In this article, we will take a look at the 14 Safest Stocks with Highest Dividends. 

Investors trying to navigate a choppy market may want to look at more defensive stocks, according to Barclays. The firm said risks like geopolitics, oil prices, artificial intelligence disruption, and private credit are no longer just background concerns this year. Analyst Andrew Ferremi noted in a report last week that these factors are now playing a much more direct role in shaping the market. He made the following comment:

“Global markets have entered a phase where geopolitical risk and structural disruption are no longer episodic shocks but persistent features of the investment landscape.”

Stocks pulled back again last week. The Dow Jones Industrial Average ended Friday more than 10% below its recent high, moving into correction territory. The S&P 500 also extended its losing streak to five straight weeks. The market has been uneven through 2026. Early on, investors were focused on the potential impact of AI across several sectors. Concerns around private credit followed, especially as large funds began to see higher redemptions. Then, the Iran war escalated toward the end of February, pushing oil prices higher and adding another layer of uncertainty.

Ferremi and his team surveyed sector analysts across the firm to identify ways to handle the current volatility. One idea stood out. They pointed to stocks that are more defensive in nature, carry overweight ratings, and in many cases offer dividend income.

Given this, we will take a look at some of the best stocks with the highest dividends.

Our Methodology:

For this list, we screened for companies with dividend growth streaks, solid financials, and sound balance sheets. From that group, we picked companies with dividend yields above 3%, as of March 30. We limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment.

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 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).

14. Automatic Data Processing, Inc. (NASDAQ:ADP)

Dividend Yield as of March 30: 3.31%

On March 27, Wells Fargo lowered its price recommendation on Automatic Data Processing, Inc. (NASDAQ:ADP) to $214 from $262. It reiterated an Underweight rating on the stock. The firm pointed to compression in comparable group multiples as the reason for the change.

During the fiscal Q2 2026 earnings call, Peter Hadley, the Chief Financial Officer, said the company was raising its fiscal 2026 consolidated revenue outlook to about 6% growth. He noted that the expectation for adjusted EBIT margin expansion remained unchanged at 50 to 70 basis points. He added that the company was also increasing its adjusted EPS growth forecast to between 9% and 10%, mentioning that share repurchases would help support this improvement.

The company also raised its Employer Services revenue growth outlook to roughly 6% for the full year. At the same time, it maintained its Professional Employer Organization revenue growth guidance in the 5% to 7% range. PEO revenue, excluding zero-margin pass-throughs, is expected to grow between 3% and 5%. Hadley said the effective tax rate is still expected to be around 23% for the year. He also reiterated that the company is keeping its guidance for new business bookings growth at 4% to 7% for fiscal 2026.

Automatic Data Processing, Inc. (NASDAQ:ADP) provides cloud-based human capital management (HCM) solutions. Its operations are organized into Employer Services and Professional Employer Organization segments.

13. The PNC Financial Services Group, Inc. (NYSE:PNC)

Dividend Yield as of March 30: 3.37%

On March 26, Truist analyst John McDonald lowered the firm’s price recommendation on The PNC Financial Services Group, Inc. (NYSE:PNC) to $234 from $240. It maintained a Hold rating on the shares. The update came as part of a broader note on regional and universal banks. The analyst said that sentiment around bank stocks has been weighed down by macro concerns and structural pressures, including war, interest rates, stagflation, AI displacement, and private credit. Even so, recent updates on the quarter have been fairly positive. He added that management commentary has sounded constructive when looking at the full year ahead.

On the same day, Jefferies initiated coverage of PNC with a Buy rating. It also set a $250 price target on the stock. The firm launched coverage on seven money-center and super-regional banks, naming Wells Fargo as its top pick. Jefferies pointed to expectations for a “strong and expanding” return on tangible common equity. It also highlighted above-average growth in net interest income as a key reason behind its positive view on the stock.

The PNC Financial Services Group, Inc. (NYSE:PNC) is a diversified financial services company in the United States. It offers retail and business banking, covering a wide range of lending products. The company also provides specialized services to corporations and government entities, including corporate banking, real estate finance, and asset-based lending. In addition, it operates wealth management and asset management businesses.