BEST LONG-TERM DIVIDEND STOCKS: BEST 2023 STOCK TO BUY

Best Long-Term Dividend Stocks
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Are you looking to invest in stocks for the long term? Consider exploring the realm of long-term dividend stocks. These stocks offer the potential for both capital appreciation and regular income through dividend payouts. In this guide, we’ll delve into the world of long-term dividend stocks, sharing valuable insights and advice to help you navigate this investment strategy successfully. From understanding the benefits of long-term dividend investing to identifying the best dividend stocks in the market, we’ve got you covered. So, let’s dive in and discover the potential of long-term dividend stocks for building a resilient and rewarding investment portfolio.

What Are Dividend Stocks?

Investors can receive consistent income through dividend stocks, a particular class of investment. When a business makes money, it may decide to give some of that money back to its shareholders in the form of dividends. Dividends are often given out on a regular basis, such as quarterly or annually, and they depend on how many shares a shareholder owns. Investors seeking consistent cash flow may find dividend stocks appealing because they can offer a steady stream of income. Due to the fact that companies that consistently pay dividends frequently have steady financial performance and robust business structures, dividend stocks may also have the potential for capital appreciation. Consider integrating dividend stocks into your investment portfolio if you’re searching for a mix of income and possible growth.

What Are the Best Long-Term Dividend Stocks?

The best long-term Dividend Stocks are high-quality stocks that have a proven track record of consistently paying dividends over time. These stocks belong to companies in various sectors, such as utilities, consumer goods, healthcare, and technology. Investing in long-term dividend stocks can provide investors with a steady income stream and the potential for capital appreciation. Additionally, these stocks are often considered less volatile than growth stocks, making them suitable for long-term investors seeking stability and consistent returns. By selecting the right dividend stocks and holding them for the long term, investors can benefit from regular dividend payments and potentially grow their wealth over time.

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What Are the Top 5 Dividend Stocks to Buy?

There are several dividend stocks that investors often consider as top choices for their portfolios. Here are five examples:

  • Apple Inc. (AAPL): Apple is known for its strong financial performance and consistent dividend payouts.
  • Johnson & Johnson (JNJ): This healthcare company has a long history of increasing dividends and a stable business model.
  • Procter & Gamble (PG): As a consumer goods company, Procter & Gamble offers products that are in high demand, providing stability to its dividend payouts.
  • Coca-Cola Company (KO): Coca-Cola is a well-established beverage company with a global presence and a history of paying dividends.
  • Microsoft Corporation (MSFT): Microsoft has shown strong growth in recent years and has been increasing its dividend payments.

It’s important to note that the suitability of dividend stocks can vary based on individual investment goals, risk tolerance, and market conditions. Conducting thorough research and seeking professional advice is recommended before making investment decisions.

What Stocks Have Paid Dividends the Longest?

There are several stocks that have a long history of paying dividends. Some notable examples include:

  • The Coca-Cola Company (KO): Coca-Cola has been paying dividends since 1893, making it one of the longest-standing dividend stocks.
  • Procter & Gamble (PG): Procter & Gamble has been paying dividends for over 130 years, demonstrating its commitment to returning value to shareholders.
  • Colgate-Palmolive Company (CL): Colgate-Palmolive has a dividend history dating back to the 1890s.
  • Johnson & Johnson (JNJ): Johnson & Johnson has been consistently paying dividends for over 50 years.
  • 3M Company (MMM): 3M has a dividend track record that spans more than a century, dating back to 1916.

These stocks have demonstrated a long-standing commitment to returning value to shareholders through regular dividend payments. However, it’s important to conduct thorough research and consider various factors before making investment decisions.

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Is Apple a Dividend Stock? 

Yes, Apple is a reputable technology company that distributes dividends to shareholders. After a period of continuous growth and financial success, Apple’s management made the decision in 2012 to start paying dividends to its stockholders. Since then, Apple has consistently paid dividends to its shareholders, making it a desirable prospect for investors wanting both capital growth and dividend income. Apple’s dividend payments are usually regarded as an indicator of the company’s financial stability and capacity to provide consistent cash flows. Consequently, a lot of investors think of Apple as a safe income investment.

Which Shares Get Dividends Every Year?

