AVGO dividend yield: 1.08%. MRK dividend yield: 3.25%. Broadcom has grown its dividend 20%+ annually for 13+ consecutive years — the fastest sustained dividend growth of any large-cap stock. Its semiconductor and infrastructure software businesses (including VMware) generate massive free cash flow. AVGO represents the ultimate combination of dividend growth and capital appreciation. Merck is a Dividend Aristocrat with 14+ consecutive years of increases. Keytruda (pembrolizumab) is the world's best-selling cancer drug and drives exceptional cash generation. The company's oncology and vaccines pipeline provides long-term growth visibility beyond the Keytruda patent cliff in the 2030s.
Broadcom has grown its dividend 20%+ annually for 13+ consecutive years — the fastest sustained dividend growth of any large-cap stock. Its semiconductor and infrastructure software businesses (including VMware) generate massive free cash flow. AVGO represents the ultimate combination of dividend growth and capital appreciation.
Merck is a Dividend Aristocrat with 14+ consecutive years of increases. Keytruda (pembrolizumab) is the world's best-selling cancer drug and drives exceptional cash generation. The company's oncology and vaccines pipeline provides long-term growth visibility beyond the Keytruda patent cliff in the 2030s.
Is AVGO or MRK better for dividend income in 2026?
AVGO currently offers a 1.08% yield (2.12/share/year) while MRK offers 3.25% (3.08/share/year). MRK provides higher current income. However, AVGO has grown its dividend faster (22.8% 5Y CAGR), which may lead to better long-term income through compounding.
How much would $10,000 in AVGO vs MRK earn per year?
With $10,000 invested today: AVGO pays approximately $108/year. MRK pays approximately $325/year. With DRIP reinvestment over 10 years, these grow to $915/year (AVGO) and $950/year (MRK).
Does AVGO or MRK pay monthly dividends?
AVGO pays quarterly dividends. MRK pays quarterly dividends. Neither pay monthly — both use a quarterly schedule, which is preferred by investors who need regular cash flow.
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