Income investors looking for a mix of current yield and dividend growth should take a closer look at S&P Global Inc. (SPGI). Total returns are expected to eclipse 10% per year over the next five years, earning the stock a buy rating from Sure Dividend, notes Bob Ciura, contributing editor at Sure Dividend.
S&P Global is a worldwide provider of financial services and business information with annual revenue of over $15 billion. Through its various segments, it provides credit ratings, benchmarks and indices, analytics, and other data to commodity market participants, capital markets, and automotive markets.
S&P posted third-quarter earnings on Oct. 30, 2025, and results were excellent once again. The company saw adjusted earnings per share of $4.73, which were 32 cents ahead of estimates. Earnings were also up sharply from $3.89 a year ago.
Revenue was up almost 9% year-on-year to $3.89 billion, beating estimates by $60 million. Expenses were $2.22 billion, flat to the prior quarter and up from $2.17 billion a year ago. Adjusted operating margin expanded once again to 52.1% of revenue.
We forecast S&P Global to grow its adjusted EPS by 11% per year over the next five years. The most important feature of S&P Global is its strong competitive position. It operates in the highly concentrated financial ratings industry where the three well-known rating agencies control over 90% of global financial debt ratings.
Income investors may not see the appeal of SPGI stock due to its low recent dividend yield of 0.8%. However, it makes up for a low recent yield with strong dividend growth. S&P Global has paid dividends continuously since 1937 and has increased its payout for 52 consecutive years – making it one of the newest members of the prestigious Dividend Kings.
With a projected dividend payout ratio of 22% for 2025, the dividend is highly secure, with room for continued dividend increases in the years ahead.
Recommended Action: Buy SPGI.
