Key takeaways:

• The consumer goods and industrials sectors feature some of the most dependable dividend-paying stocks in the United States 

In one of our recent articles, we profiled a handful of dividend-paying stocks trading with a yield above 6%. Some of those names have a history of growing dividend payouts, which is our focus here.

The US stock market plays host to a number of companies that have increased their dividends for extended periods of time, including the aptly named ‘Dividend Aristocrats’, which have hiked annual dividends for at least 25 consecutive years. 

However, there is also a lesser-known cohort dubbed the ‘Dividend Kings’, which spans constituents of the S&P 500, Nasdaq, and even over-the-counter (OTC) markets. These stocks have delivered higher dividends for at least 50 years in a row.

• Company: American States Water
  Ticker: NYSE: AWR
  Sector: Utilities
  Years of Dividend Increases: 68
  Current Yield: 1.9%

• Company: Dover Corp
  Ticker: NYSE: DOV
  Sector: Industrials
  Years of Dividend Increases: 67
  Current Yield: 1.4%

• Company: Genuine Parts
  Ticker: NYSE: GPC
  Sector: Consumer Discretionary
  Years of Dividend Increases: 67
  Current Yield: 2.3%

• Company: Northwest Natural Holding
  Ticker: NYSE: NWN
  Sector: Utilities
  Years of Dividend Increases: 67
  Current Yield: 4.6%

• Company: Procter & Gamble
  Ticker: NYSE: PG
  Sector: Consumer Staples
  Years of Dividend Increases: 67
  Current Yield: 2.5%

• Company: Parker-Hannifin
  Ticker: NYSE: PH
  Sector: Industrials
  Years of Dividend Increases: 67
  Current Yield: 1.5%

• Company: Emerson Electric Co
  Ticker: NYSE: EMR
  Sector: Industrials
  Years of Dividend Increases: 66
  Current Yield: 2.3%

• Company: 3M
  Ticker: NYSE: MMM
  Sector: Industrials
  Years of Dividend Increases: 65
  Current Yield: 6.2%

• Company: Cincinnati Financial
  Ticker: NASDAQ: CINF
  Sector: Financials
  Years of Dividend Increases: 63
  Current Yield: 3.1%

• Company: Colgate-Palmolive
  Ticker: NYSE: CL
  Sector: Consumer Staples
  Years of Dividend Increases: 61
  Current Yield: 2.5%

• Company: Johnson & Johnson
  Ticker: NYSE: JNJ
  Sector: Healthcare
  Years of Dividend Increases: 61
  Current Yield: 3.0%

• Company: Coca-Cola
  Ticker: NYSE: KO
  Sector: Consumer Staples
  Years of Dividend Increases: 61
  Current Yield: 3.1%

• Company: Lowe’s
  Ticker: NYSE: LOW
  Sector: Consumer Discretionary
  Years of Dividend Increases: 61
  Current Yield: 1.9%

• Company: Lancaster Colony
  Ticker: NASDAQ: LANC
  Sector: Consumer Staples
  Years of Dividend Increases: 60
  Current Yield: 1.8%

• Company: Nordson
  Ticker: NASDAQ: NDSN
  Sector: Industrials
  Years of Dividend Increases: 59
  Current Yield: 1.1%

• Company: Farmers & Merchants Bancorp
  Ticker: OTH: FMCB
  Sector: Financials
  Years of Dividend Increases: 58
  Current Yield: 1.7%

• Company: Illinois Tool Works
  Ticker: NYSE: ITW
  Sector: Industrials
  Years of Dividend Increases: 58
  Current Yield: 2.1%

• Company: Hormel Foods
  Ticker: NYSE: HRL
  Sector: Consumer Staples
  Years of Dividend Increases: 57
  Current Yield: 2.8%

• Company: Tootsie Roll Industries
  Ticker: NYSE: TR
  Sector: Consumer Staples
  Years of Dividend Increases: 56
  Current Yield: 1.1%

• Company: ABM Industries
  Ticker: NYSE: ABM
  Sector: Industrials
  Years of Dividend Increases: 55
  Current Yield: 2.1%

• Company: California Water Service
  Ticker: NYSE: CWT
  Sector: Utilities
  Years of Dividend Increases: 55
  Current Yield: 2.1%

• Company: Federal Realty Investment Trust
  Ticker: NYSE: FRT
  Sector: Real Estate
  Years of Dividend Increases: 55
  Current Yield: 4.5%

• Company: Stepan
  Ticker: NYSE: SCL
  Sector: Materials
  Years of Dividend Increases: 55
  Current Yield: 1.6%

• Company: SJW Group
  Ticker: NYSE: SJW
  Sector: Utilities
  Years of Dividend Increases: 55
  Current Yield: 2.3%

• Company: Stanley Black & Decker
  Ticker: NYSE: SWK
  Sector: Industrials
  Years of Dividend Increases: 55
  Current Yield: 3.4%

• Company: Target
  Ticker: NYSE: TGT
  Sector: Consumer Staples
  Years of Dividend Increases: 55
  Current Yield: 3.3%

