The stock market’s valuation has expanded significantly in the past 10 years, and now sits at a record high. The Shiller P/E ratio sits at 39, a level not seen since the infamous tech bubble of 1999. As a result, investors may want to reduce volatility in their portfolios. One way to do this is by purchasing low beta stocks.The higher the beta, the more volatile the stock is expected to be relative to the S&P 500 index. Low beta stocks generally decline less than the broader market in a downturn. For example, a stock with a beta value of 0.50 will decline 0.5% for every 1% decline in the S&P 500 Index.Focusing on low-beta stocks with solid dividend yields can potentially reduce portfolio volatility. These 3 low-beta stocks have all increased their dividends for over 25 years, and could outperform in a bear market.1. Hormel Corporation (HRL)Hormel Foods is a diversified food producer with about $12.5 billion in annual revenue. Hormel has kept its core competency as a processor of meat products for well over a hundred years but has also grown into other business lines through acquisitions. The company sells its products in 80 countries worldwide, and its brands include Skippy, SPAM, Applegate, Justin’s, and more than 30 others.Hormel posted third quarter earnings on August 28th, 2025. Adjusted earnings-per-share came to 35 cents, which was six cents light of estimates. Revenue was up 4.5% year-over-year to $3.03 billion, beating estimates by $50 million. Organic net sales were up 6% year-over-year on volume gains of 4%, with price and mix comprising the other 2%.The company also noted its cost savings program is working and helping save about $125 million annually. Gross profit was flat year-on-year, with inflationary headwinds offset by top line gains. The company noted 400 basis points of raw material cost inflation, a massive headwind to margins.Cash flow from operations were $157 million, while capex was $72 million, and dividends paid were $159 million. Guidance for Q4 was for net sales of ~$3.2 billion, about $50 million light of consensus. Earnings are expected at ~39 cents.Hormel has increased its dividend for 59 consecutive years. Hormel’s payout ratio is 80% of earnings, and we expect it could drift lower over time as earnings outpace dividend growth. Management is certainly committed to the dividend, but it wants to acquire growth as well, which uses cash.Hormel’s main competitive advantage is its ~40 products that are either #1 or #2 in their category. Hormel has brands that are proven, and that leadership position is difficult for competitors to supplant. In addition, Hormel has a global network of distributors that few food companies can rival. Hormel’s earnings-per-share actually grew during the Great Recession, a testament to the company’s defensive nature.2. Consolidated Edison (ED)Consolidated Edison Inc (NYSE:ED) is a holding company that delivers electricity, natural gas, and steam to its customers in New York City and Westchester County. The company has annual revenues of more than $16 billion. On January 16th, 2025, Consolidated Edison raised its quarterly dividend 2.4% to $0.85. This was the company’s 51st annual increase, qualifying Consolidated Edison as a Dividend King.On August 7th, 2025, Consolidated Edison announced second quarter results for the period ending June 30th, 2025. For the quarter, revenue grew 11.7% to $3.6 billion, which was $149 million more than expected. Adjusted earnings of $240 million, or $0.67 per share, compared to adjusted earnings of $203 million, or $0.59 per share, in the previous year. Adjusted earnings-per-share were $0.01 ahead of estimates.Average rate base balances are still projected to grow by 8.2% annually through 2029 based off 2025 levels. This was up from the company’s prior forecast of 6.4%. Consolidated Edison still expects capital investments of $38 billion for the 2025 to 2029 period, which was up from $28 billion previously. The company also expects capital investments of ~$72 billion over the next decade.Consolidated Edison reaffirms updated guidance for 2025 as well, with the company still expecting earnings-per-share in a range of $5.50 to $5.70 for the year. The company expects 5% to 7% earnings growth from 2025 levels through 2029.Just like many other utilities, Consolidated Edison is typically allowed by the regulatory authorities to raise its rates. As a result, it enjoys reliable cash flows and can thus service its debt. One key competitive advantage for Consolidated Edison is that consumers do not curtail their electricity consumption even during the roughest economic periods, so the stock is resilient during recessions.3. Johnson & Johnson (JNJ)Johnson & Johnson (NYSE:JNJ) is a diversified health care company and a leader in the area of innovative medicines and medical devices Johnson & Johnson was founded in 1886 and employs nearly 138,000 people around the world. The company is projected to generate more than $93 billion in revenue this year.On April 15th, 2025, Johnson & Johnson increased its quarterly dividend 4.8% to $1.30, extending the company’s dividend growth streak to 63 consecutive years.On October 14th, 2025, Johnson & Johnson reported third quarter results for the period ending September 30th, 2025. For the quarter, revenue grew 6.7% to $24 billion, which was $240 million more than expected. Adjusted earnings-per share of $2.80 compared favorably to $2.42 in the prior year and was $0.04 ahead of estimates. Revenue for Innovative Medicines grew 6.8% on a reported basis and 5.3% on an operational basis. Infectious Disease decreased 0.9% on a reported basis as growth inOncology grew 21.3% due to ongoing high demand for Darzalex, which treats multiple myeloma, and continued high demand in several other products. Immunology fell 9.8%. Weakness for Stelara, which treats immune-mediated inflammatory diseases, was once again due to biosimilar competition. Offsetting this was ongoing market share gains for Tremfya, which treats chronic inflammatory conditions such as plaque psoriasis and arthritis.Even after 60+ years of dividend growth, Johnson & Johnson has a reasonably low dividend payout ratio. This gives the company ample room to raise its dividend, even in a prolonged recession. One of Johnson & Johnson’s key competitive advantages is the size and scale of its business. The company is a worldwide leader in a number of healthcare categories. Johnson & Johnson’s diversification allows it to continue to grow even if one of the segments is underperforming.Get the full list of Low Beta Stocks here***Disclosure: No positions in any stocks mentioned