that include the .com and .net suffix, and it provides processing services for many other domains as well.

VeriSign says it handles 428.1 billion domain name system queries each day. That gives it a massive competitive moat -- nobody is going to come around and take the business, so you can be assured that the company's going to be around and profitable for a long time. Revenue in the second quarter was $409.9 million, up nearly 6% from a year ago. Earnings were $2.21 per share, up from $2.01 per share last year.

The stock doesn't offer the biggest dividend -- currently, it's only about 1%. But considering the stability this company has, plus its market-beating 34% gain in 2025, I'll take it all day as a solid long-term dividend stock.

3. PepsiCo

PepsiCo is on this list because of its solid year-to-date performance, its dividend, and its role in the market. The company is a consumer staples stock, as it makes its namesake Pepsi soda, as well as Frito-Lay snacks, Quaker oatmeal, and Gatorade sports drinks, among other products. I'll also look for a solid consumer staples stock when I'm looking for stocks to hold for a long period because they tend to be more recession-proof than a consumer discretionary stock.

Currently, PepsiCo is off a bit, dropping 5% in 2025 although it's gained nearly 10% in the last month as the company unveiled a plan to cut costs and promote healthier snack options. Its revenue in the second quarter was a solid $22.5 billion, down from $22.7 billion a year ago. But its operating profit boomed to $4.04 billion, up from $1.78 billion, and EPS of $2.23 was much better than the $0.92 per share the company earned in the second quarter of 2024.

Pepsi may not be beating the market like CVS or VeriSign, but it's a stock that is showing signs of life. Coupled with a strong 4% dividend yield, PepsiCo is a very appealing dividend stock in the consumer staples sector.

Should you invest $1,000 in CVS Health right now?

Before you buy stock in CVS Health, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and CVS Health wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $625,254!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,090,257!*

Now, it’s worth noting Stock Advisor’s total average return is 1,036% — a market-crushing outperformance compared to 181% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of July 29, 2025

Patrick Sanders has positions in Nvidia and Palantir Technologies. The Motley Fool has positions in and recommends Microsoft, Nvidia, Palantir Technologies, and VeriSign. The Motley Fool recommends CVS Health and recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.

Are We in a Quantum Computing Bubble?

Key Points

  • Quantum computing stocks have been on a tear this year, despite the technology's nascent scale and still speculative nature.

  • Unlike the broader artificial intelligence (AI) theme, many popular quantum computing stocks are small companies with limited traction.

  • While it can be tempting to follow the momentum, several quantum computing stocks boast valuation multiples that echo those seen during prior stock market bubbles.

This year has been tough for investors, particularly those who flock toward growth stocks. Just about every major industry has been impacted in some form or fashion by President Donald Trump's new tariff policies.

While the broader implications of these import taxes are still unfolding, one sector that has faced abnormally large headwinds is technology. For the first time in nearly three years, investing in the artificial intelligence (AI) market hasn't necessarily resulted in outsized gains.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More »

Nevertheless, one pocket of the AI realm that has managed to circumvent the panic-selling this year is quantum computing. As of this writing (July 17), the Defiance Quantum ETF has gained 17% so far this year -- roughly double the returns seen in the S&P 500 and Nasdaq Composite.

With quantum computing stocks trouncing the broader market, now may be an appropriate time to assess valuations in the sector and compare them to prior periods of heightened enthusiasm.

A person snapping bubble wrap.

Image source: Getty Images.

What is a stock market bubble, and what are some examples?

One of the most basic mistakes investors make is assessing a company's valuation based on its stock price. In other words, if the stock price is low, an investor might mistakenly view the company as "cheap" (and vice versa).

Smart investors understand that there are far more parameters than the share price that help determine a company's valuation. Underlying financial metrics, such as revenue, gross margins, profitability, free cash flow, cash, and debt, should all play a factor in assessing the health of a business.

From there, more sophisticated analysis requires investors to benchmark these figures and their growth rates against a set of peers to get a better sense of how the business in question compares to the broader competitive landscape.

Many investors do not take the time to perform the due diligence exercise above and instead choose to follow broader momentum. Unfortunately, this can lead to abnormally inflated stock prices -- those that are incongruent with the underlying fundamentals of the business.

Generally speaking, reality begins to set in and these companies are unable to sustain their overstretched valuations, eventually leading to harsh, dramatic sell-offs. This phenomenon is known as a stock market bubble.

In the charts below, I've illustrated some valuation trends across two notable stock market bubbles.

AMZN PS Ratio Chart

AMZN PS Ratio data by YCharts. PS Ratio = price-to-sales ratio.

