Passive income sounds appealing on paper. It involves regular cash flows and minimal work. It is not easy to create a steady source of passive income. While some people consider investing in real estate or business to create steady income streams, these strategies can be costly and take years. You can also invest in dividend stocks, which will allow you to be patient.
It might be the best way to generate passive income right away, with so many companies in the stock exchange to choose from and so many dividend-paying businesses. Are you interested in stable companies? The dividend aristocrats are a reliable source of passive income in the stock exchange. This is a group of companies who have raised their dividends in every year for the last 25 years. This is the kind of stability investors can trust for the long-term, with some stocks offering upside potential in the form of price appreciation.
Here are three dividend-aristocrat stocks that you can buy now if passive income is something you’re interested in.
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Abbott Laboratories (NYSE: ABT)
Because of their business model’s strong financial performance, dividend aristocrats can consistently return capital to shareholders. To be able to pay a dividend, the company must have steady earnings, stable cash flow, and the ability to increase it each year. Abbott Laboratories is a great example of the type of business that passive income investors should be looking for, as it’s a diversified health care products company with a nice mix of new and existing products offering stable sales along with growth potential.
Its primary product lines are nutritionals for infants and adults, diagnostic systems and vascular implants. They also sell diabetes care products directly to pharmacies, wholesalers and distributors. Abbott Laboratories produces COVID-19 at-home test kits, which continue to be a key part in keeping the pandemic under control and provide a new revenue stream. The stock also has some upside as the number of elective procedures and doctor visits is increasing, which helps its medical device business. Investors will love that Q2 global sales were $10.2 billion, an increase of 35% organically.
Dover Corporation (NYSE: DOV)
Why isn’t Dover Corporation being talked about more? This stock is a great dividend aristocrat and has seen relative strength across a variety of industries. Dover Corporation produces a wide range of industrial products as well as sophisticated equipment. This makes it a solid business model that can be relied on for the long-term. It has several operating segments, including Engineered Products and Fueling Solutions as well as Imaging & Identification, Pumps & Processing Solutions, Pumps & Food Equipment, Imaging & Identification, Pumps & Procedure Solutions, Pumps & Food Equipment, and Fueling Solutions. This makes it one of the most fascinating industrial companies you should consider.
According to data from Marketbeat, Dover’s dividend has grown by 8.24% over the last three years and the company has boosted its payout for 59 consecutive years, which is truly remarkable consistency. It is also an attractive reopening investment as it has food and refrigeration equipment that should be in greater demand once more people get vaccinated. Dover Corporation delivered Q2 diluted earnings per share of $1.82 in a remarkable quarter that beat all expectations. The company had $2 billion revenue and a Q2 dilutedEPS of $1.82. That’s an 112% increase year-over-year. Although the stock is up significantly over the past few months, passive income investors who want to be exposed to the most respected industrial companies on the market can still get a great deal of exposure.
Kimberly Clark Corp (NYSE: KMB)
If you are a dividend investor after high yields to maximize your passive income, Kimberly Clark Corp stands out as a potential buy thanks to its 3.26% dividend yield and its history of 49 consecutive years of dividend raises. This company is a leader in consumer products and has a strong portfolio including Huggies Kleenex Scott Kleenex Scott Pull-Ups Kotex. Consumer staples stocks are able to withstand almost any market environment because they have products that see consistent demand.
The company currently works to counter inflation. It raises its prices and reduces its operating expenses. These moves could pay off over the long-term. The stock’s recent price action is also very positive. It has successfully reclaimed the majority of its major moving averages. This dividend aristocrat could be a good idea for passive income. The stock may have a strong finish in 2021.
Publited at Thu, 09 Sep 2021 11:00:34 +0000