Here Are All the Dividend Kings Beating the S&P 500 in 2025 -- and the 2 That Are the Best Stocks to Buy Now

Source The Motley Fool

The S&P 500 has bounced back somewhat after sinking nearly 19% below its previous high following President Trump's "Liberation Day" reciprocal tariffs announcement in April. However, the major index is still in negative territory for the year, along with many stocks.

One group of stocks is easily outperforming the S&P 500, though -- the Dividend Kings. These stocks have increased their dividends for at least 50 consecutive years.

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A smiling woman holds a chess king piece.

Image source: Getty Images.

Market-beating dividend royalty

Fifty-five stocks currently qualify as Dividend Kings (including a couple that join the club depending on how their dividend growth is interpreted). Thirty-one of them are beating the S&P 500 year to date as of the market close on May 1, 2025:

  • Abbott Laboratories (NYSE: ABT)
  • AbbVie (NYSE: ABBV)
  • ABM Industries (NYSE: ABM)
  • Altria Group (NYSE: MO)
  • American States Water (NYSE: AWR)
  • Automatic Data Processing (NASDAQ: ADP)
  • Black Hills Corp. (NYSE: BKH)
  • California Water Service Group (NYSE: CWT)
  • Canadian Utilities (OTC: CDUAF)
  • Cincinnati Financial (NASDAQ: CINF)
  • Coca-Cola (NYSE: KO)
  • Colgate-Palmolive (NYSE: CL)
  • Commerce Bancshares (NASDAQ: CBSH)
  • Consolidated Edison (NYSE: ED)
  • Fortis (NYSE: FTS)
  • Genuine Parts (NYSE: GPC)
  • Johnson & Johnson (NYSE: JNJ)
  • KenVue (NYSE: KVUE)
  • Kimberly-Clark (NYSE: KMB)
  • Middlesex Water (NASDAQ: MSEX)
  • National Fuel Gas (NYSE: NFG)
  • Northwest Natural Holding (NYSE: NWN)
  • Nucor Steel (NYSE: NUE)
  • Parker Hannifin (NYSE: PH)
  • Procter & Gamble (NYSE: PG)
  • SJW Group (NASDAQ: SJW)
  • S&P Global (NYSE: SPGI)
  • Tootsie Roll Industries (NYSE: TR)
  • Universal Corporation (NYSE: UVV)
  • Wal-Mart (NYSE: WMT)
  • W.W. Grainger (NYSE: GWW)

Granted, several of these members of dividend royalty aren't performing all that great this year. For example, Genuine Parts' shares are barely in positive territory. Cincinnati Financial stock is down year to date, but not as much as the S&P 500.

On the other hand, some Dividend Kings have soared. Consolidated Edison's share price has jumped roughly 25% in 2025. National Fuel Gas is an even bigger winner with a year-to-date gain of more than 30%.

Top contenders

Which of these market-beating Dividend Kings are the best picks for investors to buy? I think there are several top contenders.

Income investors could especially like Altria and Universal Corporation. Altria's forward dividend yield is 6.88%, while Universal's forward dividend yield is 5.57%. However, some investors could be reluctant to buy these two stocks because they sell tobacco products.

Consumer defensive stocks tend to be safe havens during tumultuous markets like we've seen this year. I think this puts Coca-Cola and Wal-Mart at the forefront for investors. Coca-Cola has delivered the stronger performance of the two, with its shares jumping nearly 15%.

Several healthcare stocks look attractive as well. Abbott Labs and Kenvue are both up by double-digit percentages year to date. One potential knock against these stocks, though, is that the Trump administration's tariffs could negatively affect them, especially if the president moves forward with steep pharmaceutical tariffs.

The utilities sector is also holding up exceptionally well, with uncertainty weighing on most other sectors. Unsurprisingly, quite a few of the Dividend Kings that are utilities continue to beat the market and remain good picks for investors. We've already mentioned Consolidated Edison and National Fuel Gas. Other top utility stocks with 50 or more years of dividend increases that are outperforming the S&P 500 include Fortis, Middlesex Water, and SJW Group.

The two best Dividend Kings to buy now

It's difficult to select the best Dividend Kings to buy right now. However, I think Coca-Cola and National Fuel Gas rise to the top.

Coca-Cola is one of the bluest blue-chip stocks on the market. It's Warren Buffett's longest-held position in his Berkshire Hathaway portfolio and one of his biggest all-time winners. The company claims one of the strongest brands on the planet. CEO James Quincey highlighted Coke's "all-weather strategy" in the company's recent first-quarter update. I think that's an apt description of Coca-Cola's business model: It's well positioned to succeed regardless of how the market and the economy are doing.

National Fuel Gas is the top-performing Dividend King in 2025 for a good reason. This integrated energy company is involved in natural gas exploration and production, operating pipelines and storage facilities, and providing natural gas utility services to customers. The company projects an adjusted earnings per share compound annual growth rate of over 10% through 2027. The surging adoption of artificial intelligence (AI) should give National Fuel Gas a great growth opportunity in supplying natural gas to power these data centers hosting AI applications.

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Keith Speights has positions in AbbVie. The Motley Fool has positions in and recommends AbbVie, Abbott Laboratories, Colgate-Palmolive, Kenvue, S&P Global, and Walmart. The Motley Fool recommends Abm Industries, Fortis, Genuine Parts, and Johnson & Johnson and recommends the following options: long January 2026 $13 calls on Kenvue. The Motley Fool has a disclosure policy.

Disclaimer: For information purposes only. Past performance is not indicative of future results.
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