Revealed on September twenty second, 2025 by Bob Ciura
Compounding is what makes the inventory market such a strong car for wealth creation.
The distinction over time between easy curiosity and compound curiosity is staggering:
- $100 at 9% easy curiosity is $190 after 20 years
- $100 at 9% compound curiosity is $560 after 20 years
That’s practically a 3x distinction between easy and compound curiosity – and that distinction can be much more pronounced over longer time intervals or the next rate of interest.
There are 3 parts of compounding:
- The expansion price (or rate of interest, price of return, and many others.)
- The size of every interval
- The variety of intervals
Investing returns are measured over time. You possibly can’t velocity up time; the size of every interval is fastened.
This implies compounding within the inventory market comes right down to the speed of return you obtain on an funding and the variety of intervals over which the funding compounds.
Clearly (and sadly), we don’t get to choose the speed of return we obtain from an funding. All we will do is tilt the chances in our favor by investing in high quality shares prone to develop earnings and dividends at a decent price.
Thankfully, eye-popping return numbers aren’t wanted for long-term wealth creation. Constantly strong returns over longer intervals of time can create very passable outcomes.
And that leads us to the third part of compounding – the variety of intervals over which your funding compounds.
Lengthy-term buyers ought to look to high quality dividend shares such because the Dividend Kings, which have elevated their dividends for over 50 consecutive years.
You possibly can see the total downloadable spreadsheet of all 56 Dividend Kings (together with essential monetary metrics akin to dividend yields, payout ratios, and price-to-earnings ratios) by clicking on the hyperlink beneath:
For this reason investing in companies which have endurance is so essential. It results in longer-holding intervals, and better compounding.
This text will rank 10 Dividend Kings with 50+ years of dividend development, with robust anticipated development for the long run.
Desk of Contents
The ten shares are ranked by annual anticipated development of earnings-per-share. You possibly can immediately bounce to any particular part of the article by clicking on the hyperlinks beneath:
Lengthy-Time period Dividend Compounder #10: Parker-Hannifin Corp. (PH)
- Anticipated Progress Fee: 9.0%
Parker-Hannifin is a diversified industrial producer specializing in movement and management applied sciences. The corporate generates annual revenues of $20 billion. Parker-Hannifin has elevated the dividend for 69 consecutive years.
In early August, Parker-Hannifin reported (8/7/25) outcomes for the fourth quarter of 2025. Natural gross sales grew 2% over final 12 months’s quarter, as 9% development in aerospace greater than offset a decline in North American Enterprise. Adjusted earningsper-share grew 14%, from $6.75 to $7.69, because of robust gross sales and a wider revenue margin in all segments.
Parker-Hannifin exceeded the analysts’ consensus by $0.61. Notably, Parker-Hannifin has exceeded the analysts’ EPS estimates for 40 consecutive quarters, an eye-opening streak.
The corporate supplied optimistic steerage for fiscal 2026. It expects 3% natural gross sales development and adjusted earnings-per-share of $28.40-$29.40. We be aware that administration tends to be conservative in its steerage.
Click on right here to obtain our most up-to-date Positive Evaluation report on Parker-Hannifin (preview of web page 1 of three proven beneath):
Lengthy-Time period Dividend Compounder #9: Illinois Device Works (ITW)
- Anticipated Progress Fee: 9.0%
Illinois Device Works is a diversified multi-industrial producer with seven distinctive working segments: Automotive, Meals Gear, Check & Measurement, Welding, Polymers & Fluids, Development Merchandise and Specialty Merchandise.
Final 12 months the corporate generated $15.9 billion in income. The corporate is geographically diversified, with greater than half of its income generated outdoors of the USA.
On August 1st, 2025, Illinois Device Works reported second quarter 2025 outcomes. For the quarter, income got here in at $4.1 billion, rising 1% year-over-year. Gross sales elevated 3.8% within the Automotive OEM section, the biggest out of the corporate’s seven segments.
Moreover, its Polymers & Fluids, and Development Merchandise segments noticed income decline 3.4% and 6.1%, respectively.
