Best Dividend Stocks

Q: What are dividend stocks?

Dividend stocks are shares of companies that regularly distribute a portion of their profits to shareholders, typically on a quarterly basis. These cash payments provide investors with income in addition to any stock price appreciation. Dividend-paying companies tend to be mature, profitable businesses with stable cash flows — think utilities, banks, consumer staples, and healthcare companies.

Q: What is a good dividend yield?

A good dividend yield typically falls between 2% and 6% for most investors. Yields below 2% may not provide meaningful income relative to safer alternatives like Treasury bonds. Yields above 6% often signal elevated risk — the stock price may have fallen sharply, pushing the yield up artificially. The average S&P 500 dividend yield is historically around 1.5–2%. Always evaluate yield alongside the payout ratio and earnings growth.

Q: How are dividends taxed?

In the U.S., qualified dividends are taxed at long-term capital gains rates: 0%, 15%, or 20% depending on your taxable income. Ordinary dividends are taxed at your regular income tax rate, which can be as high as 37%. To qualify for the lower rate, you must hold the stock for more than 60 days around the ex-dividend date. Dividends in IRAs or 401(k)s grow tax-deferred or tax-free.

Q: What is the ex-dividend date?

The ex-dividend date is the cutoff date for receiving a declared dividend. If you buy a stock on or after this date, you will not receive the upcoming payment — the previous owner gets it. To be eligible, you must purchase at least one business day before. Stock prices typically drop by approximately the dividend amount on the ex-dividend date.

Q: What are Dividend Aristocrats?

Dividend Aristocrats are S&P 500 companies that have increased their dividends for at least 25 consecutive years. This elite group includes around 65 companies spanning sectors like consumer staples, healthcare, industrials, and financials. Dividend Aristocrats have historically outperformed the broader S&P 500 with lower volatility.

Q: Is a high dividend yield always better?

No — an unusually high yield is often a warning sign known as a dividend trap. A yield above 7–8% frequently indicates the stock price has fallen sharply because the market expects a dividend cut. The best approach is to evaluate yield in context: check the payout ratio (under 60% is healthy), review earnings trends, and compare the yield to the company's own historical range. A moderate yield that grows consistently beats an unsustainably high one.

Quality meets income: dividend stocks yielding 2%+ with sustainable payout ratios under 100%. Large caps that pay you to hold.

200 stocks Updated Jun 3, 2026

4.59% Avg Dividend Yield

57.8% Avg Payout Ratio

17.1 Avg P/E Ratio

$20.64T Total Market Cap

The best dividend stocks combine attractive yields with sustainable payout ratios, consistent payment histories, and strong underlying business fundamentals. This list screens for large-cap companies yielding at least 2% with payout ratios below 100%, filtering out the high-yield traps where an elevated dividend signals financial distress rather than shareholder generosity.

Dividend investing is a core strategy for income-oriented portfolios and retirees seeking regular cash flow. Beyond the income stream, dividend-paying companies tend to be more financially disciplined and less volatile than non-payers. The power of dividend reinvestment (DRIP) can significantly compound returns over long holding periods.

When evaluating dividend stocks, yield alone can be misleading — a stock with a 10% yield that cuts its dividend next quarter is worse than one yielding 3% that grows its payout annually. This list sorts by yield but includes payout ratios and P/E ratios so you can assess sustainability at a glance.

