Updated on September 15th, 2026 by Nikolaos Sismanis
Blue-chip stocks are:
- Established
- Financially strong
- Consistently profitable
Their strength makes them appealing investments for comparatively safe, reliable dividends and capital appreciation versus less established stocks.
Many stocks with 25+ years of rising dividends are blue-chip stocks. That’s because they’ve demonstrated their ability to pay rising dividends over the long run.
But not all stocks with 25+ years of rising dividends (referred to as “Dividend Champions“) make equally good investments today…
That’s why this research report identifies and analyzes the top 10 best blue-chip stock buys now using expected total returns from the Sure Analysis Research Database.
We use the following criteria for our rankings:
- At least 25 consecutive years of dividend increases
- Dividend Risk Score of “A”
- Rank highest to lowest by expected total returns
The table of contents below allows for easy navigation.
- Blue-Chip Stock #10: PepsiCo (PEP)
- Blue-Chip Stock #9: Automatic Data Processing (ADP)
- Blue-Chip Stock #8: PPG Industries (PPG)
- Blue-Chip Stock #7: Brown & Brown (BRO)
- Blue-Chip Stock #6: Stepan Company (SCL)
- Blue-Chip Stock #5: Stryker Corporation (SYK)
- Blue-Chip Stock #4: Thomson Reuters (TRI)
- Blue-Chip Stock #3: Albemarle (ALB)
- Blue-Chip Stock #2: Badger Meter (BMI)
- Blue-Chip Stock #1: FactSet Research Systems (FDS)
Blue-Chip Stock #10: PepsiCo (PEP)
- Dividend History: 54 years of consecutive increases
- Expected Total Return: 16.0%
PepsiCo owns a diversified portfolio of global snack and beverage brands, including Pepsi, Gatorade, Doritos, Lay’s, Quaker, and Cheetos.
Its brand strength, global distribution network, and enormous scale have supported durable cash generation across economic cycles.
PepsiCo has paid quarterly dividends since 1965 and has increased its annual payout for 54 consecutive years.
The quarterly dividend is $1.48 per share, or $5.92 annualized, following a 4% increase.
Second-quarter 2026 net revenue rose 6.4% to $24.18 billion, while core earnings per share were $2.20.
Productivity benefits and pricing helped results, but input costs and uneven consumer demand continued to pressure volumes in some North American categories.
Management maintained its 2026 outlook for 2% to 4% organic revenue growth and 4% to 6% core constant-currency earnings-per-share growth.
The company is using automation, artificial intelligence, and a broad productivity program to simplify operations and improve margins.
It is also adjusting package sizes and price points to provide greater value to budget-conscious consumers.
These initiatives matter because restoring sustainable volume growth without excessive discounting is the central near-term challenge.
PepsiCo offers the highest yield in this ranking, providing meaningful income while management works to improve execution.
Its diversified portfolio and conservative balance sheet support an A Dividend Risk Score, although a successful operational recovery remains important to the expected-return case.
Deep Dive: Click here to download (for free) our most recent 3-Page Sure Analysis PDF report on PEP.
Blue-Chip Stock #9: Automatic Data Processing (ADP)
- Dividend History: 51 years of consecutive increases
- Expected Total Return: 16.3%
Automatic Data Processing is a leading provider of payroll, human-capital-management, benefits, and compliance solutions to employers around the world.
Its services are embedded in customers’ daily operations, supporting high retention, recurring revenue, and attractive margins.
ADP serves more than 1.1 million clients across over 140 countries.
For the fiscal 2026 fourth quarter, revenue increased 7% to $5.47 billion, while adjusted net income rose 14% to $1.1 billion.
Adjusted earnings per share advanced 17% to $2.64, and adjusted operating margin expanded 140 basis points to 25.1%.
Full-year revenue reached $21.9 billion, with adjusted earnings per share of $11.12 and Employer Services new-business bookings rising 6% to $2.2 billion.
Management expects fiscal 2027 revenue growth of 5% to 6% and adjusted earnings-per-share growth of 9% to 11%, supported by productivity gains and higher client-funds interest income.
Retention remained strong at 92.1%, reinforcing the durability of ADP’s installed client base.
The company is also integrating WorkForce Software and expanding artificial-intelligence capabilities through ADP Lyric.
ADP increased its quarterly dividend 10% to $1.70 in November 2025, marking its 51st consecutive year of dividend growth.
The moderate yield is balanced by strong cash generation, steady earnings growth, and one of the longest dividend-growth records in the technology-enabled services sector.
Deep Dive: Click here to download (for free) our most recent 3-Page Sure Analysis PDF report on ADP.
