Three Stocks with Dividend Growth Potential Amid High Interest Rates

With U.S. Treasury yields at multi-decade highs, investors are looking for solid businesses that can provide steady income and earnings growth.

One way to find these companies is by focusing on dividend growers with yields between 2% to 5%, which can help mitigate the pressure from high interest rates.

The three stocks featured in this article - CVS Health (CVS), Caledonia Mining (CMCL), and Procter & Gamble (PG) - have demonstrated a track record of raising their dividends while keeping payout ratios in check.

CVS Health, with a market cap of $112.4 billion, generates revenue from its healthcare services and pharmacy benefit management business. Despite facing challenges, the company's Caremark PBM and specialty pharmacy engines provide steady cash flows that can support a 2 to 5% dividend yield.