2 Top Dividend Growth Stocks for 10-Year Hold

Two standout dividend-paying stocks possess powerful long-term growth drivers and impressive dividend expansion rates that are likely to captivate investors seeking sustained returns.

Maintaining dividend stocks over extended periods represents one of the most effective strategies for generating reliable passive income streams. Every time dividends are reinvested, the investor’s share count expands, and given that the majority of dividend-issuing companies consistently raise their payouts annually, it becomes inevitable that the income from dividends will eventually double from its starting point.

Of course, not all dividend stocks perform equally well. While certain income-oriented dividend stocks deliver elevated yields in the present moment, those focused on dividend growth typically deliver superior total returns over the long haul. The pair of stocks highlighted here falls squarely into the dividend growth category and ranks among the most resilient and enduring enterprises operating within the financial markets today.

Visa

Visa, the dominant player in the global payments network sector by market capitalization, stands exceptionally well-equipped to navigate through any economic conditions or downturns. Regardless of the circumstances, individuals will continue to require expenditures on a wide array of goods and services, and Visa’s expansive payment infrastructure powers a substantial portion of credit card transactions worldwide. When utilized responsibly, these credit cards can significantly enhance users’ credit profiles while offering attractive rewards and benefits, rendering them far more appealing than traditional debit card alternatives.

In the initial quarter of its fiscal 2026 year, this leading fintech enterprise reported revenue of $10.9 billion, complemented by an extraordinary net profit margin of 53.7 percent. Such robust profitability establishes a sturdy platform for Visa to implement substantial increases in its dividend distributions. A clear example of this commitment came at the conclusion of fiscal 2025, when the company announced a 14 percent hike in its dividend—a decision firmly backed by a 14 percent rise in GAAP net income during the first quarter of fiscal 2026.

During that same first fiscal quarter, Visa allocated $5.1 billion directly to its shareholders through a combination of dividends and share repurchases, a figure that approached closely to its $5.9 billion net income for the period. This financial flexibility positions the company advantageously to further elevate its dividend payments, particularly as it sustains its trajectory of robust net income expansion moving forward.

Caterpillar

Caterpillar, a preeminent force in the construction equipment industry with over a century of operational history, has successfully weathered numerous economic expansions and contractions alike. Currently, the company finds itself ideally situated at the epicenter of a prolonged multiyear megatrend poised to drive substantial growth.

The ongoing expansion of artificial intelligence infrastructure is backed by immense capital investments, much of which demands extensive construction activities and reliable power generation solutions. Caterpillar plays a pivotal role in supporting these construction initiatives from inception through completion, encompassing the development of expansive AI data centers. Beyond that, its advanced power generators are critical for supplying the electricity required to operate a wide range of AI applications, highlighted recently by a landmark agreement to provide two gigawatts of specialized power capacity tailored for hyperscale AI data center operations.

The surging demand for these power generators has propelled Caterpillar to exceptional performance levels, evidenced by its stock appreciating approximately 35 percent so far this year. This momentum served as a key driver behind the company’s record-setting fourth quarter and full-year results for fiscal 2025. Notably, fourth-quarter revenue surged 18 percent compared to the prior year, while the firm concluded the period with an unprecedented $51 billion order backlog—a remarkable 71 percent enhancement over previous figures.

These achievements underscore yet another triumphant period for Caterpillar and its shareholders. Throughout the year, the company returned $7.9 billion to investors via share repurchases and dividend payments, further solidified by a 7 percent increase in its dividend payout during the previous year.