The power of investing in dividend-paying stocks is often underappreciated. Many people assume dividends are mainly for grandparents and other retirees, and it's true that dividend income can be extremely useful when you're living on a fixed or semi-fixed income. But pre-retirees can also benefit greatly from dividends. For example, you can use that income to buy more shares of stock!
Here are a handful of dividend stocks to look into further and consider buying for your long-term portfolio -- whether you've got $1,000, $100, or $500,000 to spend.
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1. Realty Income
Realty Income (O +0.96%) is a real estate investment trust (REIT) -- a company that owns lots of real estate and leases it to tenants. REITs are required to distribute at least 90% of their taxable earnings as dividends, making them attractive to investors seeking dividend income. Realty Income's dividend yield is a hefty 5.5% -- and here's a big way it differs from most dividend stocks: It pays its dividend on a monthly basis. The company's payout is rather dependable, too, as it has paid its dividend for 667 consecutive months.
NYSE: O
Key Data Points
Realty Income uses triple-net leases, in which its tenants cover real estate taxes, property insurance, and operating expenses. In exchange for this arrangement, its leases tend to feature modest annual rent increases, often around 1%.
The company's portfolio of properties, as of early November 2025, featured about 15,500 properties in all 50 U.S. states, the U.K., and seven other countries in Europe -- with a 98.7% occupancy rate. Its 1,600-plus tenants include names such as Wynn Resorts, Dollar General, Tractor Supply Co., and Lowe's. The stock is well worth considering.
2. AbbVie
Pharmaceutical company AbbVie (ABBV 0.41%), spun off from Abbott Laboratories in 2013, is another solid dividend payer, with a recent dividend yield of 3.1%. Even better, it has increased its payout by an average annual rate of 7% over the past five years. The stock's payout ratio -- the percentage of earnings paid out in dividends -- is good, too, at less than 50%. That leaves plenty of room for further increases, and when you include the time that AbbVie was under Abbott's roof, the company has hiked its payout for more than 50 consecutive years.
NYSE: ABBV
Key Data Points
AbbVie has an active pipeline of around 90 products in various stages of development and it is investing heavily in research and development, to the tune of nearly $11 billion in 2024. The company has been growing at a good clip, too, with third-quarter revenue up 9% year over year and immunology and neuroscience revenue up 12% and 20%, respectively.
AbbVie's stock is somewhat reasonably priced, too, with a recent forward-looking price-to-earnings (P/E) ratio of 15.7. That's above the five-year average of 12.4, suggesting the shares may be slightly overvalued. So perhaps buy into the stock incrementally over time, or just add it to your watch list. Those buying now will enjoy some solid dividend income, though.
3. Coca-Cola
Coca-Cola (KO +0.41%) is a longtime dividend payer and a blue chip stock, yielding 2.9%, and it has increased its payout for 64 years in a row. Tracing its roots way back to 1886, it's a global icon, with big brands such as Coca-Cola, Sprite, Fanta, Dasani, Powerade, and Minute Maid.
NYSE: KO
Key Data Points
Coca-Cola is probably not going to be the fastest-growing stock in your portfolio. Its third quarter featured global unit case volume up only 1% year over year, with revenue up 5% and both operating margin and earnings growing significantly. If you're worried about any possible global turmoil or a pullback in the U.S. stock market, this stock might comfort you, as it's likely that whatever goes on in the world, people will keep drinking Coca-Cola beverages, whether they're sodas, coffees, teas, juices, sports drinks, or non-alcoholic ready-to-drink beverages.
The stock is appealingly priced, too, with a forward P/E ratio of 22, a smidge below the five-year average of 23.
Give one or more of these stocks some consideration for your long-term portfolio, especially if you're seeking income.
