The more passive income can help cover rising costs like mortgages, insurance, taxes, and other expenses, the easier it is for investors to put away money for future needs as they prepare for retirement. Dependable recurring dividends from quality, high-yield stocks like the Dividend Aristocrats are a recipe for success. Most dividend investors seek solid passive income streams from quality dividend stocks. Passive income is a steady stream of unearned income that does not require active traditional work. Shared ideas for earning passive income include investments like dividend stocks, bonds, mutual funds, real estate, and additional income-producing side hustles.

Investors looking for defensive companies paying big dividends are drawn to the Dividend Aristocrats, and with good reason. The 66 companies that made the cut for the 2025 S&P 500 Dividend Aristocrats list have increased dividends (not just remained the same) for 25 years straight. But the requirements go even further, with the following attributes also mandatory for membership on the aristocrats list:

• Companies must be worth at least a minimum of $3 billion for each quarterly rebalancing.
• Average daily volume must be at least $5 million transactions for every trailing three-month period at every quarterly rebalancing date.
• Companies must be a member of the S&P 500.

We screened the 2025 Dividend Aristocrats looking for the companies Wall Street endorses for passive income investors, and four of the highest-yielding companies are great ideas for 2025.

Why do we cover the Dividend Aristocrats?

S&P 500 companies that have paid and raised their dividends for 25 years or 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 keep their ground much better than volatile technology names.

Realty Income

This is an ideal stock for growth and income investors looking for a safer contrarian idea for the rest of 2025 that pays a whopping 5.80% dividend monthly. Realty Income Corp. (NYSE: O) acquires and manages freestanding commercial properties that generate rental revenue under long-term net lease agreements with its commercial clients. It is involved in a single business activity: leasing property to clients, generally on a net basis. That business activity spans various geographic boundaries and includes property types and clients engaged in multiple industries.

The company owns approximately 15,450 properties across 86 different industries leased to over 1,300 different clients throughout all 50 states, as well as Puerto Rico, the United Kingdom, Spain, Italy, Ireland, France, Germany and Portugal.

Its property types include retail, industrial, gaming, and others, such as agriculture and office.

Its primary industry concentrations include:

• Grocery stores
• Convenience stores
• Dollar stores
• Drug stores
• Home improvement
• Restaurants
• Quick service

 Franklin Resources

This company is a mutual fund powerhouse that pays a safe and secure 5.75% dividend. Franklin Resources Inc. (NYSE: BEN) is among the most prominent global money managers. The firm markets mutual funds and institutional separate accounts under the Franklin, Templeton, and Mutual Series brands. At times, 50% of its sales are from outside the United States, an advantage given the maturing U.S. market.

Franklin Resources recently reported fiscal financial results for the first quarter, showing a net income of $163.6 million, a solid recovery from the previous quarter’s net loss. However, the company also experienced a decline compared to the same period last year. Adjusted net income slightly improved to $320.5 million, while long-term inflows increased by 34%. The company noted gains in equity, multi-asset, and alternative investments.

Franklin Resources offers its products and services under the brands of:

• Franklin
• Templeton
• Franklin Mutual Series
• Franklin Bissett
• Fiduciary Trust
• Darby
• Balanced Equity Management
• K2
• LibertyShares
• Edinburgh Partners

The 2023-2024 bull market was a solid tailwind for the company. While withdrawals from assets under management by baby boomers may be a concern, the path forward looks solid.

Amcor

This top company makes sense now as it produces always-needed products and pays a robust 5.25% dividend. Amcor PC (NYSE: AMCR) manufactures and sells packaging products in Europe, North America, Latin America, Africa, and the Asia Pacific.

The company operates through two segments:

• Flexibles
• Rigid Packaging

The Flexibles segment provides flexible and film packaging products in food and beverage, medical and pharmaceutical, fresh produce, snack food, personal care, and other industries.

The Rigid Packaging segment offers rigid containers for a range of beverage and food products, including:

• Carbonated soft drinks
• Water
• Juices
• Sports drinks
• Milk-based beverages
• Spirits
• Beer
• Sauces
• Dressings
• Spreads
• Personal care items
• Plastic caps for various applications.

The company sells its products primarily through its direct sales force.

Chevron

This integrated giant is a safer option for investors looking to position themselves in the energy sector. Chevron’s board recently raised the energy giant’s quarterly dividend by 4.9%, to $1.71 from $1.63. The new payout, equal to $6.84 a year, provides a hefty 4.58% dividend. Chevron Corp. (NYSE: CVX) engages in integrated energy and chemicals operations worldwide through its subsidiaries.

Chevron stock fell almost 5% after a disappointing fourth-quarter earnings report. For the first time in four years, it lost money in its refining business and missed analysts’ earnings expectations. Investors can grab shares now on sale and buy a stock that Warren Buffett owns 118,610,534 shares of, which equals 6.6% of the company.

The company operates in two segments:

• Upstream
• Downstream

The Upstream segment is involved in the following:

• Exploration, development, production, and transportation of crude oil and natural gas
• Processing, liquefaction, transportation, and regasification associated with liquefied natural gas
• Transportation of crude oil through pipelines; and transportation, storage
• Marketing of natural gas, as well as operating a gas-to-liquids plant

The Downstream segment engages in:

• Refining crude oil into petroleum products
• Marketing crude oil, refined products, and lubricants
• Manufacturing and marketing renewable fuels
• Transporting crude oil and refined products by pipeline, marine vessel, motor equipment, and rail car
• Manufacturing and marketing of commodity petrochemicals, plastics for industrial uses, and fuel and lubricant additives

It also involves cash management, debt financing, insurance operations, real estate, and technology businesses.

Chevron announced in the fall of 2023 that it has entered into a definitive agreement with Hess Corp. (NYSE: HES) to acquire all of the outstanding shares of Hess in an all-stock transaction valued at $53 billion, or $171 per share based on Chevron’s closing price on October 20, 2023. Under the terms of the agreement, Hess shareholders will receive 1.0250 shares of Chevron for each Hess share. The transaction’s total enterprise value, including debt, is $60 billion and was approved by the FTC last fall. It should finally close this summer.

J.P. Morgan’s Best 2025 Stock Ideas Include 5 Blue-Chip Dividend Giants

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