Some companies offer durable dividends that can last for decades, making them ideal for long-term investors. Warren Buffett, a renowned investor, has stated that his favorite holding period is forever, emphasizing the importance of finding stocks with strong business models and financial profiles.
Black Hills Corporation, Enbridge, and American States Water are highlighted as companies with the ability to thrive in tough times and consistently increase their dividends over the years. Black Hills Corporation, a utility company, has achieved Dividend King status with 54 years of annual dividend increases. Despite near-term challenges like rising interest rates, the company’s customer growth potential makes it a promising investment for long-term income.
Enbridge, a Canadian pipeline and utility company, has a low-risk cash flow profile and a focus on shifting towards lower-carbon energy sources. With visible growth from infrastructure projects, Enbridge offers a strong dividend yield and potential for total shareholder return in the long run.
American States Water, a water utility company, is a Dividend King with the longest dividend growth streak among its peers. With steady earnings and dividends growth, the company’s stable cash flows and essential service make it a reliable dividend stock for long-term investors.
These companies offer opportunities for investors seeking durable dividends and long-term income growth, making them attractive picks for those looking to build a solid portfolio.