3 Monster Dividend Stocks That Could Pay You Through the Next Decade of Chaos

Nobody can predict the market's future with any true certainty. Based on their real-world experience and resulting wisdom, however, more than a few analysts anticipate a different kind of decade ahead. Mutual fund giant Vanguard expects average annual returns of only between 4% and 5% for this time frame, for instance, while Goldman Sachs' Peter Oppenheimer believes U.S. stocks will lag the rest of the world's performance between now and 2026.

The advent of artificial intelligence (AI) only adds to any uncertainty, of course. It can improve efficiency, but it can also undermine employment. It's also possible that the massive investments currently being made in AI just won't pay off nearly as much as hoped.

One thing is for sure, though. Investors are going to wrestle with all of this for a long while, spurring plenty of volatility in the meantime. If your gut's telling you now's a good time to chase a little less growth and set yourself up for a little more reliable income for a while, trust your gut. Here are three names to help get you started.

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Philip Morris International

With nothing more than a quick comparison of the two, U.S.-focused Altria Group (NYSE: MO) looks like the better dividend-paying tobacco giant, with its forward yield of 5.9%. And if you were only looking for a near-term place to park some of your money in an income-generating investment, Altria is the better bet.

If we're talking about a decade, though, don't be deterred by Philip Morris International's (NYSE: PM) lower projected yield of 3.6%. It's arguably the stronger company of the two right now, as Altria is running into business-stifling headwinds that Philip Morris just isn't.

Chief among these headwinds is the smoking cessation movement that seems to be getting more traction within the United States than it is abroad. Although only slightly, Altria's 2025 revenue fell last year, mostly due to a 10% drop in cigarette sales volume (which remains its biggest business by far). Meanwhile, its e-cigarettes and vaping brands like Njoy and Helix just aren't getting much traction. Philip Morris's top line improved only a modest 1.4% last year, while cigarettes unsurprisingly lost some ground. This company is doing measurably better with its smoke-free product lines, achieving 15% revenue growth last year. It was enough to grow its per-share profits by 9%, with similar earnings growth in the cards for this year and likely for the foreseeable future.

Sure, Philip Morris will eventually run into the same health-minded headwind Altria is dealing with right now. Altria appears to be years ahead of its overseas counterpart. While Altria could conceivably start feeling some pressure on its profits that adversely impacts its ability to raise its dividends within the coming decade -- which would also work against the stock's value -- you could get at least another good 10 years out of Philip Morris.

Merck

There's no sense in ignoring the 800-pound gorilla in the room. The clock is ticking on pharmaceutical giant Merck's (NYSE: MRK) cancer-fighting wonder drug Keytruda. It will start losing some of its most important patent protections beginning in 2028. The stock's been struggling with this looming reality for a while now, with investors well aware that Keytruda accounts for roughly half of the company's revenue. Replacing it is a tall order to be sure, which is why the drugmaker isn't even trying to ... at least not directly.

It should be able to offset the eventual wind-down of Keytruda's dominance in the aggregate, however, with several solid new additions to its portfolio, such sacituzumab tirumotecan and already-approved Winrevair. Sacituzumab tirumotecan (licensed by Kelun Biotech) is currently in several late-stage trials as a cancer treatment, with approvals possibly beginning as early as next year. Winrevair, for the treatment of pulmonary arterial hypertension, saw its sales grow 87% year over year to $525 million last quarter following its initial approval in early 2024, cementing its stature as a blockbuster drug. All told, Merck's management continues to contend its current pipeline could generate more than $70 billion worth of annual revenue 10 years from now, versus last year's total top line of $65 billion.

Not that Merck's dividend payments were ever in any real immediate jeopardy, but this slow-building revenue snowball certainly makes this stock much easier to own than many investors feel like it is at this time. Newcomers will be plugging into a dividend yield of 3.1%.

IBM

Finally, add International Business Machines (NYSE: IBM) -- you know it better as IBM -- to your list of dividend payers to get you through what could be a pretty tricky next 10 years.

It's unusual in a couple of key ways. The biggest rarity is that it's a technology stock that pays a dividend at all, let alone a good one. Its forward-looking yield is 3%, based on a dividend that's now been raised every year for the past 31 years.

The other way IBM is unusual by tech stock standards is that while it's a developer of novel technologies like quantum computing, blockchain, and AI platforms, its core business isn't making or selling hardware. Its business model is to build computing platforms and develop the software that runs on them, then sell access on an ongoing basis. Software accounts for roughly 45% of its total revenue, in fact, while consulting and related services make up another one-third.

This business may not allow for massive growth in any given year (revenue only improved 6% in Q1 on a constant-currency basis), but it generates incredibly reliable recurring revenue that in turn supports incredibly reliable dividend payments and dividend increases ... something you'll want in turbulent times. The need for IBM's technology and solutions, of course, is never going away, regardless of the economic environment.

James Brumley has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Goldman Sachs Group, International Business Machines, and Merck. The Motley Fool recommends Philip Morris International. The Motley Fool has a disclosure policy.