The chart above illustrates the price-to-sales (P/S) ratios for a number of high-flying internet stocks during the dot-com bubble of the late 1990s. As the trends above make clear, each of the companies in the peer set above trades at much more normalized valuation multiples today when compared to their peaks during the internet boom.

ZM PS Ratio Chart

ZM PS Ratio data by YCharts. PS Ratio = price-to-sales ratio.

Investors witnessed a similar theme in overstretched valuations during the peak days of the COVID-19 pandemic. Companies such as Zoom Communications, Wayfair, and Peloton witnessed abnormal demand for their respective product offerings as remote work became the norm.

As the trends seen above demonstrate, however, these growth tailwinds were not permanent. Today, none of these COVID stocks are seen as compelling growth opportunities, and their cratering valuations are a sobering reminder of the aftermath of bubbles bursting.

How do quantum computing stocks compare to the valuations above?

Over the last year, IonQ (NYSE: IONQ), Rigetti Computing (NASDAQ: RGTI), D-Wave Quantum (NYSE: QBTS), and Quantum Computing (NASDAQ: QUBT) have emerged as popular names fueling the quantum computing movement.

IONQ PS Ratio Chart

IONQ PS Ratio data by YCharts. PS Ratio = price-to-sales ratio.

With a P/S multiple of over 5,700, the tiny Quantum Computing business is the clear outlier in the quantum computing cohort illustrated above. Even so, Rigetti, IonQ, and D-Wave each boast P/S ratios that are either considerably higher or in line with the darlings of the dot-com and COVID bubbles.

Are we in a quantum computing stock bubble?

The quantum computing stocks referenced above are highly speculative -- arguably even more so than the highfliers during the internet era. Unlike then, today's technology behemoths, such as Amazon, Microsoft, eBay, and Cisco, have evolved into sophisticated platform businesses with diversified ecosystems.

This provides them with the scale and financial flexibility to explore emerging fields such as quantum computing. Smaller players, such as IonQ, Rigetti, D-Wave, and Quantum Computing, currently face intense competition from big tech -- something the dot-com businesses did not.

Given the valuation analyses explored above, many popular quantum computing stocks are clearly trading at abnormally high and historically unsustainable valuation levels. For these reasons, I think companies such as IonQ, Rigetti, D-Wave, and Quantum Computing have entered bubble territory.

With that said, many big tech companies in the "Magnificent Seven" are exploring quantum applications as well. Many of these companies trade for much more reasonable valuations. While I am not convinced the broader quantum computing opportunity is necessarily in a bubble, I believe investors need to be cautious and thoughtful when selecting which quantum computing stocks to invest in.

And the best choices will rarely be high-flying specialists with big dreams and small revenue streams.

Should you invest $1,000 in IonQ right now?

Before you buy stock in IonQ, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and IonQ wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $652,133!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,056,790!*

Now, it’s worth noting Stock Advisor’s total average return is 1,048% — a market-crushing outperformance compared to 180% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of July 15, 2025

John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Adam Spatacco has positions in Amazon and Microsoft. The Motley Fool has positions in and recommends Amazon, Cisco Systems, Microsoft, Peloton Interactive, VeriSign, Zoom Communications, and eBay. The Motley Fool recommends Wayfair and recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.

3 Warren Buffett Stocks to Buy Hand Over Fist in July

Key Points

  • BYD isn't a typical Buffett stock, but has qualities that fit his philosophy.

  • VeriSign makes the internet function as we know it today.

  • Buffett loves Coca-Cola for the soda as well as as the company.

Warren Buffett is one of the most legendary figures on Wall Street. The longtime CEO of Berkshire Hathaway turned the company into a dominant conglomerate that has its hands in everything, including real estate, insurance, energy, consumer goods, and healthcare.

Under Buffett's leadership, Berkshire's portfolio gained 5,502,284% from 1965 to the end of 2024. By way of comparison, the S&P 500 gained 39,054%, including dividends, in that same period. Now 94 and planning a well-deserved retirement at the end of the year, Buffett undoubtedly belongs on the Mount Rushmore of investors.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More »

Warren Buffett.

Image source: The Motley Fool.

Buffett's philosophy involves buying quality businesses that have distinct competitive advantages. He invests for the long term, often holding stocks for decades, and tends to prefer companies with strong management, reliable earnings, and a consistent dividend.

Now that the calendar has turned to July and we're halfway through the year, this is a good time to take a cue from the Oracle of Omaha himself and choose stocks that are held in Buffett's portfolio. If you're looking for a new investment, you can't go wrong with these three Warren Buffett stocks: BYD (OTC: BYDDY), VeriSign (NASDAQ: VRSN), and Coca-Cola (NYSE: KO).

