2 Unstoppable Dividend Stocks to Buy If There's a Stock Market Sell-Off

In the face of market volatility, investors often seek refuge in stable, dividend-paying stocks. Two companies that have demonstrated resilience and strong dividend histories are Alphabet (GOOG) and Visa (V). Both companies have robust business models, strong balance sheets, and attractive dividend yields, making them compelling options if there's a stock market sell-off.

Alphabet, the parent company of Google, has a diversified revenue stream with 75% coming from advertising. This diversification has enabled the company to maintain steady growth even during economic downturns. Alphabet's strong financial performance is reflected in its impressive dividend history. The company has raised its dividend every year for the past 18 years, with a 5-year compound annual growth rate (CAGR) of 15%. Alphabet's current dividend yield of 1.8% is higher than its 10-year average of 1.5%, making it an attractive income investment.



Visa, on the other hand, operates an asset-light business model, facilitating transactions and charging fees for each one. This model has proven to be highly profitable, with Visa reporting nearly $19 billion in net income over the last 12 months. Visa has increased its dividend for the past 3 consecutive years, with a 5-year CAGR of 12%. The company's current dividend yield of 1.2% is above its 10-year average of 1%, and its high payout ratio of 60% indicates a strong commitment to returning capital to shareholders.



Both Alphabet and Visa have strong balance sheets, with cash and equivalents representing 5% and 10% of their market caps, respectively. This provides a safety net for maintaining dividends and reinvesting in growth during market sell-offs. Additionally, both companies are facing ongoing antitrust lawsuits, which have contributed to their current discounted P/E ratios. However, their strong business models and global scale ensure steady revenue streams, making them attractive long-term investments.

In conclusion, Alphabet and Visa are two unstoppable dividend stocks that investors should consider if there's a stock market sell-off. Their robust business models, strong balance sheets, and attractive dividend yields make them compelling options for income-oriented investors seeking stability during market volatility.