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Stock ScreenerStock IdeasBest Dividend Paying Stocks For The Long Term
Dividend Stock Screener: Best Dividend Paying Stocks For The Long Term
A dividend stock screener to help you uncover the best dividend paying stocks for the long term (to buy and hold)

Dividend Yield: Has dividends
Ticker
Company
Exchange
Industry
Zen Score
Market Cap
Price
1d %
EBITDA
P/E
D/E
AAPL
APPLE INC
NASDAQ
Consumer Electronics
$2.22T$138.20-3.00%$131.70B22.66x4.79
MSFT
MICROSOFT CORP
NASDAQ
Software - Infrastructure
$1.74T$232.90-1.94%$100.24B24.01x1.19
UNH
UNITEDHEALTH GROUP INC
NYSE
Healthcare Plans
$472.41B$505.04-0.74%$28.02B26.02x2.05
JNJ
JOHNSON & JOHNSON
NYSE
Drug Manufacturers - General
$429.50B$163.36-0.71%$27.69B23.37x1.33
V
VISA INC
NYSE
Credit Services
$368.41B$177.65-1.34%$18.91B26.20x1.41
XOM
EXXON MOBIL CORP
NYSE
Oil & Gas Integrated
$363.88B$87.31-1.54%$78.23B9.55x1.03
TSM
TAIWAN SEMICONDUCTOR MANUFACTURING CO LTD
NYSE
Semiconductors
$355.56B$68.56-1.04%$43.55B14.07x0.74
WMT
WALMART INC
NYSE
Discount Stores
$352.04B$129.70-1.93%$30.91B25.79x2.08
LLY
ELI LILLY & CO
NYSE
Drug Manufacturers - General
$307.24B$323.35-2.02%$7.84B51.41x4.50
JPM
JPMORGAN CHASE & CO
NYSE
Banks - Diversified
$306.45B$104.50-1.56%$53.34B8.37x12.42
NVDA
NVIDIA CORP
NASDAQ
Semiconductors
$302.26B$121.39-0.66%$9.36B39.16x0.82
PG
PROCTER & GAMBLE CO
NYSE
Household & Personal Products
$301.68B$126.25-1.90%$21.19B21.04x1.50
HD
HOME DEPOT INC
NYSE
Home Improvement Retail
$282.49B$275.94-0.86%$26.68B16.88x318.94
CVX
CHEVRON CORP
NYSE
Oil & Gas Integrated
$281.22B$143.67-0.76%$57.02B9.56x0.67
MA
MASTERCARD INC
NYSE
Credit Services
$274.78B$284.34-0.85%$12.41B28.72x4.86
PFE
PFIZER INC
NYSE
Drug Manufacturers - General
$245.60B$43.76-0.91%$37.05B8.38x1.24
BAC
BANK OF AMERICA CORP
NYSE
Banks - Diversified
$242.66B$30.20-1.50%$33.49B9.35x10.56
KO
COCA COLA CO
NYSE
Beverages - Non-Alcoholic
$242.27B$56.02-0.97%$13.84B25.46x2.97
ABBV
ABBVIE INC
NYSE
Drug Manufacturers - General
$237.30B$134.21-5.96%$24.50B18.93x8.77
NVO
NOVO NORDISK A S
NYSE
Biotechnology
$230.15B$99.63-0.76%$10.39B32.89x1.94
PEP
PEPSICO INC
NASDAQ
Beverages - Non-Alcoholic
$225.31B$163.26-2.01%$16.83B24.48x4.01
MRK
MERCK & CO INC
NYSE
Drug Manufacturers - General
$218.17B$86.12-0.60%$22.10B13.13x1.48
COST
COSTCO WHOLESALE CORP
NASDAQ
Discount Stores
$209.20B$472.27-1.40%$9.89B37.07x2.17
TMO
THERMO FISHER SCIENTIFIC INC
NYSE
Diagnostics & Research
$198.71B$507.19-1.82%$11.99B26.76x1.14
SHEL
SHELL PLC
NYSE
Oil & Gas Integrated
$191.18B$49.76-0.64%$59.83B9.61x1.33
DHR
DANAHER CORP
NYSE
Diagnostics & Research
$187.89B$258.29-1.47%$10.12B29.93x0.76
AVGO
BROADCOM INC
NASDAQ
Semiconductors
$179.82B$444.01-1.36%$18.02B18.49x2.42
ACN
ACCENTURE PLC
NYSE
Information Technology Services
$171.03B$257.30-0.38%$10.85B24.57x1.13
AZN
ASTRAZENECA PLC
NASDAQ
Drug Manufacturers - General
$169.78B$54.84-0.13%$7.12B-104.46x1.69
MCD
MCDONALDS CORP
NYSE
Restaurants
$169.76B$230.74-1.56%$10.81B28.21x-8.73
