Core Viewpoint - The article discusses a hypothetical retirement portfolio consisting of ten Dividend Aristocrats, emphasizing their ability to provide sustainable income and growth that meets or exceeds inflation over the long term. Group 1: Selected Dividend Aristocrats - Enterprise Products Partners (EPD): Offers a 7.5% distribution yield, covered 1.7 times by distributable cash flow, with a strong balance sheet and a growth capital backlog of $6.9 billion expected to drive mid-single-digit distribution growth [3]. - Realty Income (O): Features a 6% current dividend yield, an A- credit rating, and a defensive business model that generates stable cash flows [4]. - Amcor (AMCR): Provides a 5.1% current dividend yield, with a well-diversified product portfolio and a strong buyback program to fuel earnings growth [5]. - Chevron Corporation (CVX): Has a 4.2% forward dividend yield and a strong balance sheet, serving as an inflation hedge [6]. - Federal Realty Investment Trust (FRT): Offers a 4.4% current dividend yield, with a focus on grocery-anchored shopping centers and a strong management team [7]. - International Business Machines (IBM): Presents a nearly 4% dividend yield, with growth potential in artificial intelligence and a strong moat [8]. - Johnson & Johnson (JNJ): Features a 3.3% forward dividend yield and a reliable dividend growth track record [9]. - Coca-Cola Company (KO): Offers a 3.1% forward dividend yield, with a strong balance sheet and a defensively positioned business model [10]. - Consolidated Edison (ED): Provides a 3.5% dividend yield, supported by a defensive regulated utility business model [11]. - NextEra Energy (NEE): Has a lower dividend yield of 2.73% but is positioned for high growth in renewable energy, with expected high single-digit dividend growth [12]. Group 2: Portfolio Insights - The proposed portfolio is diversified across various sectors, including real estate, energy, technology, utilities, healthcare, and consumer products, ensuring resilience against economic disruptions [13]. - The average dividend yield of the selected stocks is 4.4%, indicating a strong income generation potential for retirees [13].
If I Had To Retire With 10 Dividend Aristocrats, It Would Be These