Passive income is the dream for many investors – the idea of earning money without actively working for it is appealing. But what’s even better than receiving passive income? Enjoying it for decades. Generating long-term passive income is not as difficult as it may seem, especially if you invest in the right stocks. Here are three stocks that you can buy now and hold forever, providing you with a lifetime of dividends.
1. AbbVie:
AbbVie is a pharmaceutical company that has established itself as dividend royalty. With 52 consecutive years of dividend increases, AbbVie is a Dividend King. Since its spinoff from Abbott Labs in 2013, AbbVie has increased its dividend payout by an impressive 310%. The company’s forward dividend yield currently stands at nearly 3.6%, showcasing its commitment to rewarding shareholders.
While AbbVie’s top-selling drug, Humira, is facing challenges due to patent expiration, the company has a strong product lineup and pipeline to drive future growth. Drugs like Rinvoq, Skyrizi, Ubrelvy, and Vraylar are expected to contribute significantly to AbbVie’s revenue in the coming years. With over 90 programs in clinical development, AbbVie’s pipeline holds immense potential for future growth.
2. Realty Income:
Realty Income is a real estate investment trust (REIT) that has been consistently increasing its dividend for 30 years. While not a Dividend King, Realty Income has a solid track record of rewarding investors. The company pays its dividend monthly, offering investors a steady stream of passive income. With a forward dividend yield of 5.4%, Realty Income is an attractive option for income-seeking investors.
Realty Income’s portfolio is highly diversified, with over 1,550 clients representing 90 industries. The company’s focus on consumer-centric medical facilities, data centers, and industrial facilities provides additional growth opportunities. With a strong presence in the U.S. and Europe, Realty Income is well-positioned for future growth.
3. Verizon Communications:
Verizon Communications is a telecommunications giant that has been popular among income investors for years. With a forward dividend yield of 6.07% and 18 consecutive years of dividend increases, Verizon offers a compelling dividend program. Despite operating in a competitive industry, Verizon has been able to generate strong free cash flow, supporting its dividend payments.
Looking ahead, Verizon’s growth prospects could accelerate with the introduction of 6G wireless networks. The increased capacity, speed, and reliability of 6G networks could drive demand for Verizon’s wireless services, leading to significant growth opportunities. With a focus on augmented reality and Internet of Things, Verizon is well-positioned to capitalize on future trends.
In conclusion, investing in stocks like AbbVie, Realty Income, and Verizon Communications can provide you with a lifetime of dividends. By holding onto these stocks for the long term, you can enjoy passive income for decades to come. Consider adding these stocks to your portfolio for a reliable source of income and potential growth.
