Five contracted-income Nasdaq stocks enter Q4 with consecutive dividend raises

Income investors entering the fourth quarter are filtering for one attribute above all: payouts funded from contracted or recurring revenue that hold regardless of where the business cycle sits. Against that backdrop, five Nasdaq-listed names have each raised their dividend recently and draw that income from regulated rates, fee streams, or subscriptions: York Water (NASDAQ: YORW), Willis Towers Watson (NASDAQ: WTW), Mondelez International (NASDAQ: MDLZ), Amdocs (NASDAQ: DOX), and Ituran Location and Control (NASDAQ: ITRN).

The regulated and fee-based names

York Water carries the longest consecutive dividend increase streak in US public markets at 27 years. A rate increase effective March 1, 2026 pushed Q3 revenue up 22.5% year over year to $23.52 million, with EPS of $0.49 clearing the $0.40 consensus estimate. The quarterly rate is $0.228 per share, the next payment is due October 15, 2026, and the yield sits near 2.73%. The capex cycle presents the main structural caveat: annual capital spending ran above operating cash flow every year from 2020 through 2025, so rate-base growth is debt- and equity-financed.

Willis Towers Watson sits at the opposite end of the scale. The global insurance broker and HR advisory firm generated $1.775 billion in 2025 operating cash flow against $358 million in dividend obligations, and first-half free cash flow reached $360 million, roughly double the prior-year period. Management reiterated at least $1 billion of buybacks for the year. Q2 adjusted EPS rose 17% to $3.35, with adjusted operating margin expanding 100 basis points to 19.5%. The current quarterly dividend is $0.96, raised from $0.92 in 2025, for a yield near 0.6%. The Willis Re joint venture carries approximately a $0.30 per-share EPS headwind, and the Newfront transaction is approximately $0.10 dilutive near term.

Mondelez International, which owns Oreo, Ritz, Cadbury, Milka, and Toblerone, stepped its quarterly dividend to $0.50 beginning with the September 30, 2025 ex-date. Full-year 2025 operating cash flow of $4.51 billion covered $2.49 billion in dividends after $1.28 billion of capex, and management guided FY2026 free cash flow to roughly $3 billion. Cross-border demand is carrying the growth case: Latin America was up 15.1% and AMEA up 8.2% in Q2, though Europe organic revenue declined 1.0% and cocoa cost pressure cut Q2 adjusted operating margin by 120 basis points.

The subscription layer

Amdocs, whose software and managed services run telecom operators' billing and customer systems, posted Q3 non-GAAP EPS of $1.84 against a $1.65 estimate. Managed services accounted for 67% of revenue with near-100% renewal rates, and the 12-month backlog reached $4.26 billion. Fiscal 2025 operating cash flow of $749 million comfortably covers the $224 million dividend bill. Shares are down 21% year to date on telco spending caution and a $106 million restructuring charge that pressured GAAP net income.

Ituran Location and Control added 41,000 net subscribers in Q2 to reach a base of 2,711,000, with subscription revenue up 25% to $79.82 million and total Q2 revenue rising 20.7% to $104.79 million. Gross margin expanded to 50.9%. The balance sheet carries $103.7 million in net cash with no debt. A special dividend of $1.50 per share, tied to the March 30, 2026 ex-date, sits alongside a regular quarterly rate of $0.50. Shekel currency exposure and geographic concentration in Israel and Latin America remain the primary variables for reported results.

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