BYD: An outlier that fits the Buffett mold

On the surface, BYD doesn't look like a Buffett stock. The Chinese company, which got its start in 1995 as a rechargeable battery maker, now is one of the world's biggest manufacturers of electric vehicles (EVs). It also works in rail transit, new energy, electronics, and power storage. Berkshire's stake in BYD is more than 162 million shares, valued at $2.5 billion.

Berkshire actually got involved with BYD because of the influence of Charlie Munger, the longtime Buffett confidant and late Berkshire Hathaway vice chairman. But the company fits with Berkshire's portfolio because of the key position it has in the Chinese EV market. BYD is by far the biggest supplier of EVs in China, delivering 3.52 million vehicles in 2024. The company in second place, Wuling, had just 673,279 deliveries.

Earnings for the first quarter showed revenue of $23.77 billion, up 36% from a year ago. Profits totaled $1.27 billion, up 100% from the same quarter a year ago.

VeriSign makes the internet functional

VeriSign is one of those businesses that you may not know a lot about, but as it turns out, you use its products every day. The Virginia-based company provides domain name registry services and internet infrastructure -- in short, it's the exclusive registrar for websites that end in .com or .net.

The company says it provides support for 169.8 million domain names that end with .com or .net, and processes more than 428.1 billion domain name system (DNS) queries each day. The scope of its work, and its massive competitive moat are exactly the qualities that Buffett looks for when choosing a stock.

First-quarter financials included revenue of $402 million, up 4.7% from a year ago. Net income was $199 million and $2.10 per year, compared to $194 million and $1.92 per share in the first quarter of 2024. Buffett feels strongly enough about VeriSign that Berkshire owns 14.3% of the company, holding nearly 13.3 million shares.

Coca-Cola is a longtime Buffett favorite

Buffett is passionate about Coca-Cola, both as a beverage and as a company. He famously downs five cans of Coca-Cola per day, and once told Fortune magazine that he gets 25% of his daily calories from the carbonated drink.

But Coca-Cola does a lot more than its namesake soda. As people started looking for healthier options, Coca-Cola expanded its offerings to include bottled water, sports drinks, tea, and juices. It's even started a line of alcoholic beverages.

Earnings for the first quarter showed revenue down 2%, to $11.1 billion. But on the plus side, the company managed to improve its operating margin to 32.9% from just 18.9% in the first quarter of 2024. And earnings per share grew 5%, to $0.77 per share.

Berkshire owns 400 million shares of Coca-Cola stock, representing a 9.3% share. Its stake is worth a whopping $28.45 billion.

Should you invest $1,000 in BYD Company right now?

Before you buy stock in BYD Company, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and BYD Company wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $699,558!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $976,677!*

Now, it’s worth noting Stock Advisor’s total average return is 1,060% — a market-crushing outperformance compared to 180% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of June 30, 2025

Patrick Sanders has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Berkshire Hathaway and VeriSign. The Motley Fool recommends BYD Company. The Motley Fool has a disclosure policy.

Why SharkNinja Stock Is Rocketing Higher This Week

Key Points

  • SharkNinja received a lofty price target from Jefferies on Monday.

  • Despite rising 150% since its market debut, the company trades at only 21 times forward earnings.

  • "Manically consumer-focused," SharkNinja is quietly becoming a powerhouse in the consumer goods sector.

Shares of quickly growing consumer goods stock SharkNinja (NYSE: SN) rose 11% as of market close Thursday, according to data provided by S&P Global Market Intelligence. The product design and technology company, famous for its consumer goods products seen on numerous infomercials and social media clips, received a $175 price target from Jefferies on Monday, which sent its stock higher.

Compared to its current stock price of $107, this price target implies upside north of 60%. Just one week removed from being added to Time magazine's 2025 list of the 100 Most Influential Companies, this upgrade added further optimism to SharkNinja's stock, which is now up 150% since its initial public offering in 2023.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More »

SharkNinja: More than the infomercials you've seen

Anchored by its two billion-dollar brands (Shark and Ninja), SharkNinja is a product design and technology innovation hub, home to over 5,200 patents that serve its consumer goods customers. The company, describing itself as "maniacally consumer-focused," operates in (and disrupts) 36 subcategories (such as robot vacuums, air purifiers, blenders, or air fryers) by iterating products to the nth degree to reach unparalleled customer satisfaction.

Four upward-pointing arrows of different colors and sizes line up together against a black backdrop.

Image source: Getty Images.