ABT
ABBOTT LABORATORIES
NYSE
Medical Devices
$169.45B$96.76-1.56%$13.95B20.03x1.02
NVS
NOVARTIS AG
NYSE
Drug Manufacturers - General
$167.07B$76.01-0.73%$21.56B7.39x0.95
ASML
ASML HOLDING NV
NASDAQ
Semiconductor Equipment & Materials
$165.48B$415.35-2.91%$7.65B27.95x2.54
ORCL
ORACLE CORP
NYSE
Software - Infrastructure
$164.62B$61.07-0.54%$13.29B28.01x-23.11
CSCO
CISCO SYSTEMS INC
NASDAQ
Communication Equipment
$164.35B$40.00-1.40%$16.79B14.13x1.36
VZ
VERIZON COMMUNICATIONS INC
NYSE
Telecom Services
$159.46B$37.97-1.73%$46.62B7.61x3.29
NEE
NEXTERA ENERGY INC
NYSE
Utilities - Regulated Electric
$154.06B$78.41-1.95%$7.56B59.85x2.94
WFC
WELLS FARGO & COMPANY
NYSE
Banks - Diversified
$152.56B$40.22-0.69%$29.49B9.55x9.58
BMY
BRISTOL MYERS SQUIBB CO
NYSE
Drug Manufacturers - General
$151.80B$71.09-0.86%$18.11B23.38x2.08
TXN
TEXAS INSTRUMENTS INC
NASDAQ
Semiconductors
$141.42B$154.78-2.32%$11.06B16.73x0.75
UPS
UNITED PARCEL SERVICE INC
NYSE
Integrated Freight & Logistics
$140.32B$161.54-2.29%$17.76B12.91x3.30
SCHW
SCHWAB CHARLES CORP
NYSE
Capital Markets
$136.34B$71.87-1.06%$9.36B23.56x13.32
MS
MORGAN STANLEY
NYSE
Capital Markets
$135.65B$79.01-1.06%$21.67B10.53x10.54
LIN
LINDE PLC
NYSE
Specialty Chemicals
$134.35B$269.59-0.01%$9.42B38.73x0.93
NKE
NIKE INC
NYSE
Footwear & Accessories
$130.38B$83.12-12.81%$7.70B21.70x1.64
COP
CONOCOPHILLIPS
NYSE
Oil & Gas E&P
$130.28B$102.34-1.27%$31.43B8.42x0.87
CMCSA
COMCAST CORP
NASDAQ
Entertainment
$129.44B$29.33-3.61%$36.93B9.46x1.91
PM
PHILIP MORRIS INTERNATIONAL INC
NYSE
Tobacco
$128.68B$83.01-3.58%$13.26B14.24x-5.33
QCOM
QUALCOMM INC
NASDAQ
Semiconductors
$126.88B$112.98-1.62%$16.99B9.89x1.93
BHP
BHP GROUP LTD
NYSE
Other Industrial Metals & Mining
$126.75B$50.04-0.75%$48.29B4.10x1.03
RY
ROYAL BANK OF CANADA
NYSE
Banks - Diversified
$125.21B$90.04-0.88%$16.53B10.63x16.73
CVS
CVS HEALTH CORP
NYSE
Healthcare Plans
$125.20B$95.37-1.66%$17.47B15.36x2.06
TTE
TOTALENERGIES SE
NYSE
Oil & Gas Integrated
$122.83B$46.52-0.28%$54.92B6.08x1.83
UNP
UNION PACIFIC CORP
NYSE
Railroads
$121.66B$194.82-2.20%$12.30B18.12x4.07
RTX
RAYTHEON TECHNOLOGIES CORP
NYSE
Aerospace & Defense
$120.87B$81.86-0.58%$10.44B27.29x1.24
AMGN
AMGEN INC
NASDAQ
Drug Manufacturers - General
$120.57B$225.40-1.32%$12.12B19.05x23.51
LOW
LOWES COMPANIES INC
NYSE
Home Improvement Retail
$116.57B$187.81-1.39%$14.69B14.70x-6.54
HON
HONEYWELL INTERNATIONAL INC
NASDAQ
Specialty Industrial Machinery
$112.49B$166.97-1.82%$8.22B22.50x2.51
UL
UNILEVER PLC
NYSE
Household & Personal Products
$111.68B$43.84-1.95%$10.49B19.04x3.08
TD
TORONTO DOMINION BANK
NYSE
Banks - Diversified
$111.20B$61.33-1.03%$15.32B10.08x16.94
T
AT&T INC
NYSE
Telecom Services
$109.31B$15.34-1.22%$52.23B5.58x2.47
INTU
INTUIT INC
NASDAQ
Software - Application
$109.17B$387.32-2.39%$3.45B52.48x0.69
ELV
ELEVANCE HEALTH INC
NYSE
Healthcare Plans
$109.02B$454.24-0.56%$10.17B17.98x1.82
HDB
HDFC BANK LTD
NYSE
Banks - Regional
$107.88B$58.422.76%$6.70B22.28x7.43
HSBC
HSBC HOLDINGS PLC
NYSE
Banks - Diversified
