Two investing truths have proven timeless:
- Investing in the biggest, strongest companies -- known as blue chip stocks -- is a great way to earn solid returns with a lower risk of loss.
- Dividend-paying stocks that steadily increase their payouts have the best track record of delivering market-beating total investment returns.
Investors seeking a balance of lower risk and steady returns should look at blue chip stocks that pay dividends. Let's take a closer look at these stocks that offer the best of both worlds. They're stalwart companies that meet the blue chip standard and pay a strong dividend to deliver the best returns.
Combining blue chip stock quality with dividends
A broad definition of a blue chip stock is a well-known, high-quality company that's considered a leader in its industry. The "blue chip" descriptor comes from the game of poker, in which blue chips have the highest dollar value.
Not every blue chip stock pays a dividend. Younger companies, such as Amazon (AMZN +1.44%), still have plenty of valuable opportunities to invest profits back into their business to accelerate growth. Others, such as Berkshire Hathaway (NYSE:BRK.A)(NYSE:BRK.B), have proven track records of earning high returns by reinvesting their company's profits and with share repurchase programs.
Many of the best blue chip companies pay dividends. Some are Dividend Aristocrats® (The term Dividend Aristocrats® is a registered trademark of Standard & Poor's Financial Services). These companies have increased their dividends consistently for at least 25 consecutive years and are part of the S&P 500 index. Dividend Kings have even more impressive records, having increased their dividends for 50 years or more.
Investing in companies with the combination of blue chip status and steadily rising dividend payments can be rewarding.
Best blue chip dividend stocks of 2025
Let's take a close look at some of the top blue chip dividend stocks:
1. Apple
NASDAQ: AAPL
Key Data Points
Apple's gradual growth, paired with its increasing dividend payout, is an attractive combination. The stock's dividend yield may be somewhat low, but the company's dividend payout ratio comprises a little less than 15% of Apple's cash flow, meaning that continued dividend growth is likely. Apple has raised its dividend every year since it instituted the payout in 2013. When looking for blue chip stocks that dole out regular and rising income, Apple is a top choice.
2. Mastercard
NYSE: MA
Key Data Points
Mastercard is ignored by many dividend investors for the simple reason that the dividend yield is low -- only around 0.5% as of late 2025. However, the company boasts a remarkable record of expanding its dividend payout, raising it by more than 8,300% since paying its first dividend.
3. Coca-Cola
NYSE: KO
Key Data Points
Coca-Cola has been satisfying investors' thirst for dividend income for many decades. The beverage giant has increased its dividend for 63 consecutive years. That puts Coca-Cola in the elite group of dividend stocks known as Dividend Kings.
The iconic beverage company generates a lot of cash, giving it money to pay an attractive and growing dividend. Coca-Cola paid out $8.4 billion in dividends in 2024 and has paid out almost $100 billion in dividends since January 2010.
Coca-Cola's high-yielding -- more than 3% yield in late 2025 -- and steadily rising dividend make it a very attractive option for investors seeking a durable and growing dividend.
4. Realty Income
5. NextEra Energy
NYSE: NEE
Key Data Points
Over the past 20 years, NextEra has grown its dividend at roughly a 10% compound annual rate. That has helped power a more than 15% compound annual return.
While NextEra's dividend yield is comparatively low for its peer group, it more than makes up for it in its growth. NextEra plans to increase its payout by roughly 10% annually through at least 2026.
Related investing topics
Should you buy blue chip dividend stocks?
Investing in blue chip companies that pay dividends can significantly increase your wealth over time. Although the stock market constantly gains and loses value, these stocks often exhibit below-average volatility while delivering market-beating returns over long time horizons. Blue chip dividend-paying stocks are strong additions to any portfolio, especially for investors seeking stability and income.
How to invest in blue chip dividend stocks
Anyone can invest in blue chip dividend stocks. Here's a step-by-step guide on how to add one to your portfolio:
- Open your brokerage app: Log in to your brokerage account where you handle your investments.
- Search for the stock: Enter the ticker or company name into the search bar to bring up the stock's trading page.
- Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this stock.
- Select order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
- Submit your order: Confirm the details and submit your buy order.
- Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.
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