3 Dividend Kings To Buy For A Lifetime Of Reliable Income

Investors looking for high-quality dividend stocks can consider the Dividend Kings, a collection of 48 businesses that have raised their payouts for at least 50 years. Because these stocks weather recessions well, retirees find them especially appealing.

This article presents three Dividend Kings with yields above 3% that can sustain dividend growth during recessions:

Atria Group

Altria Group Inc MO, a leader in consumer essentials, was established in 1847 by Philip Morris. In the United States, it markets Marlboro cigarettes and controls several nonsmoking brands. Altria also owns prominent positions in Cronos Group, Juul, and Anheuser-Busch InBev.

In 2023, Altria concentrated on growing its line of smokeless products by incorporating NJOY and introducing On! PLUS globally. Through a joint venture with JT, the company launched heated tobacco products. In response to the explosive rise of illegally flavored disposable e-vapor products, Altria pushed for a regulated e-vapor market. Altria aims to increase NJOY's distribution network and fortify its supply chain.

Altria projects adjusted diluted EPS growth between 1% and 4%, or $5 to $5.15, in 2024. The corporation pays dividends from about 80% of its yearly adjusted earnings per share. With 54 straight years of dividend increases, Altria currently yields 8.5%.

Hormel Foods

Founded in Minnesota in 1891, Hormel Foods Corp HRL has expanded to become a global leader in the food goods industry with $19 billion in annual sales. Well-known brands, including Applegate, SPAM, and Skippy, are among Hormel’s products sold in eighty nations.

Premium bacon, prepared proteins, poultry and snacks categories drove Hormel’s $3 billion in revenue and adjusted earnings-per-share of 41 cents in the first quarter of 2024. Acquisitions and natural expansion fuel Hormel’s business and allow steady dividend increases.

Hormel’s competitive advantages include its market-leading goods and vast worldwide distribution network. Currently yielding 3.1%, Hormel has increased dividends for 58 consecutive years. The company projects 5% yearly forward earnings growth driven by cost cuts and revenue growth.

National Fuel Gas Co

Operating in five segments — Exploration and Production, Pipeline and Storage, Gathering, Utility, and Energy Marketing — National Fuel Gas Co. NFG is a diversified energy firm. Exploration and Production make up the largest segment.

Effective hedging and robust volume growth helped National Fuel Gas post a 10% increase in output in the second quarter of fiscal 2024. Analysts had not expected earnings-per-share to rise by 16%. The company has routinely exceeded analyst expectations in 17 of the last 20 quarters.

National Fuel Gas aims to grow by increasing its natural gas output and the length of its pipeline system. Over the previous 10 years, the company has expanded its earnings-per-share at an average annual rate of 4.4%. In 2022 and 2023, it increased its proved reserves by 8% and 9%, respectively. The business maintains a careful dividend payment ratio of about 50% and solid interest coverage on its balance sheet.

With 53 years of consecutive dividend increases, National Fuel Gas qualifies as a Dividend King and currently yields 3.5%.

These Dividend Kings, known for their impressive dividend histories and high yields, offer reliable income and resilience during economic downturns, making them attractive investments for long-term income stability.

Are You Missing Out On Higher Yields?

The current high-interest-rate environment has created an incredible opportunity for income-seeking investors to earn massive yields, but not through dividend stocks… Certain private market real estate investments are giving retail investors the opportunity to capitalize on these high-yield opportunities and Benzinga has identified some of the most attractive options for you to consider. 

For example, the Jeff Bezos-backed investment platform just launched its Private Debt Fund, which provides access to a pool of short-term loans backed by residential real estate with a target 7% to 9% net annual yield paid to investors monthly. The best part? Unlike other private credit funds, this one has a minimum investment of only $100. 

Don't miss out on this opportunity to take advantage of high-yield investments while rates are high. Check out Benzinga's favorite high-yield offerings.