Dividend Growth Continues as 3 Big Stocks Raise Payouts

Key Points

• Three high-profile stocks across different sectors are increasing their dividend payouts.
• Texas Instruments' yield of more than 3% is among the highest in tech and semiconductors.
• With a new CEO ready to take the helm, T-Mobile is boosting its dividend in a huge way.

Texas Instruments NASDAQ: TXN, T-Mobile US NASDAQ: TMUS, and Target NYSE: TGT are three big-name firms in the United States that are giving income investors something to cheer about. All three recently announced dividend increases, helping boost the yield shareholders can expect to receive. 

Despite relatively small boosts from Texas Instruments and Target, these two stocks are still some of the highest-yielding in the market. Meanwhile, T-Mobile is lifting its moderately above-average yield in resounding fashion. Let's dive in below to see how much income these names can now offer investors.

TXN Boosts Dividend 4%, Maintains One of the Top Yields in Tech

First up is one of the biggest semiconductor companies in the world, Texas Instruments. The firm is approximately the eighth-largest chip stock in the world, with a market capitalization of $168 billion. On Sept. 19, TXN announced a new $1.42 per share quarterly dividend, a 4% increase from its previous payout. The dividend will be payable on Nov. 12 to stockholders of record on Oct. 31.

Although the increase percentage is relatively small, Texas Instruments continues to hold one of the highest dividend yields in the tech sector. The firm’s indicated yield now moves to just under 3.1%. This gives the company the third-highest yield among large-cap U.S. tech stocks and the second-largest among U.S. large-cap chip stocks. Notably, Texas Instruments has now announced a dividend increase for 22 years in a row.

Despite being one of the largest and most recognizable semiconductor stocks, Texas Instruments has greatly underperformed its industry over the past few years. The stock’s five-year total return of 54% falls way short of the 185% total return of the iShares Semiconductor ETF NASDAQ: SOXX.

T-Mobile Announces Big Dividend Increase Amid CEO Shift

Next up is Big Three telecom stock T-Mobile. On Sept. 18, the company announced a very substantial 16% increase to its quarterly dividend. The new $1.02 per share dividend is payable on Dec. 11 to stockholders of record as of the close of business on Nov. 26, 2025. This moves T-Mobile’s indicated dividend yield to a solid 1.7%, significantly exceeding the approximately 1.1% yield of the S&P 500 Index.

This dividend increase came just days before T-Mobile announced a change in the company’s top leadership position: Chief Executive Officer (CEO). On Nov. 1, Srini Gopalan will replace current CEO Mike Sievert. Sievert, who first became CEO in May 2020, oversaw an incredible rally in T-Mobile’s share price.

Overall, shares have provided a total return of more than 180% since Sievert took over, adding over $150 billion in market capitalization. T-Mobile says this makes Sievert “the most value-creating CEO in global telecom history," leaving Gopalan a massive pair of shoes to fill. The dividend increase provides a level of confidence that T-Mobile can continue performing well despite the shake-up.

Target: 5.2% Yielder Looks to Turn Performance Around With Fresh Blood in 2026

Lastly, consumer staples giant Target is also sweetening the pot for income investors. On Sept. 17, the $40 billion company declared a new quarterly dividend of $1.14. This is only a 1.8% increase over Target’s previous payment of $1.12 per share; however, the stock's yield is still eye-catching.

Now, Target’s indicated dividend yield stands at approximately 5.2%, clearly positioning it as a high-yield stock. Among U.S. large-cap consumer staples stocks, Target’s yield ranks in the top 10 highest. It is also in the top 25, highest of all stocks in the S&P 500 Index.

Target’s latest dividend comes after the company also recently appointed a new CEO. Michael Fiddelke will succeed Brian Cornell on Feb. 1, 2026. However, unlike T-Mobile, the change doesn’t come amid a fantastic showing from the company’s previous leader. Since Cornell became CEO on Aug. 12, 2014, Target has achieved a total return of just 109%. That comes in around 30% below the S&P 500 consumer staples sector, and several magnitudes below the overall index. Target is hoping that Fiddelke can turn the tide going forward.

Capital Returns Remain a Priority for These Stocks

Overall, these three stocks are showing their commitment to returning capital to shareholders, regardless of how well they are currently performing. T-Mobile’s increase stands out in particular, adding a lot of juice to its dividend. This is a good way to start off Gopalan’s tenure, signaling strength from the company despite shares returning less than 9% so far in 2025.