These 3 Dividend Stocks Are Perfect for Any Portfolio
Quick Read
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Fortis (FTS) doubled operating cash flow from $1.4B in 2016 to $2.8B as of TTM Q3 2025.
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Verizon raised dividends for the 19th consecutive year despite carrying $170.45B in debt.
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Atmos Energy has grown dividends for 40 consecutive years with 30.5% annual free cash flow growth over three years.
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Certain dividend stocks are worth holding no matter what your portfolio looks like. Dividend stocks like Fortis (NYSE:FTS), Verizon (NYSE:VZ), and Atmos Energy (NYSE:ATO), have stood the test of time and do well as long-term strategic plays. Plus, they can act as stabilizers for your entire portfolio if the market starts getting more volatile.
The current environment is perfect for looking at these dividend stocks. Murmurs on Wall Street suggest that the rally may be plateauing. I wouldn’t blame you for dismissing that, as those assertions have been proven wrong over and over again since 2022. However, the fundamentals are weakening this time around, with hyperscalers and big-cap companies beginning to run short on the cash needed to fund their AI build-out commitments. If the AI train stops, the rest of the market is sure to get thrown around.
Dividend stocks are one of the best ways to prepare for the pendulum swinging back.
Fortis (FTS)
Fortis is a regulated electric and gas utility company based in Canada. Operating revenue is diversified across North America, with 54.8% of 2024 revenue coming from the U.S., 35.4% coming from Canada, and from various other nations, mostly in the Caribbean.
Fortis has historically been very stable, with occasional lapses that have aligned with market crisis periods. But in the current climate, FTS stock looks particularly strong due to what it does.
Electric and gas utilities are in a wonderful position, as they are mostly outside the domain of international tariffs. These companies can see equipment costs rise, but that’s imperceptible compared to companies that engage in international trade directly.
Moreover, the current export boom from North America to Europe and the AI build-out are increasing demand for natural gas pipelines and electrical infrastructure.
Fortis has managed to continually increase its cash flow over the coming years. Dividend payouts have increased in parallel. Operating cash flow has doubled from $1.4 billion in 2016 to $2.8 billion as of Q3 2025 (TTM). At the same time, cash flow for dividends has increased from $291 million in 2016 to $612 million.
The forward dividend yield is 3.49% with a forward payout ratio of 71.35%. There’s plenty more room for dividend growth.
Verizon (VZ)
Verizon is no longer the debt-laden telecommunications laggard it was just two years ago. The company has been going through a makeover in the eyes of Wall Street as it successfully weathered harsh interest rate hikes and grew dividends simultaneously.
Now, Verizon’s products seem to be in high demand as consumers see the internet as essential, with the data center build-out driving demand for Verizon’s extensive infrastructure.
The company posted 306,000 broadband net additions in Q3 2025. Fixed wireless access net additions were 261,000, with 61,000 Fios internet net additions. In total, broadband connections grew 11.1% year-over-year.
The company raised its dividends for the 19th consecutive year, and the future looks solid, especially with interest rate cuts reducing the company’s $170.45 billion debt burden.
Again, this debt may look frightful, but Verizon posted $17.5 billion in net income despite posting a $6.3 billion net interest loss.
I see the stock having an established floor near the $30-40 range, with solid upside potential ahead beyond $60 if it makes a recovery like AT&T (NYSE:T).
The forward dividend yield is 6.72%. The dividend payout ratio is just 57.68% despite that juicy yield.
Atmos Energy (ATO)
Atmos Energy is one of the largest natural-gas-only distributors in the U.S. The company operates exclusively in the natural gas sector.
Atmos Energy’s operations are divided into two main segments. The first is natural gas distribution, with the second being pipeline and storage services. Natural gas distribution generated $3.9 billion in operating revenue, with the Pipeline and Storage segment generating $938 million.
3-year free cash flow growth is at 30.5% annually, with future revenue growth in the coming years expected to be 11.5% annually.
The company’s reliability isn’t a new development. ATO stock hasn’t had a sharp crash in recent history. Even the losses in 2020 were quickly recouped, with the 2008 drawdowns being much less severe than the broader market.
ATO has a 2.28% forward dividend yield with 40 consecutive years of dividend growth. The forward payout ratio is 46.46%.
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