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12 Best Long-Term Dividend Stocks To Buy Now

In this article, we discuss 12 best long-term dividend stocks to buy now. You can skip our detailed analysis of dividend stocks and their performance over the years, and go directly to read 5 Best Long-Term Dividend Stocks To Buy Now

Last year was challenging for the overall stock market and particularly for growth stocks. On the other hand, dividend indexes and portfolios focused on dividends performed relatively well. Some even managed to achieve a small gain during that period. This year, the stock market has experienced a shift in investing style as growth stocks are reasserting their dominance over dividend stocks. However, this does not indicate that dividend stocks have lost their appeal as income generation and compounding growth continue to be the prime focus of investors this year as well.

Evaluating the growth rate of dividends over multiple years can provide an understanding of the contribution of dividend stocks to long-term wealth creation. Increasing dividends mean shareholders receive larger cash payments over time. This growing income stream can be particularly beneficial for individuals who rely on dividend income for living expenses or as a source of regular cash flow. Moreover, companies that raise their payouts regularly have outperformed the market historically. According to a report by T. Rowe Price, the S&P 500 Dividend Aristocrat Index, which tracks the performance of companies with 25 consecutive years of dividend increases, has outperformed the S&P 500 by over 75% since 1989. Some of the best long-term stocks in this regard are Walmart Inc. (NYSE:WMT), Johnson & Johnson (NYSE:JNJ), and AbbVie Inc. (NYSE:ABBV).

Also read: 14 Best Stocks for Long Term Growth

Analysts have expressed a positive view of dividend stocks and exchange-traded funds in 2023 because of their long-term impact on returns. They believe that dividend funds are a safer choice because they invest in companies that have strong financial positions and healthy cash flows. These factors make them more likely to withstand economic downturns and remain resilient. Christopher Huemmer, senior vice president at FlexShares Exchange Traded Funds, highlighted the significance of dividend stocks while speaking with Reuters in April. He said:

“Though we have experienced periods where the capital appreciation of a stock’s price has dwarfed the return from dividend income, the power of dividends should not be overlooked as a crucial component of equity performance.”

He further stated:

“In volatile markets, dividends can act like the keel of a sailboat, providing a level of stable return in choppy seas.”

The historical evidence consistently supports the substantial contribution of dividend stocks to overall market returns. In our article titled 25 Things Every Dividend Investor Should Know, we reported Hartford Fund’s data, which showed that dividend income represented 41% of the S&P 500’s total return on average from 1930 to 2022. We also reported that from 2000 to 2009, the S&P 500 experienced negative returns due to the dot-com bubble burst in March 2000. Despite this, dividends provided a positive annualized return of 1.8% during that period. The fact that dividend income has accounted for a considerable portion of the S&P 500’s total return emphasizes the significance of dividends for long-term investors, who prioritize generating regular cash flow from their investments.

Our Methodology:

For this list, we scanned Insider Monkey’s database of 943 hedge funds as of Q1 2023 and selected companies that have raised their dividends for 15 consecutive years or more. Out of those companies, we shortlisted the stocks that have five-year average payout ratios of less than 60%. This also indicates that these companies allocate a healthy portion of their earnings in dividend payouts. From the resultant dataset, we picked 12 stocks with the highest number of hedge fund investors. The stocks are ranked in ascending order of hedge funds’ sentiment towards them.

12. United Bankshares, Inc. (NASDAQ:UBSI)

Number of Hedge Fund Holders: 8

Consecutive Years of Dividend Growth: 49

5-Year Average Payout Ratio: 56.12%

United Bankshares, Inc. (NASDAQ:UBSI) is a West Virginia-based bank holding company that offers personal banking, business banking, and wealth management services to its consumers. On May 10, the company declared a quarterly dividend of $0.36 per share, which was in line with its previous dividend. In 2022, it stretched its dividend growth streak to 49 years, which makes it one of the best long-term stocks. The stock has a dividend yield of 4.85%, as of June 27.

In addition to Walmart Inc. (NYSE:WMT), Johnson & Johnson (NYSE:JNJ), and AbbVie Inc. (NYSE:ABBV), United Bankshares, Inc. (NASDAQ:UBSI) can also be added to dividend portfolios because of its consistent dividend growth.

