These 3 Stocks Are Beating the Market in 2026 and Just Announced Hefty Dividend Increases

Despite being down as much as 7% through the first few months of the year, the S&P 500 Index has performed well in 2026. Overall, the index’s total return sits near 10%, which is approximately in line with its average return over a full year.

Three stocks that recently raised their dividends are not only beating the S&P 500 this year, but also boast higher dividend yields than the index average. Using the SPDR S&P 500 ETF Trust (NYSEARCA: SPY) as a proxy, the index’s yield is only around 1%.

These three names have yields solidly above that level, and after large increases, they continue to provide robust dividend sustainability.

Levi’s Beats and Raises, Boasts Over 2.5% Yield

The iconic clothing and denim firm Levi Strauss & Co. (NYSE: LEVI) has put up a solid performance in 2026. The stock’s total return for the year is above 15%, easily beating out the S&P 500 Index. Although LEVI took a slight 2.2% tumble after its latest earnings report, the company largely validated prior gains with the print.

Levi’s 8% revenue growth significantly outpaced estimates, driven by particularly strong 19% growth in its direct-to-consumer e-commerce channel. It beat on adjusted earnings per share (EPS) and raised full-year guidance on both sales and adjusted EPS for the second quarter in a row.

Levi’s also announced a hefty 14.3% dividend increase, boosting its quarterly payment to 16 cents per share. The company plans to pay its next dividend on Aug. 5 to shareholders of record as of the July 22 close. Now, its forward dividend yield sits at a very solid 2.65%. Additionally, its payout ratio sits near 36%, leaving its dividend well supported by its earnings and providing potential for sizable increases going forward.

Ryder System Rides Nearly 40% Gain in 2026, Ups Dividend 11%

Ryder System (NYSE: R) is a key player in the supply chain, logistics, and transportation industry. Shares have delivered a very impressive total return of around 40% in 2026, easily exceeding the gains of the general market. Ryder saw a huge gain after its most recent earnings report, rising nearly 10% in two days. This came as the company announced a substantial increase to its adjusted EPS outlook for 2026.

The company’s past adjusted EPS outlook range was $13.45 to $14.45. Ryder moved this up to between $14.05 and $14.80, an approximately 48-cent increase at the midpoint. Ryder stated that market conditions for its used vehicle sales are improving and cited strong performance in its portfolio of high-quality customer contracts. Importantly, over 90% of the firm’s revenue comes through long-term contracts, helping provide resiliency to potential demand fluctuations.

Ryder also just announced a large 11% increase to its dividend. The company’s next $1.01 quarterly dividend has a record date of Aug. 24 and a payable date of Sept. 18. The stock has a meaningful 1.5% forward dividend yield and has a payout ratio of only around 30%, providing strong dividend sustainability.

Unum Increases Dividend Almost 10% After Earnings Beat, Eyes Large Buybacks

Unum Group is a significant player in the insurance industry. The company primarily provides group disability, life, and long-term care insurance in the United States, as well as supplemental and reinsurance products. Unum has put up a solid performance in 2026, with its total return near 15%. The company impressed with its most recent earnings report, with its after-tax adjusted operating EPS rising almost 10% to $2.14, solidly ahead of estimates. Its U.S. group business performed particularly well, seeing sales rise 22%, and Group Life earnings hit a record.

Unum is also engaging in large capital returns. The company plans to spend around $1 billion on buybacks in 2026, approximately $400 million of which came in Q1. These buyback spending plans are very large relative to Unum’s market capitalization of nearly $14.3 billion.

Alongside this, Unum just declared a substantial 9.8% dividend increase. Its quarterly payout will move to 50.5 cents per share, and the stock has a solid forward dividend yield of 2.3%. The company plans to pay its next dividend on Aug. 14 to shareholders of record as of the July 24 close. Additionally, Unum’s payout ratio is in good shape at 40%.

Analysts Show Confidence in Levi’s Despite Tariff Uncertainty

Looking ahead, analysts are expressing a solid degree of bullishness on Levi’s. The MarketBeat consensus price target on LEVI is $27.46, implying upside in the range of 13%. Investors may want to monitor changes in tariff policy that could affect Levi’s top-line growth and margins, with the company calling the tariff environment “uncertain.”

Levi’s dealt well with tariff headwinds last quarter, with its gross margin rising amid a shaky backdrop. The company’s current guidance assumes incremental U.S. tariffs on Chinese imports of 30%, and 20% for the rest of the world.

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