There are a few businesses that have a reputation for reliably paying dividends to their stockholders each year. These businesses, often known as “dividend aristocrats,” have a history of raising their dividend payments or keeping them stable over a long period of time. The Coca-Cola Company, Johnson & Johnson, Procter & Gamble, and McDonald’s are a few well-known dividend aristocrats. These businesses are appealing options for income-focused investors because they have proven a dedication to rewarding their shareholders with regular dividend distributions. Investors may gain from both the dividend income and the possibility for long-term capital growth by purchasing dividend-paying shares like these.

Does Google Pay a Dividend?

Google’s parent company, Alphabet Inc., does not currently pay a dividend. Unlike some other companies, Google has chosen to reinvest its profits into research and development, acquisitions, and other growth initiatives rather than distributing them as dividends to shareholders. However, it’s important to note that dividend policies can change over time, so it’s always a good idea to check the most up-to-date information on a company’s dividend policy if you’re considering investing in its stock.

Which Is Better, Dividend or Growth?

The choice between dividend and growth stocks depends on an investor’s individual goals and risk tolerance. Dividend stocks are often favored by income-focused investors who seek regular income from their investments. These stocks typically belong to stable, mature companies with a track record of consistent dividend payments. On the other hand, growth stocks are associated with companies that are expected to experience above-average growth in the future. These stocks may not pay dividends, as the companies reinvest their earnings to fuel expansion and increase their stock value. Investors seeking capital appreciation rather than immediate income may prefer growth stocks. Ultimately, the decision between dividend and growth stocks should align with an investor’s financial objectives and risk appetite.

What Are the Top 10 Dividend Stocks to Buy?

While specific recommendations can vary depending on individual preferences and market conditions, here are 10 dividend stocks that are often considered strong choices:

  • Johnson & Johnson (JNJ): A multinational pharmaceutical and consumer goods company with a long history of dividend growth.
  • Procter & Gamble (PG) is a well-known manufacturer of consumer goods and a variety of home goods.
  • Coca-Cola (KO): One of the world’s largest beverage companies, known for its iconic brand and global presence.
  • PepsiCo (PEP): Another major player in the beverage industry, offering a diverse portfolio of popular brands.
  • Exxon Mobil (XOM): An energy company engaged in the exploration, production, and marketing of oil and gas products.
  • Verizon Communications (VZ): A leading telecommunications company with a solid dividend track record.
  • AT&T (T): One of the largest telecommunications companies, providing various communication and entertainment services.
  • Microsoft (MSFT): A technology giant that has consistently delivered strong financial performance and dividend growth.
  • McDonald’s (MCD): A global fast-food chain known for its brand recognition and consistent dividends.
  • Visa (V): A payment technology company that benefits from the growing trend of digital transactions.

It’s important to conduct thorough research and consider factors such as financial health, industry trends, and dividend history before making any investment decisions.

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Best Long-Term Dividend Stocks

Here are fifteen stocks that have a solid track record of dividend payments and also have the potential for long-term financial appreciation. 

1. Sherwin-Williams (SHW)

Leading firm in the paint and coatings sector Sherwin-Williams (SHW) is renowned for its high-quality products and dominant market position. Sherwin-Williams is a long-term dividend company that promises steady dividend increases as a result of its strong financial performance, tenacity, and market position. The business’s commitment to innovation and its optimistic prognosis for the paint and coatings sector adds to its appeal as a long-term investment. Before making any investments, it’s crucial to do extensive research and speak with a financial counselor.

2. Waste Management (WM)

Waste Management is a strong business that continues to run regardless of the state of the economy. The business is stepping up its efforts in recycling, resource recovery, and the development of renewable solutions in addition to its traditional waste management and disposal services, preparing itself for future growth. The company now pays a 1.66% dividend yield.

3. Iron Mountain (IRM)

Iron Mountain may not be on the radar of numerous investors, but it offers indispensable services by securely storing, managing, and safeguarding information and assets for global companies. The company also provides a reliable dividend of 4.44%, and analysts unanimously recommend buying the stock.

#4. Apple (AAPL)

Technology behemoth Apple is renowned for its cutting-edge goods and services. It has a track record of steadily raising dividends, which makes it a desirable long-term dividend stock. The company’s sound financial standing and consistent cash flow creation support its capacity to continue paying dividends and also increase them over time.