In the first quarter of 2023, United Bankshares, Inc. (NASDAQ:UBSI) reported strong earnings with revenue of $267 million, which showed a 12.4% growth from the same period last year. At the end of March 31, the company had roughly $2 billion in cash and cash equivalents, compared with $1.17 billion in the prior-year quarter.

At the end of Q1 2023, 8 hedge funds tracked by Insider Monkey reported having stakes in United Bankshares, Inc. (NASDAQ:UBSI), compared with 9 in the previous quarter. These stakes have a collective value of over $12.8 million. Among these funds, Basswood Capital was the company’s leading stakeholder in Q1.

11. California Water Service Group (NYSE:CWT)

Number of Hedge Fund Holders: 14

Consecutive Years of Dividend Growth: 56

5-Year Average Payout Ratio: 57.8%

California Water Service Group (NYSE:CWT) is an American public utility company that provides drinking water and wastewater services. The company’s operating revenue for the first quarter of 2023 came in at $131 million. With a 5-year average payout ratio of 57.8%, CWT is one of the best long-term stocks on our list.

California Water Service Group (NYSE:CWT) has been growing its dividends for the past 56 years. It currently pays a quarterly dividend of $0.26 per share and has a dividend yield of 2.08%, as of June 27.

As of the close of Q1 2023, 14 hedge funds in Insider Monkey’s database reported having stakes in California Water Service Group (NYSE:CWT), the same as in the previous quarter. These stakes have a consolidated value of $111.3 million.

10. Sonoco Products Company (NYSE:SON)

Number of Hedge Fund Holders: 18

Consecutive Years of Dividend Growth: 40

5-Year Average Payout Ratio: 58.9%

Sonoco Products Company (NYSE:SON) is a global packaging solutions provider that specializes in manufacturing industrial and consumer packaging products and providing related services. The company’s cash flow remained solid during the first quarter of 2023, as its operating cash flow jumped to $98 million, from $1 million in the same period last year. It generated $86 million in free cash flow and paid $48 million in dividends to shareholders.

On April 19, Sonoco Products Company (NYSE:SON) declared a 4.1% hike in its quarterly dividend to $0.51 per share. This was the company’s 40th consecutive year of dividend growth, which makes it one of the best long-term stocks on our list. The stock’s dividend yield on June 27 came in at 3.53%.

Sonoco Products Company (NYSE:SON) was a part of 18 hedge fund portfolios, up from 17 in the previous quarter, as per Insider Monkey’s database. The stakes owned by these hedge funds have a collective value of $140.6 million. With over 1.1 million shares, Impax Asset Management was the company’s leading stakeholder in Q1.

9. MDU Resources Group, Inc. (NYSE:MDU)

Number of Hedge Fund Holders: 29

Consecutive Years of Dividend Growth: 32

5-Year Average Payout Ratio: 48.88%

MDU Resources Group, Inc. (NYSE:MDU) is an American diversified natural resource company. It operates in various sectors, including energy, construction materials, and services. In June, BofA double-upgraded the stock to Buy from Underperform with a $22 price target, taking into account the spinoff of Knife River.

In the first quarter of 2023, MDU Resources Group, Inc. (NYSE:MDU) reported revenue of $1.74 billion, which showed a 22.5% growth from the same period last year. The company’s operating income for the quarter came in at $74.5 million, up 10.7% from the prior-year period.

MDU Resources Group, Inc. (NYSE:MDU), one of the best long-term stocks, currently pays a quarterly dividend of $0.2225 per share. The company has rewarded shareholders with growing dividends for the past 32 years. The stock has a dividend yield of 4.38%, as of June 27.

At the end of March 31, 29 hedge funds in Insider Monkey’s database reported having stakes in MDU Resources Group, Inc. (NYSE:MDU), up from 27 in the previous quarter. These stakes have a total value of over $576.2 million.

8. Waste Management, Inc. (NYSE:WM)

Number of Hedge Fund Holders: 43

Consecutive Years of Dividend Growth: 20

5-Year Average Payout Ratio: 49.9%

Waste Management, Inc. (NYSE:WM) is a Texas-based company that mainly provides environmental services to its consumers. It operates as a comprehensive provider of waste collection, disposal, recycling, and environmental solutions for residential, commercial, industrial, and municipal customers.

