Investing

Baby Boomers Can Retire in the Best America in Decades: 5 Dividend King Stocks for Their Journey

Lee Jackson

Published: December 8, 2024 8:15 am

Key Points

• Donald Trump’s massive mandate and win may start an American revival.
• Some pundits see a return to the era of John F. Kennedy.
• The new frontier will rely on some old, tried and true All-American companies.
• The massive change on the way means it is time for a portfolio review. Find an experienced financial planner to help. Click here and learn how. (sponsored)

While many seniors have enjoyed a long bull market over the past 35 years, there is a point when income becomes more critical than stock appreciation. The reason is simple: those who leave their careers to enjoy a well-deserved retirement lose the benefit of a regular salary and benefits associated with their jobs, like 401k matching and company-paid healthcare. In addition, many baby boomers take advantage of their retirement years to travel and enjoy the rewards they have worked to achieve for a lifetime.

Whether you voted for Donald Trump or not, his landslide electoral and popular vote victory will usher in a new America, one of promise for all and a revitalized America. His pledge to lower the incredible government waste and debt will help chip away at the massive deficit that both Republican and Democratic regimes have piled up since the 1990s.

John F. Kennedy’s election in 1960 started what was called, at the time, the New Frontier. That meant a growing American economy that helped all, going to and landing on moon and much more. Trump is bringing millennials into the decision-making process and eschewing the old Washington, D.C., ruling class, and that could be just the ticket needed to get the country rolling toward new heights and to be once again what President Ronald Reagan called the shining city on the hill.

Some of the best stocks for baby boomer income investors are the Dividend Kings, 53 companies that have raised their dividends for 50 years, a testament to their dependability and reliability. Those are two “must-have” items for investors who rely on passive income to boost their overall revenue. We found five that are perfect ideas for baby boomers now.

Why we recommend the Dividend Kings

Companies that have paid and raised their dividends for 50 years and longer are the kind that growth and income investors want to buy and hold in stock portfolios forever. These stocks are mostly conservative, and should we see a dramatic market correction, they will likely have their ground much better than volatile technology names.

AbbVie

This stock is one of the top pharmaceutical stock picks across Wall Street and pays a dependable 3.87% dividend. AbbVie Inc. (NYSE: ABBV) discovers, develops, manufactures, and sells pharmaceuticals worldwide.

The company offers:

• Humira, an injection for autoimmune and intestinal Behçet’s diseases and pyoderma gangrenosum
• Skyrizi to treat moderate to severe plaque psoriasis, psoriatic disease, and Crohn’s disease
• Rinvoq to treat rheumatoid and psoriatic arthritis, ankylosing spondylitis, atopic dermatitis, axial spondyloarthropathy, ulcerative colitis, and Crohn’s disease
• Imbruvica for the treatment of adult patients with blood cancers; Epkinly to treat lymphoma
  Elahere to treat cancer
• Venclexta/Venclyxto to treat blood cancers

It also provides:

• Facial injectables, plastics and regenerative medicine, body contouring, and skin care products
• Botox therapeutic
• Vraylar for depressive disorder
• Duopa and Duodopa to treat advanced Parkinson’s disease
• Ubrelvy for the acute treatment of migraine in adults
• Qulipta for episodic and chronic migraine

In addition, the company offers Ozurdex for eye diseases, Lumigan/Ganfort and Alphagan/Combigan for reducing elevated intraocular pressure in patients with open-angle glaucoma or ocular hypertension, Restasis to increase tear production, and other eye care products.

Further, it provides:

• Mavyret/Maviret to treat chronic hepatitis C virus genotype 1-6 infection
• Creon, a pancreatic enzyme therapy
• Lupron to treat advanced prostate cancer, endometriosis, and central precocious puberty, and patients with anemia caused by uterine fibroids
• Linzess/Constella to treat irritable bowel syndrome with constipation and chronic idiopathic constipation
• Synthroid for hypothyroidism

Altria

This tobacco company offers value investors a great entry point and a rich 7.37% dividend. Altria Group Inc. (NYSE: MO) manufactures and sells smokable and oral tobacco products in the United States through its subsidiaries.