#5. Microsoft (MSFT)

Microsoft is a leading software and cloud computing company. It also has a track record of delivering solid dividend growth to its shareholders. With its diverse portfolio of products and services and a focus on innovation, Microsoft is well-positioned for long-term success, however, making it an appealing choice for dividend investors.

#6. Colgate-Palmolive (CL)

Colgate-Palmolive is a global consumer goods company specializing in oral care, personal care, and household products. The company also has a strong history of dividend payments and a commitment to shareholder returns. Its consistent cash flow generation and focus on product innovation contribute to its potential as a reliable long-term dividend stock.

#7. Home Depot (HD)

Home Depot is a leading home improvement retailer with a robust dividend track record. As a staple in the housing industry, the company also benefits from long-term trends in home improvement and renovation. Home Depot’s solid financial performance, efficient operations, and commitment to returning capital to shareholders make it an appealing long-term dividend stock.

#8. Blackstone (BX)

Blackstone is a global investment firm specializing in alternative asset management. While it operates in a different industry than the others on this list, it offers long-term dividend potential. Blackstone’s diverse investment strategies, strong performance, and focus on generating stable cash flows make it an attractive choice for investors seeking consistent dividends.

#9 Merck (MRK)

Merck is a leading pharmaceutical company also known for its research, development, and production of innovative healthcare solutions. With a strong pipeline of drugs and a global presence, Merck also has the potential for long-term dividend growth. The company’s commitment to advancing healthcare and its stable financial performance make it an interesting option for dividend investors.

#10. McDonald’s (MCD)

 McDonald’s is a well-established global fast-food chain with a strong brand and a wide customer base. The company also has a consistent history of dividend payments and is focused on enhancing shareholder value. McDonald’s ability to adapt to changing consumer preferences, expand its menu offerings, and optimize its operations also supports its long-term dividend prospects.

#11. Service Corporation International (SCI)

 Service Corporation International is a leading provider of funeral and cemetery services. The company operates in a stable industry and has a solid track record of dividend payments. As a result of its strong market position and the essential nature of its services, SCI has the potential to deliver reliable dividends to long-term investors.

#12. JPMorgan Chase & Co. (JPM)

JPMorgan Chase & Co. is a leading global financial institution with a strong presence in banking and financial services. The company also has a history of consistent dividend payments and a focus on shareholder returns. JPMorgan Chase’s diversified business model, extensive customer base, and strong balance sheet position it as a long-term dividend stock.

#13. Realty Income (O)

Realty Income is a real estate investment trust (REIT) that focuses on commercial properties. It is also known for its monthly dividend payments and has a long track record of increasing dividends over time. Realty Income’s diverse property portfolio, stable rental income, and disciplined approach to real estate investments make it an attractive long-term dividend stock.

#14.Costco (COST)

Costco is a membership-based warehouse retailer known for its bulk sales of consumer goods. The company also has a history of consistent dividend payments and a loyal customer base. Costco’s ability to deliver value to its members, maintain low costs, and expand its business positions it as a long-term dividend stock.

#15. NextEra Energy (NEE)

 NextEra Energy is a leading clean energy company involved in the generation and distribution of electricity. The company also has a strong focus on renewable energy and is a pioneer in the industry. NextEra Energy’s stable cash flows, commitment to sustainability, and potential for future growth make it an appealing long-term dividend stock.

These stocks represent a diverse range of industries and have demonstrated their ability to provide reliable dividends over the long term. 

FAQs

What is a good dividend yield?

A stock’s dividend yield ought to offer a steady stream of income, but it shouldn’t be too high to imply that the dividend payout is unsustainable. These criteria are often satisfied by dividend yields between 2 and 5 percent.

What kind of dividend stock is Coca-Cola?

Coca-Cola’s dividend, at $1.84 per share, isn’t the highest among dividend companies. However, figures from NYU Stern Business School show that its yield of 3.07% exceeds the average of the beverage industry, which is 1.98%. Additionally, Coca-Cola will increase its dividend.

who offers a greater dividend Pepsi or Coke?

PepsiCo is a somewhat more appealing choice for dividend income and dividend growth investors when we take into account both PepsiCo’s lower Payout Ratio and its higher Dividend Growth Rate [CAGR] over the past 5 years when compared to Coca-Cola.

References

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