On May 9, Waste Management, Inc. (NYSE:WM) declared a quarterly dividend of $0.70 per share, which was in line with its previous dividend. The company maintains a 20-year streak of dividend growth, which makes it one of the best long-term stocks on our list. As of June 27, the stock has a dividend yield of 1.67%.

In April, Stifel upgraded Waste Management, Inc. (NYSE:WM) to Buy and also raised its price target on the stock to $177. The firm mentioned that the company is well-positioned to benefit from a recovery in commodities prices.

According to Insider Monkey’s database of Q1 2023, 43 hedge funds owned stakes in Waste Management, Inc. (NYSE:WM), worth roughly $7 billion collectively. With over 35 million shares, Bill & Melinda Gates Foundation Trust was the company’s leading stakeholder in Q1.

7. Texas Instruments Incorporated (NASDAQ:TXN)

Number of Hedge Fund Holders: 52

Consecutive Years of Dividend Growth: 19

5-Year Average Payout Ratio: 55.2%

Texas Instruments Incorporated (NASDAQ:TXN) is next on our list of the best long-term dividend stocks. The American semiconductor manufacturing company has a 19-year run of raising its dividends. It currently offers a quarterly dividend of $1.24 per share and has a dividend yield of 2.90%, as of June 27.

In the first quarter of 2023, Texas Instruments Incorporated (NASDAQ:TXN) reported an operating cash flow of $1.12 billion and its free cash flow amounted to $178 million. For the trailing 12 months period, the company’s free cash flow was $4.4 billion, which represented 23% of the revenue.

At the end of Q1 2023, 52 hedge funds tracked by Insider Monkey owned stakes in Texas Instruments Incorporated (NASDAQ:TXN), worth collectively $3 billion roughly.

6. Caterpillar Inc. (NYSE:CAT)

Number of Hedge Fund Holders: 52

Consecutive Years of Dividend Growth: 29

5-Year Average Payout Ratio: 45.4%

Caterpillar Inc. (NYSE:CAT) ranks sixth on our list of the best long-term stocks. On June 14, the company declared a quarterly dividend of $1.30 per share, having raised it by 8% from the previous dividend. This marked the company’s 29th consecutive year of dividend growth. The stock’s dividend yield on June 29 came in at 2.19%.

Other dividend stocks that are on investors’ radars include Walmart Inc. (NYSE:WMT), Johnson & Johnson (NYSE:JNJ), and AbbVie Inc. (NYSE:ABBV).

In May, Evercore ISI gave a positive outlook on the industrial machinery group. The firm gave an Outperform rating to Caterpillar Inc. (NYSE:CAT) with a $263 price target.

At the end of Q1 2023, Caterpillar Inc. (NYSE:CAT) was a part of 52 hedge fund portfolios, up from 50 in the preceding quarter, as per Insider Monkey’s data. The stakes owned by these funds have a consolidated value of over $2.88 billion.

Click to continue reading and see 5 Best Long-Term Dividend Stocks To Buy Now

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Disclosure. None. 12 Best Long-Term Dividend Stocks To Buy Now is originally published on Insider Monkey.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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AI, Tariffs, Nuclear Power: One Undervalued Stock Connects ALL the Dots (Before It Explodes!)

Artificial intelligence is the greatest investment opportunity of our lifetime. The time to invest in groundbreaking AI is now, and this stock is a steal!

AI is eating the world—and the machines behind it are ravenous.

Each ChatGPT query, each model update, each robotic breakthrough consumes massive amounts of energy. In fact, AI is already pushing global power grids to the brink.

Wall Street is pouring hundreds of billions into artificial intelligence—training smarter chatbots, automating industries, and building the digital future. But there’s one urgent question few are asking:

Where will all of that energy come from?

AI is the most electricity-hungry technology ever invented. Each data center powering large language models like ChatGPT consumes as much energy as a small city. And it’s about to get worse.

Even Sam Altman, the founder of OpenAI, issued a stark warning:

“The future of AI depends on an energy breakthrough.”

Elon Musk was even more blunt:

“AI will run out of electricity by next year.”

As the world chases faster, smarter machines, a hidden crisis is emerging behind the scenes. Power grids are strained. Electricity prices are rising. Utilities are scrambling to expand capacity.