• Company: Commerce Bancshares
  Ticker: NASDAQ: CBSH
  Sector: Financials
  Years of Dividend Increases: 54
  Current Yield: 2.2%

• Company: H.B. Fuller
  Ticker: NYSE: FUL
  Sector: Materials
  Years of Dividend Increases: 54
  Current Yield: 1.2%

• Company: Altria Group
  Ticker: NYSE: MO
  Sector: Consumer Staples
  Years of Dividend Increases: 53
  Current Yield: 8.4%

• Company: MSA Safety
  Ticker: NYSE: MSA
  Sector: Industrials
  Years of Dividend Increases: 53
  Current Yield: 1.1%

• Company: National Fuel Gas
  Ticker: NYSE: NFG
  Sector: Energy
  Years of Dividend Increases: 53
  Current Yield: 4.0%

• Company: Sysco
  Ticker: NYSE: SYY
  Sector: Consumer Staples
  Years of Dividend Increases: 53
  Current Yield: 2.6%

• Company: Universal
  Ticker: NYSE: UVV
  Sector: Consumer Staples
  Years of Dividend Increases: 53
  Current Yield: 6.4%

• Company: Black Hills
  Ticker: NYSE: BKH
  Sector: Utilities
  Years of Dividend Increases: 52
  Current Yield: 4.4%

• Company: W.W. Grainger
  Ticker: NYSE: GWW
  Sector: Industrials
  Years of Dividend Increases: 52
  Current Yield: 0.9%

• Company: Leggett & Platt
  Ticker: NYSE: LEG
  Sector: Consumer Discretionary
  Years of Dividend Increases: 52
  Current Yield: 6.2%

• Company: Tennant
  Ticker: NYSE: TNC
  Sector: Industrials
  Years of Dividend Increases: 52
  Current Yield: 1.4%

• Company: Abbvie Inc
  Ticker: NYSE: ABBV
  Sector: Healthcare
  Years of Dividend Increases: 51
  Current Yield: 4.4%

• Company: Abbott Laboratories
  Ticker: NYSE: ABT
  Sector: Healthcare
  Years of Dividend Increases: 51
  Current Yield: 1.9%

• Company: Becton, Dickinson & Co.
  Ticker: NYSE: BDX
  Sector: Healthcare
  Years of Dividend Increases: 51
  Current Yield: 1.4%

• Company: Canadian Utilities
  Ticker: OTC: CDUAF
  Sector: Utilities
  Years of Dividend Increases: 51
  Current Yield: 5.1%

• Company: Kimberly-Clark
  Ticker: NYSE: KMB
  Sector: Consumer Staples
  Years of Dividend Increases: 51
  Current Yield: 3.5%

• Company: PepsiCo
  Ticker: NASDAQ: PEP
  Sector: Consumer Staples
  Years of Dividend Increases: 51
  Current Yield: 2.7%

• Company: PPG Industries
  Ticker: NYSE: PPG
  Sector: Materials
  Years of Dividend Increases: 51
  Current Yield: 1.7%

• Company: Archer Daniels Midland
  Ticker: NYSE: ADM
  Sector: Consumer Staples
  Years of Dividend Increases: 50
  Current Yield: 2.3%

• Company: The Gorman-Rupp Company
  Ticker: NYSE: GRC
  Sector: Industrials
  Years of Dividend Increases: 50
  Current Yield: 2.5%

• Company: Middlesex Water
  Ticker: NASDAQ: MSEX
  Sector: Utilities
  Years of Dividend Increases: 50
  Current Yield: 1.6%

• Company: Nucor
  Ticker: NYSE: NUE
  Sector: Materials
  Years of Dividend Increases: 50
  Current Yield: 1.2%

• Company: S&P Global
  Ticker: NYSE: SPGI
  Sector: Financials
  Years of Dividend Increases: 50
  Current Yield: 0.9%

• Company: Walmart
  Ticker: NYSE: WMT
  Sector: Consumer Staples
  Years of Dividend Increases: 50
  Current Yield: 1.5%

Which Sectors Provide Growing Dividends?

The vast majority of Dividend Kings come from the consumer goods and industrials sectors, representing more than half the list. However, there are also a smattering of utilities within this cohort, as well as healthcare stocks and financials. 

The remaining names come from the materials, energy, and real estate sectors. There are no stocks from the technology or communication services sectors that make the cut for inclusion as a Dividend King.

How Might Dividend Kings Contribute to Your Portfolio? 

While the list of Dividend Kings features several companies paying high dividend yields above 4%, the majority of constituents pay a modest yield, in the range of 1-3%. 

Their track records of growing dividends suggests they offer a reliable income stream, which may be desirable to investors who are looking to generate passive income. However, investors should decide what role these types of stocks would play in their portfolios. 

Historically, a number of stocks that feature within the Dividend Kings line-up have underperformed the S&P 500 across the last decade, or their share prices have decreased over the years as they record low revenue or earnings growth. 

Investors should consider whether dividend growth comes at the expense of capital growth, and whether there might be an opportunity cost associated with Dividend Kings as opposed to investing in other stocks that demonstrate better records of growing earnings.