$107.57B$26.070.15%$22.42B8.41x13.88
MDT
MEDTRONIC PLC
NYSE
Medical Devices
$107.33B$80.75-1.85%$8.99B20.81x0.70
IBM
INTERNATIONAL BUSINESS MACHINES CORP
NYSE
Information Technology Services
$107.31B$118.81-2.32%$12.52B19.10x5.57
EQNR
EQUINOR ASA
NYSE
Oil & Gas Integrated
$107.02B$33.110.21%$44.51B12.54x2.77
DEO
DIAGEO PLC
NYSE
Beverages - Wineries & Distilleries
$106.03B$169.81-0.08%$6.18B25.13x3.46
INTC
INTEL CORP
NASDAQ
Semiconductors
$105.81B$25.77-2.31%$32.69B5.49x0.68
LMT
LOCKHEED MARTIN CORP
NYSE
Aerospace & Defense
$102.43B$386.29-0.90%$7.49B22.30x3.53
SPGI
S&P GLOBAL INC
NYSE
Financial Data & Stock Exchanges
$101.83B$305.35-1.64%$5.68B22.67x0.55
AXP
AMERICAN EXPRESS CO
NYSE
Credit Services
$101.15B$134.91-2.09%$11.67B13.78x7.84
DE
DEERE & CO
NYSE
Farm & Heavy Construction Machinery
$100.77B$333.89-2.09%$10.71B16.57x3.56
GS
GOLDMAN SACHS GROUP INC
NYSE
Capital Markets
$100.03B$293.05-1.03%$22.13B6.54x12.59
AMT
AMERICAN TOWER CORP
NYSE
REIT - Specialty
$99.96B$214.700.46%$6.84B35.20x8.25
SAP
SAP SE
NYSE
Software - Application
$99.82B$81.250.96%N/AN/A0.82
BP
BP PLC
NYSE
Oil & Gas Integrated
$99.07B$28.55-0.70%$16.68B-8.25x3.27
SBUX
STARBUCKS CORP
NASDAQ
Restaurants
$96.68B$84.26-2.67%$8.65B23.47x-4.24
SNY
SANOFI
NASDAQ
Drug Manufacturers - General
$96.08B$38.020.05%$11.96B14.18x0.71
ADP
AUTOMATIC DATA PROCESSING INC
NASDAQ
Staffing & Employment Services
$93.99B$226.19-0.68%$4.40B32.13x18.55
RIO
RIO TINTO LTD
NYSE
Other Industrial Metals & Mining
$89.58B$55.06-0.22%$34.29B4.22x0.90
BTI
BRITISH AMERICAN TOBACCO PLC
NYSE
Tobacco
$87.21B$35.50-1.33%$11.10B12.49x1.08
CAT
CATERPILLAR INC
NYSE
Farm & Heavy Construction Machinery
$86.62B$164.08-1.10%$11.18B13.04x4.15
CI
CIGNA CORP
NYSE
Healthcare Plans
$84.66B$277.47-1.10%$11.00B16.39x2.32
BLK
BLACKROCK INC
NYSE
Asset Management
$82.97B$550.28-2.42%$8.24B14.31x2.36
C
CITIGROUP INC
NYSE
Banks - Diversified
$80.70B$41.67-1.70%$24.87B5.27x10.96
PBR
PETROBRA
NYSE
Oil & Gas Integrated
$80.48B$12.341.65%$44.96B4.06x1.51
JD
JDCOM INC
NASDAQ
Internet Retail
$78.54B$50.30-1.85%N/A-79.97x1.20
BUD
ANHEUSER-BUSCH INBEV SA
NYSE
Beverages - Brewers
$78.45B$45.16-0.62%$17.24B23.28x1.81
GILD
GILEAD SCIENCES INC
NASDAQ
Drug Manufacturers - General
$77.32B$61.69-2.19%$8.65B18.69x2.11
EL
ESTEE LAUDER COMPANIES INC
NYSE
Household & Personal Products
$77.06B$215.90-1.57%$3.91B32.52x2.74
SYK
STRYKER CORP
NYSE
Medical Devices
$76.63B$202.54-1.43%$2.73B36.76x1.30
CB
CHUBB LTD
NYSE
Insurance - Property & Casualty
$75.96B$181.88-1.03%$9.23B10.88x2.79
PLD
PROLOGIS INC
NYSE
REIT - Industrial
$75.22B$101.600.41%$5.75B20.16x0.60
MDLZ
MONDELEZ INTERNATIONAL INC
NASDAQ
Confectioners
$75.15B$54.83-3.25%$6.39B19.72x1.40
ENB
ENBRIDGE INC
NYSE
Oil & Gas Midstream
$75.12B$37.10-1.59%$10.56B20.01x1.75
MMC
MARSH & MCLENNAN COMPANIES INC
NYSE
Insurance Brokers
$74.50B$149.29-0.90%$5.84B22.25x2.11
CNI
CANADIAN NATIONAL RAILWAY CO
NYSE
Railroads
$74.03B$107.99-1.82%$6.80B19.23x1.27
IBN
ICICI BANK LTD
NYSE
Banks - Regional
$72.86B$20.971.26%$8.48B23.15x8.63

