In recent years, the U.S. has seen a decline in inflation, although it still remains at elevated levels. To combat the eroding purchasing power caused by inflation, investors must consider stocks that can raise their dividends above the inflation rate. One way to start is by looking at blue-chip stocks, which have a solid track record of dividend increases for at least 10 years.
To assist investors in this endeavor, we have compiled a comprehensive list of over 400 blue-chip stocks. In addition, we have identified the top 12 blue-chip dividend stocks that can help beat inflation. These stocks meet specific criteria, including a current dividend yield at or above the S&P average, expected future dividend growth rate above the U.S. inflation rate, at least 10 consecutive years of dividend increases, and a favorable Dividend Risk Score.
Let’s dive into the details of these top blue-chip dividend stocks to consider for your portfolio:
- Silgan Holdings Inc. (SLGN)
- Dividend History: 20 years of consecutive increases
- Dividend Yield: 1.5%
- 5-year Annualized Dividend Growth: 10.0%
Silgan Holdings manufactures metal and plastic containers, as well as packaging closures for various consumer products. Despite a slight decline in quarterly revenues, Silgan Holdings remains committed to delivering sustainable dividend growth.
- Trinity Industries Inc. (TRN)
- Dividend History: 14 years of consecutive increases
- Dividend Yield: 3.5%
- 5-year Annualized Dividend Growth: 10.0%
Trinity Industries focuses on rail transportation products and services, showcasing strong growth potential and solid financial performance.
- Westlake Corporation (WLK)
- Dividend History: 19 years of consecutive increases
- Dividend Yield: 1.4%
- 5-year Annualized Dividend Growth: 10.0%
Westlake Corporation is a global leader in petrochemicals and building products, demonstrating resilience in challenging market conditions.
- Federal Agriculture Mortgage Corp. (AGM)
- Dividend History: 10 years of consecutive increases
- Dividend Yield: 3.1%
- 5-year Annualized Dividend Growth: 10.0%
Farmer Mac plays a crucial role in supporting American agriculture and rural communities, offering a stable income stream for investors.
- Broadridge Financial (BR)
- Dividend History: 16 years of consecutive increases
- Dividend Yield: 2.0%
- 5-year Annualized Dividend Growth: 10.0%
Broadridge Financial provides essential investor communication services and technology solutions, positioning itself as a reliable investment choice.
- AGCO Corp. (AGCO)
- Dividend History: 12 years of consecutive increases
- Dividend Yield: 1.3%
- 5-year Annualized Dividend Growth: 10.0%
AGCO Corporation is a prominent global manufacturer of agricultural equipment, catering to farmers’ needs worldwide.
- International Bancshares Corp. (IBOC)
- Dividend History: 15 years of consecutive increases
- Dividend Yield: 2.2%
- 5-year Annualized Dividend Growth: 10.0%
International Bancshares Corporation offers diversified financial services, contributing to stable dividend growth over the years.
- Nike Inc. (NKE)
- Dividend History: 22 years of consecutive increases
- Dividend Yield: 1.8%
- 5-year Annualized Dividend Growth: 10.2%
Nike, the leading athletic footwear and apparel company, is a resilient investment choice with a strong global presence.
- CSX Corp. (CSX)
- Dividend History: 19 years of consecutive increases
- Dividend Yield: 1.4%
- 5-year Annualized Dividend Growth: 11.0%
CSX is a reliable rail transportation provider with a robust history of dividend increases and consistent performance.
- Dominos Pizza Inc. (DPZ)
- Dividend History: 11 years of consecutive increases
- Dividend Yield: 1.4%
- 5-year Annualized Dividend Growth: 11.1%
Domino’s Pizza, the largest pizza company worldwide, offers strong growth potential for investors seeking stable income.
- Raymond James Financial (RJF)
- Dividend History: 12 years of consecutive increases
- Dividend Yield: 1.6%
- 5-year Annualized Dividend Growth: 13.0%
Raymond James Financial’s diversified operations in wealth management, investment banking, and asset management make it an attractive investment choice.
- UnitedHealth Group Inc. (UNH)
- Dividend History: 15 years of consecutive increases
- Dividend Yield: 1.4%
- 5-year Annualized Dividend Growth: 14.0%
UnitedHealth Group provides essential healthcare services worldwide, presenting a strong potential for dividend growth and stability.
As you consider your investment options, these top blue-chip dividend stocks can help bolster your portfolio’s resilience against inflation and secure a reliable income stream in the long term. Happy investing!