And that’s where the real opportunity lies…

One little-known company—almost entirely overlooked by most AI investors—could be the ultimate backdoor play. It’s not a chipmaker. It’s not a cloud platform. But it might be the most important AI stock in the US owns critical energy infrastructure assets positioned to feed the coming AI energy spike.

As demand from AI data centers explodes, this company is gearing up to profit from the most valuable commodity in the digital age: electricity.

The “Toll Booth” Operator of the AI Energy Boom

  • It owns critical nuclear energy infrastructure assets, positioning it at the heart of America’s next-generation power strategy.
  • It’s one of the only global companies capable of executing large-scale, complex EPC (engineering, procurement, and construction) projects across oil, gas, renewable fuels, and industrial infrastructure.
  • It plays a pivotal role in U.S. LNG exportation—a sector about to explode under President Trump’s renewed “America First” energy doctrine.

Trump has made it clear: Europe and U.S. allies must buy American LNG.

And our company sits in the toll booth—collecting fees on every drop exported.

But that’s not all…

As Trump’s proposed tariffs push American manufacturers to bring their operations back home, this company will be first in line to rebuild, retrofit, and reengineer those facilities.

AI. Energy. Tariffs. Onshoring. This One Company Ties It All Together.

While the world is distracted by flashy AI tickers, a few smart investors are quietly scooping up shares of the one company powering it all from behind the scenes.

AI needs energy. Energy needs infrastructure.

And infrastructure needs a builder with experience, scale, and execution.

This company has its finger in every pie—and Wall Street is just starting to notice.

Wall Street is noticing this company also because it is quietly riding all of these tailwinds—without the sky-high valuation.

While most energy and utility firms are buried under mountains of debt and coughing up hefty interest payments just to appease bondholders…

This company is completely debt-free.

In fact, it’s sitting on a war chest of cash—equal to nearly one-third of its entire market cap.

It also owns a huge equity stake in another red-hot AI play, giving investors indirect exposure to multiple AI growth engines without paying a premium.

And here’s what the smart money has started whispering…

The Hedge Fund Secret That’s Starting to Leak Out

This stock is so off-the-radar, so absurdly undervalued, that some of the most secretive hedge fund managers in the world have begun pitching it at closed-door investment summits.

They’re sharing it quietly, away from the cameras, to rooms full of ultra-wealthy clients.

Why? Because excluding cash and investments, this company is trading at less than 7 times earnings.

And that’s for a business tied to:

  • The AI infrastructure supercycle
  • The onshoring boom driven by Trump-era tariffs
  • A surge in U.S. LNG exports
  • And a unique footprint in nuclear energy—the future of clean, reliable power

You simply won’t find another AI and energy stock this cheap… with this much upside.

This isn’t a hype stock. It’s not riding on hope.

It’s delivering real cash flows, owns critical infrastructure, and holds stakes in other major growth stories.

This is your chance to get in before the rockets take off!

Disruption is the New Name of the Game: Let’s face it, complacency breeds stagnation.

AI is the ultimate disruptor, and it’s shaking the foundations of traditional industries.

The companies that embrace AI will thrive, while the dinosaurs clinging to outdated methods will be left in the dust.

As an investor, you want to be on the side of the winners, and AI is the winning ticket.

The Talent Pool is Overflowing: The world’s brightest minds are flocking to AI.

From computer scientists to mathematicians, the next generation of innovators is pouring its energy into this field.

This influx of talent guarantees a constant stream of groundbreaking ideas and rapid advancements.

By investing in AI, you’re essentially backing the future.

The future is powered by artificial intelligence, and the time to invest is NOW.

Don’t be a spectator in this technological revolution.

Dive into the AI gold rush and watch your portfolio soar alongside the brightest minds of our generation.

This isn’t just about making money – it’s about being part of the future.

So, buckle up and get ready for the ride of your investment life!

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Here’s what to do next:

1. Head over to our website and subscribe to our Premium Readership Newsletter for just $9.99.

2. Enjoy a month of ad-free browsing, exclusive access to our in-depth report on the Trump tariff and nuclear energy company as well as the revolutionary AI-robotics company, and the upcoming issues of our Premium Readership Newsletter.

3. Sit back, relax, and know that you’re backed by our ironclad 30-day money-back guarantee.

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