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3 High-Yielding Dividend Stocks That Investors Can Safely Buy and Hold for Years

These stocks pay between 2.6% and 3% in dividends and can make for stable long-term investments.

For investors seeking reliable income through high-yielding dividend stocks, three companies stand out as solid, long-term investments: Target, Home Depot, and Lockheed Martin. All three have not only impressive dividend payouts but also demonstrate growing dividends and strong underlying business fundamentals.

Target (TGT) has been somewhat overlooked recently, trading at a deep discount and yielding nearly three times the S&P 500 average. Despite some challenges due to economic conditions, the company generated $4 billion in profit over the past year on $108 billion in revenue. With sales expected to pick up soon, Target appears to be a safe, income-generating investment for the long haul, with a 3% dividend yield.

Home Depot (HD), another big-box retailer, also offers investors a compelling combination of high yield and stability. The company's business is essential to homeowners, as repair and renovation projects often surge with home sales. While current economic conditions have led to bearish sentiment around its stock, Home Depot's consistent growth in revenue and profit margins make it an attractive long-term play.

With a 3% dividend yield and a history of increasing dividends for over four decades, Home Depot is a dependable choice for income-seeking investors.

Finally, aerospace and defense giant Lockheed Martin (LMT) provides investors with a solid, long-term investment opportunity. The company's close ties to the U.S. government lend it stability, and its steady growth over the past few years reflects this relationship. Lockheed Martin generated $75 billion in revenue in 2025, up from $66 billion in 2022, and consistently earns mid-to-high single-digit profit margins.

Its current yield of 2.6% and a history of increasing dividends for 24 consecutive years make it an appealing option for those seeking dependable income. Priced at 20 times trailing earnings, Lockheed Martin offers a modest valuation that could lead to further dividend growth as defense spending rises.

Written by urgent.news from Motley Fool's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

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