Boomers Are Buying 4 Technology Stocks Yielding Up to 4.6% for Growth & Income

Reaching retirement age can be both a blessing and a curse, but relying solely on the U.S. government to provide for your needs is not the best idea. The full retirement age is 66 if you were born from 1943 to 1954. The full retirement age increases gradually for those born from 1955 to 1960, reaching 67. For anyone born in 1960 or later, full retirement benefits are payable at age 67. The ideal plan for retirees and those nearing retirement is to establish a passive income stream. Passive income is characterized by its ability to generate revenue without requiring the earner’s continuous active effort, making it a desirable financial strategy for those seeking to diversify their income streams or achieve financial independence.

With the youngest Baby Boomers (Americans born between 1946 and 1964) approaching retirement age, it is becoming increasingly important to focus on magnificent dividend stocks that will provide significant passive income, either in or out of designated retirement accounts, such as IRAs. However, the youngest Baby Boomers are still looking for stocks that not only pay dependable dividends but also offer growth potential. For context, the youngest Boomers are now 61, while the oldest are nearing 80. Younger Boomers tend to be tech-savvy and are willing to take on a bit more risk for solid growth potential.

We screened our 24/7 Wall St. dividend tech stock universe to identify companies with the highest dividends that also offer sizable growth potential, as well as some exposure to the parabolic growth of cloud computing and artificial intelligence. Four old-school OG giants hit our screens. All are sensible choices for younger Boomers seeking technology exposure and dependable quarterly dividends. Each is rated Buy by some of the top Wall Street firms we cover.

Why do we cover technology dividend stocks?

Since 1926, dividends have contributed approximately 32% of the total return for the S&P 500, while capital appreciation has contributed 68%. Therefore, sustainable dividend income and capital appreciation potential are essential for total return expectations. A study by Hartford Funds, in collaboration with Ned Davis Research, found that dividend stocks delivered an annualized return of 9.18% over the 50 years from 1973 to 2023. Over the same timeline, this was more than double the annualized return for non-payers (3.95%).

Cisco

Cisco Systems Inc. (NASDAQ: CSCO) develops, manufactures, and sells networking hardware, software, telecommunications equipment, and other high-technology services and products. This legacy technology giant is close to reaching a 52-week high and offers a solid dividend Cisco designs, manufactures, and sells Internet Protocol-based networking and other products related to the communications and information technology industry, seeking center switching:

• Enterprise routing portfolio interconnects public and private wireline and mobile networks, delivering highly secure and reliable connectivity to campus, data center, and branch networks
• Wireless products include wireless access points and controllers
• Compute portfolio, including the Cisco Unified Computing System, HyperFlex, and software management capabilities, which combine computing, networking, and storage infrastructure management and virtualization

In addition, it provides Internet for future products consisting of:

• Routed optical networking
• 5G
• Silicon and optics solutions
• Collaboration products, such as meetings, collaboration devices, calling, contact centers, and communication platforms as a service
• End-to-end security product consists of network security, cloud security, security endpoints, unified threat management, and zero trust
• Optimized application experience products, including full-stack observability and network assurance

Further, the company offers a range of service and support options for its customers, including technical support, advanced services, and advisory services. It serves businesses of various sizes, public institutions, governments, and service providers.

Evercore ISI has an Outperform rating for the stock with a $72 target price.

Corning

This company is a giant in the fiber optic industry and is a solid investment option for those seeking consistent growth and upside potential. Corning Inc. (NYSE: GLW) operates as an innovator in the field of materials science.

Its segments include:

• Optical Communications
• Display Technologies
• Specialty Materials
• Environmental Technologies, and Life Sciences

Corning’s Optical Communications segment manufactures components for carrier and enterprise networks in the telecommunications industry.

The Display Technologies segment manufactures glass substrates for flat-panel displays, including liquid crystal displays and organic light-emitting diodes.

Its Specialty Materials segment manufactures products that provide material formulations for glass, glass ceramics and fluoride crystals for customer needs.

The Environmental Technologies segment manufactures ceramic substrates and filters for emission control systems in mobile applications.

The Life Sciences segment develops, manufactures, and supplies laboratory products, including labware, equipment, media, serum, and reagents, enabling workflow solutions for drug discovery and bioproduction.

Oppenheimer has an Outperform rating with a $55 target price.

IBM

International Business Machines Corp. (NYSE: IBM), nicknamed Big Blue, is an American multinational technology company. The legacy blue-chip tech giant offers conservative investors a safer way to play the sector and is up 7.1% in 2025. IBM and its subsidiaries provide integrated solutions and services worldwide.

The company operates through four segments:

• Software
• Consulting
• Infrastructure
• Financing

The Software segment offers a hybrid cloud and AI platform that enables clients to realize their digital and AI transformations across their applications, data, and environments. IBM has partnered with Amazon Web Services (AWS) to allow users to access Watson X AI features and its data platform. IBM also partnered with Palo Alto Networks, allowing the cybersecurity company to acquire IBM’s QRadar Software as a Service (SaaS) assets.

The Consulting segment focuses on integrating skills across strategy, experience, technology, and operations by domain and industry.

The Infrastructure segment provides on-premises and cloud-based server and storage solutions and life-cycle services for hybrid cloud infrastructure deployment.

The Financing segment offers client and commercial financing that facilitates IBM clients’ acquisition of hardware, software, and services.

The company has a strategic partnership with various companies, including:

• Hyperscalers
• Service providers
• Global system integrators
• Software and hardware vendors, including Adobe, Amazon Web Services, Microsoft, Oracle, Salesforce, Samsung Electronics SAP, and others

Bank of America has a Buy rating with a recently raised $290 target price.

HP 

This legendary Silicon Valley giant has very promising growth prospects. HP Inc. (NYSE: HPQ) is a global provider of personal computing and other digital access devices, imaging and printing products, and related technologies, solutions, and services.

The company delivers a range of devices, services, printing, and subscriptions for:

• Personal computing
• Printing
• Three-dimensional (3D) printing
• Hybrid work
• Gaming

It operates through three segments:

• Personal Systems
• Printing
• Corporate Investments

The Personal Systems segment offers commercial and consumer desktops and notebooks, detachables and convertibles, workstations, thin clients, commercial mobility devices, retail point-of-sale (POS) systems, displays, hybrid systems, software, solutions, and services.

The printing, segment offers consumer and commercial printer hardware, supplies, services, and solutions. The printing segment is also focused on graphics and personalization in the commercial and industrial markets. Corporate Investments include certain business incubation and investment projects.

JPMorgan has an Overweight rating on the shares with a $27 target price.

Baby Boomers Are Using Six Incredible ETFs to Generate Huge Passive Income

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