Investing in dividend stocks can be a great way to build wealth over the long term. Not only do they provide a steady stream of income, but they can also appreciate in value over time. Here are some of the best performing dividend stocks of the last five years:
- Apple (AAPL)
Apple is a tech giant that needs no introduction. The company has been on a roll over the last five years, with its stock price increasing by over 200%. But what sets Apple apart from other dividend stocks is its impressive dividend growth. The company has grown its dividend at a compound annual growth rate (CAGR) of 9.6% over the last five years, making it one of the best dividend stocks in the market.
- Microsoft (MSFT)
Microsoft is another tech giant that has been a standout performer over the last five years. The company has successfully transitioned to a cloud-based business model and has grown its revenue and earnings at an impressive rate. But what’s even more impressive is its dividend growth. Microsoft has grown its dividend at a CAGR of 12.8% over the last five years, making it a top pick for dividend investors.
- Johnson & Johnson (JNJ)
Johnson & Johnson is a healthcare company that has been a reliable performer over the last five years. The company has a diverse range of products and a strong pipeline, which has helped it to consistently grow its dividend. Johnson & Johnson has grown its dividend at a CAGR of 6.1% over the last five years, making it a solid pick for dividend investors.
- Visa (V)
Visa is a global payments technology company that has been a consistent performer over the last five years. The company has a strong competitive position in the payments industry and has grown its dividend at a CAGR of 18.4% over the last five years. This has made Visa one of the best performing dividend stocks in the financial sector.
- Mastercard (MA)
Mastercard is another global payments technology company that has been a standout performer over the last five years. The company has benefited from the shift towards cashless payments and has grown its revenue and earnings at an impressive rate. Mastercard has also been a top pick for dividend investors, with its dividend growing at a CAGR of 18.5% over the last five years.
In conclusion, these five stocks have been some of the best performing dividend stocks of the last five years. While past performance is not a guarantee of future results, these companies have a strong track record of dividend growth and are likely to continue to provide strong returns to dividend investors in the years to come. As always, it’s important to do your own research and consider your investment goals and risk tolerance before making any investment decisions.