Up to date on Could fifteenth, 2025 by Bob Ciura
Earnings buyers are at all times on the hunt for high-quality dividend shares. There are numerous methods to measure high-quality shares. A method for buyers to seek out nice dividend shares is to give attention to these with the longest histories of elevating dividends.
With this in thoughts, we created a downloadable checklist of over 130 Dividend Champions.
You’ll be able to obtain your free copy of the Dividend Champions checklist, together with related monetary metrics like price-to-earnings ratios, dividend yields, and payout ratios, by clicking on the hyperlink under:
Traders are doubtless acquainted with the Dividend Aristocrats, a gaggle of 69 shares within the S&P 500 Index with 25+ consecutive years of dividend will increase.
In the meantime, buyers also needs to familiarize themselves with the Dividend Champions, which have additionally raised their dividends for at the least 25 years in a row.
Whereas their size of dividend will increase is identical, resulting in some overlap, there are additionally some necessary variations between the Dividend Aristocrats and Dividend Champions.
In consequence, the Dividend Champions checklist is far more expansive. There are numerous high-quality Dividend Champions that aren’t included on the Dividend Aristocrats checklist.
This text will focus on the Dividend Champions, and an evaluation of our high 7 Dividend Champions now, ranked in accordance with anticipated complete returns within the Certain Evaluation Analysis Database.
Desk of Contents
You’ll be able to immediately leap to any particular part of the article by clicking on the hyperlinks under:
Overview of Dividend Champions
The requirement to change into a Dividend Champion is straightforward: 25+ years of consecutive annual dividend will increase. The Dividend Aristocrats have the identical requirement relating to variety of years, however with a couple of further necessities.
To be a Dividend Aristocrat, an organization should even be included within the S&P 500 Index, should have a float-adjusted market cap of at the least $3 billion, and should have a mean day by day worth traded of at the least $5 million.
These added necessities preclude many corporations that possess a enough monitor file of annual dividend will increase, however don’t qualify based mostly on market cap or liquidity causes.
In consequence, whereas there may be some overlap between the Dividend Aristocrats and the Dividend Champions, there are additionally many Dividend Champions that aren’t Dividend Aristocrats.
Earnings buyers would possibly need to take into account these shares attributable to their spectacular histories of annual dividend will increase, so we’ve got compiled them within the downloadable spreadsheet above.
As well as, we’ve got ranked the highest 7 Dividend Champions in accordance with complete anticipated annual returns over the following 5 years. Our high 7 Dividend Champions proper now are ranked under.
The Prime 7 Dividend Champions To Purchase Proper Now
The next 7 shares signify Dividend Champions with at the least 25 consecutive years of dividend will increase, however additionally they have sturdy aggressive benefits, long-term progress potential, and excessive anticipated complete returns.
Shares have been ranked by anticipated complete annual return over the following 5 years, from lowest to highest.
Prime Dividend Champion #7: Andersons Inc. (ANDE)
5-year anticipated returns: 17.9%
The Andersons, Inc. (ANDE) is an agriculture firm that conducts enterprise in North America. It operates by means of the next segments: Commerce, Renewables, and Nutrient & Industrial (previously Plant Nutrient).
The Commerce phase contains commodity merchandising and the operation of terminal grain elevator amenities. The Commerce phase contributed over 68% of the corporate’s income in 2024.
The Renewables phase produces, purchases, and sells ethanol and co-products.
The Nutrient & Industrial phase manufactures, and distributes agricultural inputs, major vitamins, and specialty fertilizers, to sellers and farmers, together with turf care and corncob-based merchandise.
Supply: Investor Presentation
On Could sixth, 2025, the corporate reported its first quarter 2025 outcomes for the interval ending March thirty first, 2025. Income was $2.66 billion, a lower from $2.72 billion in Q1 2024, reflecting continued stress in international grain markets and unsure commerce flows.
Web earnings attributable to The Andersons fell sharply to $0.3 million, or $0.01 per diluted share, in comparison with $5.6 million, or $0.16 per share within the prior 12 months.
Adjusted internet earnings was $4.1 million, or $0.12 per share, down from $5.6 million and $0.16, respectively.
Click on right here to obtain our most up-to-date Certain Evaluation report on ANDE (preview of web page 1 of three proven under):
Prime Dividend Champion #6: PepsiCo Inc. (PEP)
5-year anticipated returns: 18.1%
PepsiCo is a worldwide meals and beverage firm that generates $89 billion in annual gross sales. The corporate’s merchandise embody Pepsi, Mountain Dew, Frito-Lay chips, Gatorade, Tropicana orange juice and Quaker meals.
