The Smartest Dividend Stocks to Buy With $1,000 Right Now

The data on dividend stocks makes a clear case. Over the past 50 years, dividend payers in the S&P 500 have outperformed non-dividend payers by more than 2-to-1, with a 9.2% average annual return compared to 4.3%, according to data from Ned Davis Research and Hartford Funds. However, within that group, there is a wide variation, as dividend growers have significantly outperformed both companies with no change in their dividends and those that have cut or eliminated their payouts, at 10.2%, 6.8%, and negative-0.9%, respectively.   Given that dataset, the smartest dividend stocks to buy are those that routinely increase their dividends. Two top options for those with $1,000 to invest right now are Realty Income (NYSE: O) and Brookfield Infrastructure (NYSE: BIPC)(NYSE: BIP). They offer higher dividend yields and an excellent record of growing their dividends, which seems highly likely to continue.Image source: Getty Images.Continue reading

May 23, 2025 - 09:14
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The Smartest Dividend Stocks to Buy With $1,000 Right Now

The data on dividend stocks makes a clear case. Over the past 50 years, dividend payers in the S&P 500 have outperformed non-dividend payers by more than 2-to-1, with a 9.2% average annual return compared to 4.3%, according to data from Ned Davis Research and Hartford Funds. However, within that group, there is a wide variation, as dividend growers have significantly outperformed both companies with no change in their dividends and those that have cut or eliminated their payouts, at 10.2%, 6.8%, and negative-0.9%, respectively.   

Given that dataset, the smartest dividend stocks to buy are those that routinely increase their dividends. Two top options for those with $1,000 to invest right now are Realty Income (NYSE: O) and Brookfield Infrastructure (NYSE: BIPC)(NYSE: BIP). They offer higher dividend yields and an excellent record of growing their dividends, which seems highly likely to continue.

Image source: Getty Images.

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