In this article, we will take a look at the 12 Unstoppable Dividend Stocks to Buy According to Analysts.
Dividend-paying stocks have long played a steady role in investment portfolios. Investors often turn to them for reliable income and for some protection when markets get rough. That protection becomes more visible during market downturns. According to a report from Eagle Investment Management, dividend-paying stocks held up better in 2022, when the S&P 500 fell by more than 18%. Stocks in the index that paid dividends declined 11.1% that year. Those that did not pay dividends fell much further, losing 38.7%. The pattern flipped in the first half of 2023. Dividend payers returned 12.2%, while non-dividend stocks gained 36.7%.
A separate study from Heartland Advisors looked at long-term performance going back to January 1928. The analysis assumed dividends were reinvested and tracked results through December 2017. Over that full period, portfolios made up of dividend-paying stocks consistently outperformed portfolios of non-dividend payers. Higher-yielding dividend groups generally did better than lower-yielding ones. The report also found that dividend payers showed lower volatility, measured by annualized standard deviation, and posted higher Sharpe ratios than non-payers.
Similar conclusions appear in historical market data cited by The Wall Street Journal. During major market downturns in 1981–1982, 1990, 2000–2002, and 2008, dividend-paying stocks as a group outperformed those that did not pay dividends. These results align with what longer-term data shows across multiple market cycles.
Downside protection matters to most investors, especially because market corrections often happen quickly. In many cases, declines are sharp and short, with more than half of the corrections in the sample ending within three months. Large institutions often cannot shift portfolios fast enough during these periods due to their size and decision-making structure. For that reason alone, maintaining a long-term allocation to dividend-paying stocks makes sense as a risk management tool, even when they fall out of favor during strong market rallies.
Given this, we will take a look at the unstoppable dividend stocks to invest in.
Our Methodology:
For this list, we screened for companies with market caps above $2 billion and identified dividend stocks. From that list, we picked stocks that have generated the highest returns over the past year. Finally, we picked stocks with the highest upside potential, based on analysts’ price targets, as of February 7. The stocks are ranked according to their upside potential.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
12. Ubiquiti Inc. (NYSE:UI)
Upside Potential as of February 7: 11.27%
1-Year Return: 59.57%
On February 4, Barclays analyst Tim Long raised the firm’s price recommendation on Ubiquiti Inc. (NYSE:UI) to $527 from $455. The firm maintained an Underweight rating on the shares. The change followed an update to the firm’s model after the fiscal Q2 report.
Ubiquiti reported fiscal Q2 2026 earnings on February 8. Revenue came in at $814.8 million, up 35.8% from the same period last year. The company said revenue growth versus both the prior quarter and the year-ago period was driven by higher contributions from the Enterprise Technology platform and the Service Provider Technology platform.
During the second quarter of fiscal 2026, research and development expenses totaled $50.8 million. This was higher than the $48.5 million recorded in the prior quarter and above the $40.0 million reported in the comparable period last year. The increase from the prior quarter was mainly tied to higher prototype-related costs. The year-over-year increase was largely driven by higher employee-related expenses along with additional prototype spending.
Sales, general, and administrative expenses for the quarter reached $30.3 million. That compares with $27.1 million in the previous quarter and $28.5 million in the same quarter last year.
Ubiquiti Inc. (NYSE:UI) develops technology platforms focused on distributed internet access, unified information technology, and consumer electronics used in professional, home, and personal settings. Its solutions are organized around high-performance networking technology for enterprises, service providers, and consumers.
11. Johnson Controls International plc (NYSE:JCI)
Upside Potential as of February 7: 11.08%
1-Year Return: 57.05%
On February 6, Johnson Controls International plc (NYSE:JCI) raised its price target on Johnson Controls to $158 from $138 and maintained an Overweight rating on the shares. In a research note, the firm said the company’s fiscal Q1 results offered another clear proof point of a “break out in performance” under Johnson Controls’ new CEO.
A few days earlier, on February 4, the company guided 2026 profit above Wall Street expectations. The outlook reflected steady demand for its thermal management and cooling equipment, particularly in data centers. Johnson Controls, whose portfolio includes IT cooling, security, and fire systems, continues to benefit from AI-driven data center expansion, alongside a broader upswing among industrial companies supplying critical infrastructure.
As more AI computing capacity comes online, demand for cooling infrastructure has continued to rise. Customers are increasingly focused on dependable, energy-efficient thermal management solutions. The company raised its full-year adjusted profit forecast to $4.70 per share from $4.55, ahead of analysts’ average estimate of $4.61, based on data compiled by LSEG. Its second-quarter adjusted profit outlook of $1.11 per share also exceeded the consensus estimate of $1.05.
For the quarter ended December 31, Johnson Controls reported adjusted earnings of 89 cents per share, compared with 64 cents a year earlier. Revenue in the first quarter rose to $5.79 billion from $5.43 billion in the prior-year period.
Johnson Controls International plc (NYSE:JCI) serves customers across aerospace manufacturing, healthcare, and commercial construction. Its products span heating, ventilation, and air conditioning systems, along with security, fire protection, and refrigeration equipment.
