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It is possible to build wealth through dividend investing. While it isn’t guaranteed that your investment will grow, you’ll continue to enjoy passive income as long as you hold the stock. In the long run, dividend stocks outperform their non-dividend payers significantly. This is why every investor must have a few dividend stocks in their portfolio.
Even if you’re focused on growth stocks, a few dividend stocks can become ideal long-term investments. When it comes to buying stocks that aren’t impacted by market movement, you need to identify companies that have the potential to stand strong despite the ups and downs. These should be companies that play a crucial role in the industry and offer products and services that’ll always remain in demand.
I believe Verizon Communications (NYSE:VZ), Johnson & Johnson Inc. (NYSE: JNJ), and Coca-Cola (NYSE:KO) are dividend stocks worth owning throughout 2026, no matter where the market moves. Let’s dive deep into them.
Verizon Communications
Verizon Communications is one of the largest telecom companies in the United States and serves over 146 million wireless customers. It is impossible for us to live without our phones, and the telecommunication industry continues to play a big role in the economy. The company has bundled wireless services into its broadband plans and integrated AI features into the network in order to attract more customers.
While Verizon struggled to gain new wireless customers recently, it has been expanding its broadband business. The management is planning to add over 2.2 million new fiber subscribers through the acquisition of Frontier Communications later this year. Verizon stock has a yield of 7.01% and a payout ratio of 57.68%. The company has raised dividends annually for 21 consecutive years and pays an annual dividend of $2.76 per share.
The company has made significant changes to improve the business. CEO Dan Schulman took over last year, and the company cut 13,000 jobs amid a restructuring effort. We could see a turnaround in the business as the new CEO reports the first full quarter results on January 30.
The stock is exchanging hands for $39.36 and has gained 2.6% this past year. While the stock has struggled to gain momentum, I believe it is trading at a discount and is a chance to buy. The upcoming results may not give a boost to the stock, Verizon is considered an ideal pick for the long-term stability and dividends. It could be ready for a major turnaround this year.
Johnson & Johnson
After the spinoff of the consumer products division, Johnson & Johnson is now a pure-play health company. Its core business continues to remain medical technology and innovative drugs. The business operates in an industry that doesn’t depend on the economic cycle, and it focuses on areas such as neuroscience, infectious disease, metabolism, oncology, and immunology.
People will need treatments, they’ll need medication, and Johnson & Johnson will continue to see growing demand. The stock has a yield of 2.37% and is exchanging hands for $219.57. It has gained 48% in the past year and has had an excellent 2025.
Its third-quarter revenue was up 4.4% year over year, and the EPS jumped 15.7%. The company can sustain and raise dividends since it generates ample free cash flow. In the first nine months of 2025, the company generated a free cash flow of $14.3 billion and paid dividends of $9.3 billion.
The reason Johnson & Johnson remains relevant under all market situations is its diversified product lineup. Losing one of its growth drivers, Stelara didn’t impact its financial results as it continues to focus on the new launches. The company can develop new products that generate steady revenue in the long term. Its med tech business is thriving and accounted for over 35% of the revenue in the third quarter.
Johnson & Johnson has a payout ratio of 48.94%, and it has increased dividends for 63 years. The stock pays an annual dividend of $5.20 per share and has a 5-year dividend growth rate of 5.25%.
Coca-Cola
A blue-chip dividend stock and Warren Buffett’s longtime favorite, Coca-Cola is one of the top players in the consumer sector. The stock has a yield of 2.89% and has raised dividends for 63 consecutive years. Coca-Cola is a dividend king with the ability to increase payouts in the coming quarters. The company enjoys global presence and brand loyalty and has a diversified portfolio of products that meet the changing consumer demands.
It has a payout ratio of 67.85% and pays an annual dividend of $2.04 per share. The stock is exchanging hands for $70.48 and has gained 13% in a year. While the upside could be minimum, its dividends will remain steady. There’s a reason Buffett held on to the stock for decades. Coca-Cola is recession-proof due to its business model.
The company continues to sell products, no matter what the economy looks like. Further, it is an asset-light business. It only sells concentrates and syrups to the bottling partners who handle the distribution. This keeps the operating costs at a minimum and generates steady revenue. Coca-Cola has built a strong presence in every part of the world. The company generates robust profits and is an incredible business. It has pricing power and little risk of profits dropping.
You may find stocks with higher yields, but not many stocks offer the kind of safety and stability that Coca-Cola does. It has generated over 100% total return over the past decade. If you’re a dividend investor, KO stock will never disappoint.