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The nature of the U.S. technology sector has shifted dramatically in recent years. Once viewed as a high-margin, low-debt corner of the market built around recurring revenue, software subscriptions and abundant free cash flow, the arms race has changed the equation. Nowhere is that more evident than in the capital expenditure plans of the “Magnificent Seven” technology giants.

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For example, Alphabet Inc. (ticker: , ) recently announced plans to raise $84 billion through a combination of an at-the-market stock offering and convertible preferred securities. Not to be outdone, Meta Platforms Inc. () has reportedly weighed similar financing options.

In many respects, the current AI buildout resembles the telecom infrastructure boom that occurred during the dot-com era. During that period, enormous sums were invested into fiber optic networks, data transmission infrastructure and telecommunications capacity. Those investments ultimately proved valuable to the economy and helped lay the foundation for today’s internet.

However, investors who bought into many telecom stocks at peak valuations often faced years before breaking even as excessive optimism gave way to disappointing returns. Contrarian investors looking to avoid some of the current AI enthusiasm may instead find comfort in a different corner of the market: mature with decades-long records of dividend growth.

In particular, S&P Global maintains several indexes dedicated to these firms. The first is the S&P 500 Dividend Aristocratsâ„¢ Index, which includes only S&P 500 constituents that have raised their dividends for at least 25 consecutive years and weights them equally. An even more exclusive benchmark is the S&P Dividend Monarchsâ„¢ Index, which draws from the broader S&P 1500 universe and requires a minimum of 50 consecutive years of dividend increases.

Investors should remember that dividends are not free money. While reinvested dividends can contribute significantly to total returns, they also create taxable events in many accounts.

Even so, companies that have consistently increased their dividends through events such as the dot-com crash, the 2008 financial crisis and the COVID-19 pandemic may demonstrate qualities that long-term investors value, including resilient balance sheets, disciplined capital allocation, durable cash flows and prudent management teams.

In an era where many mega-cap technology companies are directing growing amounts of cash toward AI and, in some cases, raising dilutive capital to support those ambitions, overweighting stalwart businesses that prioritize returning cash directly to shareholders may offer an appealing alternative.

Here are seven of the best Dividend King stocks to buy and hold forever, each of which has raised payouts annually for at least 50 consecutive years:

Stock	Yield
Johnson & Johnson ()	2.3%
Abbott Laboratories ()	2.8%
Procter & Gamble Co. ()	2.8%
Colgate-Palmolive Co. ()	2.3%
Coca-Cola Co. ()	2.5%
PepsiCo Inc. ()	4.1%
Walmart Inc. ()	0.8%

Johnson & Johnson ()

“On average, the Dividend Monarchs have increased their dividends for 56 straight years,” says Dave Mazza, CEO at Roundhill Investments. One particular standout is giant Johnson & Johnson, which announced its 64th consecutive annual dividend increase in April 2026. The firm hiked the payout by 3.1% from $1.30 per share to $1.34 per share, currently representing a 2.3% dividend yield.

“As a group, the Dividend Monarchs exhibit higher return on equity than the broader market, coupled with lower earnings variability,” Mazza says. Characteristics of this nature have historically translated to lower share price volatility and improved drawdowns. Johnson & Johnson is particularly resilient given it is one of two U.S.-listed companies with a coveted AAA credit rating, alongside Microsoft Corp. ().

Abbott Laboratories ()

“Healthcare companies tend to dominate the list because they possess predictable earnings growth, with profits that are not overly economically sensitive,” says James Lewis, portfolio manager and senior equity research analyst at Bartlett Wealth Management. “Thus, with a stable earnings stream, these companies are willing to allocate capital through dividends and grow the rate of that payment.”

Abbott Laboratories is a great example, having declared 399 consecutive quarterly dividend payments since 1924 while increasing the payout for 51 consecutive years. The firm is significantly less volatile than the S&P 500, with a five-year beta of 0.6. Down 28.8% year-to-date as of June 10, as the healthcare sector remains out of favor, the stock now trades at a reasonable 16.3 times forward price-to-earnings.

Procter & Gamble Co. ()

“Procter & Gamble boasts a diversified operating model across five product segments, 10 product categories, operations in 70 nations, and sales in over 180 countries and territories,” says Michael Ashley Schulman, partner at Cerity Partners. The average investor will likely find many products from this company in their household, such as Gillette razors, Tide detergent and Bounty paper towels.

“Procter & Gamble’s competitive strengths lie in its diverse portfolio, which provides stability and caters to a wide range of needs; its massive scale, which translates to better deals with suppliers and retailers; and its brand recognition with consumers,” Schulman says. This can be seen with the company’s ample 23% operating margin. Procter & Gamble recently increased its dividend for the 70th time by 3%.

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Colgate-Palmolive Co. ()

Consolidation across the sector has produced several long-running rivalries between dominant brands, many of which are also Dividend Kings. Competing directly against Procter & Gamble in multiple categories is Colgate-Palmolive. While best known for its oral care products, the company also owns a diverse portfolio spanning pet nutrition, personal care and home care.

Colgate-Palmolive is one of America’s oldest dividend-paying companies, having paid uninterrupted dividends since 1895 and increased its payout annually for 63 consecutive years. The stock currently yields 2.4% on an annualized basis. Over the past five years, Colgate-Palmolive has recorded a monthly beta of roughly 0.3, making it significantly less volatile than the S&P 500.

Coca-Cola Co. ()

“Coca-Cola benefits from a category where consumers are brand aware — that is, over the years, they have developed products that resonate with preferences,” Lewis says. “It also operates in categories where store brands have not been able to gain market share due to poor quality.” In February 2026, Coca-Cola raised its quarterly payout by 4% to 53 cents per share, marking its 64th dividend increase.

Today, Coca-Cola operates more as a brand owner, marketer and concentrate supplier than a beverage manufacturer. The company sells syrup to regional bottling partners that handle production and distribution within exclusive territories. This structure offloads much of the operational risk while allowing Coca-Cola to focus on higher-margin activities and capital allocation at the strategic level.

PepsiCo Inc. ()

Competing directly against Coca-Cola in the beverage market, PepsiCo is also a Dividend King. In February 2026, the company announced a 4% increase to its annual dividend beginning with the June 2026 payment. The increase marked PepsiCo’s 54th consecutive year of annual dividend growth. PepsiCo currently pays a 4.1% dividend yield, well above the consumer staples sector average.

However, PepsiCo’s stock has been largely flat year to date in 2026, following a challenging 2025 market environment. Management noted that repeated price increases had begun to weigh on consumer demand, prompting the company to slash costs for some products in its snack division. That shift has helped support a rebound in sales volumes while stabilizing investor sentiment toward the stock.

Walmart Inc. ()

Walmart is a relatively recent addition to the Dividend Kings list. In February 2026, Walmart announced an annual cash dividend of $0.99 per share, a 5% increase from the prior year’s $0.94 payout and its 53rd consecutive annual dividend increase. Despite operating in the low-margin retail industry, where operating margins are typically thin, Walmart has leveraged its enormous scale effectively.

The company currently generates a return on equity of 24%, a sign of strong capital allocation and management execution. “Walmart is the poster child of an old-economy company who has pivoted, and it is showing up in its profitability and growth,” says Nancy Tengler, CEO and chief investment officer of Laffer Tengler Investments. “I continue to like the company as an omni-channel, tech-driven retailer.”

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Update 06/11/26: This story was published at an earlier date and has been updated with new information.