Want Decades of Passive Income? 3 Stocks to Buy Now and Hold Forever

"Set and forget" usually isn't the smartest investing strategy. Things could change with any company, causing you to reevaluate your original investment decision.

However, I think a few stocks could be pretty close to being the kinds of investments you can set and forget. If you want decades of passive income, here are three stocks to buy now and hold forever.

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1. AbbVie

AbbVie (NYSE: ABBV) has increased its dividend for 54 consecutive years, including the time the drugmaker was part of its parent, Abbott Labs (NYSE: ABT). This streak makes AbbVie part of an elite group of stocks known as Dividend Kings. To join this group, a stock must have had at least 50 consecutive years of dividend increases.

Not many stocks have grown their dividends as impressively as AbbVie. Since being spun off from Abbott in 2013, the company has increased its dividend payout by a whopping 333%. Its forward dividend yield currently tops 3.1%.

I think there's another reason that investors can count on AbbVie. Like many pharmaceutical companies over the years, AbbVie has faced a patent cliff. Specifically, the company's longtime best-selling drug, Humira, began facing biosimilar competition in the U.S. in late 2023.

Today, however, AbbVie is delivering robust sales growth despite the steadily declining sales of Humira. The company diversified its product lineup through internal research and development, as well as strategic acquisitions. AbbVie navigated one of the most challenging patent cliffs ever and emerged from it as a stronger contender in the biopharmaceutical space.

2. The Coca-Cola Company

The Coca-Cola Company (NYSE: KO) has been a member of dividend royalty even longer than AbbVie. This giant beverage maker has increased its dividend for 63 consecutive years. I strongly suspect that Coca-Cola will soon extend its streak by another year.

Coca-Cola's dividend hikes usually aren't skimpy, either. For example, the company's board of directors approved a 5.2% increase in February 2025. Over the past decade, Coca-Cola's dividend has increased by approximately 46%. Its dividend yield is now 2.7%.

If a hall of fame were created for reliable companies, Coca-Cola would almost surely be one of the first nominees. The company was founded in May 1886. It has survived and thrived for nearly 140 years.

Coca-Cola now has 30 brands that generate at least $1 billion in annual sales. And it still has plenty of growth opportunities, with a market share of only 14% in developed markets and 7% in developing and emerging markets.

3. Johnson & Johnson

Johnson & Johnson (NYSE: JNJ) shares several things in common with Coca-Cola. For one thing, the healthcare giant has also increased its dividend for 63 consecutive years. Like Coke, J&J is also likely to extend its streak of dividend hikes in 2026.

However, Johnson & Johnson tops its fellow Dividend King on one front. Over the past decade, the company has increased its dividend payout by more than 73%. J&J's strong stock performance in the second half of 2025, though, has left it with a dividend yield of 2.4%, which is lower than the norm in recent years.

There's another common denominator between Johnson & Johnson and Coca-Cola. Both companies were founded in 1886, with J&J beginning operations only a few months before Coke. In some respects, Johnson & Johnson's success in adapting to the fast-changing healthcare market is even more impressive than Coca-Cola's story.

Can Johnson & Johnson continue to evolve, while keeping the dividends flowing and growing? I think so. The company is now laser-focused on pharmaceuticals and medical technology after its 2023 spin-off of consumer health unit Kenvue (NYSE: KVUE). J&J's drug pipeline includes 103 programs in clinical development. More than half of these programs are either in late-stage testing or awaiting regulatory approvals.

Keith Speights has positions in AbbVie. The Motley Fool has positions in and recommends AbbVie, Abbott Laboratories, and Kenvue. The Motley Fool recommends Johnson & Johnson. The Motley Fool has a disclosure policy.