#	Symbol	Name	Price	Yield %	Annual Div	Payout %	P/E	Market Cap
1	OTF	Blue Owl Technology Finance	$11.05	12.83%	$0.85	54.66%	12.0	5.05B
2	MCHB	Mechanics Bancorp-A	$14.73	12.04%	$0.40	18.27%	19.8	3.38B
3	INSW	International Seaways Inc	$78.53	10.84%	$2.93	46.76%	7.0	3.80B
4	CAG	Conagra Brands Inc	$12.86	10.46%	$1.40	58.07%	—	6.35B
5	HTGC	Hercules Capital Inc	$15.52	10.38%	$1.85	95.95%	8.7	2.89B
6	WU	Western Union Co	$7.97	10.26%	$0.95	61.85%	5.6	2.46B
7	ARCC	Ares Capital Corp	$18.97	10.21%	$1.82	97.31%	11.8	13.54B
8	GBDC	Golub Capital Bdc Inc	$13.27	10.08%	$1.56	97.76%	16.9	3.46B
9	APAM	Artisan Partners Asset Ma -A	$37.33	9.10%	$3.19	88.56%	10.5	3.03B
10	FRO	Frontline Plc	$34.68	9.06%	$0.93	54.62%	8.5	7.65B
11	DHT	Dht Holdings Inc	$16.32	8.99%	$0.74	56.33%	7.9	2.62B
12	TRMD	Torm Plc-A	$28.14	8.49%	$2.01	70.00%	10.2	18.64B
13	HESM	Hess Midstream Lp - Class A	$38.19	8.13%	$1.65	99.23%	21.4	7.90B
14	MAIN	Main Street Capital Corp	$51.57	7.84%	$3.81	68.76%	11.3	4.80B
15	OMF	Onemain Holdings Inc	$54.52	7.77%	$4.22	63.73%	8.0	6.39B
16	BWLP	Bw Lpg Ltd	$20.23	7.53%	$1.32	82.48%	12.9	29.00B
17	CPB	The Campbell'S Company	$20.99	7.50%	$1.54	76.25%	11.5	6.31B
18	ICL	Icl Group Ltd	$6.21	7.42%	$0.17	99.12%	32.7	24.22B
19	GIS	General Mills Inc	$33.07	7.20%	$2.43	58.33%	8.3	18.32B
20	STLA	Stellantis Nv	$7.68	7.15%	$0.68	84.98%	—	24.23B
21	TFSL	Tfs Financial Corp	$16.05	7.14%	$0.21	65.45%	48.0	4.46B
22	WHR	Whirlpool Corp	$41.01	6.78%	$5.41	94.64%	17.2	2.81B
23	UPS	United Parcel Service-Cl B	$108.93	6.63%	$6.34	96.88%	15.6	81.79B
24	KHC	Kraft Heinz Co/The	$23.33	6.54%	$1.60	70.37%	—	29.02B
25	CALM	Cal-Maine Foods Inc	$74.53	6.29%	$6.77	27.07%	5.2	3.60B
26	JHG	Janus Henderson Group Plc	$51.75	6.07%	$1.60	30.54%	10.2	7.98B
27	STKAF	ST Engineering Ltd	$2.99	6.06%	$0.22	63.56%	11.9	10.39B
28	HAFN	Hafnia Ltd	$7.79	6.05%	$0.40	58.48%	12.9	40.65B
29	VZ	Verizon Communications	$47.87	5.95%	$2.72	66.85%	11.5	200.13B
30	BTI	British American Tobacco p.l.c.	$60.46	5.90%	$2.39	67.47%	11.6	89.90B
31	FSUGY	Fortescue Ltd	$32.17	5.75%	$0.93	84.52%	12.4	64.56B
32	IMBBY	Imperial Brands PLC	$36.50	5.74%	$1.88	75.23%	10.5	21.70B
33	NWBI	Northwest Bancshares Inc	$14.15	5.69%	$0.80	87.22%	15.6	2.08B
34	NEXA	Nexa Resources Sa	$15.89	5.65%	$0.36	35.94%	9.5	2.01B
35	PRU	Prudential Financial Inc	$102.72	5.37%	$5.48	53.86%	10.5	36.24B
36	FIBK	First Interstate Bancsys-A	$35.22	5.28%	$1.89	64.32%	11.2	3.48B
37	CMCSA	Comcast Corp-Class A	$24.85	5.26%	$1.32	24.47%	4.8	89.57B
38	BCE	Bce Inc	$24.64	5.21%	$2.36	33.70%	4.9	31.33B
39	ING	ING Groep N.V.	$30.94	5.20%	$1.29	61.38%	7.2	68.56B
40	KMB	Kimberly-Clark Corp	$97.49	5.19%	$5.00	82.14%	15.6	32.98B
41	CLX	Clorox Company	$89.63	5.16%	$4.88	74.32%	14.8	11.22B
42	BBY	Best Buy Co Inc	$72.78	5.14%	$3.81	74.93%	14.3	16.29B
43	LNC	Lincoln National Corp	$34.90	5.13%	$2.31	35.34%	3.9	6.75B
44	SNY	Sanofi	$42.96	5.10%	$3.79	85.29%	7.8	97.65B
45	DBSDY	DBS Group Holdings Ltd	$196.84	5.08%	$2.87	74.55%	14.9	162.83B
46	PAYX	Paychex Inc	$100.79	5.05%	$4.02	87.40%	21.1	34.56B
47	TROW	T Rowe Price Group Inc	$104.31	5.02%	$5.18	54.76%	10.7	22.44B
48	EIX	Edison International	$70.92	4.99%	$3.58	29.31%	7.1	26.72B
49	COLB	Columbia Banking System Inc	$29.18	4.99%	$1.33	60.91%	11.6	8.58B
