In this article, we will take a look at the Dividend Kings List: Top 15 Stocks.
Dividend Kings are a small group of companies that have raised their dividends for at least 50 consecutive years. Stocks like these have remained popular with investors for a simple reason. Over long market cycles, companies that pay dividends have often delivered stronger long-term returns than businesses that do not. They also tend to carry lower risk. Regular dividend payments usually reflect steady cash flow and disciplined financial management.
A report from Guggenheim Investments notes that dividend growth stocks can appeal to investors looking for companies that operate with discipline and may help cushion portfolios during periods of market volatility. The report also points out that dividend growth strategies are typically more diversified across sectors. This differs from pure yield strategies, which often lean heavily toward Financial and Utilities stocks.
Dividends themselves have also played a meaningful role in long-term returns. According to the report, dividends paid to shareholders have accounted for nearly 40% of total market returns over the past 20 years. Strategies built around dividend growth have also tended to show favorable up and down capture ratios. In practical terms, this means investors may still participate in the market’s long-term gains. At the same time, they may retain more value when markets inevitably decline.
Given this, we will take a look at some of the best dividend kings to invest in.
Photo by Vitaly Taranov on Unsplash
Our Methodology:
To create this list, we examined a set of over 50 dividend king companies, recognized for consistently increasing dividends for 50 years or more. From this group, we selected companies with the highest dividend yields as of March 6 and organized them in ascending order based on their yield, from lowest to highest. 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 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
15. W.W. Grainger, Inc. (NYSE:GWW)
Dividend Yield as of March 6: 0.81%
On March 3, Morgan Stanley raised its price recommendation on W.W. Grainger, Inc. (NYSE:GWW) to $1,190 from $1,100 and maintained an Equal Weight rating on the stock. The firm said it was updating its estimates to reflect the company’s Q4 results and rolling forward its forecasts.
During the company’s Q4 2025 earnings call, CEO Donald Macpherson said the company streamlined its portfolio by exiting the U.K. market. At the same time, Grainger invested in new supply chain capacity to extend its service leadership. The discussion also turned to artificial intelligence and machine learning. Macpherson said the company’s data capabilities support its five strategic growth engines and help drive market share gains in the High-Touch Solutions segment. He noted that Grainger expanded its assortment by more than 85,000 SKUs in 2025. According to him, that marked the largest increase for the High-Touch segment in almost a decade.
He also described several AI-driven improvements across marketing and sales. These included broader seller coverage and the ongoing rollout of the seller insights platform. Looking ahead to 2026, Macpherson said the company plans to apply AI to the platform to generate actionable insights, identify new customer contacts, and improve coaching opportunities for sales leaders.
W.W. Grainger, Inc. (NYSE:GWW) operates as a broadline distributor of maintenance, repair, and operating products for businesses and institutions. The company reports its operations through two segments: High-Touch Solutions North America and Endless Assortment.
14. MSA Safety Incorporated (NYSE:MSA)
Dividend Yield as of March 6: 1.16%
On February 17, Baird analyst Robert Mason raised the firm’s price recommendation on MSA Safety Incorporated (NYSE:MSA) to $205 from $184. The firm reiterated a Neutral rating on the shares. The firm said it updated its model after reporting its Q4 results, noting that the outlook for 2026 sales was in line with expectations.
During the company’s Q4 2025 earnings call, President and CEO Steven Blanco said the year ended on a solid note, supported by the company’s Accelerate strategy. He reported that consolidated sales increased 2% during the quarter. Acquisitions contributed roughly 3% to growth, while foreign exchange added another 2% tailwind. Blanco said the Detection segment showed strong momentum, with organic growth of 17%. He explained that demand for fixed solutions largely drove that performance.
Results were weaker in the fire service. Organic sales in the segment declined 21%, which he attributed to delays in AFG funding and the temporary shutdown of the U.S. government. Industrial PPE posted a modest improvement. Blanco said organic sales in that category rose 1%. He also noted that the acquisition of M&C TechGroup contributed around $15 million in revenue during the quarter. Blanco added that Detection has become the company’s largest product category. It now represents 41% of total sales. He also pointed to several new product launches. Blanco added that the newest generation 2025 G1 SCBA received NFPA approval in November.
