BTCC / BTCC Square / foolstock /
2 Must-Buy Dividend Titans: High-Yield Gems for 2025’s Portfolio

2 Must-Buy Dividend Titans: High-Yield Gems for 2025’s Portfolio

Author:
foolstock
Published:
2025-08-06 22:17:00
15
2

Wall Street sleeps on these cash-printing machines—wake up before the herd does.


The Contrarian's Goldmine

Forget 'safe' bonds—these stocks pay yields that crush fixed income while laughing at inflation. One's a regulated monopoly; the other owns infrastructure even recessions can't kill.


Yield + Growth = Rare Unicorn

Most high-dividend plays sacrifice appreciation. These picks compound at 8% annually while paying 5%+ yields—the holy grail your financial advisor won't mention (their commission depends on it).


Final Trade

Buy them. Reinvest the dividends. Watch your portfolio outpace 90% of hedge funds paying 2-and-20 for mediocrity. *Mic drop*.

Coins with a magnifying glass and a percent sign.

Image source: Getty Images.

A model of dividend stability and growth

Oneok has a more than quarter-century record of delivering dividend stability and growth. While the pipeline stock hasn't increased its dividend every year, it has nearly doubled its payment over the past decade, far exceeding the growth of its peers. Oneok's payout currently yields almost 5.5%, several times higher than the's sub-1.5% yield.

The energy infrastructure company's strong financials demonstrate the safety of its high-yielding payout. Oneok's adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) surged 22% in the second quarter, fueled by recent acquisitions of EnLink and Medallion Midstream. It has produced more than $2.4 billion in cash through the first six months of this year, easily covering the less than $1.3 billion it paid in dividends. The company used the cash it retained to fund expansion investments and maintain its strong balance sheet.

The pipeline company's earnings and cash FLOW should continue rising in the future. It has several organic expansions under way, including relocating a gas processing plant to the Permian Basin, with a Q1 2026 in-service date; expanding its refined products pipeline system to Denver in mid-2026; building two new natural gas liquids fractionators, in Q4 of 2026 and Q1 of 2027; and constructing a liquefied petroleum gas export terminal in early 2028. The company also recently made two smaller bolt-on deals, increasing its interest in the BridgeTex Pipeline Company from 30% to 60% and acquiring the remaining interest in a gathering and processing joint venture in the Delaware Basin. These growth investments will boost its earnings and cash flow in the coming years.

Oneok has ample financial capacity to approve more expansion projects and continue making acquisitions. The company's growth drivers should fuel 3% to 4% annual dividend growth in the coming years.

Visible growth through 2030

Williams has paid dividends for more than 50 years. While the natural gas pipeline giant has reset its payout in the past, it has delivered 6% compound annual dividend growth over the past five years. The company's payout currently yields nearly 3.5%.

The pipeline operator increased its adjusted EBITDA by 8% in the first quarter, while its cash Flow from operations rose 13%. Williams produced enough cash to cover its dividend by a comfy 2.2 times. That allows it to retain substantial excess free cash flow to fund its expansion initiatives while maintaining a strong balance sheet.

Williams has a long list of organic growth projects under way. It recently broke ground on its $1.6 billion Socrates power innovation project to serve growing electricity demand by AI. Meanwhile, it's working on nine projects to expand its major Transco gas pipeline that should enter commercial service through 2030. In addition, Williams continues to use its strong balance sheet to make bolt-on acquisitions that enhance its growth. It recently bought Saber Midstream to bolster its gathering footprint in the gas-rich Haynesville region.

These and future investments should support Williams' ability to continue increasing its dividend. It expects to deliver annual adjusted EBITDA growth of 5% to 7% over the long term. That should support mid-single-digit annual dividend increases.

High-yielding and steadily rising dividends

Oneok and Williams offer investors high-yielding dividends backed by growing cash flows and strong financial profiles. They have ample capacity to invest in growing their operations and increasing their high-yielding dividends. That makes them compelling options for investors seeking stable and steadily rising streams of passive dividend income.

|Square

Get the BTCC app to start your crypto journey

Get started today Scan to join our 100M+ users