The best stocks are dividend aristocrats or companies who have raised and paid out dividends continuously for 25 years. They have solid financials and an impressive track record for doing well by their shareholders. These are the top dividend stocks.
Procter & Gamble
Procter & Gamble ranks among the top blue-chip companies to invest in. It is often referred to as a “dividend aristocrat” but it’s actually a “dividend king”, since its dividend payouts have been increasing for more than 68 years.
P&G stock is an excellent investment because it has multiple well-known brands that have strong market shares in several different areas. These brands include Pampers, Ariel Downy Always and Gilette.
P&G is experiencing modest growth, as its revenue grew from $70.9billion in 2020 to $84billion in the most recent financial year. The company has a strong balance sheet with high cash flow that should help to continue increasing its dividends.
S&P Global, Inc.
S&P Global shares are another dividend-aristocrat to purchase and hold. It is another dividend king, like P&G. The payouts have been increasing for more than 51 years.
S&P Global offers a wide range of services, including data, analytics, credit rating, indexes and technology solutions. In its credit ratings business, it operates as a duopoly and competes against Moody’s & Fitch.
S&P Global has seen its business grow over the past few years. Its annual revenues have risen from $6.7 billion to nearly $13 billion by 2023. The demand for S&P Global’s ratings and indexes will continue to grow in the coming years.
Ecolab (ECL),
Ecolab has been a dividend-aristocrat for more than 32 years. Ecolab is the top company in water and hygiene, providing solutions to industries such as food and beverage, life sciences and building.
Ecolab has seen its business grow, as revenue jumped from $12.5 Billion in 2019 to $15.3 billion last year. Ecolab is a very profitable business, with annual profits of over $1 billion. It has the largest market share in both water and hygiene, which is what will keep it growing.
Automatic Data Processing
Automatic Data Processing, a business that is not well-known to many Americans. It is the market leader for payroll and has been increasing dividends since over 26 years. Most companies use it, including Amazon, Pfizer T-Mobile John Deere and Honeywell. It offers services such as payroll, time-and attendance, insurance and benefits, and compliance.
ADP has seen its business grow as the company added customers and increased the number of employees. The company’s revenue grew from $14 billion to $18.7billion in just two years. Analysts predict that the company’s revenue could reach $20 billion or $21 billion by 2024. This trend may continue.
Johnson & Johnson JNJ
Johnson & Johnson, a leading company in the pharmaceutical sector. Dividend aristocrat, it has increased its dividends for more than 62 years. It is, along with Microsoft the only company to have a triple A rating. It has the largest market share of key industries, and an payout ratio around 50%.
Dividend stocks that are among the top dividend payers
Fastenal is another top dividend-paying aristocrat stock to hold.
Read more: Illinois Tool Works (ITW): dividend aristocrat stock hits record high
This article Best 5 Dividend Aristocrat Stocks to Buy and Hold appeared first on the ICD
