9 Dividend Stocks to Buy and Hold Forever

Long-term dividend stocks provide a measure of certainty for investors.

If you’ve dared to peek at your investment accounts lately and then cringed at the results, you’re not alone. It has been a brutal year on Wall Street, and almost every investor is feeling the pain. However, it’s worth noting that “paper” declines are not the same as real-world losses recorded when you actually make a sale. In fact, if you’re patient there’s a chance that many of the same stocks that are deeply in the red right now will rebound — and perhaps even deliver a profit over the long haul. Not every stock is worth hanging on to, of course. But the following stable dividend payers are perfect examples of the kind of investments you can have confidence in for the very long haul.

3M Co. (ticker: MMM)

3M commands a brand portfolio of more than 6,000 patented products across a diverse array of industries. From consumer offerings like Post-It Notes, Scotch tape and Command wall-hanging strips to specialty coatings and chemicals for industrial applications, there’s a wide variety of revenue streams feeding into this $70 billion company. That makes for incredibly reliable operations, including more than 60 years of consecutive dividend increases. MMM shares have been volatile in the near term, but with a yield that is more than three times that of the typical S&P 500 component there’s ample incentive to buy and hold this blue-chip stock for the long run.

Dividend yield: 5.3%

AT&T Inc. (T)

After the spinoff of Warner Bros Discovery Inc. (WBD) earlier this year, telecom titan AT&T has gotten back to its core business of digital communications. And as the company charges forward, it has a number of tail winds lifting the business, including strong additions to its wireless business, the lowest debt level in five years thanks to financial restructuring and a bargain valuation to boot. And let’s not forget that AT&T is among the top 10 highest-yielding stocks in the S&P 500 index right now, offering a tremendous stream of income — and a big incentive to buy and hold this stock forever.

Dividend yield: 7.1%

Coca-Cola Co. (KO)

When it comes to brands with staying power, it’s hard to think of a company more dominant and iconic than Coke. It’s valued at more than $250 billion, making it one of the 25 largest publicly traded stocks in the U.S., with more than 120 years of successful operations. It’s also one of the most generous dividend stocks out there when it comes to consistent increases in payouts, with more than 60 straight years where management has increased distributions. With an incredible portfolio of popular consumer staples, KO stock has what it takes to thrive for many years to come.

Dividend yield: 3.0%

Home Depot Inc. (HD)

While there is certainly a risk of ups and downs based on the short-term direction of the housing market, Home Depot is a stock with staying power. The company has raised its dividend for 12 straight years, with total payouts soaring from just 29 cents at the end of 2012 to an amazing $1.90 per share presently. It’s the largest home improvement retailer in the U.S., with some 2,300 locations that are mainstays for both individual property owners and contractors alike. With a baseline for maintenance spending on things like plumbing, roofing and general repairs coupled with its unmatched scale, HD has what it takes to deliver long-term shareholder value regardless of real estate trends.

Dividend yield: 2.9%

Intel Corp. (INTC)

Supply chains continue to be a mess for Intel and its branded chips aren’t quite as dominant as they were in the heyday of PCs. However, even with reduced forecasts, Intel is still the largest chipmaker in the world by revenue. Furthermore, its expectations of “only” $2.30 in earnings per share this year more than covers its dividend of $1.46 annually. And looking forward, INTC has committed $100 billion globally on new facilities including $30 billion in onshore foundries to ease supply shortages and focus on “strategic autonomy” that reduces reliance on China. It all adds up to a great long-term foundation on top of a big dividend right now.

Dividend yield: 5.4%

Johnson & Johnson (JNJ)

There are many ways that health care giant J&J is in a class by itself. It is one of the 10 largest stocks on Wall Street, and when you skip megacap tech stocks it is among the top three companies on U.S. exchanges outside the information technology sector. It’s one of just two entities on Wall Street with a top AAA credit rating — Microsoft Corp. (MSFT) being the other. And it has been in operation for roughly 140 years. If all that wasn’t enough to make you believe in Johnson & Johnson over the very long term, consider that health care is widely seen as the most “recession-proof” sector as drugs and medical treatment are necessities no one will pass up regardless of price inflation or economic disruptions. All this sets the stage for many more years of success for JNJ and its shareholders.

Dividend yield: 2.7%

JPMorgan Chase & Co. (JPM)

Megabank JPMorgan stands at the front of the financial sector, above even other mammoth U.S. banks like Citigroup Inc. (C), Wells Fargo & Co. (WFC) and Bank of America Corp. (BAC). That’s in part because these peers have struggled over the last decade or so since the financial crisis, while JPM powered past prior highs. It also pays even more generous dividends in 2022, while competitors are still behind what they were paying out back in 2007. JPM is the largest U.S. bank by assets, commanding about $3 trillion, and with a legacy of success that traces back to 1799. JPM is definitely the kind of stock you want to buy and hold forever, because if there’s a world where this megabank isn’t around then we all have much bigger problems than underperforming with our portfolio.

Dividend yield: 3.8%

Kraft Heinz Co. (KHC)

The powerful consumer brands of Kraft Heinz ensure that however tough things get, revenue will remain fairly constant as families continue to stock up on offerings like Philadelphia cream cheese, Maxwell House coffee and its iconic Heinz ketchup. Furthermore, in tough times consumers tend to cut back on restaurant visits and make dinner at home, creating a “counter-cyclical” boost for KHC in lean times. And as an added vote of confidence, Warren Buffett’s investment company Berkshire Hathaway (BRK.A, BRK.B) owns at least 26% of the company right now — meaning there’s a lot of reason to have faith that KHC has strong long-term institutional interest to keep it stable, instead of churning on fair-weather investments from day traders.

Dividend yield: 4.7%

Ventas Inc. (VTR)

While not as recognizable as the prior stocks on this list, Ventas is a $20 billion real estate company that is worth considering for any long-term portfolio. That’s because VTR is focused on health care properties such as doctor offices, hospitals or senior living communities across a massive portfolio of more than 1,200 properties. Unlike other real estate firms that invest in mortgages or volatile commercial real estate, Ventas tenants are recession-proof medical providers that have long-term leases and stable outlooks. The company recently acquired senior housing firm New Senior Investment Group to further fuel its future growth, and investors can have confidence this specialized property player will be around for the long haul.

Dividend yield: 4.3%

9 dividend stocks to buy and hold forever:

— 3M Co. (MMM)

— AT&T Inc. (T)

— Coca-Cola Co. (KO)

— Home Depot Inc. (HD)

— Intel Corp. (INTC)

— Johnson & Johnson (JNJ)

— JPMorgan Chase & Co. (JPM)

— Kraft Heinz Co. (KHC)

— Ventas Inc. (VTR)

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