Blue-Chip Stock #8: PPG Industries (PPG)
- Dividend History: 55 years of consecutive increases
- Expected Total Return: 16.7%
PPG Industries is one of the world’s largest paints, coatings, and specialty-materials manufacturers, serving automotive, aerospace, industrial, packaging, and architectural markets.
Its technology portfolio, customer relationships, and global manufacturing footprint provide competitive advantages, although results remain exposed to industrial activity and raw-material inflation.
Second-quarter 2026 net sales increased 7% to $4.50 billion.
Organic sales rose 4%, driven by about 2% volume growth and 2% higher pricing.
Adjusted earnings per share edged up to $2.23 from $2.22, while year-to-date operating cash flow improved by roughly $220 million to nearly $600 million.
Global Architectural Coatings delivered higher margins, Industrial Coatings posted 5% organic growth, and Aerospace maintained a backlog near $300 million.
Management reaffirmed full-year adjusted earnings guidance of $7.70 to $8.10 per share and expects pricing and savings to fully cover inflation by the fourth quarter.
PPG raised its quarterly dividend to $0.74 in July, extending its dividend-growth streak to 55 years.
The company has also paid uninterrupted dividends since 1899, an unusually durable record even among blue-chip stocks.
Cash generation is improving, and continued execution on restructuring and cost reductions could help earnings recover as end markets normalize.
The moderate payout ratio leaves room for further dividend increases alongside investment in innovation, acquisitions, and share repurchases.
Deep Dive: Click here to download (for free) our most recent 3-Page Sure Analysis PDF report on PPG.
Blue-Chip Stock #7: Brown & Brown (BRO)
- Dividend History: 32 years of consecutive increases
- Expected Total Return: 18.9%
Brown & Brown is a diversified insurance broker offering property-and-casualty, employee-benefits, risk-management, and specialty insurance solutions.
Because brokers generally do not assume underwriting risk, the company can produce attractive cash flow while benefiting from insurance pricing and acquisition-led expansion.
Second-quarter revenue rose 30.4% to $1.68 billion, driven primarily by acquisitions.
Net income increased 24.7% to $288 million, adjusted earnings per share rose 3.9% to $1.07, and adjusted EBITDAC advanced 27% to $598 million.
Organic revenue declined 0.7%, although it increased 0.7% when contingent commissions were included, showing softer underlying growth than the headline revenue figure.
The acquisition of Accession Risk Management and its Risk Strategies and One80 Intermediaries businesses has materially enlarged Brown & Brown.
The combined organization now has more than 23,000 professionals across over 700 locations.
Integration costs and purchase-accounting effects will influence near-term comparisons, but the transaction expands the company’s specialty capabilities and distribution reach.
Brown & Brown has also begun an artificial-intelligence-focused transformation to improve workflows and client service across the enlarged organization.
The quarterly dividend is $0.165 per share, and the company has raised its annual dividend for 32 consecutive years.
Its low payout ratio leaves substantial room to reinvest while continuing that dividend-growth record.
Deep Dive: Click here to download (for free) our most recent 3-Page Sure Analysis PDF report on BRO.
Blue-Chip Stock #6: Stepan Company (SCL)
- Dividend History: 59 years of consecutive increases
- Expected Total Return: 19.6%
Stepan Company manufactures specialty and intermediate chemicals used in cleaning, personal-care, agricultural, oilfield, construction, and industrial applications.
Its Surfactants, Polymers, and Specialty Products segments supply relatively small but important ingredients that can create sticky customer relationships.
Second-quarter 2026 net sales rose 15% to $684.1 million, aided by 6% organic volume growth.
Adjusted net income increased to $27.1 million from $11.9 million, while adjusted earnings per share more than doubled to $1.18.
Adjusted EBITDA climbed 45% to $74.4 million, with gains of 59% in Surfactants and 22% in Polymers.
The recovery reflects stronger demand and internal execution, but management is also reshaping the cost base through Project Catalyst.
Stepan recorded $5.1 million of restructuring charges in the quarter and expects the initiative to eliminate roughly 100 positions, with total 2026 restructuring charges of $75 million to $80 million.
Management still expects full-year adjusted EBITDA growth, positive free cash flow, and further debt reduction.
Some second-quarter demand reflected customer purchases ahead of announced price increases, so subsequent volume trends deserve attention.
Stepan’s quarterly dividend is $0.395 per share, or $1.58 annualized, and the company has raised its dividend for 59 consecutive years.
That record spans severe chemical-industry downturns, while the improving earnings and cash-flow trajectory provide added support for the payout.
Deep Dive: Click here to download (for free) our most recent 3-Page Sure Analysis PDF report on SCL.
