Dividend stocks that consistently pay out can help investors achieve a reliable income stream. Companies that maintain regular dividend payments offer steady income and reflect financial strength and resilience. These companies are well-established, with a solid track record of earnings growth, which contributes to the stability of your portfolio. Their sustained earnings can support share price appreciation in the long run and can lead to meaningful capital gains over time.

Among the top dividend-paying companies, AbbVie (ABBV) and OneMain Holdings (OMF) are solid investment options for their resilient payouts and ability to grow dividends. Let’s take a closer look at these top stocks.

Dividend Stock #1. AbbVie

AbbVie (ABBV) is a top stock for those seeking both income and growth. This biopharmaceutical company is part of the S&P Dividend Aristocrats Index.

Recently, AbbVie raised its quarterly dividend to $1.64 per share from $1.55. Moreover, the company has increased its dividend by over 300% since 2013. This consistent dividend growth reinforces its appeal as an income-generating investment.

The company develops innovative therapies in areas such as oncology, immunology, neuroscience, and eye care. AbbVie’s extensive portfolio includes several blockbuster drugs, which generate billions in revenue.

AbbVie’s broad product pipeline positions it well for future expansion. Furthermore, AbbVie’s strategic acquisitions will likely enhance its presence in high-growth markets, providing additional avenues for revenue and earnings and supporting its dividend growth.

Wall Street analysts have a “Moderate Buy” consensus on the stock. Meanwhile, AbbVie is an attractive investment option for investors seeking a growing dividend. The company currently offers a yield of 3.7%. This yield is not high, but its reliable payouts make it a compelling stock for investors looking for steady dividend income.

Dividend Stock #2. OneMain Holdings 

OneMain Holdings (OMF) is a compelling stock for investors seeking regular income and high yield. The company operates in the consumer lending space and primarily serves nonprime borrowers. Its wide range of products, growing branch network, solid balance sheet, and conservative credit underwriting drive its financials and support dividend payments.

Over the past several years, OneMain Holdings has returned substantial cash in the form of dividends and share buybacks. Further, it has consistently increased its dividends. Last year, it raised its dividend from $1.00 to $1.04.

Looking at its credit trends, OneMain remains in a favorable position. During its Q3 conference call, management noted that the company had already experienced peak losses in its consumer loan business during the first half of 2024. This will translate into increased capital generation in the years ahead. Additionally, broader positive macroeconomic conditions, such as lower interest rates, stable employment trends, and moderating inflation, are expected to provide further tailwinds for OneMain’s future performance.

The company’s core personal business is performing well. Meanwhile, OneMain has transformed into a multi-product lending platform through expansion into credit cards and auto finance. These products diversified its revenue streams and broadened its customer base and addressable market.

OneMain’s focus on high-quality loan origination, diversified funding sources, strong credit underwriting, data analytics, and investments in new products positions it well for future growth. Moreover, its robust balance sheet and ample funding capacity provide a stable foundation for ongoing growth. Further, strategic acquisitions and increasing operational efficiency will likely accelerate its growth, supporting continued dividend payouts to investors.

OneMain Holdings has a “Moderate Buy” consensus rating and offers a high dividend yield of 8%.

The Bottom Line

AbbVie and OneMain Holdings represent solid investment options for investors looking for reliable dividend payouts. AbbVie stock offers resilient payouts and a moderate yield, and OneMain provides a higher yield with strong growth potential. With their strong fundamentals and focus on returning value to shareholders, these companies are worth considering in 2025.