In the meantime, Specialty Merchandise, Check & Measurement and Electronics, Meals Gear, and Welding had income development of 1.1%, 1.2%, 2.1%, and a pair of.9%, respectively. Internet revenue equaled $755 million or $2.58 per share in comparison with $759 million or $2.54 per share in Q2 2024.
Click on right here to obtain our most up-to-date Positive Evaluation report on ITW (preview of web page 1 of three proven beneath):
Lengthy-Time period Dividend Compounder #8: Lowe’s Cos., Inc. (LOW)
- Anticipated Progress Fee: 9.0%
Lowe’s Firms is the second-largest house enchancment retailer within the US (after Residence Depot). The corporate was based in 1946 and is headquartered in Mooresville, NC. Lowe’s operates or providers greater than 1,700 house enchancment and {hardware} shops within the U.S.
On August 20, 2025, Lowe’s introduced it should purchase Basis Constructing Supplies (FBM), for $8.8 billion. FBM is a distributor of inside constructing merchandise for big residential and business professionals in new building and restore and rework. It generated $6.5 billion in income in 2024. The deal is predicted to shut within the fourth quarter.
Lowe’s reported second quarter 2025 outcomes on August twentieth, 2025. Complete gross sales got here in at $24.0 billion in comparison with $23.6 billion in the identical quarter a 12 months in the past. Comparable gross sales elevated by 1.1%. Internet earnings-per-share of $4.27 in comparison with $4.17 in second quarter 2024, and have been pushed by robust efficiency in Professional and DIY, partly offset by
unfavorable climate.
The corporate didn’t repurchase any of its frequent inventory within the quarter, however it paid out $673 million in dividends. Lowe’s up to date its fiscal 2025 outlook and now expects to earn adjusted EPS of $12.20 to $12.45 on whole gross sales of $84.5 to $85.5 billion.
Click on right here to obtain our most up-to-date Positive Evaluation report on LOW (preview of web page 1 of three proven beneath):
Lengthy-Time period Dividend Compounder #7: Automated Information Processing (ADP)
- Anticipated Progress Fee: 9.0%
Automated Information Processing is without doubt one of the largest enterprise providers outsourcing firms on this planet. The corporate offers payroll providers, human assets know-how, and different enterprise operations to greater than 700,000 company clients. Automated Information Processing produces annual income of about $20 billion.
ADP posted fourth quarter earnings on July thirtieth, 2025, and outcomes have been higher than anticipated as soon as once more. For the quarter, adjusted earnings-per-share got here to $2.26, which was three cents forward of estimates. Earnings rose from $2.09 a 12 months in the past. Income was up greater than 7% year-over-year to $5.1 billion, beating estimates by $50 million.
Employer Providers income was $3.47 billion, up 8% year-over-year. Phase earnings have been $1.16 billion, rising 9% as pretax margin was up 50 foundation factors to 33.5% of income. PEO Providers income was up 7% to $1.66 billion. Phase earnings have been up 6% to $220 million on pretax margin that declined 20 foundation factors to 13.2%.
Bills rose from $3.77 billion a 12 months in the past to $4.03 billion in This autumn. Adjusted EBIT margin was 23.7% of income, up from 23.3% a 12 months earlier. Steerage was initiated at $10.81 to $11.01 in adjusted earnings-per-share.
Click on right here to obtain our most up-to-date Positive Evaluation report on ADP (preview of web page 1 of three proven beneath):
Lengthy-Time period Dividend Compounder #6: W.W. Grainger Inc. (GWW)
- Anticipated Progress Fee: 10.0%
W.W. Grainger, headquartered in Lake Forest, IL, is without doubt one of the largest business-to-business distributors of upkeep, restore, and operations (“MRO”) provides on this planet. The corporate was based in 1927 and generated gross sales of $17.2 billion in 2024.
On August 1st, 2025, W.W. Grainger posted its Q2 outcomes for the interval ending June thirtieth, 2025. For the quarter, revenues have been $4.55 billion, up 5.6% on a reported foundation and up 5.1% on a day by day, fixed foreign money foundation in comparison with final 12 months.
The Excessive-Contact Options section noticed gross sales develop by 2.5% on a reported foundation, and a pair of.8% on a day by day, fixed foreign money foundation as a consequence of broad-based development throughout all geographies.