Blue-Chip Stock #5: Stryker Corporation (SYK)
- Dividend History: 32 years of consecutive increases
- Expected Total Return: 20.8%
Stryker is a leading medical-technology company with products spanning MedSurg, Neurotechnology, and Orthopaedics.
Its installed base of surgical equipment, implants, instruments, and robotic systems creates recurring demand as procedure volumes grow.
Second-quarter 2026 sales increased 9.4% to $6.59 billion, including 9.0% organic growth.
Organic sales rose 9.2% in MedSurg and Neurotechnology and 8.6% in Orthopaedics, showing broad momentum across the portfolio.
Adjusted operating margin expanded 170 basis points to 27.4%, while adjusted earnings per share climbed 17.9% to $3.69.
These results represented a strong recovery from the cyber incident that disrupted the first quarter and temporarily raised expenses.
The Mako robotic platform also deepens hospital relationships because placements can encourage recurring implant utilization and create switching costs for surgeons.
Management narrowed its full-year outlook to organic sales growth of 8.3% to 9.3% and adjusted earnings of $14.95 to $15.10 per share.
Stryker declared a quarterly dividend of $0.88 in August, 4.8% above the prior-year payment, and has increased its dividend for 32 consecutive years.
The yield is modest, but the conservative payout ratio leaves ample capacity for continued dividend growth.
Procedure demand, margin expansion, and valuation recovery form the principal components of our expected-return estimate, while another operational disruption would be the main near-term risk.
Deep Dive: Click here to download (for free) our most recent 3-Page Sure Analysis PDF report on SYK.
Blue-Chip Stock #4: Thomson Reuters (TRI)
- Dividend History: 33 years of consecutive increases
- Expected Total Return: 20.8%
Thomson Reuters provides information, software, and workflow tools to legal, tax, accounting, corporate, and news professionals.
Its subscription-heavy model generates recurring revenue, while trusted proprietary content is especially valuable as customers adopt artificial intelligence.
The company has increased its dividend for 33 consecutive years.
A 10% increase for 2026 brought the quarterly dividend to $0.655 per share, or $2.62 annualized.
Second-quarter revenue grew 9% to $1.95 billion, with organic revenue up 8%.
The three largest business segments produced 10% organic growth.
Operating profit increased 28% to $558 million, adjusted EBITDA rose 10% to $745 million, and adjusted earnings per share advanced 14% to $0.99.
Free cash flow increased 29% to $727 million.
The strong quarter prompted management to raise its 2026 organic-revenue-growth outlook to approximately 8%, with 9.5% to 10% growth expected from the Big 3 segments.
Thomson Reuters continues to invest in professional workflow software and fiduciary-grade artificial intelligence, including CoCounsel Legal and its proprietary large language model.
It also agreed to form a Global Print joint venture with KKR, which will acquire a 51% interest for about $500 million in gross proceeds.
This should reduce exposure to structurally slower print operations while preserving participation in the business.
The company also completed a $600 million share-repurchase program, adding another use for its strong cash generation.
Deep Dive: Click here to download (for free) our most recent 3-Page Sure Analysis PDF report on TRI.
Blue-Chip Stock #3: Albemarle (ALB)
- Dividend History: 30 years of consecutive increases
- Expected Total Return: 21.2%
Albemarle is a global specialty-chemicals company and one of the world’s largest lithium producers.
Its Energy Storage segment supplies lithium compounds used in electric-vehicle batteries, while Specialties serves industrial and consumer applications.
Lithium pricing makes earnings highly cyclical, but Albemarle’s scale and high-quality resources support its long-term position.
Second-quarter sales increased 31.1% to $1.74 billion.
Net income attributable to Albemarle was $480 million, diluted earnings per share were $3.52, and adjusted earnings per share were $3.75.
Adjusted EBITDA rose 155% to $858 million.
Energy Storage sales advanced 77.9% as average realized lithium pricing increased to $19.53 per kilogram of lithium-carbonate equivalent.
Specialties sales rose 20.5%, with adjusted EBITDA up 61.3%.
Albemarle generated approximately $1.1 billion of operating cash flow during the first half and reduced its 2026 capital-spending outlook to about $500 million.
The company also sold a 51% interest in its refining-catalyst business and maintained approximately $3.2 billion of liquidity at quarter-end.
A fire at Talison’s CGP3 facility is expected to have limited full-year volume impact because production can be sourced from Wodgina.
Albemarle raised its quarterly dividend 1.2% to $0.41 in July, extending its dividend-growth streak to 30 years.
The low payout ratio supports the dividend, but lithium-price volatility remains the central risk behind the elevated expected return.
Deep Dive: Click here to download (for free) our most recent 3-Page Sure Analysis PDF report on ALB.
