3 Dividend Stocks to Hold for the Next 10 Years

There's no single right way to invest; a great deal depends on your personality. Which is why United Parcel Service (NYSE: UPS), General Mills (NYSE: GIS), and Medtronic (NYSE: MDT) will each likely appeal to different investor types. However, they all have attractive dividends and attractive business prospects.

Here's a close look at each one.

1. United Parcel Service is a turnaround story

United Parcel Service is the riskiest investment candidate here. In fact, given that the dividend payout ratio exceeds 100% at the moment, there's a chance that the dividend might get trimmed. However, with a yield of roughly 6.6%, even a dividend haircut of 50% would still leave it with an attractive yield relative to the skinny 1.2% on offer from the S&P 500 index.

UPS, as the company is more commonly known, is making big changes to its business in an attempt to better position itself for the future. That has included capital investments to increase efficiency, downsizing the business (cutting employee headcount and reducing its physical footprint), and proactively shifting its customer base so it is focused on its most profitable business. The big picture is that the company is spending more even as it brings in less revenue. The shares have plunged.

That said, the turnaround effort is producing results. Specifically, the company's revenue per piece rose in both the second and third quarters. So less revenue, more spending, but higher profitability, which is exactly what the company is attempting to achieve. As spending needs subside, investors are likely to become more positive about the stock. For a more aggressive investor, even with the risk of a dividend cut, UPS could be an attractive contrarian investment opportunity.

Image source: Getty Images.

2. General Mills has adjusted before

General Mills is a large food maker, with a portfolio of industry-leading packaged food brands. Currently, the view of food makers is negative, as consumers shift away from ultra-processed foods and toward options that are considered healthier. That has investors generally downbeat on food stocks. Adding to the negative view is the fact that General Mills' sales results are currently weak, with organic growth dipping into negative territory in fiscal 2025. That trend continued into the first quarter of fiscal 2026.

Even well-run companies must navigate challenging times. In fact, shifting consumer buying habits is nothing new in the consumer staples space. General Mills has a long history of success navigating through such periods. The way it achieves this is through innovation and effective brand management. It is working on both of those fronts right now.

The negative view of the stock, however, has pushed it into value territory. General Mills' price-to-sales, price-to-earnings, and price-to-book value ratios are all below their five-year averages. The dividend yield is a historically high 5.3%. Dividend investors with a value bent should do a deep dive on this consumer staples stock today.

3. Medtronic appears to be on the cusp of growth

Medtronic, a large medical device maker, has the lowest yield of the group at 2.8%. However, it has the best dividend track record by far, at just two years shy of the 50 annual dividend increases needed to be called a Dividend King. If you are a conservative dividend investor, Medtronic is a stock you should be paying attention to today.

The big story around Medtronic is that its business overhaul is nearing completion. Management has been focusing on its most profitable and fastest-growing businesses. The process is expected to make a significant leap forward in 2026, when the company spins off its diabetes division, which is experiencing rapid growth but has low margins. The benefit of this move will be instant, with the spinoff expected to be accretive to earnings on day one.

Now add to the growth picture new products that are gaining traction with regulators and customers, including the company's surgical robot. It appears that Medtronic may be on the cusp of a significant growth surge. If history is any guide, that will translate into more, and likely larger, dividend increases. Dividend growth investors should find that very interesting.

Don't trade these dividend stocks; buy and hold

UPS, General Mills, and Medtronic will appeal to different types of investors. However, there is a running theme. They are well-run companies that you should consider buying and holding for the long term. Ten years is a good start, but even longer would probably be better. That way, you can benefit from the growth of these businesses over time.

Reuben Gregg Brewer has positions in General Mills and Medtronic. The Motley Fool has positions in and recommends United Parcel Service. The Motley Fool recommends Medtronic and recommends the following options: long January 2026 $75 calls on Medtronic and short January 2026 $85 calls on Medtronic. The Motley Fool has a disclosure policy.