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5 Brilliant Dividend Stocks to Buy Now and Hold for the Long Term

July 21, 2025
06:45 AM
6 min read
AI Enhanced
investmentmoneystocksfinancialfinancialsreal estatemarket cyclesseasonal analysis

Key Takeaways

The analysis demonstrates What's particularly noteworthy is Looking for a way to boost your passive income. Dividend stocks might just be your golden ticket. Dividend-paying companies a portion of their...

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6 min read

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investment

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Published

July 21, 2025

06:45 AM

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The Motley Fool

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Key Topics
investmentmoneystocksfinancialfinancialsreal estatemarket cyclesseasonal analysis

The analysis demonstrates What's particularly noteworthy is Looking for a way to boost your passive income

Dividend stocks might just be your golden ticket

Dividend-paying companies a portion of their fits with holders, typically on a quarterly basis (an important development)

Many investors find this appealing because it creates a steady passive income

But the benefits don't stop there

Dividend stocks often leave their non-dividend counterparts in the dust

However, Re from Hartford Funds reveals something remarkable: During a 50-year span, companies that pay dividends have outperformed those that don't, 9, given the current landscape. 3% on average annually, and they have also done so with less volatility (fascinating analysis)

In contrast, Ultimately, it boils down to this: Dividend-paying companies typically have effective models, prudent capital management, and a strong commitment to rewarding their investors over the long term

Here are five quality dividend stocks that investors should consider adding to their portfolios today

Image source: Getty Images

Moreover, JPMorgan Chase JPMorgan Chase (JPM 0. 42%) is the largest U

Bank by assets and has a long history of capital discipline and fitability

Conversely, Under the leadership of Chief Executive Officer Jamie Dimon, who has led the bank since 2005, the bank has consistently outperformed peers

This analysis suggests that bank has steadily increased its dividend during the past 15 years, boasting a current yield of nearly 2% and a low payout ratio, meaning there's room for future increases, in this volatile climate

Its strong capital position is reinforced by consistent results in Federal Reserve stress tests, allowing it to return capital to holders

It recently raised its dividend payout for the second time this year

Moreover, Since the fourth quarter, the bank has increased its dividend payout by 20%

JPMorgan Chase offers stability, dividend growth potential, and a fortress- balance sheet, making it an ideal core holding for dividend-focused investors seeking exposure to the financial sector

Ares Capital Ares Capital (ARCC -0. 93%) is the largest publicly traded development company (BDC) in the U

Additionally, As a BDC, Ares Capital primarily focuses on viding debt financing to middle-market companies

Not only that, but BDCs are required to distribute at least 90% of their taxable income to holders, making them ideal for dividend investors, amid market uncertainty

Ares stands out for its well-managed, diversified portfolio

Moreover, It has a long history of strong underwriting and credit management cesses, even during volatile periods such as the Great Recession from 2007 to 2009

Its portfolio spans hundreds of companies across various industries, reducing exposure to sector-specific downturns

Nevertheless, As of March 31, its portfolio comprises 566 companies across numerous industries

However, Ares also benefits from rising interest rates, as many of its loans are floating-rate

At the end of the first quarter, 69% of the investments in its portfolio, valued at fair value, pay interest and dividends at floating rates

Additionally, Ares Capital's dividend yield typically exceeds 9%, and it has also vided 15 years of stable or growing dividend payouts, showing its ability to reward holders over time

Furthermore, Rowe Price Group T

However, Rowe Price (TROW -0, in today's market environment

However, Moreover, 43%) is a leading asset management firm recognized for its active investment strategies and strong long-term performance

The company has a solid track record

As of March 31, 61% of its U

Additionally, Mutual funds' assets under management (AUM) outperformed their Morningstar median during the past year, and 87% outperformed during the past 10 years (noteworthy indeed)

As a money manager, T (an important development)

Rowe earns fees from managing its assets of more than $1 (noteworthy indeed)

Furthermore, 57 trillion, creating a stable and scalable earnings as grow in line with its AUM

This fee-based model also helps generate steady earnings, which is significant as the company looks to maintain and expand its payout

The asset management company's dividend yields 5% and it has raised the dividend every year for 39 consecutive years

Meanwhile, 31%) is a leading vider of supplemental health and life insurance, with a strong presence in Japan and the U

The company and its subsidiaries offer financial tection to policyholders, with a primary focus on supplemental health and life insurance

Furthermore, This demonstrates that s emphasis on supplemental coverages aims to help consumers pay for medical and non-medical costs not covered by primary insurance, with a focus on ducts such as cancer, critical illness, accident, and hospital indemnity coverage

Its Japanese accounts for more than half of its revenue, viding a steady, cash-generating base

Additionally, Furthermore, with premium persistency at 93, amid market uncertainty. 8% in Japan during the past 12 months, the company demonstrates strong customer retention, a crucial indicator of customer satisfaction (an important development)

Aflac has raised its dividend for over 42 consecutive years (remarkable data)

What the re reveals is data indicates that yield currently stands at 2. 2% with a payout ratio of 31%, allowing room for continued increases (an important development)

Aflac's conservative financial management, strong underwriting discipline, and stable cash-flow generation make it a reliable dividend stock

Marsh & McLennan Marsh & McLennan (MMC 0. 14%) is a global leader in insurance brokerage, risk management, and consulting services through its Marsh, Mercer, Guy Carpenter, and Or Wyman brands, given current economic conditions

Additionally, Marsh's dominance as an insurance broker positions it well to benefit from continued increases in insurance premiums, while Mercer's human capital consulting adds a complementary revenue

Additionally, As a fee-based, Marsh avoids underwriting risk and instead generates steady, fee-based cash flows, given the current landscape

Nevertheless, The company operates a capital-light, serving a diverse range of clients, including corporations, government entities, fessional organizations, and individuals

Last year, the company generated $4 billion in free cash flow, and has increased this vital measure by 17% compounded annually since 2010

On the other hand, Marsh and McLennan has dered consistent revenue and earnings growth during the past decade, increasing adjusted earnings per for 17 consecutive years, enabling it to raise its dividend for 15 straight years

With a yield of 1 (fascinating analysis) (noteworthy indeed). 5% backed by strong free cash flow, Marsh and McLennan is another solid dividend stock to consider today

JPMorgan Chase is an advertising partner of Motley Fool Money

Courtney Carlsen has positions in JPMorgan Chase

The Motley Fool has positions in and recommends JPMorgan Chase and T (something worth watching), in today's market environment

Nevertheless, The Motley Fool has a disclosure policy.