Blue-Chip Stock #2: Badger Meter (BMI)
- Dividend History: 34 years of consecutive increases
- Expected Total Return: 21.5%
Badger Meter provides smart water meters, flow-measurement equipment, software, and related communication technologies to utilities and industrial customers.
Its expanding installed base and recurring software and service revenue support attractive long-term economics, while municipal water infrastructure provides durable demand.
Second-quarter 2026 sales totaled $222.3 million, up 10% sequentially but down 7% from a particularly strong prior-year quarter.
Utility water revenue declined 8%, while flow-instrumentation revenue increased 6%.
Operating earnings fell 12% to $39.4 million, operating margin was 17.7%, and earnings per share declined to $1.02 from $1.17.
Management expects project deployments to strengthen in the second half and continues to anticipate roughly flat full-year base-business revenue.
Badger Meter acquired UDlive in May, adding remote sewer-network monitoring technology and expanding its addressable market beyond clean-water metering.
This builds on the company’s strategy of pairing physical measurement devices with analytics and cloud-based monitoring tools.
In August, Badger Meter raised its quarterly dividend 10% to $0.44, marking 34 consecutive years of dividend growth.
The yield remains low, but the debt-free balance sheet, conservative payout, and recurring revenue provide substantial protection for future increases.
We expect long-term returns to be driven primarily by earnings growth and valuation recovery, while the timing of utility projects may continue to create uneven quarterly comparisons.
Deep Dive: Click here to download (for free) our most recent 3-Page Sure Analysis PDF report on BMI.
Blue-Chip Stock #1: FactSet Research Systems (FDS)
- Dividend History: 27 years of consecutive increases
- Expected Total Return: 24.9%
FactSet Research Systems supplies financial data, analytics, and workflow tools to asset managers, investment banks, wealth managers, and other financial professionals.
Its products are deeply embedded in client processes, supporting high retention and recurring subscription revenue.
FactSet increased its quarterly dividend 5.5% to $1.16 in May, marking its 27th consecutive year of dividend growth.
For the fiscal third quarter ended May 31st, revenue increased 6.4% to $622.9 million, while organic revenue rose 7.0%.
Organic annual subscription value grew 7.1% to $2.49 billion, and client retention remained above 95%.
Adjusted earnings per share increased 6.1% to $4.53, although adjusted operating margin declined to 34.0% from 36.8%.
Free cash flow increased 11.1% to $254 million.
FactSet is directing substantial investment toward artificial intelligence, cloud infrastructure, and open-platform capabilities.
More than 90% of its 50 largest clients now use at least four FactSet AI products, while partnerships with Google Cloud, Finster AI, and TIFIN broaden its ecosystem.
The company also launched a Model Context Protocol server to connect FactSet data with AI agents.
During the quarter, FactSet returned $243.4 million to shareholders through dividends and repurchases.
Management reaffirmed fiscal 2026 adjusted earnings guidance of $17.25 to $17.75 per share.
The central question is whether AI-related investment can sustain subscription growth while margins recover over time.
Deep Dive: Click here to download (for free) our most recent 3-Page Sure Analysis PDF report on FDS.
Final Thoughts
These 10 companies combine at least a quarter-century of dividend growth with the highest Dividend Risk Score in our Sure Analysis Research Database.
Their records span very different economic environments, which is meaningful evidence of durable business models and shareholder-friendly capital allocation.
The return cases vary.
FactSet, Thomson Reuters, and ADP provide recurring data and business-services revenue, while Stryker and Badger Meter offer exposure to medical technology and water infrastructure.
PepsiCo adds defensive consumer-staples income, while PPG and Stepan provide industrial and materials exposure.
Brown & Brown offers an asset-light insurance model, and Albemarle supplies more cyclical lithium-recovery potential.
We estimate that FactSet has the highest five-year annual return potential, followed by Badger Meter and Albemarle.
Those estimates should not be treated as guarantees, particularly where valuation recovery or commodity pricing contributes meaningfully to the outlook.
We also recommend you distinguish dividend safety from current yield, as several of the strongest businesses in this group offer modest starting income.
The best choice will therefore depend on whether you prioritize present income, dividend growth, business stability, or greater upside with more operating cyclicality.
Other Sure Dividend Resources
- Dividend Kings: 50+ years of rising dividends
- Dividend Champions: 25+ years of rising dividends
- Dividend Aristocrats: 25+ years of rising dividends and in the S&P 500
- High Dividend Stocks: 4%+ dividend yields
- Monthly Dividend Stocks: Individual securities that pay out every month
- Royalty Stocks: Detailed royalty stocks list
- MLPs: Detailed MLP list
- REITs: Detailed REIT list
- BDCs: Detailed BDC list