50	OKE	Oneok Inc	$86.72	4.92%	$4.26	76.13%	15.1	53.20B
51	CPA	Copa Holdings Sa-Class A	$136.83	4.81%	$6.46	39.58%	8.3	5.84B
52	HPQ	Hp Inc	$27.29	4.80%	$1.17	43.02%	9.8	24.95B
53	AES	Aes Corp	$14.68	4.79%	$0.70	55.05%	7.8	10.48B
54	AVA	Avista Corp	$41.85	4.77%	$1.96	82.38%	16.7	3.43B
55	TAP	Molson Coors Beverage Co - B	$38.91	4.73%	$1.91	32.89%	—	7.45B
56	ES	Eversource Energy	$68.51	4.56%	$2.97	65.03%	14.7	25.75B
57	NVO	Novo Nordisk A/S	$42.92	4.55%	$11.66	50.53%	11.2	1.14T
58	CNA	Cna Financial Corp	$42.24	4.53%	$3.87	81.92%	9.5	11.48B
59	TTE	Totalenergies Se	$89.40	4.51%	$3.70	61.86%	12.9	167.93B
60	T	AT&T Inc.	$24.64	4.46%	$1.15	37.26%	8.0	171.66B
61	BBT	Beacon Financial Corp	$29.09	4.44%	$0.97	69.92%	19.4	2.44B
62	LKQ	Lkq Corp	$25.65	4.40%	$1.21	51.07%	13.4	6.92B
63	EMN	Eastman Chemical Co	$76.67	4.40%	$3.33	80.38%	21.7	8.65B
64	VAC	Marriott Vacations World	$84.88	4.40%	$3.19	49.08%	—	2.79B
65	HRB	H&R Block Inc	$38.58	4.39%	$1.44	32.57%	6.6	4.91B
66	FNF	Fidelity National Financial	$46.44	4.37%	$2.00	90.70%	16.9	12.85B
67	SON	Sonoco Products Co	$49.17	4.36%	$2.11	20.75%	4.8	4.85B
68	TFC	Truist Financial Corp	$48.12	4.35%	$2.32	56.45%	10.8	59.55B
69	POR	Portland General Electric Co	$49.49	4.35%	$2.00	73.53%	23.2	5.81B
70	UGI	Ugi Corp	$34.21	4.33%	$1.50	47.49%	11.0	7.45B
71	PFS	Provident Financial Services	$22.25	4.33%	$0.96	43.24%	9.5	2.92B
72	BIPC	Brookfield Infrastructure-A	$41.26	4.33%	$1.44	14.55%	—	5.05B
73	OMC	Omnicom Group	$75.22	4.32%	$2.16	37.33%	331.6	20.89B
74	PAGS	Pagseguro Digital Ltd-Cl A	$9.22	4.29%	$1.99	29.13%	6.1	2.59B
75	SFD	Smithfield Foods Inc	$25.80	4.26%	$1.02	40.08%	10.3	10.39B
76	BMY	Bristol-Myers Squibb Co	$54.46	4.23%	$2.51	71.52%	20.4	121.71B
77	WSBC	Wesbanco Inc	$34.57	4.22%	$1.72	62.87%	10.2	3.26B
78	OTEX	Open Text Corp	$24.79	4.22%	$1.04	62.29%	10.9	7.79B
79	IDCBY	Industrial & Commercial Bank of China	$16.90	4.17%	$0.37	35.86%	6.9	2.54T
80	REYN	Reynolds Consumer Products I	$21.57	4.16%	$0.91	63.79%	14.2	4.66B
81	DEO	Diageo plc	$82.46	4.16%	$1.03	97.62%	18.4	32.74B
82	HSBC	HSBC Holdings plc	$93.18	4.14%	$0.77	60.50%	11.3	229.95B
83	MKC	Mccormick & Co-Non Vtg Shrs	$46.15	4.10%	$1.80	61.19%	7.8	12.80B
84	EQNR	Equinor ASA	$35.99	4.10%	$1.83	95.00%	19.1	903.95B
85	UL	Unilever PLC	$56.45	4.10%	$2.03	47.03%	11.2	92.04B
86	LAZ	Lazard Inc	$48.79	4.09%	$2.03	78.78%	17.2	4.78B
87	LCII	Lci Industries	$106.82	4.08%	$4.59	60.58%	13.1	2.65B
88	RIO	Rio Tinto Group	$111.67	4.08%	$3.78	61.66%	17.2	126.43B
89	CRGY	Crescent Energy Inc-A	$11.99	4.06%	$0.40	86.62%	—	3.90B
90	FE	Firstenergy Corp	$45.32	4.03%	$1.76	99.61%	25.2	26.85B
91	EMA	Emera Inc	$51.26	4.03%	$2.18	59.78%	20.6	22.03B
92	BNS	Bank Of Nova Scotia	$80.64	4.02%	$4.74	75.43%	15.1	135.00B
93	NWN	Northwest Natural Holding Co	$48.49	4.01%	$1.89	68.22%	16.6	2.04B
94	SGAPY	Singapore Airlines Limited	$33.62	4.01%	$0.17	69.05%	12.9	79.84B
95	SNGNF	Singtel	$3.22	4.01%	$0.17	69.05%	12.9	79.84B
96	SFNC	Simmons First Natl Corp-Cl A	$21.39	4.00%	$0.85	69.05%	—	3.13B
97	PEP	PepsiCo Inc.	$142.00	3.98%	$5.58	92.69%	23.6	205.79B
98	D	Dominion Energy Inc	$66.47	3.96%	$2.63	75.98%	19.9	58.87B
99	SR	Spire Inc	$82.08	3.95%	$3.38	72.51%	13.6	4.86B
100	USB	Us Bancorp	$54.60	3.94%	$2.25	46.26%	10.6	82.83B

