A large global drugmaker focused on immunology, brain health, cancer care and aesthetic treatments has earned a spot in our safe-dividend lineup. Its shares carry a beta of just 0.19, which means monthly price moves have shown little connection to the broader stock market over the past 5 years. For retirees who depend on steady income, that low sensitivity adds a layer of calm to a portfolio. The company has also raised its dividend for 55 consecutive years and just announced another 5.2% increase.
The business sells prescription medicines through specialist doctors and sells aesthetic products to clinics and medical spas. Two newer immunology drugs each grew more than 20% in the latest quarter, while its neuroscience medicines grew close to 20%. These products are now replacing sales lost from an older blockbuster that faces cheaper copycat competition. Management beat its own guidance, raised its full-year outlook and has several possible product launches lined up for 2027.
There are real challenges to watch. Older drugs continue to shrink, Medicare price negotiation is cutting into some sales, and demand for cosmetic treatments has softened as consumers pull back. Debt also sits slightly above the peer average. Even so, forward earnings cover the dividend more than 2 times, and the stock ranks 4th out of 39 Buy-rated names in our safe-dividend scoring.
We added this healthcare stock to the Dividend Protection Stocks Portfolio because its payout rests on growing medicines, steady earnings and an unusually long record of raises. Its low market sensitivity fits a mandate built around protecting both income and capital.