The company provides cigarettes primarily under the Marlboro brand, as well as:

• Cigars and pipe tobacco, principally under the Black & Mild brand
• Moist smokeless tobacco and snus products under the Copenhagen, Skoal, Red Seal, and Husky brands
• on! Oral nicotine pouches

It sells its tobacco products primarily to wholesalers, including distributors and large retail organizations, such as chain stores.

Altria used to own over 10% of Anheuser-Busch InBev N.V. (NYSE: BUD), the world’s largest brewer. The company sold 35 million of its 197 million shares through a global secondary offering earlier this year. That represents 18% of their holdings but still leaves a hefty 8% of the outstanding shares in their back pocket. They also announced a $2.4 billion stock repurchase plan partially funded by the sale.

Kenvue

Spun off from Johnson & Johnson (NYSE: JNJ) last year, this potential total return home run pays a solid 3.50% dividend. Kenvue Inc. (NYSE: KVUE) is a global consumer health company.

The company operates through three segments:

• Self Care
• Skin Health and Beauty
• Essential Health

The Self Care segment offers cough, cold, and allergy pain care, digestive health, smoking cessation, and other products under these brands:

• Tylenol
• Nicorette
• Zyrtec

The Skin Health and Beauty segment provides face and body care, hair care, sun care, and other products under these brands:

• Neutrogena
• Aveeno
• OGX

The Essential Health segment offers oral and baby, women’s health, and wound care products under these brands:

• Listerine
• Johnson’s
• Band-Aid
• Stayfree

Northwest Natural

This off-the-radar utility stock suits worried conservative investors and pays a solid 4.82% dividend. Northwest Natural Holding Co. (NYSE: NWN), through its subsidiary, Northwest Natural Gas Company, provides regulated natural gas distribution services to residential, commercial, industrial, and transportation customers in Oregon and Southwest Washington.

The company also operates:

• 5.7 billion cubic feet of the Mist gas storage facility contracted to other utilities and third-party marketers
• Offers natural gas asset management services
• Operates an appliance retail center

In addition, it engages in gas storage, water, non-regulated renewable natural gas, and other investments and activities.

The company provides natural gas service through approximately:

• 786,000 meters in Oregon and southwest Washington
• Water services to about 80,000 people through about 33,000 water and wastewater connections in the Pacific Northwest and Texas

Stanley Black & Decker

With the potential for the economy to slow down some, you can bet that the do-it-yourself legions will fix rather than buy new, and yielding a strong 3.85% this legendary stock is a solid idea now. Stanley Black & Decker Inc. (NYSE: SWK) provides hand tools, power tools, outdoor products, and related accessories in the United States, Canada, Other Americas, Europe, and Asia.

Its Tools & Outdoor segment offers professional-grade corded and cordless electric power tools and equipment, including:

• Drills
• Impact wrenches and drivers
• Grinders, saws, routers, and sanders
• Pneumatic tools and fasteners, such as nail guns, nails, staplers and staples, and concrete and masonry anchors; corded and cordless electric power tools
• Hand-held vacuums, paint tools, and cleaning appliances
• Leveling and layout tools, planes, hammers, demolition tools, clamps, vises, knives, saws, chisels, and industrial and automotive tools
• Drill, screwdriver, router bits, abrasives, saw blades, and threading products
• Toolboxes, sawhorses, medical cabinets, and engineered storage solutions
• Electric and gas-powered lawn and garden products

This segment sells its products under these brand names:

• DeWalt
• Craftsman
• Cub Cadet
• Black+Decker
• Hustler

The company’s Industrial segment provides:

• Threaded fasteners, blind rivets and tools, blind inserts and tools
• Drawn arc weld studs and systems
• Engineered plastic and mechanical fasteners
• Self-piercing riveting systems
• Precision nut running systems
• Micro fasteners
• High-strength structural fasteners
• Axel swage, latches, heat shields, pins, couplings, fitting, and other engineered products
• Attachments used on excavators and handheld tools

This segment sells its products through a direct sales force and third-party distributors to the automotive, manufacturing, electronics, construction, aerospace, and other industries.

Here Is How to Protect Your Baby Boomer Retirement Portfolio for Free