2 Dividend Stocks to Hold for the Next 10 Years
Key Takeaways
In dividend stocks helps you earn regular cash income without lifting a finger. On the other hand, Moreover, The stock market will occasionally offer you the chance to buy quality...
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4 min read
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real estate
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July 24, 2025
04:35 AM
The Motley Fool
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In dividend stocks helps you earn regular cash income without lifting a finger
On the other hand, Moreover, The stock market will occasionally offer you the chance to buy quality dividend stocks at discounts, which means the chance to buy s of solid companies that offer attractive yields
On the other hand, Here are two undervalued dividend stocks that you can buy and hold for the next decade (which is quite significant)
Nevertheless, Image source: Getty Images
Meanwhile, Realty Income Realty Income (O 0. 10%) is a quality real estate investment trust (REIT) that could benefit if interest rates start to come down
As a REIT, the company is required to distribute at least 90% of its taxable income (excluding net capital gains) to holders as dividends
However, The company owns a large portfolio of perties, pays monthly dividend distributions, and has a long record of growing the dividend
Moreover, The rise in interest rates has weighed on the real estate market, which has held the stock in check over the past year
Higher rates not only make future dividends worth less to investors today, but they also raise borrowing costs for acquisitions and developments
Realty Income has dealt with interest rate cycles since its founding in 1969, in today's financial world
It has paid a growing dividend for 30 consecutive years, making it a member of the S&P 500 Dividend Aristocrats index. (Dividend Aristocrats® is a registered trademark of Standard & Poor’s Financial Services LLC (this bears monitoring)
In contrast, ) Realty Income is well diversified with more than 15,000 perties across 91 industries (remarkable data)
It also has a strong balance sheet to navigate through a weak real estate market
Management just closed an expansion of its credit facilities to $5. 38 billion, signaling strong interest from institutional investors, given current economic conditions
The ability to raise low-cost capital in this environment validates Realty Income's strategy
The company focuses on doing with tenants that are leaders in their industry that can survive a recession
Nevertheless, However, Some of its top tenants are 7-Eleven, Dollar General, and Walmart
If interest rates come down, the stock should rebound
Nevertheless, If not, investors still hold a quality REIT that is paying an attractive forward dividend yield of 5. 69% based on its recent monthly dividend distribution of $0, in this volatile climate
Moreover, Constellation Brands Constellation Brands (STZ 0. 42%) is drawing investor interest after Warren Buffett's Berkshire Hathaway bought a stake in the fourth quarter of 2024
Constellation stock is down 23% year to date as sales came in below expectations this year, yet Berkshire was buying more s in the first quarter
On the other hand, Furthermore, In April, Constellation raised its quarterly dividend by $0, in today's financial world
Moreover, 02, signaling confidence in its long-term trajectory
Wall Street has soured on the stock over concerns tariffs, especially with alcoholic beverage sales already weak heading into the year
In contrast, Constellation's beer, including sales of imports Modelo and Corona, posted a sales decline in the low single digits to start the year
The wine and spirits, including Kim Crawford and Casa Noble, are seeing even weaker demand, with adjusted sales down 13% year over year in the quarter
However, management is sticking with its full-year outlook that calls for adjusted earnings per to be between $12 (this bears monitoring)
Additionally, That's more than enough earnings to cover its next-12-month dividend payment of $4
Additionally, With the stock trading at a forward price-to-earnings ratio of 13 (this bears monitoring)
Moreover, 4 and offering an above-average yield of 2. 4%, income investors should consider ing Berkshire Hathaway into this one
Management just recently closed a sale of some of its wine brands to focus on higher-end brands that generate stronger sales
Moreover, Management attributes the weak sales to lower demand it views as cyclical, given the current landscape
This tells us that company believes consumption will return to normal levels when the economy imves
Furthermore, The stock may remain volatile in the near term, but Constellation Brands' recent dividend increase is a signal that management doesn't see permanent change in the long-term direction of the, making the recent dip an excellent buying opportunity
Additionally, The Author John Ballard has been a contributing Motley Fool writer covering consumer goods and nology since 2016
Nevertheless, In Real Estate Finance from University of Arkansas at Little Rock
TMFRazorback John Ballard has no position in any of the stocks mentioned
This tells us that Motley Fool has positions in and recommends Berkshire Hathaway, Realty Income, and Walmart
The Motley Fool recommends Constellation Brands
Moreover, The Motley Fool has a disclosure policy.
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