American Financial: First special dividend for this 2025 Dividend Hero

P&C niche insurer AFG declared a $2.00 special dividend with ex-date March 17

As of March 10, 2025, the Dividend Heroes portfolio has achieved a year-to-date (YTD) gain of 3.5%. This performance is notable, especially when compared to broader market indices such as the Nasdaq 100, which has declined by 3.9% YTD, and the Russell 2000, down 6.9% YTD. Within the Dividend Heroes portfolio, five stocks have registered double-digit gains, and there are no stocks with double-digit losses, underscoring the portfolio's resilience.

A significant development within the Dividend Heroes is the announcement of the first special dividend for 2025 by American Financial Group (AFG). On February 28, 2025, AFG declared a special cash dividend of $2.00 per share, payable on March 28, 2025, to shareholders of record as of March 17, 2025. This special dividend is in addition to the company's regular quarterly cash dividend of $0.80 per share. Since 2021, AFG has declared $52.00 per share in special dividends, including $6.50 per share in 2024.

The ex-dividend date for this special dividend is March 17, 2025, meaning investors who purchase AFG shares before this date are eligible to receive the dividend. With a current share price of $123.72, the $2.00 special dividend represents a yield of approximately 1.6%. The regular dividend yield stands at 2.6%, bringing the total yield to 4.2%. Despite these substantial dividend payouts, AFG's stock is the poorest performer among the Dividend Heroes in 2025.

For a more in-depth analysis of AFG's dividend strategy and its position within the Dividend Heroes, readers can refer to the article "Dividend Hero AFG is the ultimate dividend stock" on Dividend Heroes' Substack.

Disclaimer: The information provided here is for informational purposes only and should not be considered financial advice. Investors should conduct their own research or consult with a financial advisor before making any investment decisions.