Find the Best Dividend Paying Stocks to Buy and Hold (For the Long Term)

Dividend stocks have a reputation among the investing public as safe, reliable, and yes, boring investments.

The famous dividend aristocrats list - a list of companies in the S&P 500 with 25+ years of consecutive dividend increases, are generally considered stable, safe companies.

However, just because a company is generating dividends, doesn't necessarily make it a safe investment.

In this article, you will learn:

  • Why high dividend yield is not necessarily good
  • How to avoid dividend traps
  • What to look for in long-term dividend stocks

Before we dive into finding the best dividend paying stocks for the long term, let's step back and examine why some companies offer higher dividends than others in the first place.

Why Do Some Dividend Paying Stocks Offer Higher Yields Than Others?

A high dividend yield may be a reflection of a company's mature status.

Some large, established businesses may find it difficult to identify enough growth investments to efficiently deploy their profits. In such a case, management often returns profits to shareholders in the form of dividends.

A good example of this would be telecommunications and utility companies.

In other instances, the business structure of a company itself may require the company to distribute the majority of their cash flow to investors for tax purposes, as is the case with REITs (real estate investment trusts). REITs were created in the 1960s as a tax-efficient vehicle to fund the growth of American real estate. These entities are not required to pay federal income tax, provided they payout 90%+ of their income as dividends.