Its enterprise is break up roughly 60-40 when it comes to meals and beverage income. It’s also balanced geographically between the U.S. and the remainder of the world.
Supply: Investor Presentation
On April twenty fourth, 2025, PepsiCo reported first quarter earnings outcomes for the interval ending March thirty first, 2025. For the quarter, income fell 1.8% to $17.9 billion, however this beat expectations by $190 million.
Adjusted earnings-per-share of $1.48 in contrast unfavorably to $1.61 the prior 12 months and was $0.01 under estimates. Foreign money alternate lowered income by 3% and earnings-per-share by 4%.
Natural gross sales grew 1% for the primary quarter. For the interval, quantity for drinks was flat whereas meals decreased 3%. PepsiCo Drinks North America’s income grew 1% for the interval at the same time as quantity was down 3%.
Income for Frito Lay North America declined 2% and quantity declined 1%.
Click on right here to obtain our most up-to-date Certain Evaluation report on PEP (preview of web page 1 of three proven under):
Prime Dividend Champion #5: Sonoco Merchandise (SON)
5-year anticipated returns: 18.5%
Sonoco Merchandise supplies packaging, industrial merchandise and provide chain companies to its clients. The markets that use the corporate’s merchandise embody these within the home equipment, electronics, beverage, building and meals industries.
The corporate generates over $5 billion in annual gross sales. Sonoco Merchandise is now composed of two main segments, Client Packaging, and Industrial Packaging, with all different companies listed as “All Different”.
On April sixteenth, 2025, Sonoco Merchandise raised its quarterly dividend 1.9% to $0.53, extending the corporate’s dividend progress streak to 49 consecutive years.
On April twenty ninth, 2025, Sonoco Merchandise reported first quarter outcomes for the interval ending March thirtieth, 2025.
Supply: Investor Presentation
For the quarter, income grew 30.5% to $1.71 billion, which was $330 million lower than anticipated. Adjusted earnings-per-share of $1.38 in comparison with $1.12 within the prior 12 months, however was $0.03 under estimates.
Revenues and earnings benefited from the addition of Eviosys. For the quarter, Client Packaging revenues of $1.07 billion have been up 83% year-over-year, principally attributable to contributions from Eviosys.
Volumes improved as properly whereas pricing and prices have been favorable within the U.S. metallic cans packaging enterprise.
Click on right here to obtain our most up-to-date Certain Evaluation report on Sonoco (SON) (preview of web page 1 of three proven under):
Prime Dividend Champion #4: Eversource Power (ES)
5-year anticipated returns: 18.8%
Eversource Power is a diversified holding firm with subsidiaries that present regulated electrical, gasoline, and water distribution service within the Northeast U.S.
FactSet, Erie Indemnity, and Eversource Power are the three new Dividend Aristocrats for 2025.
The corporate’s utilities serve greater than 4 million clients after buying NStar’s Massachusetts utilities in 2012, Aquarion in 2017, and Columbia Fuel in 2020.
Eversource has delivered regular progress to shareholders for a few years.
Supply: Investor Presentation
On February eleventh, 2025, Eversource Power launched its fourth-quarter and full-year 2024 outcomes. For the quarter, the corporate reported internet earnings of $72.5 million, a major enchancment from a internet lack of $(1,288.5) million in the identical quarter of final 12 months, which mirrored the impression of the corporate’s exit from offshore wind investments.
The corporate reported earnings per share of $0.20, in contrast with a loss per share of $(3.68) within the prior 12 months. For the total 12 months 2024, Eversource reported GAAP earnings of $811.7 million, or $2.27 per share, in contrast with a full-year 2023 lack of $(442.2) million, or $(1.26) per share.
On a non-GAAP recurring foundation, the corporate earned $1,634.0 million, or $4.57 per share, representing a 5.3% improve from 2023.
Click on right here to obtain our most up-to-date Certain Evaluation report on ES (preview of web page 1 of three proven under):
Prime Dividend Champion #3: H2O America (HTO)
5-year anticipated returns: 19.7%
H2O America, previously referred to as SJW Group, is a water utility firm that produces, purchases, shops, purifies and distributes water to shoppers and companies within the Silicon Valley space of California, the world north of San Antonio, Texas, Connecticut, and Maine.
It additionally has a small actual property division that owns and develops properties for residential and warehouse clients in California and Tennessee. The corporate generates about $670 million in annual revenues.
On February twenty seventh, 2025, HTO introduced fourth quarter and full 12 months outcomes for the interval ending December thirty first, 2024. For the quarter, income improved 15.5% to $197.8 million, which topped expectations by $10.3 million.