Thanks to its relentless pursuit of customer satisfaction and burgeoning popularity, SharkNinja commands a premium price for its "aspirational brands," slightly ahead of more commoditized peers.

After growing sales by 24% annually since 2018, management has conservatively guided for 12% revenue growth in 2025. More importantly, however, management expects earnings per share of $4.95 for the year, which leaves SharkNinja shares trading at a reasonable 21 times forward earnings.

With the company entering 15 new subcategories over the last three years -- while launching roughly 25 new products annually -- SharkNinja's long-standing innovation prowess looks poised to power the stock to new highs.

Should you invest $1,000 in SharkNinja right now?

Before you buy stock in SharkNinja, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and SharkNinja wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $692,914!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $963,866!*

Now, it’s worth noting Stock Advisor’s total average return is 1,049% — a market-crushing outperformance compared to 179% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of June 30, 2025

Josh Kohn-Lindquist has no position in any of the stocks mentioned. The Motley Fool recommends SharkNinja. The Motley Fool has a disclosure policy.

Why VeriSign Stock Soared Friday

VeriSign (NASDAQ: VRSN) shares took off Friday morning after the company released first-quarter earnings and declared a dividend for the first time. Its solid results also allowed the company to raise revenue guidance for the full year.

Investors jumped into what has been one of the big stock market winners so far this year. Shares jumped 9.3% higher as of 11:35 a.m. ET, giving the stock a gain of 33% year to date.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More »

VeriSign is a big Warren Buffett holding

The initiation of a quarterly cash dividend surely made shareholders happy, too. That group of investors includes Warren Buffett's Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B).

VeriSign isn't what most investors would picture as a Buffett holding. The company manages internet domain names and provides critical internet infrastructure for managing and maintaining security. Buffett typically steers clear of technology stocks, but Berkshire has owned VeriSign for more than a decade, and it added to its VeriSign holding in the fourth quarter. That holding was valued at about $2.75 billion at the end of Q4, putting VeriSign just out of Berkshire's 10 largest holdings.

Shareholder-friendly moves

Buffett likely continues to be happy with VeriSign's business. The company saw both revenue and operating income grow almost 5% year over year. It raised 2025's full-year guidance for both of those metrics as well.

VeriSign also declared a cash dividend of $0.77 per share, giving the stock a forward dividend yield of about 1.1%. It also repurchased 1 million shares at an average price of $230 per share. Those are signs of a company with strong free cash flow. The share repurchases should continue, as VeriSign still had almost $800 million authorized for that purpose as of the end of the quarter.

This is a company that has been delivering consistent financial results with strong cash flow. And note that it should feel minimal impacts from the current tariff uncertainty. It's not immune to currency fluctuations and economic slowdowns, but it looks to be a good stock to own right now.

Should you invest $1,000 in VeriSign right now?

Before you buy stock in VeriSign, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and VeriSign wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $591,533!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $652,319!*

Now, it’s worth noting Stock Advisor’s total average return is 859% — a market-crushing outperformance compared to 158% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of April 21, 2025

Howard Smith has positions in Berkshire Hathaway. The Motley Fool has positions in and recommends Berkshire Hathaway and VeriSign. The Motley Fool has a disclosure policy.

3 Brilliant Growth Stocks to Buy Now and Hold for the Long Term

With the wide variety of stocks in the market, it can be tough to narrow your focus to those that possess long-term potential. That's exactly what you need to do, though, to help to grow your investment portfolio in the long run. Buying and owning solid growth stocks with strong business models and catalysts can help you to achieve your investment objectives.

Here are three solid businesses that you should feel comfortable buying and owning for the long term.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More »

A man reading a newspaper while seated on the floor.

Image source: Getty Images.

SharkNinja

SharkNinja (NYSE: SN) is a global product design and technology company that creates "innovative lifestyle solutions" for its consumers. The company boasts more than 5,200 patents and sells its products in 35 markets under 36 subcategories. SharkNinja's revenue, net income, and free-cash-flow growth has been impressive over the past several years.

Metric 2022 2023 2024
Revenue $3.717 billion $4.254 billion $5.529 billion
Operating income $321.374 million $373.564 million $644.162 million
Net income $232.354 million $167.078 million $438.705 million
Free cash flow $110.530 million $148.800 million $294.439 million

Data source: SharkNinja.

The company expects net sales for 2025 to increase by 10% to 12% year over year, and for adjusted net income per share to increase by 12% to 15% year over year. Management credits SharkNinja's success to four key factors: disruptive innovation, a global supply chain, 360-degree marketing, and omni-channel distribution. By harnessing these four aspects along with a team of more than 1,000 cross-functional engineers and designers, SharkNinja continues to push boundaries with the release of 25 new products last year.

