Income investors value reliability and consistency, as well as high dividend yields. Some stocks provide a combination of these factors, such as the Dividend Champions -- stocks that have raised their payouts for at least 25 years in a row.
These companies have proven that they can manage through recessions, while continuing to pay dividends each year, and raise their dividends on an annual basis.
These 3 Dividend Champions have long histories of dividend growth, market-beating yields, and the ability to raise their dividends each year going forward.
McCormick & Co. (NYSE:MKC)
McCormick & Co. produces, markets, and distributes seasoning mixes, spices, condiments, and other products to retail customers and to those in the food industry. McCormick has developed from a small regional business into a multinational powerhouse. The stock currently has a $19.4 billion market cap. Its portfolio includes iconic brands such as McCormick, Lawry’s, Old Bay, and French’s, catering to various culinary tastes worldwide.
On June 26th, 2025, McCormick announced second quarter results for the period ending May 31st, 2025. For the quarter, revenue improved 1.2% to $1.6. billion, which matched estimates. Adjusted earnings-per-share of $0.69 was unchanged from the prior year, but was $0.04 better than expected. For the quarter, volume and mix grew 1.3% while pricing was up 0.3%. Consumer segment revenue grew by 3.0% for the period.
McCormick provided updated guidance for 2025 as well. The company still expects revenue to be in a range of flat to up 2% compared to 2024. Adjusted earnings-per-share are now projected to be in a range of $3.03 to $3.08, up from $2.99 to $3.04 previously.
McCormick has grown its earnings-per-share at an average annual rate of 5.9% over the last nine years. Its acquisition of RB Foods, along with additional strategic M&A, has been beneficial, especially in the hot sauce market, where McCormick now holds the top two brands – Frank’s RedHot and Cholula. McCormick controls about 20% of the global seasoning and spice market, which places it in a strong negotiating position with retailers for prime shelf space and favorable pricing.
This resilience is further stressed by 39 consecutive years of dividend raises, and a projected 2025 payout ratio of 60%. McCormick’s track record and sturdy balance sheet suggest there’s ample room for continued dividend hikes ahead.
Nordson Corp. (NASDAQ:NDSN)
Nordson has operations in over 35 countries and engineers, manufactures, and markets products used for dispensing adhesives, coatings, sealants, biomaterials, plastics, and other materials, with applications ranging from diapers and straws to cell phones and aerospace. Nordson has a market cap of $12 billion and annual revenue of $2.7 billion.
On May 28th, 2025, Nordson reported second quarter results for the period ending April 30, 2025. For the quarter, the company reported sales of $683 million, 5% higher compared to $651 million in Q2 2024, driven by an 8% positive acquisition impact, partly offset by 2% organic sales decrease. The Medical and Fluid Solutions, and Advanced Technology Solutions segments saw sales increase by 20% and 18%, respectively, while Industrial Precision Solutions’ sales fell 8%. The company generated adjusted earnings per share of $2.42, a 3% increase compared to the same prior year period. The company’s backlog rose 5% sequentially.
Its main competitive advantage is its enormous installed base of customers around the world. The company provides niche, but critical, pieces involved in a variety of manufacturing processes. As a result, it is difficult for competitors to grasp market share from Nordson.
The company offers best-in-class technology that boosts client output while lowering costs. The company has grown its earnings-per-share by 12% per year on average over the last decade and has ample room for future growth.
Nordson has raised its dividend for 61 consecutive years. This is one of the longest dividend growth streaks in the investing universe. Thanks to its low payout ratio of 31% expected for 2025, its strong balance sheet and its growth prospects, Nordson is likely to keep raising its dividend for many more years.
Sonoco Products (NYSE:SON)
Sonoco Products provides packaging, industrial products and supply chain services to its customers. The markets that use the company’s products include those in the appliances, electronics, beverage, construction and food industries.
The company generates over $5 billion in annual sales. Sonoco Products is now composed of 2 major segments, Consumer Packaging, and Industrial Packaging, with all other businesses listed as “All Other”.
On April 16th, 2025, Sonoco Products raised its quarterly dividend 1.9% to $0.53, extending the company’s dividend growth streak to 49 consecutive years.
On April 29th, 2025, Sonoco Products reported first quarter results for the period ending March 30th, 2025. For the quarter, revenue grew 30.5% to $1.71 billion, which was $330 million less than expected. Adjusted earnings-per-share of $1.38 compared to $1.12 in the prior year, but was $0.03 below estimates.
Revenues and earnings benefited from the addition of Eviosys. For the quarter, Consumer Packaging revenues of $1.07 billion were up 83% year-over-year, mostly due to contributions from Eviosys.
Volumes improved as well while pricing and costs were favorable in the U.S. metal cans packaging business.
Over the past decade the company has averaged a 47% dividend payout ratio, but it is projected to be much lower than that this year. Sonoco Products has a very reasonable dividend payout ratio of 35% based off our expectations for 2025. As such, Sonoco Products’ dividend appears safe.
Disclosure: No positions in any stocks mentioned