Within the Countless Assortment section, gross sales have been up 19.7%. Income development for the section was pushed by robust efficiency at each MonotaRO and Zoro.
Internet revenue equaled $482 million, up 2.6% in comparison with Q2-2024. Internet revenue was supported by robust expense leverage in Countless Assortment, at the same time as gross margin declined 80 foundation factors to 38.5%, and working margin fell 20 foundation factors to 14.9%.
Margin strain in Excessive-Contact from tariff-related inflation was partially offset by enhancements at Zoro. Earnings-per-share got here in at $9.97, 4.8% greater year-over-year, and have been aided by a decrease share depend.
Click on right here to obtain our most up-to-date Positive Evaluation report on GWW (preview of web page 1 of three proven beneath):
Lengthy-Time period Dividend Compounder #5: Nordson Corp. (NDSN)
- Anticipated Progress Fee: 10.0%
Nordson has operations in over 35 nations and engineers, manufactures, and markets merchandise used for shelling out adhesives, coatings, sealants, biomaterials, plastics, and different supplies, with purposes starting from diapers and straws to cell telephones and aerospace. The corporate generated $2.7 billion in gross sales final fiscal 12 months.
On August twentieth, 2025, Nordson reported third quarter outcomes for the interval ending July 31, 2025. For the quarter, the corporate reported gross sales of $742 million, 12% greater in comparison with $662 million in Q3 2024, pushed by an 8% optimistic acquisition influence, 2% natural gross sales improve, and a pair of% favorable foreign exchange translation.
The Industrial Precision, Superior Know-how, and Medical and Fluid Options segments noticed gross sales improve by 1% 17%, and 32%, respectively.
The corporate generated adjusted earnings per share of $2.73, a 13% improve in comparison with the identical prior 12 months interval. The backlog declined 5% sequentially as a consequence of robust shipments.
On August twenty eighth, 2025, Nordson elevated its dividend by 5% to $0.82 per share quarterly, marking 62 years of will increase.
Nordson’s outcomes thus far are nonetheless according to its preliminary FY 2025 outlook, which anticipated gross sales of $2.75 billion to $2.87 billion and adjusted EPS of $9.70 to $10.50.
Click on right here to obtain our most up-to-date Positive Evaluation report on NDSN (preview of web page 1 of three proven beneath):
Lengthy-Time period Dividend Compounder #4: Walmart Inc. (WMT)
- Anticipated Progress Fee: 11.0%
Walmart traces its roots again to 1945 when Sam Walton opened his first low cost retailer. The corporate has since grown into the biggest retailer on this planet, serving greater than 230 million clients every week. Income ought to be round $700 billion this 12 months.
Walmart posted second quarter earnings on August twenty first, 2025, and outcomes have been higher than anticipated on each the highest and backside traces. Adjusted earnings-per-share got here to 68 cents, which was six cents forward of estimates. Income was up virtually 5% year-on-year to $177.4 billion, beating estimates by $3 billion.
Comparable gross sales within the US have been up 4.6%, 50 foundation factors forward of consensus. Transactions have been 1.5% greater, whereas the typical ticket was up 3.1%. E-commerce gross sales have been up 26% and contributed 350 foundation factors to comparable gross sales, implying the bodily shops contributed 110 foundation factors.
Sam’s Membership comparable gross sales have been up 5.9%, on energy in grocery and well being & wellness. Worldwide gross sales have been up 5.5% to $31.2 billion. The promoting enterprise was up 46% through the quarter.
Adjusted working revenue was up simply 0.4% through the quarter on gross sales leverage, offset by margin losses from tariffs. The corporate ended Q2 with money of $9.4 billion and whole debt of $0.3 billion. Free money circulation was $6.9 billion, and inventories have been up 3.8% year-over-year to $57.7 billion.
Steerage is for 3.75% to 4.75% gross sales development for the 12 months, up barely from prior steerage.
Click on right here to obtain our most up-to-date Positive Evaluation report on WMT (preview of web page 1 of three proven beneath):
Lengthy-Time period Dividend Compounder #3: S&P International Inc. (SPGI)
- Anticipated Progress Fee: 11.0%
S&P International is a worldwide supplier of monetary providers and enterprise data and income of over $13 billion.
