20 Large-Cap Dividend Stocks With More Cash Than Debt

More than a decade of historically low interest rates has prompted companies to go on a borrowing binge.

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More than a decade of historically low interest rates has prompted companies to go on a borrowing binge. Although there's no sign of a debt bubble right now, market watchers are increasingly concerned about corporate indebtedness.

No surprise there. Excluding financial companies, U.S. corporate debt is at a record high.

Companies carrying excess debt are more vulnerable to rising interest rates, a global economic slowdown or an outright recession. Conversely, companies with more Benjamins in the bank than IOUs are fortified against many financial headwinds.

Large-cap dividend stocks can be a redoubt in times of market volatility. If they have rock-solid balance sheets and generate gushers of cash, so much the better.

We searched the major indexes for dividend payers with market values of at least $10 billion that have more cash on their balance sheets than total debt. And because dividends and interest payments come from free cash flow, we also limited ourselves to companies with ample FCF after paying interest on debt.

The result: Fewer than two dozen large-cap dividend stocks across all the large publicly traded companies in the U.S. Here, we look at 20 of the best.


Data is as of Oct. 23. Dividend yields are calculated by annualizing the most recent payout and dividing by the share price.

Dan Burrows
Senior Investing Writer, Kiplinger.com

Dan Burrows is Kiplinger's senior investing writer, having joined the august publication full time in 2016.

A long-time financial journalist, Dan is a veteran of SmartMoney, MarketWatch, CBS MoneyWatch, InvestorPlace and DailyFinance. He has written for The Wall Street Journal, Bloomberg, Consumer Reports, Senior Executive and Boston magazine, and his stories have appeared in the New York Daily News, the San Jose Mercury News and Investor's Business Daily, among other publications. As a senior writer at AOL's DailyFinance, Dan reported market news from the floor of the New York Stock Exchange and hosted a weekly video segment on equities.

Once upon a time – before his days as a financial reporter and assistant financial editor at legendary fashion trade paper Women's Wear Daily – Dan worked for Spy magazine, scribbled away at Time Inc. and contributed to Maxim magazine back when lad mags were a thing. He's also written for Esquire magazine's Dubious Achievements Awards.

In his current role at Kiplinger, Dan writes about equities, fixed income, currencies, commodities, funds, macroeconomics, demographics, real estate, cost of living indexes and more.

Dan holds a bachelor's degree from Oberlin College and a master's degree from Columbia University.

Disclosure: Dan does not trade stocks or other securities. Rather, he dollar-cost averages into cheap funds and index funds and holds them forever in tax-advantaged accounts.