3 Best Dividend Kings for 2026

The Dividend Kings are a group of just 56 stocks that have all increased their dividends for at least 50 consecutive years.

Regular dividend increases each year, even during recessions, are critical for dividend growth investors. This makes the Dividend Kings a great source of stocks that can provide long-term passive income.

The Dividend Kings are also appealing because many have high dividend yields. This article will discuss 3 Dividend Kings that have high yields above the S&P 500 average, and should continue raising their dividends each year.

1. Becton Dickinson & Co. (BDX)

Becton, Dickinson & Co. is a global leader in the medical supply industry. The company was founded in 1897 and has 75,000 employees across 190 countries. The company generates about $20 billion in annual revenue, with approximately 43% of revenues coming from outside of the U.S.

BD reported results for the fourth quarter and fiscal year 2025. For the quarter, revenue grew 8.3% to $5.89 billion, but this was $20 million below estimates.

Adjusted earnings-per-share of $3.96 compared favorably to $3.81 in the prior year and was $0.05 more than expected. For the fiscal year, revenue grew 8.2% to $21.8 billion while adjusted earnings-per-share of $14.40 compared to $13.14 in FY 2024.

BD provided an outlook for fiscal year 2026 as well. Revenue is projected to grow at a low single-digit rate. Adjusted earnings-per-share are expected to be in a range of $14.75 to $15.05. At the midpoint, this would represent growth of 3.5% from FY 2025.

The company’s key competitive advantage is that its products are in high demand as medical devices and other healthcare products are still sought out during a recession. People will seek medical care regardless of how the economy is performing.

BDX has increased its dividend for 54 years in a row.

2. H2O America (HTO)

H2O America (NASDAQ:HTO), formerly known as SJW Group, is a water utility company that produces, purchases, stores, purifies and distributes water to consumers and businesses in the Silicon Valley area of California, the area north of San Antonio, Texas, Connecticut, and Maine.

It also has a small real estate division that owns and develops properties for residential and warehouse customers in California and Tennessee. The company generates about $670 million in annual revenues.

On July 8th, 2025, H2O America announced that it purchased Quadvest for $540 million. This purchase adds to the company’s position in the Houston area. Quadvest has 50,500 active connections, almost 91,000 connections under contract and pending development, 50 water treatment plants, 27 wastewater treatment plants, and 89 lift stations and underground assets.

On October 28th, 2025, H2O America reported third quarter results for the period ending September 30th, 2025. For the quarter, revenue improved 6.9% to $240.6 million, which beat estimates by $2.1 million. Earnings-per-share of $1.27 compared favorably to earnings-per-share of $1.18 in the prior year and was $0.09 better than expected.

For the quarter, higher water rates overall added $21.2 million to results and higher customer usage added $700K. Operating production expenses totaled $175.9 million, which was a 6% increase from the prior year. The increases were due to higher pensions costs, salaries and wages, and inflationary increases.

A key competitive advantage for H2O America, is that it operates in two areas, Silicon Valley and Central Texas, that have seen high levels of population growth in recent years. The addition of Quadvest will also significantly improve the company’s foothold in Texas. These areas need improved water infrastructure to serve a growing client base.

HTO has increased its dividend for 57 consecutive years.

3. Stepan Co. (SCL)

Stepan Company (NYSE:SCL) manufactures basic and intermediate chemicals, including surfactants, specialty products, germicidal and fabric softening quaternaries, phthalic anhydride, polyurethane polyols and special ingredients for the food, supplement, and pharmaceutical markets.

It is organized into three distinct business lines: surfactants, polymers, and specialty products. These businesses serve a wide variety of end markets, meaning that Stepan is not beholden to just a handful of industries.

The surfactants business is Stepan’s largest by revenue, accounting for ~68% of total sales in the most recent quarter. A surfactant is an organic compound that contains both water-soluble and water-insoluble components.

Stepan posted third quarter earnings on October 29th, 2025. Adjusted earnings-per-share came to 48 cents, but that missed estimates widely by 13 cents. Revenue was up 8% year-over-year to $590 million, but also missed by $3.5 million.

Surfactants net sales were $422 million, a 10% increase from the year-ago period. Adjusted EBITDA fell $6.2 million, or 14%, due to volume contraction, higher startup expenses, and rising raw material prices.

Polymers net sales were $144 million, a 4% decline year-over-year. Volume was up 8%, while adjusted EBITDA was down 4%, or $1 million, due to lower unit margins and unfavorable mix.

Consolidated adjusted EBITDA was up $3.1 million, or 6%, year-over-year. Cash from operations was $69.8 million, while free cash flow was $40.2 million driven by reductions in working capital.

The dividend was raised by 2.6%, Stepan’s 58th consecutive annual increase.

Get the complete list of Dividend Kings here

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Disclosure: No positions in any stock mentioned