Unfortunately, boosting dividend yields can also be a way for management to pacify frustrated investors when the stock isn't performing. As you can imagine, this almost never works out well - the temporary yield boost can make the stock look tempting at first, but as profits drop and the struggling company's financial woes deepen, these unsustainable payouts eventually get cut. This can be a dangerous trap for dividend investors seeking yield.

To avoid these so-called "dividend traps", it's important to understand the overall health of a company, and also how dividends fit into management's overall corporate strategy.

Why High Yield Is Not Always Good

Investors nearing retirement are attracted to high dividend stocks because of the generous passive income they can provide.

The highest paying dividend stocks can offer a yield greater than 4% a year, and some high dividend paying stocks even yield more than 10% a year.

However, not all high yield dividend stocks are safe. The best dividend stocks to buy and hold not only pay a high dividend yield (anything above 4% can be considered high), but also show indicators of dividend stability, dividend growth, and a sustainable earnings stream that can support their dividend payouts.

Furthermore, it's important to consider dividend yield in conjunction with a stock's overall value. After all, dividends are just a percentage of a company's profits being paid out to owners (shareholders) - when you use a dividend screener to screen companies based solely on dividend yield, you'll see that many of these companies are not necessarily top performers in the long term.

The best dividend paying stocks for the long term pay a stable, steady dividend built on a foundation of healthy earnings and a strong balance sheet.

Dividend Payout Ratio

One of the key factors in determining whether a company can sustain their dividend payout is whether the company is generating sufficient earnings. The dividend payout ratio is a metric that tracks the percentage of a company's earnings being paid out as a dividend.

It is a key metric to watch if you're looking for the best long term dividend stocks, since it is a sign that the dividend paying company has the necessary profits to support future dividend payments.

Here at WallStreetZen, we run an automated due diligence check that fails when a company pays out more than 90% of its earnings as a dividend. However, conservative dividend investors may want to see a dividend payout ratio in the 50% range, meaning the company only pays out half of its earnings as a dividend.

The dividend payout ratio you'd want to target really depends on your risk tolerance and personal goal as an investor. A retiree who is entirely dependent on their dividends for living expenses may want to target a more conservative payout ratio, while for a younger investor who only has a chunk of their portfolio set aside for dividend stocks, a 90% payout ratio may be a good benchmark.

Is the Dividend Stable?

While past performance does not always equal future performance, a company that has a long history of stable dividend payouts is generally a better dividend stock for a long-term buy and hold than one that has gone up and down over time.

Here at WallStreetZen, we run an automated due diligence check that checks how many times a company's stock has dropped over the past 10 years. If it has dropped at any point, it fails the check.

How Risky Is the Stock?

Some other important risk factors to consider when evaluating a dividend stock for the long-term are the amount of debt on the balance sheet, the leverage inherent in the business model, the size of the company, and the valuation multiple.

At WallStreetZen, we run due diligence checks that analyze a company's financials and valuation, you can learn more about our process for automating fundamental analysis checks here.

Don't Over Concentrate Your Portfolio Chasing Dividend Yields

Finally, dividend investors should also be wary of overconcentration in their portfolio.

Because certain sectors such as utilities, energy trusts and REITs tend to produce companies with high yield dividends, a dividend investor's portfolio can become overweighted in these sectors over time if they focus solely on finding the best dividend paying stocks to buy and hold, without considering other factors.

It's important for dividend investors to maintain a balanced portfolio that focuses on dividend growth and yield, but also continue to pay attention to traditional investing priorities such as diversification.

While building your dividend portfolio, keep in mind these 4 important factors that will affect the volatility of your holdings:

  1. number of holdings
  2. correlation between holdings (industry diversification)
  3. leverage that each holding has (higher leverage means more volatility)
  4. market cap of each holding (smaller companies tend to be more volatile)

Don't Invest in Dividend Paying Stocks You Don't Understand

Like with any investment, it should go without saying that you shouldn't invest in anything you don't understand.

If a dividend stock has a high yield but you don't understand the business, keep in mind Warren Buffett's mental model of staying within one's circle of competence.

Keeping this maxim in mind will serve you well in your search for the best dividend paying stocks to buy and hold - for the long term.

WallStreetZen does not provide financial advice and does not issue recommendations or offers to buy stock or sell any security.

Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.