10 Best Dividend Stocks To Buy and Hold Forever

4. Lockheed Martin Corporation (NYSE:LMT)

Number of Hedge Fund Holders: 68

Lockheed Martin Corporation (NYSE:LMT) is a well-established defense contractor with long-term agreements covering a wide range of products, including fighter jets, aircraft, missiles, weapons systems, helicopters, and satellite-based space systems.

In the second quarter of 2025, Lockheed Martin Corporation (NYSE:LMT) posted mixed financial results. Net profit for the period ending June 29 stood at $342 million, reflecting a decline of nearly 80% due to a $950 million loss tied to a classified program. Despite this setback, Lockheed Martin expects its free cash flow for the year to reach at least $6.6 billion, more than twice the amount it distributes in cash dividends.

Lockheed Martin Corporation (NYSE:LMT) remained committed to its shareholder obligation, returning $1.3 billion to investors through dividends in the most recent quarter. In addition, the company has raised its payouts for 22 years in a row and currently offers a quarterly dividend of $3.30 per share. With a dividend yield of 3.14% as of July 31, LMT is among the best dividend stocks to buy and hold.