Frequently Asked Questions

What are dividend stocks?

Dividend stocks are shares of companies that regularly distribute a portion of their profits to shareholders, typically on a quarterly basis. These cash payments provide investors with income in addition to any stock price appreciation. Dividend-paying companies tend to be mature, profitable businesses with stable cash flows — think utilities, banks, consumer staples, and healthcare companies.

What is a good dividend yield?

A good dividend yield typically falls between 2% and 6% for most investors. Yields below 2% may not provide meaningful income relative to safer alternatives like Treasury bonds. Yields above 6% often signal elevated risk — the stock price may have fallen sharply, pushing the yield up artificially. The average S&P 500 dividend yield is historically around 1.5–2%. Always evaluate yield alongside the payout ratio and earnings growth.

What is the dividend payout ratio?

The dividend payout ratio is the percentage of a company's earnings paid out as dividends. Ratios under 60% are generally considered sustainable and leave room for dividend increases. Ratios above 80% may indicate the dividend is at risk if earnings decline. REITs are an exception — they are required to distribute at least 90% of taxable income and typically have higher payout ratios.

How are dividends taxed?

In the U.S., qualified dividends are taxed at long-term capital gains rates: 0%, 15%, or 20% depending on your taxable income. Ordinary dividends are taxed at your regular income tax rate, which can be as high as 37%. To qualify for the lower rate, you must hold the stock for more than 60 days around the ex-dividend date. Dividends in IRAs or 401(k)s grow tax-deferred or tax-free.

What is the ex-dividend date?

The ex-dividend date is the cutoff date for receiving a declared dividend. If you buy a stock on or after this date, you will not receive the upcoming payment — the previous owner gets it. To be eligible, you must purchase at least one business day before. Stock prices typically drop by approximately the dividend amount on the ex-dividend date.

What are Dividend Aristocrats?

Dividend Aristocrats are S&P 500 companies that have increased their dividends for at least 25 consecutive years. This elite group includes around 65 companies spanning sectors like consumer staples, healthcare, industrials, and financials. Dividend Aristocrats have historically outperformed the broader S&P 500 with lower volatility.

Can you live off dividend income?

Living off dividends is possible but requires a substantial portfolio. At a 4% average yield, you would need approximately $750,000 to generate $30,000 annually, or $1.25 million for $50,000. Key considerations include building a diversified portfolio, focusing on dividend growth stocks rather than just the highest yields, accounting for taxes, and maintaining a cash buffer for periods when companies may cut payouts.

Is a high dividend yield always better?

No — an unusually high yield is often a warning sign known as a dividend trap. A yield above 7–8% frequently indicates the stock price has fallen sharply because the market expects a dividend cut. The best approach is to evaluate yield in context: check the payout ratio (under 60% is healthy), review earnings trends, and compare the yield to the company's own historical range. A moderate yield that grows consistently beats an unsustainably high one.