Most people consider retirement one of the most important events to prepare for. Focusing on long-term investments, preferably with strong dividend yields, is a great way to get started. With compounding interest and dividend growth, investors who take investing and saving for retirement seriously can become very profitable over a number of decades.
Here are a number of stocks that provide investors with a fantastic start to a long-term investment portfolio for growth as well as overall income generation.
Comcast (CMCSA)
Comcast (NASDAQ:CMCSA) is primarily a media company that provides small and commercial business services, such as broadband internet access and wireless services. It also operates NBCUniversal television, Peacock streaming service, and multiple theme parks in Japan, China, and the U.S.
Over the past year, its share price has risen by approximately 8%, and over the past five years, it has increased by 1%. With its share price staying very consistent, Comcast is more of an income-generation play. Its dividend ratio is 3.03% on an annual basis, and it has increased its dividend payout for six consecutive years. Its next quarterly dividend will be 31 cents per share, distributed on Apr. 24.
On Jan. 25, Comcast reported earnings for the fourth quarter of the full year 2023, in which it stated that total revenue, net income, and free cash flow all increased by 2%, 8%, and 29%, respectively.
Comcast is a perfect buy-and-hold stock for retirement due to its share price stability and great dividend yield, which may continue to grow.
Merck & Co (MRK)
Merck & Co NYSE:MRK) it is a large pharmaceutical manufacturer that focuses on producing treatments for a wide range of medical needs, including oncology, diabetes, immunology, virology, and neuroscience.
Its share price has increased by 12% within this last year and 67% in the last five years.
On Feb. 1, Merck released its earnings for the fourth quarter of the full year 2023. It beat analyst expectations on revenue, with earnings per share of three cents beaten by fourteen cents and total revenue growth of 6% year-over-year, beating by over $100 million. For the full year 2024, Merck predicts total sales between $62.7 billion and $64.2 billion.
At the end of March, Merck’s share price reached an all-time high following the FDA approval of Winrevair, which is a treatment for pulmonary hypertension that could become a major growth catalyst.
Merck’s dividend ratio is a solid 2.44%. Its most recent quarterly dividend, seventy-seven cents per share, was distributed to investors on Apr. 5. Merck has increased its dividend for thirteen consecutive years.
Merck is a leading pharmaceutical manufacturer that recently received major FDA approvals, such as Winrevair, which has increased its share price. And with a decent dividend yield, it is a great option for investors looking for a long-term buy.
VICI Properties (VICI)
VICI Properties (NYSE:VICI) is a real estate investment trust that owns properties, most notably on the Las Vegas Strip, including the Venetian Resort Las Vegas, MGM Grand, and Caesars Palace, as well as other gaming properties throughout the U.S.
Being a REIT, it is legally required to distribute 90% of its taxable income to investors, primarily in dividends, which is why most REITs offer above-average dividend payments.
Over the past year, VICI’s share price has fallen by 9%, but it has increased by 33% within the past five years. Its dividend ratio is 5.66% on an annual basis, and its most recent quarterly dividend payment was forty-two cents per share on Apr. 4.
On Feb. 22, it reported earnings for the fourth quarter full year 2023, stating that total revenue increased by 21% and net income rose by 24% compared to the previous year. VICI Properties also committed over $2 billion in total capital to various acquisitions throughout 2023 to grow its portfolio.
VICI is a company with a strong dividend that offers income generation for investors. It is positioned to continue performing well with increased attention to growing its real estate business. And that it owns some of the most sought-after real estate on the Las Vegas Strip.
As of this writing, Noah Bolton did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
