3 Dividend Kings To Buy For A Lifetime Of Reliable Income

3 Dividend Kings To Buy For A Lifetime Of Reliable Income

3 Dividend Kings to Buy for a Lifetime of Reliable Income

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Investors looking for high-quality dividend stocks can consider the Dividend Kings, a collection of 48 companies that have increased their payouts for at least 50 years. Because these stocks hold up well in recessions, retirees find them particularly attractive.

This article highlights three dividend kings with yields above 3% that can support dividend growth during recessions:

Atria Group

Altria Group Inc. (NYSE:MO), a leader in consumer essentials, was founded in 1847 by Philip Morris. In the United States, it markets Marlboro cigarettes and controls several non-smoking brands. Altria also holds significant positions in Cronos Group, Juul and Anheuser-Busch InBev.

In 2023, Altria focused on developing its smoke-free product line by integrating NJOY and introducing On! MORE on a global scale. Through a joint venture with JT, the company launched heated tobacco products. In response to the explosive rise in illegally flavored disposable vaping products, Altria has pushed for a regulated vaping market. Altria aims to increase NJOY’s distribution network and strengthen its supply chain.

Altria expects adjusted diluted EPS growth of between 1% and 4%, or $5 to $5.15, in 2024. The company pays dividends from approximately 80% of its annual adjusted earnings per share. With 54 consecutive years of dividend increases, Altria currently yields 8.5%.

Hormel Foods

Founded in Minnesota in 1891, Hormel Foods Corp. (NYSE:HRL) has grown to become a global leader in the food industry with annual sales of $19 billion. Well-known brands, including Applegate, SPAM and Skippy, are among Hormel’s products sold in eighty countries.

The premium bacon, prepared protein, poultry and snack categories generated revenue of $3 billion and adjusted earnings per share of 41 cents in the first quarter of 2024. Acquisitions and natural expansion fuel Hormel’s business and enable regular dividend increases.

Hormel’s competitive advantages include its market-leading products and extensive global distribution network. With a current yield of 3.1%, Hormel has increased its dividends for 58 consecutive years. The company expects annual profit growth of 5%, driven by cost reductions and revenue growth.

National Fuel Gas Co.

Operating in five segments: exploration and production, pipelines and storage, gathering, utilities and energy marketing – National fuel gas company. (NYSE:GNF) is a diversified energy company. Exploration and Production constitutes the largest segment.

Effective hedging and strong volume growth helped National Fuel Gas post a 10% production increase in the second quarter of fiscal 2024. Analysts did not expect an increase in earnings per share of 16%. The company has consistently exceeded analyst expectations in 17 of the last 20 quarters.

National Fuel Gas aims to grow by increasing its natural gas production and the length of its pipeline network. Over the past 10 years, the company has grown its earnings per share at an average annual rate of 4.4%. In 2022 and 2023, it increased its proven reserves by 8% and 9% respectively. The company maintains a conservative dividend payout ratio of around 50% and strong interest coverage on its balance sheet.

With 53 consecutive years of dividend increases, National Fuel Gas is called the dividend king and currently yields 3.5%.

These dividend kings, known for their impressive dividend histories and high yields, offer reliable income and resilience during economic downturns, making them attractive investments for long-term income stability.

Are you missing out on higher returns?

The current high interest rate environment has created an incredible opportunity for income-seeking investors to achieve massive returns, but not through dividend stocks… Some private market real estate investments give retail investors the opportunity to capitalize on these high yield markets. opportunities and Benzinga identified some of the most attractive options to consider.

For example, the investment platform backed by Jeff Bezos has just launched its Private Debt Fund, which provides access to a pool of short-term loans backed by residential real estate with a net annual return target of 7% to 9% paid monthly to investors. The best part? Unlike other private credit funds, this one has a minimum investment of just $100.

Don’t miss this opportunity to take advantage of high yield investments while rates are high. Check out Benzinga’s favorite high-yield deals.

This item 3 Dividend Kings to Buy for a Lifetime of Reliable Income originally appeared on Benzinga.com

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