He also said the company deployed nearly $0.5 billion toward growth investments and shareholder returns during the year. The dividend, he noted, was increased for the 55th consecutive year.
MSA Safety Incorporated (NYSE:MSA) develops advanced safety products, technologies, and solutions designed to protect workers and facility infrastructure. Its main product categories include fire service, detection, and industrial personal protective equipment.
13. Pentair plc (NYSE:PNR)
Dividend Yield as of March 6: 1.17%
On March 5, Seaport Research analyst Scott Graham lowered the firm’s price recommendation on Pentair plc (NYSE:PNR) to $130 from $135. The analyst maintained a Buy rating on the shares.
Earlier in February, Pentair announced several changes to its executive leadership team. The moves were part of a broader effort to support growth, strengthen innovation, and respond more quickly to customer needs.
Effective March 1, 2026, Adrian Chiu took on the role of Executive Vice President and Chief Strategy, Innovation and Digital Officer. The position is newly created and focuses on corporate strategy, emerging technologies, and digital transformation. Chiu previously led Pentair Water Solutions.De’Mon Wiggins also saw his responsibilities expand. As EVP and President of Pentair Flow, he now oversees Pentair Water Solutions as well. In this role, he leads strategic initiatives across Commercial Water Solutions, Water Quality Management, and Flow. The two segments will continue to report separately.
The company also confirmed the departure of two longtime executives. Steve Pilla, EVP and Chief Supply Chain Officer and Chief Transformation Officer, and Phil Rolchigo, EVP and Chief Technology Officer, left the company on March 1, 2026. After their departures, Pentair eliminated both positions. Supply chain operations now report to incoming CFO Nick Brazis. The innovation and sustainability teams have been moved under Adrian Chiu.
Pentair plc (NYSE:PNR) provides a range of smart and sustainable water solutions for homes, businesses, and industries worldwide. The company operates through three segments: Flow, Water Solutions, and Pool.
12. Nucor Corporation (NYSE:NUE)
Dividend Yield as of March 6: 1.33%
On March 3, BMO Capital raised its price recommendation on Nucor Corporation (NYSE:NUE) to $196 from $190 and. The firm reiterated an Outperform rating on the shares. The analyst said the company has been investing in the modernization and expansion of capabilities at its Steel Berkeley sheet and beam mill in South Carolina. According to the research note, the facility is well-positioned to benefit from the region’s manufacturing expansion.
The analyst also pointed to the company’s targeted shift toward higher value-added products.BMO added that Nucor is continuing to execute its multi-year organic growth strategy. In the firm’s view, these initiatives should improve the company’s through-cycle profitability over time.
Nucor Corporation (NYSE:NUE) manufactures steel and steel products, with operating facilities across the United States, Canada, and Mexico. The company also produces and procures ferrous and non-ferrous materials, mainly for use in its steel manufacturing operations.
11. Lowe’s Companies, Inc. (NYSE:LOW)
Dividend Yield as of March 6: 1.91%
On March 2, Argus raised its price recommendation on Lowe’s Companies, Inc. (NYSE:LOW) to $288 from $286. It reiterated a Buy rating on the shares after the company reported a Q4 earnings beat. The analyst said the company appears well-positioned to deliver long-term earnings growth and gain market share, according to a research note.
On February 27, Mizuho analyst David Bellinger also raised the firm’s price target on Lowe’s to $294 from $272 and kept an Outperform rating on the shares. Bellinger said the recent post-earnings selloff looks like an overreaction to the company’s fiscal 2026 outlook. He told investors in a research note that the initial guidance “feels like more of a base to build off.”
Lowe’s Companies, Inc. (NYSE:LOW) operates as a home improvement retailer. The company sells a wide range of products used in construction, maintenance, repair, remodeling, and other home improvement projects.
