The Best Dividend Growth Stocks to Buy With $2,000 Right Now

• Some investors absorption connected companies with rapidly increasing dividends, specified arsenic Visa.

• Other investors similar a dilatory and dependable dividend grower similar Realty Income.

• The gait of a company's dividend maturation tin materially impact its dividend yield.

• 10 stocks we similar amended than Visa ›

Dividend maturation is cardinal to the dividend-focused investor. The large occupation is inflation, which erodes the worth of the dollar implicit time. If your dividend payments don't grow, you are efficaciously losing buying power. However, determination are 2 ways to look astatine dividend maturation stocks. This is wherefore immoderate investors volition emotion Visa (NYSE: V) and others volition beryllium overmuch happier with Realty Income (NYSE: O).

Visa is simply a planetary outgo processor. It acts arsenic an intermediary betwixt buyers and sellers, ensuring a creaseless and harmless fiscal transaction. It charges a tiny interest for each transaction it handles. Although each idiosyncratic interest is beauteous meaningless, Visa is 1 of the world's largest transaction processors. In fiscal 2025 (ended Sept. 30), the institution processed 257.5 cardinal transactions, up 10% twelvemonth implicit year.

This continues a agelong inclination of concern growth, arsenic card-based payments person progressively replaced currency payments. The continuing maturation of e-commerce should support this inclination going for years to come. The dividend output is lone 0.8%, but Visa is some a maturation banal and a dividend maturation stock. Its dividend has accrued by 375% during the past decade, which should pull investors who don't request income close present but privation to unrecorded disconnected of dividends successful the future.

What's breathtaking astir Visa contiguous is its valuation. It is not inexpensive now, and seldom is, but it looks reasonably priced compared to its ain history. The astir price-to-earnings (P/E) ratio of 32 is simply a interaction beneath its five-year mean of 33. A just terms for a dividend maturation banal similar Visa volition astir apt beryllium worthy it for astir semipermanent dividend maturation investors. A $2,000 concern volition fto you bargain astir six shares of the stock.

Realty Income sits astatine the different utmost of the dividend maturation story. Compared to Visa, it is simply a slow-moving dividend tortoise. During the past decade, Realty Income's dividend has accrued by 40%. That said, the dividend has accrued for 3 decades astatine a compound yearly complaint of 4.2%. That's conscionable a small faster than the humanities maturation complaint of inflation, truthful the buying powerfulness of Realty Income's dividend has accrued somewhat implicit time.

The large quality present is the dividend yield. While Visa's sub-1% output is tiny, Realty Income's 5.3% dividend output is comparatively large. If you are trying to unrecorded disconnected the income your portfolio generates, Realty Income could beryllium a bully addition, with $2,000 being capable to bargain astir 32 shares.