Top Dividend Stocks to Buy in December 2025 for Long-Term Income Growth

For income-focused investors seeking long-term growth, the current market environment offers a compelling mix of high-yield dividend stocks with robust fundamentals. Among the most promising are Realty Income (O), Mid-America Apartment Communities (MAA), Rexford Industrial Realty (REXR), AbbVie (ABBV), and Enbridge (ENB). These companies combine attractive yields, sustainable payout ratios, and clear growth catalysts to position themselves as top choices for December 2025.

1. Realty Income (O): The Dividend King's Steady Hand

Realty Income, a REIT known for its "Monthly Dividend Company" moniker, has increased its dividend at a 4.2% compound annual rate over the past three decades. While its current payout ratio is not explicitly stated in recent reports, its long-term consistency and focus on triple-net lease properties provide a stable cash flow foundation. The company's portfolio of industrial and commercial assets, coupled with its disciplined underwriting, ensures resilience against economic headwinds.

For investors prioritizing reliability, Realty Income remains a cornerstone of any dividend growth portfolio.

2. Mid-America Apartment Communities (MAA): High Yield with a Path to Sustainability

Mid-America Apartment Communities has extended its dividend growth streak to 16 years, with a 7% compound annual growth rate over the last decade. However, its current payout ratio of 156.2% raises concerns about short-term sustainability. Analysts project this will drop to 65.7% in 2026 as earnings per share (EPS) are expected to reach $9.22. This transition is supported by MAA's strong balance sheet, including a net debt/EBITDA ratio of 4.2 and 95.6% occupancy rates. The company's focus on in-migration-driven markets and redevelopment projects further bolsters its long-term growth potential.

3. Rexford Industrial Realty (REXR): Conservative Payout, Explosive Growth

Rexford Industrial Realty has delivered a 15% compound annual dividend growth rate over five years, driven by its conservative payout ratio and strategic portfolio improvements. The REIT's embedded growth from redevelopments and tenant-driven capital expenditures ensures a steady income stream. With industrial demand surging due to e-commerce and supply chain shifts, Rexford's focus on high-barrier markets positions it to outperform peers. Its disciplined approach to capital allocation makes it a standout for investors seeking both yield and growth.

4. AbbVie (ABBV): A Biopharma Giant with a Dividend Dilemma

AbbVie, a Dividend King with a 3.44% forward yield, has seen its dividend soar 310% since its 2013 spin-off from Abbott Labs. However, its 2025 payout ratio remains contentious, with conflicting reports citing 57% and 263.18%. The discrepancy likely stems from differing methodologies-using earnings per share (EPS) versus free cash flow. Despite this, AbbVie's 5.5% dividend increase in 2026 and robust cash flows from blockbuster drugs like Humira suggest the payout is supported by strong fundamentals. Investors should monitor its cash flow generation to ensure sustainability.

5. Enbridge (ENB): Energy Infrastructure with a Conservative Edge

Enbridge's 5.8%–6.03% yield and 64%–68% payout ratio make it a compelling energy play. The company's CA$37 billion in growth projects, including the Ridgeline and Aspen Point pipelines, is expected to drive 3%–5% annual distributable cash flow (DCF) growth through 2033. Enbridge's low leverage and long-term contracts provide a buffer against commodity price volatility, making it a reliable income generator in a sector often plagued by uncertainty.

Conclusion: Balancing Yield, Growth, and Sustainability

The five stocks highlighted above exemplify the ideal blend of high yields, sustainable payout ratios, and growth catalysts. While Mid-America Apartment Communities and AbbVie require closer scrutiny due to high current payout ratios, their projected earnings growth and strong balance sheets mitigate risks. For long-term investors, these companies offer a diversified path to compounding income, supported by resilient business models and clear expansion plans.