The Smartest Dividend Stocks to Buy With $100 Right Now
Dividend stocks have historically been wise investments. They've outperformed nondividend payers by more than 2-to-1 over the past 50 years, according to data from Ned Davis Research and Hartford Funds. Companies that grow their dividends have proven to be the smartest investment because they've generated the highest returns (10.2% average). At that rate of return, they can grow a $100 investment into about $15,875 in 50 years.
Realty Income (NYSE: O), Invitation Homes (NYSE: INVH), and Rexford Industrial Realty (NYSE: REXR) are standout dividend growth stocks. The real estate investment trusts (REITs) have high dividend yields and excellent growth track records. With relatively low share prices, they're some of the smartest dividend stocks to buy for those with $100 to invest right now.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »
An amazing growth record
Realty Income's share price was recently around $57.50. At that price and its recently raised dividend rate, the diversified REIT yields 5.5%. That's several times higher than the S&P 500 (SNPINDEX: ^GSPC) (less than 1.5%).
Few companies have delivered the level of dividend growth that Realty Income has achieved since coming public in 1994. It has raised its monthly dividend payment an impressive 131 times, including for the last 111 straight quarters (and 30 years in a row). The REIT has grown its payout at a 4.2% compound annual rate. That steadily rising dividend has contributed to its robust total return, which has averaged 13.6% since it went public.
Realty Income should have no trouble continuing to increase its high-yielding dividend. It has a low dividend payout ratio (less than 75% of its stable cash flow) and one of the 10 best balance sheets in the REIT sector. That gives it ample financial flexibility to continue acquiring income-generating real estate. With a $14 trillion total addressable market opportunity across its target property types, it has plenty of room to continue growing.
Cashing in on strong and growing rental demand
Invitation Homes' share price was recently below $34. At that price, it has a 3.5% dividend yield at its current payment rate. The REIT has raised its dividend every single year since it went public in 2017, including by 3.6% last year.
The landlord has delivered sector-leading same-store net operating income growth since coming public, due to its focus on single-family rental properties in fast-growing metro areas. It has enhanced its overall growth rate by routinely buying more rental properties.
Those two growth drivers should continue bolstering the REIT's financial results. Demand for rental properties remains robust due to the high costs of buying a house.
Meanwhile, the REIT has a strong financial profile, which should support continued portfolio expansion. It has many ways to grow its portfolio, including buying purpose-built rental properties directly from leading homebuilders (over 1,800 homes currently under contract). Its dual growth drivers should allow it to continue increasing its dividend.
The REIT's focused strategy has paid big dividends
Rexford Industrial Realty's share price was recently under $37. That gave the industrial REIT a dividend yield of around 4.7%. Rexford has grown its dividend at a robust 16% compound annual rate over the past five years and by 248% overall in the past decade, significantly outpacing the REIT sector average.
The company focuses solely on the Southern California industrial market, which benefits from high demand and constrained supply. That drives robust rent growth. Rexford also routinely buys additional properties and invests in redevelopment projects to enhance the appeal of its existing properties.
Rexford estimates that a combination of embedded rental increases in its existing portfolio, rent growth as legacy leases expire and reprice to higher market rates, and repositioning and redevelopment projects will boost its NOI by 34% over the next few years. On top of that embedded growth, the REIT has the financial flexibility to continue making value-enhancing acquisitions. These drivers should enable the REIT to continue increasing its dividend.
Smart dividend growth stocks
Realty Income, Invitation Homes, and Rexford Industrial Realty have terrific records of growing their dividends. The REITs are in a strong position to continue increasing their payouts in the future, thanks to their high-quality portfolios, strong financial profiles, and visible growth prospects. Because of that, they look like some of the smartest dividend stocks to invest $100 into right now.
Should you invest $1,000 in Realty Income right now?
Before you buy stock in Realty Income, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Realty Income wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $664,089!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $881,731!*
Now, it's worth noting Stock Advisor 's total average return is994% — a market-crushing outperformance compared to172%for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor.
See the 10 stocks »
*Stock Advisor returns as of June 9, 2025
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Globe and Mail
3 hours ago
- Globe and Mail
Is BigBear.ai Stock a Buy Now?
