3 Potential Future Dividend Kings to Buy and Hold for Growing Passive Income

Dividend Kings are companies that have over 50 years of consecutive dividend growth. Currently, only 56 stocks hold this elite status. However, over time, this number is likely to increase.

There are many more companies that have 10, 20, 30, even 40 consecutive years of dividend growth under their belts. That's the case here with the following three dividend stocks.

Over the next decade or so, each one could receive the Dividend King crown. For investors looking to build a passive income stream that grows over time, consider these stocks worthy of consideration.

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1. Air Products and Chemicals is a dividend growth turnaround story

Air Products and Chemicals (NYSE: APD) has raised its dividend 43 years in a row. In other words, the company, one of several that dominate the industrial gas industry, is just seven years away from reaching Dividend King status.

So far this year, macro uncertainties, including tariffs, have weighed on Air Products and Chemical's fiscal performance and sentiment. In turn, this has weighed on the stock, which has fallen by double-digits since the start of 2025. Still, while near-term price performance has been choppy, the company has continued to increase its dividend.

Earlier in the year, it increased its quarterly payout from $1.77 to $1.79 per share, or by a little over 1%. At current prices, the stock has a forward dividend yield of 2.8%. However, don't assume that future dividend increases will remain modest.

Air Products and Chemicals in the midst of a turnaround. After a C-suite shakeup earlier this year, the company has scaled back its clean hydrogen projects, shifting focus back to its main industrial gas business.

Sell-side analysts anticipate this will result in a return to positive earnings growth during the current fiscal year ending September 2026. If Air Products meets or beats these expectations, and delivers low single-digit/high double-digit earnings growth in the coming year, not only could management decide to implement a more significant dividend increase, the stock could bounce back toward prior highs.

2. Atmos Energy has nearly four decades of dividend growth under its belt

Based in Dallas, Atmos Energy (NYSE: ATO) distributes natural gas to customers across the United States. Utilities companies typically have long dividend growth track records, and Atmos is no exception. While it has yet to become a Dividend King, with 38 years of consecutive dividend growth under its belt, the company is only 12 years away from reaching this status.

Currently, Atmos Energy shares have a forward dividend yield of around 2%. That may not sound like much, but Atmos' quarterly dividend has had more than 8% annualized dividend growth over the past decade.

Steady dividend growth is likely to continue in the years ahead, as the company guides for 6%-8% earnings growth over the next few years and its business remains fully regulated, subject to steady growth while at the same time sheltered by the volatility of the unregulated utilities market.

Admittedly, following the stock's surge from $140 to $175 per share since the start of 2025, there are concerns that Atmos has moved up too far, too fast. However, the company's current forward price-to-earnings (P/E) multiple of 24 is in line with competitors like Southwest Gas.

If the valuation holds steady, the combination of consistently growing dividend payouts and price appreciation could result solid total returns over many years.

3. ExxonMobil has long prioritized annual dividend increases

Among oil stocks, ExxonMobil (NYSE: XOM) has the longest dividend growth track record. For the past 42 years, the upstream and downstream oil and gas company has increased its dividend. Currently, ExxonMobil has a forward yield of 3.4%. Even during challenging times, the company has prioritized maintaining its status as a dividend growth stock.

A prime example is back in 2021. Despite challenging conditions in the oil and gas market, ExxonMobil still raised its quarterly payout, although by just a penny, in order to keep the dividend growth streak going.

In more recent years, as oil and gas prices recovered from the pandemic and as ExxonMobil aggressively restructured to reduce operating expenses, the rate of dividend growth has increased once again. In 2024, ExxonMobil raised its dividend by 4%.

Alongside the potential for mid-single-digit dividend growth is the prospect of share price gains on earnings growth. The company continues to prioritize efficiency, as seen with its latest plans to lay off 3% to 4% of its global workforce.

Other efforts, such as realizing cost synergies related to last year's purchase of Pioneer Natural Resources, could result in billions in annual cost savings between now and 2030. This could translate into many more years of dividend growth -- perhaps enough years to enable ExxonMobil to reach Dividend King status.

Thomas Niel has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.