Medtronic plc (NYSE:MDT) recently announced an increase in its dividend to $0.70, resulting in a dividend yield of 3.5%, which is higher than the industry average. The company’s earnings easily cover the distributions, with healthy cash flows supporting the dividend payout. Medtronic has a solid track record of paying stable dividends, with a 9.6% annual growth rate since 2014. However, the company’s earnings have declined over the past five years, raising concerns about the sustainability of future dividend growth. While it’s positive to see the dividend being raised, some caution is advised when relying on Medtronic as a primary dividend stock. Investors should consider various factors before investing in the company, including its valuation and financial health.