Dividend Stocks You Can Hold Forever

More often than not, many investors make the mistake of looking for the highest yielding stocks when it comes to building retirement portfolios. Instead, it's important to remember that growth in the dividend, rather than yield alone, creates the reliable, improving income stream necessary for a comfortable retirement. Dividend growth counts even more than yield because of the magic of compounding, which can turn today's modest yielder into a superstar performer as dividends build year after year.

Although none of these yields will knock your socks off, it doesn't get much safer than this. All five of these companies are leaders in their industries and have incredible track records of consistent dividend growth: Johnson & Johnson (NYSE: JNJ) Yield: 4%, The Coca-Cola Co. (NYSE: KO) Yield: 3%, Walgreen Co. (NYSE: WAG) Yield: 3%, Proctor & Gamble (NYSE: PG) Yield: 3% and ExxonMobil (NYSE: XOM).

Source: Jutia Group

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