2 Unstoppable Dividend Stocks to Buy if There's a Stock Market Sell-Off

Core Insights - Dividend stocks provide opportunities for income-seeking investors and can enhance overall portfolio returns over time [1] - Companies with strong business fundamentals and a history of maintaining or increasing dividends are ideal for investment [1] Group 1: Johnson & Johnson - Johnson & Johnson has a 62-year history of paying and raising dividends, qualifying it as a Dividend King [2] - The company offers a forward dividend yield of 3.4%, significantly higher than the S&P 500 average, with a 10-year average annual dividend increase of 6% [2] - Despite recent weak stock performance due to litigation issues, J&J maintains a robust balance sheet with $26 billion in cash to manage liabilities and support dividends [3] - The company generated over $17 billion in profits from approximately $86 billion in revenue over the last 12 months, with $24 billion in levered free cash flow [3] - J&J's recent spin-off of its consumer healthcare segment allows it to focus on faster-growing pharmaceuticals and medical devices, returning about 60% of free cash flow to investors [4] - Long-term investors may find J&J appealing for steady financial gains, especially once litigation issues are resolved [5] Group 2: Coca-Cola - Coca-Cola has also raised its dividend for 62 consecutive years, with a current yield of around 3% [6] - The company has achieved a total return of 46% over the last five years and over 108% in the past decade, despite modest stock price gains [6] - Coca-Cola reported profits of about $11 billion on $46 billion in revenue over the last 12 months, maintaining a profit margin of around 23% [7] - The company has a payout ratio of about 74%, which is manageable, and its dividend has grown at an average rate of 5% annually over the past decade [7] - Long-term buy-and-hold investors may find Coca-Cola attractive for steady growth and dividends [8]