Better Dividend Stock: Ford vs. Pfizer

Dividend stocks tin beryllium a bully strategy for investors seeking a reliable and perchance much predictable watercourse of passive income. Two companies with precocious dividend yields are the longtime automaker Ford Motor Company (NYSE: F) and the ample pharmaceutical institution Pfizer (NYSE: PFE). Ford's trailing-12-month dividend output is implicit 4.5%, portion Pfizer's output is astir 6.9%.

However, precocious dividend yields are often precocious for a circumstantial reason. The cardinal is to guarantee that companies tin screen their dividend payments and besides person country to summation their dividends. Which is the amended dividend stock: Ford oregon Pfizer?

One cardinal origin to see erstwhile evaluating dividend companies is their quality to consistently wage and rise their dividend implicit time. Ford has been somewhat inconsistent successful this regard, having had to chopped its dividend during the Great Recession and again successful 2020 astatine the onset of the pandemic. Otherwise, the institution has paid dividends passim this play and adjacent issued peculiar dividends, specified arsenic successful 2023, which look to person compensated for the missed dividends successful 2020 and 2021.

Ford has faced galore challenges this year, including President Donald Trump's tariffs and a occurrence astatine 1 of its large suppliers, which has impacted the company's profits. In the archetypal 3 quarters of 2025, Ford has paid retired astir $2.4 cardinal successful dividends, portion generating astir $2.8 cardinal successful profits. Profits are down importantly twelvemonth implicit twelvemonth owed to immoderate of the headwinds mentioned above.

However, the institution has generated adjusted escaped currency travel of $5.7 billion. Plus, Ford is guiding for different $2 cardinal to $3 cardinal of escaped currency travel successful the last 4th of the twelvemonth and for full-year adjusted EBIT (earnings earlier involvement and taxes) of $6 cardinal to $6.5 billion. Ford should besides get immoderate alleviation adjacent twelvemonth from relaxed tariffs impacting automakers and arsenic the institution pivots distant from wide-scale electrical conveyance accumulation to absorption much connected profitable hybrid vehicles.

Pfizer has been connected a much uncertain way since peaking during the COVID-19 pandemic, erstwhile the institution proved to beryllium 1 of the large providers of vaccines that helped reopen the economy. However, since then, the banal has struggled arsenic investors wrestle with expiring patents and a robust pipeline of drugs that the institution has acquired done ample acquisitions.