When it comes to long-term investing, people tend to have a strategy based on dividend stocks investment that can provide a steady income later in life. For this kind of strategy most of the people look for ‘safe dividend stocks’ that are on the list of dividend champions, aristocrats and kings.
For this dividend stocks pie we have chose dividend champions as they hold a special place in the hearts of income-seeking investors. The companies that we have added to the pie are companies that have demonstrated remarkable consistency by increasing their dividends year after year, often for decades, so it is a good choice for those who value stable income and disciplined growth plus the fact that dividend champions are an excellent foundation for a diversified portfolio. Just remember how it works compound interest applied to the stock market and how small quantities can become massive with discipline and good choices.
I’ve created a “Top 25 Dividend Champions” pie, which you can now explore and copy. This pie brings together companies that offer a blend of consistent dividend growth, attractive yields, and solid financial health. But let’s dig on why those stocks, what are our requirements to be on the top 25, and why this strategy could be a game-changer for your investment portfolio.
What Makes Dividend Champions Special?
Dividend champions are companies that have increased their dividends annually for at least 25 years. This remarkable track record demonstrates resilience, reliable cash flow, and a commitment to rewarding shareholders. Investing in these companies offers several advantages:
- Steady Income: Regular dividend payments can provide a reliable income stream, especially important for retirees or those seeking financial independence.
- Capital Growth Potential: Companies with a history of increasing dividends often experience steady stock price appreciation over time.
- Inflation Hedge: Rising dividends can help offset the erosion of purchasing power caused by inflation.
- Financial Stability: Only companies with strong financials can sustain decades of dividend increases, making them less likely to face insolvency during economic downturns.
The Metrics That Matter
Jumping to the important bit, what are the requirements to be part of our Top 25 Dividend Pie. As previously discussed, first of all, they need:
- To be stocks listed on the dividend champions, aristocrats or kings.
- To have a current yield of 1.8% as minimum (at the time of writing, this could change if stock value declines or rises)
- A Stock that have increased dividend payment for over 25 years.
- A stock whose dividend has been increased at a rate of over 6% annually in the last 5 years.
- A stock that has seen growth on their earnings of over 3% as a minimum in the last year.
- To have a ‘low’ price to earnings rate
- To have a payout ratio of less than 75% of their earnings
So to give you a sample, these are some of the stocks that have included an their metrics, remember you can see and copy the full list of Top 25 Dividend Champions pie that will be updated regularly.
| Name | Yield | Increase | 5 Yr Div CAGR | EPS G | P/E FY1 | Payout Ratio |
|---|---|---|---|---|---|---|
| NextEra Energy, Inc. | 2.86% | 30 yrs | 10.51% | 7.69% | 19.6x | 55.91% |
| Atmos Energy Corp | 2.50% | 41 yrs | 8.85% | 4.91% | 19.4x | 48.57% |
| AbbVie Inc. | 3.69% | 53 yrs | 7.69% | 11.53% | 14.6x | 53.77% |
Why Copy the Top 25 Dividend Champions Pie?
This pie has been carefully constructed to offer a mix of:
- High Dividend Growth: Companies like NextEra Energy and Atmos Energy have impressive 1-year and 5-year dividend CAGR, reflecting their potential for growing payouts.
- Attractive Yields: From AbbVie to NextEra Energy, these companies provide attractive current income.
- Financial Health: Low payout ratios and manageable debt levels ensure these companies can continue increasing dividends sustainably.
To create this pie, I focused on companies that are dividend champions, kings, or aristocrats, with yields of more than 1.8%, EPS growth of at least 3%, and a stock price return of at least 5% this year. By investing in this pie, you gain instant diversification across multiple sectors, reducing risk while enjoying the steady benefits of dividend income.
How to Get Started
To invest in the “Top 25 Dividend Champions” pie and start earning steady dividend income, click on the link below. When you copy this pie, you’ll also receive a free share valued between $1 and $100 (depending on your country of residence), making it an even more rewarding decision.
Top 25 Dividend Champions – Copy My Pie Now!
We will keep you updated with any changes on the Top 25 dividend stocks, and the app will be asking you to update your pie if you wish to do as we do the changes.
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