5 Dividend Stocks to Double Up on Right Now -- Plus Some Dividend ETFs

Core Insights - Dividend-paying stocks have significantly outperformed non-payers, making them a powerful long-term investment option [1][2] Performance Data - From 1973 to 2023, the average annual total return for different categories of dividend stocks is as follows: - Dividend growers and initiators: 10.19% - Dividend payers: 9.17% - No change in dividend policy: 6.74% - Dividend non-payers: 4.27% - Dividend shrinkers and eliminators: (0.63%) - Equal-weighted S&P 500 index: 7.72% [3] Recommended Dividend Stocks - Five promising dividend-paying stocks include: 1. Altria (MO): Yield 8.2%, 5-Year Avg. Dividend Growth Rate 4%, 10-Year Avg. Annual Return 5.51% [5][6] 2. Chevron (CVX): Yield 4.3%, 5-Year Avg. Dividend Growth Rate 6.5%, 10-Year Avg. Annual Return 5.65% [5][8] 3. Verizon Communications (VZ): Yield 6.5%, 5-Year Avg. Dividend Growth Rate 2%, 10-Year Avg. Annual Return 3.12% [5][9] 4. AbbVie (ABBV): Yield 3.3%, 5-Year Avg. Dividend Growth Rate 7.7%, 10-Year Avg. Annual Return 14.45% [5][10] 5. Realty Income (O): Yield 5%, 5-Year Avg. Dividend Growth Rate 3.7%, 10-Year Avg. Annual Return 7.4% [5][11] ETF Options - For those less confident in selecting individual stocks, several dividend-focused ETFs are available: - SPDR Portfolio S&P 500 High Dividend ETF (SPYD): Yield 4.18%, 5-Year Avg. Annual Return 8.67% [14] - Schwab U.S. Dividend Equity ETF (SCHD): Yield 3.61%, 5-Year Avg. Annual Return 13.05% [14] - iShares Core Dividend Growth ETF (DGRO): Yield 2.24%, 5-Year Avg. Annual Return 12.59% [14] - Vanguard Dividend Appreciation ETF (VIG): Yield 1.65%, 5-Year Avg. Annual Return 12.93% [14]