This is a guest contribution by Bob Ciura of Sure Dividend. Sure Dividend helps individual investors build high quality dividend growth portfolios for the long run.
The Dividend Kings are a group of just 56 stocks that have all increased their dividends for at least 50 consecutive years.
Regular dividend increases each year, even during recessions, are critical for dividend growth investors. This makes the Dividend Kings a great source of stocks that can provide long-term passive income.
The Dividend Kings are also appealing because many have high dividend yields. This article will discuss 3 Dividend Kings that have high yields above the S&P 500 average, and should continue raising their dividends each year.
H2O America (HTO)
H2O America, formerly known as SJW Group, is a water utility company that produces, purchases, stores, purifies and distributes water to consumers and businesses in California, Texas, Connecticut, and Maine. H2O America has a small real estate division that owns and develops properties for residential and warehouse customers in California and Tennessee. The company generates almost $900 million in annual revenue.
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On January 26, 2026, H2O America raised its quarterly dividend 4.8% to $0.44, extending the company’s dividend growth streak to 58 consecutive years.
On February 25, 2026, H2O America released fourth quarter and full year results for the period ending December 31, 2025. For the quarter, revenue declined 1.9% to $194.1 million, which missed estimates by $23.3 million. Earnings-per share of $0.45 compared unfavorably to earnings-per-share of $0.74 in the prior year and was $0.07 below expectations.
For the year, revenue grew 7% to $800.6 million while earnings-per-share of $2.92 compared to $2.87 in 2024. Growth for the year was driven by a $67.4 million increase in rates and $1.5 million from new customers offset by an $8 million headwind from regulatory mechanisms and lower by $7.2 million from lower usage.
H2O America provided an outlook for 2026 as well, with the company expecting earnings-per-share in a range of $3.08 to $3.18. At the midpoint, this would be a 7.2% increase from the prior year. The company expects EPS growth in a range of 6% to 8% from 2026 to 2030.
Over the long-term, HTO’s earnings growth is fueled by population growth and acquisitions. For example, in 2025 that it purchased Quadvest for $540 million. This purchase added to the company’s position in the Houston area. Quadvest has 50,500 active connections, almost 91,000 connections under contract and pending development, 50 water treatment plants, 27 wastewater treatment plants, and 89 lift stations and underground assets.
Johnson & Johnson (JNJ)
Johnson & Johnson is a diversified health care company and a leader in the area of innovative medicines and medical devices Johnson & Johnson was founded in 1886 and employs nearly 138,000 people around the world. The company expect to generate revenue of ~$100 billion this year.
Johnson & Johnson reported first-quarter results for the period ending March 31st, 2026. For the quarter, revenue grew 9.9% to $24.1 billion, which was $450 million better than expected. Adjusted earnings-per-share of $2.70 compared unfavorably to $2.77 in the prior year, but this was $0.02 ahead of estimates.
Revenue for Innovative Medicines grew 11.2% on a reported basis and 7.4% on an operational basis. Oncology grew nearly 23% on a reported basis, largely due to increasing demand Darzalex, which treats multiple myeloma, and continued high demand in several other products. Revenue for MedTech improved 7.7% on a reported basis and 4.6% on an operational basis. Cardiovascular continues to produce strong results, as sales were up 13.0%, once again led by new products.
The company announced previously that it plans to separate its orthopedics business into a standalone company called “DePuy Synthes” within the next 18 to 24 months. Johnson & Johnson provided updated guidance for 2026 as well with the company now expecting adjusted earnings-per share in a range of $11.45 to $11.65 for the year.
J&J has a legendary dividend growth history. On April 14, 2025, Johnson & Johnson announced that it was increasing its quarterly dividend 3.1% to $1.34, extending the company’s dividend growth streak to 64 consecutive years.
PepsiCo Inc. (PEP)
PepsiCo is a global food and beverage company that generates almost $94 billion in annual sales. The company’s products include Pepsi, Mountain Dew, Frito-Lay chips, Gatorade, Tropicana orange juice and Quaker foods.
The company has more than 20 individual $1 billion brands in its portfolio.
On February 3, 2026, PepsiCo announced that it would increase its annualized dividend by 4.0% to $5.92 starting with the payment that was made in June 2026, extending the company’s dividend growth streak to 54 consecutive years.
On April 16, 2026, PepsiCo reported first quarter results. For the quarter, revenue increased 8.5% to $19.4 billion, which topped estimates by $500 million. Adjusted earnings-per-share of $1.61 compared favorably to $1.48 the prior year and was $0.06 better than expected. Organic sales were higher by 2.6% for the quarter. For the quarter, food volume grew 4% while beverages were unchanged.
PepsiCo Beverages North America’s organic revenue improved 2% for the period even as volume declined by 2.5%. Revenue for PepsiCo Foods North America was up 1%, driven by a 2% increase in volume. The International Beverages segment grew 5%, mostly due to higher prices.
Revenue in Europe/Middle East/Africa and Asia Pacific Foods were both up 7% while Latin America Foods grew 3%.
PepsiCo reaffirmed guidance for 2026 as well, with the company still expecting organic sales in a range of 2% to 4%. The company expects earnings-per-share growth in a range of 4% to 6%.
PepsiCo grew earnings at a rate of 5.9% per year from 2016 to 2025, but this growth rate expands somewhat to 6.4% when looking at just the last five years. This steady growth has propelled the company’s annual dividend increases. PEP has increased its dividend for 54 consecutive years, and currently yields 3.8%.
Disclosure: No positions in any stocks mentioned
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