10. Tennant Company (NYSE:TNC)
Dividend Yield as of March 6: 2.02%
On February 26, Freedom Capital downgraded Tennant Company (NYSE:TNC) to Hold from Buy. The firm also lowered its price target on the stock to $67 from $93. The firm described the company’s Q4 report as “weak.” The analyst said Tennant’s near-term profitability and cash flow were affected by shipment constraints, stabilization costs, and tariff inflation. In a research note to investors, the firm added that these pressures could continue into 2026.
During the company’s Q4 2025 earnings call, CEO David Huml said both the fourth-quarter and full-year results were heavily impacted by the North America launch of a new ERP system in early November 2025. He explained that the rollout caused serious system functionality issues. These problems disrupted order entry, shipping, and customer service operations. Huml said the system took longer than expected to stabilize. As a result, the company lost about three weeks of machine order entry and parts shipping capability.
The disruptions also brought higher overtime, freight, and other direct operating costs. He added that the challenges reduced orders by roughly $15 million, mostly affecting parts, consumables, and equipment. The overall impact on net sales came to about $30 million. According to Huml, the ERP-related issues lowered fourth-quarter adjusted EBITDA by around $22 million.
The company continues to work on resolving the system problems. Huml said remediation costs are now expected to exceed $20 million in 2026, well above the original estimate of $5 million.
Tennant Company (NYSE:TNC) designs, manufactures, and markets cleaning solutions. Its products include manual and autonomous mechanized cleaning equipment used in both industrial and commercial settings. The company sells its offerings under several brands, including Tennant, Nobles, Alfa Uma Empresa Tennant, IPC, Gaomei, and Rongen, along with private-label brands.
9. RPM International Inc. (NYSE:RPM)
Dividend Yield as of March 6: 2.11%
On March 4, Baird analyst Ghansham Panjabi upgraded RPM International Inc. (NYSE:RPM) to Outperform from Neutral. The analyst left the firm’s price target unchanged at $125. In a research note, the analyst said the company appears well positioned to deliver accelerating earnings growth in fiscal 2027 and the years that follow. He added that RPM has “outsized” operating leverage as macroeconomic conditions gradually improve through 2026.
Earlier this year, RPM announced that its Tremco Construction Products Group had signed a definitive agreement to acquire Kalzip GmbH. The business manufactures aluminum roofing and façade systems used in building envelopes. The acquisition is expected to strengthen Tremco CPG’s capabilities in building envelope solutions. It also brings a well-known brand recognized for high-performance architectural systems.
Kalzip is headquartered in Koblenz, Germany. The company focuses on lightweight, weather-resistant aluminum systems and generated about €75 million in net sales in 2024.RPM said the deal should expand Tremco CPG’s presence in markets such as Europe and India. It also creates an opportunity to introduce Kalzip’s systems to North America.
The transaction is expected to close in the fourth quarter of fiscal 2026, subject to customary conditions. CEO Andrew Leach and the current leadership team are expected to remain with the business.
RPM International Inc. (NYSE:RPM) operates through subsidiaries that specialize in coatings, sealants, building materials, and related services. The company reports its operations through three segments: Construction Products Group, Performance Coatings Group, and Consumer.
8. Commerce Bancshares, Inc. (NASDAQ:CBSH)
Dividend Yield as of March 6: 2.18%
On March 2, Morgan Stanley analyst Manan Gosalia lowered the firm’s price recommendation on Commerce Bancshares, Inc. (NASDAQ:CBSH) to $65 from $67. The analyst reiterated an Equal Weight rating on the shares. In a research note, the firm said it is lifting price targets by a median of 8% across the midcap banks group. Gosalia noted that after the sector’s recent outperformance, “the bar is higher from here.” Even so, the firm still sees supportive trends for the group, including loan growth, improving net interest margins, and continued capital returns.
