The Dividend Kings are a group of just 56 stocks that have all increased their dividends for at least 50 consecutive years.
Regular dividend increases each year, even during recessions, are critical for dividend growth investors. This makes the Dividend Kings a great list to start searching for strong dividend stocks.
Read hedge fund letters here
The Dividend Kings are also appealing because many have high dividend yields. This article will discuss 3 Dividend Kings that have high yields above 4%, and should continue raising their dividends each year.
Altria Group (NYSE:MO)
Altria Group was founded by Philip Morris in 1847. Today, it is a consumer staples giant. It sells the Marlboro cigarette brand in the U.S. and a number of other non-smokeable brands. Altria also has a 10% ownership stake in global beer giant Anheuser Busch InBev, in addition to large stakes in Juul, a vaping products manufacturer and distributor, as well as cannabis company Cronos Group (CRON).
The company continues to generate steady earnings growth, even in a difficult operating climate for tobacco companies. Altria Group reported solid financial results for the fourth quarter and full year of 2024, delivering adjusted diluted EPS growth of 3.4% and returning over $10.2 billion to shareholders through dividends and share repurchases.
The company highlighted strong performance in its core tobacco businesses, with revenue growth and margin expansion, while also making strategic investments in its smoke-free product portfolio. Marlboro maintained its dominance in the premium cigarette segment, despite continued pressure from the growing discount segment and cross-category movement to smoke-free alternatives.
Going forward, Altria will pursue growth from new categories outside traditional cigarettes. NJOY, Altria’s e-vapor brand, showed volume and market share growth in the competitive pod segment, supported by expanded retail distribution and marketing investments.
In oral nicotine, on! performed well, growing its market share and achieving profitability ahead of schedule. The company remains optimistic about further growth in the nicotine pouch category and is preparing for the U.S. launch of its on! PLUS product once FDA authorization is secured.
Meanwhile, Altria continues regulatory preparations for heated tobacco products through its joint venture with Japan Tobacco, expecting to submit a PMTA for Ploom in mid-2025.
Altria invested billions of dollars in Canadian marijuana producer Cronos Group for a 55% equity stake (including warrants) and a 35% equity stake in e-vapor manufacturer Juul Labs.
Altria has increased its dividend for 55 years and shares currently yield 7.0%.
Stanley Black & Decker (NYSE:SWK)
Stanley Black & Decker is a world leader in power tools, hand tools, and related items. The company holds the top global position in tools and storage sales. Stanley Black & Decker is second in the world in the areas of commercial electronic security and engineered fastening.
On February 5th, 2025, Stanley Black & Decker announced fourth quarter and full year results for the period ending December 31st, 2024. For the quarter, revenue of $3.75 billion was unchanged from the prior year, but came in $120 million above expectations. Adjusted earnings-per-share of $1.49 compared favorably to $0.92 in the prior year and was $0.22 ahead of estimates.
For the year, revenue declined 3% to $15.4 billion while adjusted earnings-per-share of $4.36 compared to $1.45 in 2023. Companywide organic growth was flat for the year, but up 3% for the quarter. Organic sales for Tools & Outdoor, the largest segment within the company, was higher by 3% for the quarter. North America improved 2%, Europe was up 4%, and the rest of the world climbed 8%. DEWALT was especially strong and the holiday season was solid.
SWK will help restore its earnings-per-share growth through cost cuts. The cost reduction program remains on track to deliver $2 billion in pre-tax savings by the end of 2025. Stanley Black & Decker has achieved $1.5 billion of cost savings since starting the program. Inventory has been reduced by more than $2 billion since mid-2022.
Stanley Black & Decker provided guidance for 2025 as well. The company expects adjusted earnings-per-share in a range of $4.75 to $5.75 for the year. At the midpoint, this would represent 20.4% growth from the prior year.
SWK continues to increase its dividend each year. On July 25th, 2024, Stanley Black & Decker announced it was raising its quarterly dividend 1.2% to $0.82, extending the company’s dividend growth streak to 57 consecutive years. SWK currently yields 4.1%.
Black Hills Corp. (NYSE:BKH)
Black Hills Corporation is an electric utility that provides electricity and natural gas to customers in Colorado, Iowa, Kansas, Montana, Nebraska, South Dakota, and Wyoming. Black Hills was founded in 1941, and the company is headquartered in Rapid City, South Dakota.
Black Hills Corporation reported its fourth quarter earnings results in February. The company generated revenues of $597 million during the quarter, which was 1% more than the revenues that Black Hills Corporation was able to generate during the previous year’s quarter. This was a reversal from the previous quarter, when revenues had been down.
Black Hills Corporation generated earnings-per-share of $1.37 during the fourth quarter, which was above the consensus analyst estimate. Earnings-per-share were up by close to 20% versus the previous year’s quarter. Q4 and Q1 are seasonally stronger quarters due to higher natural gas demand for heating, which was again showcased by the above average profitability during the fourth quarter.
Management forecasts earnings-per-share of $4.00 to $4.20 for the current fiscal year. Growth over the coming years depends on several factors. This includes rate reviews, which drive revenues and profits per kWh. Another factor is the expansion of the company’s existing assets via new utility infrastructure. Black Hills regularly adds new projects to its growth investment backlog.
Planned growth investments include new electric transmission lines and new natural gas pipelines to service its customers. Rate reviews will allow Black Hills to recover investments into its existing systems, thereby more or less guaranteeing increasing revenues over time as long as volumes on existing systems remain unchanged in the long run, which should lead to rising profits down the road.
Now that the company exited its oil business, the increased focus on its core utility business is a positive for Black Hills, as this allows for more consistent and reliable growth.
BKH has increased its dividend for 55 years and currently yields 4.5%.
Disclosure: No positions in any stock mentioned
