10 Great Dividend Stocks For The Next 10 Years

Core Viewpoint - The article emphasizes the identification of solid dividend stocks that are expected to provide high and sustainable dividends over the next decade, despite potential challenges in the market [2]. Group 1: Stock Selection Process - The selection process involves filtering from over 7500 U.S. stocks, focusing on those rated 4 or 5 by Morningstar, indicating undervaluation [3]. - Stocks are further filtered based on the presence of an economic moat, which signifies a company's competitive advantage [3]. - The final list includes approximately 30 stocks that have a history of paying and growing dividends for at least five years and yield over 2.5% [3][4]. Group 2: Selected Stocks Overview - Bristol-Myers Squibb Co. (BMY) has a current dividend yield of 5.15% and has reduced long-term debt from $48 billion in 2020 to $32 billion by the end of 2023 [5]. - The Clorox Company (CLX) has improved gross margins to 46.5% from a low of 33% in 2022, despite facing challenges such as competition and inflation [6][7]. - Chevron (CVX) has a dividend yield of over 4.5% and a payout ratio of 52% on earnings, with a five-year dividend growth rate exceeding 6% [8]. - LyondellBasell Industries, NV (LYB) is 17% below its fair value and has a solid balance sheet with a net-debt/adjusted EBITDA multiple of 1.9x [9]. - Medtronic PLC (MDT) has a dividend growth rate of 6.75% over five years and has paid dividends for 47 consecutive years [10]. - Starbucks Corp. (SBUX) generated nearly $36 billion in revenue in 2023 but faced a decline in same-store sales and store traffic [10]. - United Parcel Service (UPS) has a dividend yield of 5.2% and has increased dividends for 14 years, despite facing a 29% decline in operating profits [11]. - U.S. Bancorp (USB) has a forward yield of 4.76% and is nearly 21% below its fair value, following its acquisition of MUFG Union Bank [12]. - Verizon Communications (VZ) has a high dividend yield of close to 6.6% and holds a significant market share in the U.S. postpaid wireless market [14]. - WEC Energy Group, Inc. (WEC) has raised its dividend for 20 consecutive years and plans to invest $23 billion through 2028 [15].