One of the best ways to protect your portfolio and generate income is by buying dividend stocks, especially Dividend Aristocrats.  Not only have these particular stocks paid out dividends for more than 25 years, but they’re also considered to be some of the most reliably safe.

Look at Realty Income (NYSE:O), for example. With a yield of 5.03%, the real estate investment trust (REIT) has been paying out a dividend for 29 consecutive years. In fact, its latest dividend of $0.263 will be paid on September 13 to shareholders of record as of September 3.

Even better, Realty Income has been one of the top performers on the market. Since July, the REIT soared from a low of about $52 to $62.77. So, not only did investors make money from the company’s consistent dividends, but they also made money from stock appreciation.

The three Dividend Aristocrats below also have a strong history of rewarding shareholders with sustainable dividends over the last 25+ years.

Key Points About This Article:

• One of the best ways to protect your portfolio from incessant market volatility is with respectable Dividend Aristocrats.
• Dividend Aristocrats are very popular with investors. After all, who wouldn’t want to own shares of strong stocks with a history of consistent dividend growth?
• Keep your portfolio well-protected with reliably safe stocks with yield. You may also want to grab your free copy of “2 Legendary High-Yield Dividend Stocks“ now.

Exxon Mobil

With a market cap of $509.8 billion, Exxon Mobil (NYSE:XOM) is one of the world’s biggest oil and gas companies in the world. Currently yielding 3.31%, the company has consistently paid out a dividend for the last 41 years. Even better, its current dividend of 95 cents per share is payable September 10 to shareholders of record as of August 15.

Even better, according to Exxon’s latest earnings, the company “announced second-quarter 2024 earnings of $9.2 billion, or $2.14 per share assuming dilution. Cash flow from operating activities was $10.6 billion and cash flow from operations excluding working capital movements was $15.2 billion. Shareholder distributions of $9.5 billion included $4.3 billion of dividends and $5.2 billion of share repurchases, consistent with the company’s announced plans.”

McDonald’s

Fast-food giant McDonald’s (NYSE:MCD) has been serving up hot dividends for years.

In fact, with a 48-year history of dividend growth, McDonald’s currently yields 2.33%. It also just declared a $1.67 per share dividend payable on September 7 to shareholders of record as of the close of business on September 3. The company also has a payout ratio of about 57.2%, telling us there’s even more room for growth moving forward.

Even better, given the strength of its brand, wide economic moat, and its global real estate, investors will see even more dividends. Also, while recent earnings weren’t so hot, the MCD stock is still gaining traction on $1.3 billion expansion plans in the U.K. and Ireland. In addition, analysts at Evercore ISI just raised their price target on McDonald’s to $320 from $300, noting the fast-food giant is set for a comeback.

Coca-Cola

With a 62-year history of dividend growth, Coca-Cola (NYSE:KO) is another one of the top Dividend Aristocrats to buy and hold. With a yield of about 2.7%, the company is expected to pay out its next dividend on October 1. Plus, with a payout ratio of about 75.5%, there’s even more room for dividend growth with this stock, as well.

Even better, earnings growth hasn’t been too shabby either. In its most recent quarter, the company’s EPS of 84 cents beat by three cents. Revenue of $12.4 billion, up 3.3% year over year, beat by $650 million. The company also raised guidance, expecting for organic sales to grow between 9% and 10% this year from an earlier guidance range of 8% to 9%.

Analysts at Morgan Stanley also expect for KO upside to continue. With an overweight rating on the stock, the firm called Coca-Cola a top pick with a new price target of $78 from $70.

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