2 Dividend Stocks to Buy and Never Sell

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RegExp("[?&]notifications=1(&|#|$)");"desktop"===y&&i&&b.test(window.location.search)&&(i.checked=!0)};be("ybar-mod-notification",(function(e){var t={isUH3:"crunch"===e.getConfig().ytheme,notifContainer:document.getElementById("notification-container"),notifBadge:document.getElementById("notif-badge"),notifMenu:document.getElementById("ybarNotificationMenu"),notifMenuOpener:document.querySelector("#ybarNotificationMenu + label"),notifDropdown:document.getElementById("notifDropdownContainer"),tooltipContainer:document.querySelector(".".concat(Vn)),notifLabel:document.querySelector(".".concat($n))};t.notifDropdown&&ro(e,t)}))}()}};]]>Prosper Junior Bakiny, The Motley FoolWed, Jun 18, 2025, 10:02 AM 4 min readJohnson & Johnson has an impressive streak of payout increases, indicating a robust business.Merck is facing challenges, but it can overcome them through innovation.10 stocks we like better than Johnson & Johnson ›There are excellent reasons to invest in dividend stocks, including the fact that they typically outperform their non-dividend-paying peers in delivering strong market returns over long periods.However, just because a company pays a dividend doesn't make it attractive in and of itself. Income seekers want stocks that can perform well and consistently raise their payouts over the long run. Although few have what it takes, two excellent candidates in this regard are Johnson & Johnson (NYSE: JNJ) and Merck (NYSE: MRK).Johnson & Johnson has faced several issues in recent years. First, revenue growth hasn't been as impressive as the market would have liked. Second, the company is still facing thousands of lawsuits related to its talc-based products, but multiple judges have shot down its attempts at a settlement. Third, recent regulatory changes in the U.S. have enabled Medicare to negotiate lower prices for some of the drugs it spends the most on, and the first round of negotiations will feature three of J&J's medicines.Image source: Getty Images.Though these are real challenges, the flip side is that Johnson & Johnson has dealt with regulatory changes and lawsuits for decades, and has performed well throughout. Medicare didn't even exist when J&J was first created. The pharmaceutical giant's ability to generate consistent earnings should, eventually, grant it the flexibility to navigate regulatory changes.Additionally, Johnson & Johnson maintains an excellent credit rating, despite the lawsuits, so it can fulfill its financial obligations. Furthermore, the company has implemented changes to its business that could ultimately lead to even stronger financial results and revenue growth. It spun off its lower-growth consumer health business, Kenvue, in 2023.J&J is doubling down on innovative pharmaceuticals and medical devices. It has a deep pipeline of investigational medicines and is developing important new devices, including its robotic-assisted surgery machine, the Ottava system, which is expected to generate numerous revenue opportunities over the long term.Johnson & Johnson is an impeccable dividend stock with a streak of 63 consecutive dividend raises. The company's long history of payout increases is another piece of evidence that points to the strength of its underlying business. That's why, despite the headwinds the stock faces, I have no intention of selling my shares.Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoS&P 5005,980.87 -1.85 (-0.03%)Dow 3042,171.66 -44.14 (-0.10%)Nasdaq19,546.27 +25.18 (+0.13%)Russell 20002,112.96 +11.00 (+0.52%)VIX22.17 +2.03 (+10.08%)Gold3,387.40 -20.70 (-0.61%)PortfolioSign in to access your portfolioSign inTop gainersTMC TMC the metals company Inc. 6.75 +1.32 (+24.29%)SRRK Scholar Rock Holding Corporation 36.32 +5.17 (+16.60%)OSCR Oscar Health, Inc. 18.77 +2.66 (+16.51%)COIN Coinbase Global, Inc. 295.29 +41.44 (+16.32%)SYM Symbotic Inc. 35.70 +4.54 (+14.57%)Top losersTMDX TransMedics Group, Inc. 124.00 -12.20 (-8.96%)TCOM Trip.com Group Limited 56.54 -4.13 (-6.81%)FRHC Freedom Holding Corp. 140.43 -9.82 (-6.54%)EXLS ExlService Holdings, Inc. 45.21 -2.85 (-5.93%)MA Mastercard Incorporated 538.73 -30.72 (-5.39%)Most activeNVDA NVIDIA Corporation 145.48 +1.36 (+0.94%)TSLA Tesla, Inc. 322.05 +5.77 (+1.82%)INTC Intel Corporation 21.49 +0.69 (+3.32%)LCID Lucid Group, Inc. 2.2200 +0.0700 (+3.26%)SOFI SoFi Technologies, Inc. 15.36 +0.93 (+6.44%)Earnings eventsTrending tickersCL=F Crude Oil Jul 25 75.80 +0.66 (+0.88%)BTC-USD Bitcoin USD 104,418.42 +722.77 (+0.70%)ES=F E-Mini S&P 500 Jun 25 5,926.00 -55.50 (-0.93%)OPAI.PVT OpenAI 469.47 0.00 (0.00%)GC=F Gold Aug 25 3,387.40 -20.70 (-0.61%)Top economic events