Earlier in February, Commerce Bancshares said its Board of Directors approved a quarterly dividend of $0.275 per share on the company’s common stock. The payout compares with the prior dividend of $0.262, adjusted for the 5% stock dividend that was paid in December. The change represents a 5% increase in the quarterly dividend per share. The move also extends the company’s long record of dividend growth. Commerce Bancshares has now increased its regular cash dividend for 58 consecutive years.
Commerce Bancshares, Inc. (NASDAQ:CBSH) operates as a regional bank holding company with $32.9 billion in assets. Through its subsidiaries, it provides banking services, payment solutions, wealth management, and securities brokerage. Its main subsidiary, Commerce Bank, has been serving individuals and businesses for more than 160 years, focusing on relationship-based banking and personalized financial services.
7. MGE Energy, Inc. (NASDAQ:MGEE)
Dividend Yield as of March 6: 2.38%
On February 20, Morgan Stanley raised its price recommendation on MGE Energy, Inc. (NASDAQ:MGEE) to $77 from $73. The firm said it is updating price targets for the Regulated & Diversified Utilities and IPPs group in North America for January. In a research note to investors, the analyst added that utilities underperformed the S&P during the month. Looking ahead to Q4 earnings, Morgan Stanley expects discussions around data center pipelines to show more balance. The firm pointed to growing concerns about affordability and the political environment.
MGE Energy reported full-year 2025 earnings of $135.9 million, or $3.72 per share. That compares with $120.6 million, or $3.33 per share, in the same period a year earlier. For the fourth quarter of 2025, the company reported earnings of $23.3 million, or $0.64 per share. In the prior-year quarter, earnings were $22.0 million, or $0.61 per share.
Results in the electric segment improved during the year. Earnings from the segment rose by $11.3 million in 2025 compared with 2024. The increase was largely tied to the deployment of several renewable energy projects. The Darien Solar Project in Rock and Walworth counties began operations in March 2025. A few months later, in June, the Paris Battery Energy Storage System also came online. MGE owns 25 MW of solar capacity from the Darien Solar Project and 11 MW of battery capacity from the Paris BESS.
The gas segment also posted higher earnings. Segment earnings increased by $2.5 million in 2025 compared with the previous year. During 2025, gas retail therm deliveries rose about 14% from the prior year. The company said the increase was largely due to warmer-than-normal weather conditions in 2024.
MGE Energy, Inc. (NASDAQ:MGEE) operates as a public utility holding company. Its segments include regulated electric utility operations, regulated gas utility operations, nonregulated energy operations, transmission investments, and other activities.
6. Sysco Corporation (NYSE:SYY)
Dividend Yield as of March 6: 2.53%
On February 24, Reborn Coffee, a company focused on the specialty coffee market, announced that it had entered into a distribution partnership with Sysco Corporation (NYSE:SYY). The company described the agreement as an important step in supporting its nationwide franchise expansion strategy.
As Reborn Coffee continues to grow its franchise presence across the United States, the company said a scalable distribution platform is becoming more important. Consistent supply helps maintain product quality, improves operational efficiency, and supports standard practices across locations. Through this partnership, Reborn Coffee expects to strengthen its supply chain operations and provide more standardized distribution support for both current and future franchise operators.
Under the program, the company will use Sysco’s distribution network, ordering systems, and service capabilities. Management believes this should improve fulfillment reliability and simplify purchasing across its franchise system. The partnership is also expected to support the company’s operating model in other ways. Reborn Coffee will gain access to Sysco’s quality assurance resources, food safety processes, local sourcing support, and operational tools designed to help stores maintain consistent execution.
The company said the arrangement should also improve franchise readiness. A more structured system for product delivery and operational support may allow store teams and franchise operators to focus more on customer service and revenue-generating activities.
Sysco Corporation (NYSE:SYY) sells, markets, and distributes food products to restaurants, healthcare and educational facilities, lodging businesses, and other organizations that prepare meals outside the home. The company also supplies a range of non-food items.
While we acknowledge the potential of SYY as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than SYY and that has 100x upside potential, check out our report about the cheapest AI stock.
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