3 Dividend Aristocrats to Buy Now Amid the Middle East Crisis

Friday, Mar 13, 2026 4:02 pm ET3min read
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Aime RobotAime Summary

- Middle East tensions disrupt markets, pushing oil prices above $100/barrel and triggering U.S. stock declines amid inflation fears.

- Dividend aristocrats like Atmos EnergyATO-- (ATO), Colgate-PalmoliveCL-- (CL), and West PharmaceuticalWST-- (WST) offer stability with 25+ years of consecutive dividend growth.

- These companies show strong financial metrics: ATOATO-- (2.17% yield, 10.2% expected earnings growth), CL (2.32% yield, 5.7% growth), and WSTWST-- (0.37% yield, 7.8% growth), all rated Zacks #2 (Buy).

- Analysts highlight their resilient business models as ideal portfolio safeguards during geopolitical crises and energy-driven market volatility.

March has historically been a strong month for the stock market. However, the escalating Middle East conflict involving the United States, Israel, and Iran has shaken markets, prompting investors to seek safer investment options.

Dividend aristocrat stocks like Atmos Energy Corporation ATO, Colgate-Palmolive Company CL and West Pharmaceutical Services, Inc. WST could help provide stability and protect portfolios during periods of market mayhem. Let’s take a closer look at why –

Rising Oil Prices Fuel Inflation Fears, U.S. Stocks Hit

On Thursday, oil prices jumped after Iran unexpectedly struck two oil tankers in Iraqi waters near the key export terminal at Basra. Brent crude has settled above $100 a barrel since Aug. 22, while the West Texas Intermediate crude settled at $95.73 per barrel, according to CNN Business.

The International Energy Agency cautioned that oil supply could remain vulnerable if energy infrastructure across the Middle East region is repeatedly targeted. Regrettably, supply disruptions show little sign of easing after Iran’s current supreme leader, Mojtaba Khamenei, recently said that the Strait of Hormuz should remain shut to apply tactical pressure on adversaries.

The rise in oil prices unnerved investors, as escalating energy costs add to inflationary pressure, threatening economic growth and potentially pushing share prices down. U.S. stock markets continue to face bouts of volatility, particularly affecting airline and travel shares. The Dow, the S&P 500 and the Nasdaq each fell more than 1% on Thursday, with the 30-stock Dow closing below the 47,000 level for the first time this year.

3 Dividend Aristocrats for Stable Income Amid Volatility

As the Middle East crisis rattles markets, with no immediate signs of easing, investors should turn to safer options for consistent income. Dividend aristocrats stand out as they have a long track record of raising dividends, reflecting strong financial stability. Their steady payouts and resilient business models can help cushion portfolios during periods of market volatility like the current crisis.

Here are three dividend aristocrats, with 25+ years of successive dividend increases:

Atmos Energy

Atmos Energy operates regulated natural gas distribution, pipeline and storage businesses in the United States.

Atmos Energy has a dividend yield of 2.17%. ATO’s payout ratio presently sits at 52% of earnings. ATO’s payout has advanced by 8.75% in the past five years. Check Atmos Energy’s dividend history here.

The Zacks Consensus Estimate for its current-year earnings has increased 2.1% over the past 60 days. The company’s expected earnings growth for the current year is 10.2%.

Colgate-Palmolive

Colgate-Palmolive manufactures and sells consumer products in the United States and globally.

Colgate-Palmolive has a dividend yield of 2.32%. CL’s payout ratio presently sits at 56% of earnings. CL’s payout has advanced by 3.36% in the past five years. Check Colgate-Palmolive’s dividend history here.

The Zacks Consensus Estimate for its current-year earnings has increased 1.3% over the past 60 days. The company’s expected earnings growth for the current year is 5.7%.

West Pharmaceutical Services

West Pharmaceutical Services makes containment and delivery systems for injectable drugs and healthcare products worldwide.

West Pharmaceutical Services has a dividend yield of 0.37%. WST’s payout ratio presently sits at 12% of earnings. WST’s payout has advanced by 5.55% in the past five years. Check West Pharmaceutical Services’ dividend history here.

The Zacks Consensus Estimate for its current-year earnings has increased 2.6% over the past 60 days. The company’s expected earnings growth for the current year is 7.8%.

All three of them, Atmos EnergyATO--, Colgate-PalmoliveCL-- and West Pharmaceutical ServicesWST--, currently have a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks Rank #1 (Strong Buy) stocks here.

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Colgate-Palmolive Company (CL): Free Stock Analysis Report

Atmos Energy Corporation (ATO): Free Stock Analysis Report

West Pharmaceutical Services, Inc. (WST): Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research

Zacks is the leading investment research firm focusing on equities earnings estimates and stock analysis for the individual investor, including stock picks, stock screening, portfolio stock tracker and stock screeners. Copyright 2006-2026 Zacks Equity Research, Inc. editor@zacks.com (Manaing editor) webmaster@zacks.com (Webmaster)

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