Want Decades of Passive Income? 3 Stocks to Buy Right Now
Saturday, Dec 21, 2024 4:37 am ET
9min read If you're looking for a consistent stream of passive income that can last for decades, consider investing in dividend stocks. Dividend stocks provide a steady income stream and can help grow your wealth over time. In this article, we'll explore three dividend stocks that have the potential to provide decades of passive income: T. Rowe Price, Bank of Nova Scotia, and Agree Realty.
1. T. Rowe Price (TROW)
T. Rowe Price is a well-known asset management firm that has increased its dividend annually for 38 consecutive years. With a current yield of 4.2%, T. Rowe Price offers a attractive income stream. The company's annuity-like income structure, driven by asset management fees, provides a stable foundation for dividend growth. T. Rowe Price has adapted to industry changes by expanding its product offerings to include ETFs and alternative assets, further securing its dividend payouts.
2. Bank of Nova Scotia (BNS)
Bank of Nova Scotia, also known as Scotiabank, has paid dividends continuously since 1833. With a current yield of 6.4%, it offers one of the highest dividend yields among major banks. The bank's global diversification and focus on emerging markets have contributed to its long-term dividend stability. Although Scotiabank has faced challenges in some markets, its management is working to improve performance by focusing on stronger markets and exiting weaker ones.
3. Agree Realty (ADC)
Agree Realty is a net-lease real estate investment trust (REIT) that has rebounded from a dividend cut during the Great Recession. With a current yield of 4.9% and monthly dividend payments, Agree Realty offers a attractive income stream. The company's net-lease model, which shifts property-level operating costs to tenants, reduces risk and provides a stable foundation for dividend growth. Agree Realty has grown its dividend nearly 70% over the past decade, demonstrating its ability to adapt and thrive in changing market conditions.
In conclusion, T. Rowe Price, Bank of Nova Scotia, and Agree Realty are three dividend stocks that have the potential to provide decades of passive income. Their strong businesses, consistent dividend histories, and adaptability to industry changes make them attractive options for long-term investors seeking a steady income stream. By including these stocks in your portfolio, you can help secure your financial future and enjoy the benefits of passive income for years to come.
Disclaimer: the above is a summary showing certain market information. AInvest is not responsible for any data errors, omissions or other information that may be displayed incorrectly as the data is derived from a third party source. Communications displaying market prices, data and other information available in this post are meant for informational purposes only and are not intended as an offer or solicitation for the purchase or sale of any security. Please do your own research when investing. All investments involve risk and the past performance of a security, or financial product does not guarantee future results or returns. Keep in mind that while diversification may help spread risk, it does not assure a profit, or protect against loss in a down market.