By way of its numerous segments, it offers credit score scores, benchmarks and indices, analytics, and different knowledge to commodity market individuals, capital markets, and automotive markets.
S&P International has paid dividends constantly since 1937 and has elevated its payout for 51 consecutive years.
S&P posted second quarter earnings on July thirty first, 2025, and outcomes have been higher than anticipated on each the highest and backside traces. Adjusted earnings-per-share got here to $4.43, which beat expectations by 21 cents. Income was up 6% year-over-year to $3.76 billion, beating estimates by $80 million.
Steerage was boosted to $17.00 to $17.25 in adjusted earnings-per-share, up barely from prior. Income can be anticipated to rise about 6% this 12 months, up from 5% prior.
Money from working actions much less capex ought to be about $5.5 billion this 12 months, which is unchanged. Bills have been $2.22 billion, up fractionally from Q1 and up from $2.11 billion a 12 months in the past.
Click on right here to obtain our most up-to-date Positive Evaluation report on SPGI (preview of web page 1 of three proven beneath):
Lengthy-Time period Dividend Compounder #2: Stepan Co. (SCL)
- Anticipated Progress Fee: 15.0%
Stepan manufactures primary and intermediate chemical compounds, together with surfactants, specialty merchandise, germicidal and material softening quaternaries, phthalic anhydride, polyurethane polyols and particular elements for the meals, complement, and pharmaceutical markets.
It’s organized into three distinct enterprise traces: surfactants, polymers, and specialty merchandise. These companies serve all kinds of finish markets.
The surfactants enterprise is Stepan’s largest by income. A surfactant is an natural compound that incorporates each water-soluble and water-insoluble parts.
Stepan posted second quarter earnings on July thirtieth, 2025, and outcomes have been a lot worse than anticipated on each the highest and backside traces. Adjusted earnings-per-share got here to 52 cents, which was nowhere near estimates for 90 cents. Income was up 7% year-over-year to $595 million, lacking estimates by $3.6 million.
Surfactant gross sales have been $412 million, with promoting costs hovering 11% on pass-through of uncooked materials prices, primarily. Gross sales volumes have been down 1%. Polymers web gross sales have been up 2% to $163 million. Volumes have been up 7% however promoting costs declined 7%. Specialty Product gross sales have been $20.5 million, up 22%, however margins worsened.
Adjusted EBITDA was $51.4 million, up 8% year-over-year. Adjusted web revenue was $12 million. Money from operations got here to $11.2 million, and free money circulation was detrimental $14.4 million on greater working capital necessities, in addition to uncooked materials builds.
Click on right here to obtain our most up-to-date Positive Evaluation report on SCL (preview of web page 1 of three proven beneath):
Lengthy-Time period Dividend Compounder #1: Nucor Corp. (NUE)
- Anticipated Progress Fee: 15.7%
Nucor is the biggest publicly traded US-based metal company based mostly on its market capitalization. The metal business is notoriously cyclical, which makes Nucor’s streak of 52 consecutive years of dividend will increase much more exceptional.
On July 28, 2025, Nucor Company reported its monetary outcomes for the second quarter of 2025. The corporate achieved web earnings attributable to Nucor stockholders of $2.60 per diluted share, with web gross sales reaching $8.46 billion, up 8% from the second quarter of 2024. EBITDA was $1.30 billion, reflecting operational energy.
All three reporting segments—metal mills, metal merchandise, and uncooked supplies—confirmed sequential earnings development, pushed by greater common promoting costs in sheet and plate mills, secure pricing with elevated volumes, and improved scrap processing operations, respectively.
Complete tons shipped to outdoors clients elevated 8% year-over-year to roughly 6,820,000, with metal mill shipments up 10%. Working charges at metal mills rose to 85%, in comparison with 80% within the prior quarter and 75% in the identical quarter final 12 months.
Click on right here to obtain our most up-to-date Positive Evaluation report on NUE (preview of web page 1 of three proven beneath):
Extra Studying
The Dividend Kings listing isn’t the one option to rapidly display for shares that often pay rising dividends.
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