Management believes SharkNinja can continue to deliver long-term growth with its three-pillar strategy: grow market share in existing categories, enter adjacent and new sub-categories, and international expansion. Management is confident it can achieve this as it engages more retailers and releases more innovative products. Last year, the company introduced new subcategories, including coolers, frozen drink makers, and skin care, to capture a broader range of customers. By doing so, SharkNinja believes that it can grow its total addressable market and widen its competitive moat.

For 2025, the business plans to focus on growing its gross margin while remaining customer-centric, while also pursuing a competitive edge by building up a team of skilled employees.

The New York Times

The New York Times (NYSE: NYT) is a diversified media company offering quality, independent journalism to more than 11 million subscribers globally. The company successfully increased its subscriber base over time, resulting in consistently rising revenue, net income and free cash flows.

Metric 2022 2023 2024
Revenue $2.308 billion $2.426 billion $2.586 billion
Operating income $201.967 million $276.272 million $351.096 million
Net income $173.905 million $232.387 million $293.825 million
Free cash flow $113.726 million $337.949 million $381.339 million

Data source: The New York Times.

In the latest quarter ending Dec. 31, 2024, The New York Times added 350,000 net digital-only subscribers, pushing its membership base past 11.4 million. The average revenue per user (ARPU) also rose 4.4% year over year to $9.65 as the company implemented higher prices for both its traditional subscribers and "bundled" subscribers, which get access to the company's digital properties such as Wirecutter, content on the New York Times website, mobile applications, and other products. The board also approved a $350 million share repurchase plan and announced a 5% year-over-year increase in its quarterly dividend per share to $0.18.

The New York Times expects this positive momentum to continue in the first quarter of 2025. It expects its digital-only subscription revenue to post a year-over-year increase of between 14% and 17%. Total subscription revenue is projected to rise by 7% to 10% year over year.

Last year saw The New York Times ranked at the top of news channels once again in time spent per visitor. Every product within the company's portfolio has evolved, along with a new Games app and expanded sports coverage.

Management has ambitious plans to deliver more value to readers and continue to grow its digital subscriber base. The company also lined up a slate of new content, shows, features, and games that will be released this year. This, along with plans to beef up its multimedia offerings and package with its award-winning news content, should result in healthy subscriber additions and also higher ARPU, with The New York Times continuing to grow its net income and dividends for the foreseeable future.

Roper Technologies

Roper Technologies (NASDAQ: ROP) designs and develops software and engineered solutions for diverse industries such as healthcare, food, water, and construction. The company demonstrated consistent revenue, net income, and free-cash-flow growth over the years.

Metric 2022 2023 2024
Revenue $5.372 billion $6.178 billion $7.039 billion
Operating income $1.525 billion $1.745 billion $1.997 billion
Net income $985.6 million $1.368 billion $1.549 billion
Free cash flow $664.3 million $1.927 billion $2.282 billion

Data source: Roper Technologies. Note: Net income excludes earnings from discontinued operations.

This steadily rising free cash flow enabled Roper Technologies to once again raise its dividend, making it an impressive 32 consecutive years of dividend increases. The latest quarterly dividend of $0.825 represents a 10% year-over-year increase.

For 2025, the company expects to grow revenue by 10% year over year, of which 6% to 7% will represent organic growth. Management sees higher demand for mission-critical solutions and is confident it can expand its recurring revenue base. This year should also see meaningful contributions from the acquisitions that Roper Technologies conducted in 2024. Looking ahead, the company has $5 billion on standby for acquisitions and has identified a large pipeline of attractive acquisition targets.

In March, Roper Technologies acquired CentralReach, a provider of cloud-native software that enables the administration of applied behavior analysis therapy, for around $1.65 billion. Management expects this acquisition to deliver 20%-plus organic revenue and earnings before interest, taxes, depreciation, and amortization (EBITDA) growth.

Management has outlined long-term goals that include generating double-digit revenue growth through disciplined capital deployment, and compound its free cash flow by a mid-teens percentage. With the business delivering on these objectives, investors can be confident that it will continue to do well.

Should you invest $1,000 in The New York Times Co. right now?

Before you buy stock in The New York Times Co., consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and The New York Times Co. wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $532,771!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $593,970!*

Now, it’s worth noting Stock Advisor’s total average return is 781% — a market-crushing outperformance compared to 149% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of April 21, 2025

Royston Yang has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends The New York Times Co. The Motley Fool recommends Roper Technologies and SharkNinja. The Motley Fool has a disclosure policy.

❌