Earnings-per-share of $0.74 in contrast favorably to earnings-per-share of $0.59 within the prior 12 months and was $0.19 forward of estimates. For the 12 months, income grew 12% to $748.4 million whereas earnings-per-share of $2.87 in comparison with $2.68 in2023.
For the quarter, greater water charges total added $22.8 million to outcomes and better buyer utilization added $9.9 million whereas regulatory mechanisms lowered income totals by $7.1 million. Working manufacturing bills totaled $154.2 million, which was a 14% improve from the prior 12 months.
Click on right here to obtain our most up-to-date Certain Evaluation report on HTO (preview of web page 1 of three proven under):
Prime Dividend Champion #2: Becton Dickinson & Co. (BDX)
5-year anticipated returns: 19.7%
Becton, Dickinson & Co., or BD, is a worldwide chief within the medical provide trade. The corporate generates virtually $22 billion in annual income, with roughly 43% of revenues coming from exterior of the U.S. BD consists of three segments.
Merchandise bought by the Medical Division embody needles for drug supply techniques, and surgical blades. The Life Sciences division supplies merchandise for the gathering and transportation of diagnostic specimens. The Intervention phase contains a number of of the merchandise produced by what was Bard.
On Could 1st, 2025, BD reported outcomes for the second quarter of fiscal 12 months 2025.
Supply: Investor Presentation
For the quarter, income grew 4.5% to $5.3 billion, which was $50 million lower than anticipated.
On a forex impartial foundation, income elevated 6%. Adjusted earnings-per-share of $3.36 in contrast favorably to $3.17 within the prior 12 months and was $0.07 above estimates.
For the quarter, U.S. grew 7% whereas worldwide was up 1.2% on a reported foundation. Excluding forex alternate, worldwide was greater by 4.8%. Natural progress was up 0.7% for the interval.
Click on right here to obtain our most up-to-date Certain Evaluation report on BDX (preview of web page 1 of three proven under):
Prime Dividend Champion #1: Stepan Co. (SCL)
5-year anticipated returns: 21.5%
Stepan manufactures fundamental and intermediate chemical substances, together with surfactants, specialty merchandise, germicidal and material softening quaternaries, phthalic anhydride, polyurethane polyols and particular elements for the meals, complement, and pharmaceutical markets.
It’s organized into three distinct enterprise strains: surfactants, polymers, and specialty merchandise. These companies serve all kinds of finish markets, which means that Stepan just isn’t beholden to only a handful of industries.
Supply: Investor presentation
The surfactants enterprise is Stepan’s largest by income, accounting for ~68% of complete gross sales in the latest quarter. A surfactant is an natural compound that accommodates each water-soluble and water-insoluble parts.
Stepan posted fourth quarter and full-year earnings on February nineteenth, 2025, and outcomes have been blended as soon as once more. Income was down 1.2% year-on-year to $526 million, however did beat estimates by virtually $5 million. Adjusted earnings-per-share got here to 12 cents, which missed estimates by 21 cents.
International gross sales quantity was off 1% year-over-year as double-digit progress in surfactants was offset after which some by demand weak spot in polymers. Surfactants have been up 3% year-over-year in This autumn to $379 million. Polymer internet gross sales fell 12% to $130 million.
The corporate managed to generate about $13 million in pre-tax value financial savings through the quarter, and about $48 million for the total 12 months.
Click on right here to obtain our most up-to-date Certain Evaluation report on SCL (preview of web page 1 of three proven under):
Remaining Ideas
The assorted lists of shares by size of dividend historical past are a great useful resource for buyers who give attention to high-quality dividend shares.
To ensure that an organization to boost its dividend for at the least 25 years, it should have sturdy aggressive benefits, extremely worthwhile companies, and management positions of their respective industries.
In addition they have long-term progress potential and the flexibility to navigate recessions whereas persevering with to boost their dividends.
The highest 7 Dividend Champions offered on this article have lengthy histories of dividend progress, and the mixture of excessive dividend yields, low valuations, and future earnings progress potential make them enticing buys proper now.
The Dividend Champions checklist just isn’t the one approach to shortly display screen for shares that recurrently pay rising dividends.
The Dividend Kings Record is much more unique than the Dividend Aristocrats. It’s comprised of 55 shares with 50+ years of consecutive dividend will increase.
The Excessive Dividend Shares Record: shares that attraction to buyers within the highest yields of 5% or extra.
The Month-to-month Dividend Shares Record: shares that pay dividends each month, for 12 dividend funds per 12 months.
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