The hot artificial intelligence (AI) market has birthed a number of high-flying AI stocks. One of these is (NYSE: BBAI). The company's share price soared more than 200% over the past 12 months through June 18. The stock hit a 52-week high of $10.36 in February after President Donald Trump announced Project Stargate, which aims to invest billions of dollars into the AI sector. Since then, stock is down more than 50% from its peak. Does this present an opportunity to scoop up the company's shares for cheap? Why shares plummeted A confluence of factors led to the decline in stock this year. One is Wall Street's concerns about the unpredictable macroeconomic environment, exacerbated by the Trump administration's tariff approach. On top of that, the federal government is cutting budgets. This is worrying because delivers AI solutions centered around national security and infrastructure. Consequently, the bulk of company revenue comes from federal government contracts. Adding to this mix, in March, disclosed a material weakness in its internal controls for financial reporting, contributing to the company's share price decline. As a result, the company restated the last few years' worth of financial statements. While unrelated, CFO Julie Peffer departed in June. This wasn't 2025's only leadership change. In January, gained a new CEO, Kevin McAleenan, who had served as Acting Secretary of the U.S. Department of Homeland Security during President Trump's first term. financial picture leadership changes may be a good outcome over the long run. McAleenan's experience with the previous Trump administration could help survive the government budget cuts. In addition, under the previous CEO, the company fell short of its 2024 goal to achieve at least $165 million in sales, coming in at $158.2 million last year. With McAleenan taking over, perhaps can meet its 2025 full-year revenue target, which ranges between $160 million and $180 million. He will have to succeed to win shareholder confidence in his leadership. It's too early to tell if McAleenan can deliver, since he only has the first quarter under his belt. brought in $34.8 million in Q1 sales, a 5% year-over-year increase. However, the company's balance sheet includes a sizable chunk of debt. Of its $198.5 million in total Q1 liabilities, $101.4 million was debt. Q1 total assets were 396.3 million with $107.6 million of that in cash and equivalents. Moreover, despite year-over-year sales growth, is not profitable. It exited Q1 with a net loss of $62 million. Deciding whether to buy stock It's not uncommon for tech companies to operate at a loss, but in these cases, you want to see sales growing rapidly. With just a 5% year-over-year increase in Q1 revenue, is not achieving strong growth, especially for the hot field of artificial intelligence. This raises questions about the company's ability to capture customers, let alone eventually achieve profitability. stock valuation is another factor to consider. The price-to-sales (P/S) ratio is useful for this purpose, since it measures how much investors are willing to pay for every dollar of revenue. This metric is commonly used with companies that aren't profitable. Comparing it to artificial intelligence leader Nvidia, as well as a competitor also operating in the government AI sector, helps to understand share price valuation. Data by YCharts. The chart shows P/S multiple is the lowest of the three AI companies, and it's down significantly from where it was at in February. This suggests shares are attractively valued. However, Nvidia and warrant higher valuations because of their business performance. For example, Nvidia's revenue rose 69% year over year to $44.1 billion in its fiscal Q1, ended April 27. Meanwhile, revenue of $108.7 million in its fiscal fourth quarter, ended April 30, represented a 26% year-over-year increase. mediocre AI revenue growth, debt, and the factors that led to its share price decline this year means investing in the company is risky. As a result, it's best to hold off buying. Instead, watch its business performance over the next few quarters to see if it can strengthen sales before reconsidering stock. Should you invest $1,000 in right now? Before you buy stock in consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $664,089!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $881,731!* Now, it's worth noting Stock Advisor 's total average return is994% — a market-crushing outperformance compared to172%for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of June 9, 2025
CTV News
4 hours ago
- CTV News
Vancouver lawyer suspended for submitting false documents in support of client's $3.3M loan application
A Vancouver lawyer has admitted to improperly notarizing documents and solemnly declaring affidavits that contained information he knew was false in order to help a corporate client secure a $3.3-million loan from a U.S. bank. Jason Chieh-Sheng Wang admitted his misconduct in a consent agreement with the Law Society of B.C., a summary of which was published online last week. According to the document, Wang was retained by 'a group of companies' in April 2023 to facilitate the loan application. 'Upon being retained, the lawyer was advised that the client was in difficult financial circumstances, and that it wished to obtain a loan from the lender on an urgent basis,' the summary reads. The loan was secured by 'five pieces of artwork as collateral,' according to the document. None of the parties involved in the situation – other than Wang himself – are named in the consent agreement summary. Instead, the document uses parties' initials. 'The loan was personally guaranteed by ZYZ and JM, whose respective families held the majority of the shares of the client,' the document reads. 'The loan also required the approval of their respective spouses, YP and LW, documented by spousal consents.' The lender told Wang it needed the spousal consent forms – along with other documents prepared in the U.S. – notarized, something the lawyer said would be impractical because some of the parties whose signatures were required were located in China. The bank eventually agreed that Wang could notarize the signatures in question via video call. Wang 'purported to notarize' four documents on May 15, 2023, but he had not actually met the signatories via video call, or at all, according to the consent agreement summary. The lawyer also created three affidavits in which he swore that the signatories had joined him on a video call and shown him both sides of their government-issued photo IDs before signing the documents. 'The lawyer solemnly declared the contents of the affidavits of execution to be true when he knew that he had not met with any of the signatories … via video conference or at all, and had not witnessed any of their signatures,' the summary reads. Wang also admitted to deleting WeChat messages he had exchanged with the client's representatives, in which he agreed to proceed with notarizing the documents without the requisite video call. 'The lawyer knew or ought to have known that deleting this client correspondence was contrary to his obligation to maintain and preserve his client's files and records," the summary reads. For all of this admitted misconduct, Wang agreed to serve a one-month suspension, which began on June 16. In accepting the consent agreement, the law society's discipline panel considered three mitigating factors:
Globe and Mail
4 hours ago
- Globe and Mail
President Trump's Plan to End Taxes on Overtime Pay Could Become Reality Sooner Than You Think
President Trump made a lot of attention-grabbing promises during his campaign for a second term, and in his five months since retaking office, he's met with varying degrees of success in enacting them. Ending taxes on Social Security benefits, for example, appears no nearer than it was on Trump's first day in office. But he's made considerable headway with some of his other agenda items, including ending taxes on overtime pay. We could see this enacted yet this year, but there are still some important details to be ironed out. The "One, Big, Beautiful Bill" could end taxes on overtime as soon as this year House Republicans recently drafted the "One, Big, Beautiful Bill" that incorporates several of President Trump's key campaign promises, like an end to taxes on tips and overtime pay. It would create an above-the-line deduction for these items, so you wouldn't owe any income taxes on them. The House version of the bill clarifies that the tax deduction for overtime pay would apply only to overtime compensation that is paid to an individual in excess of the regular rate they receive for their work. This deduction wouldn't be available to highly compensated employees (HCEs) and those without a work-eligible Social Security number. The bill narrowly passed the House, and lawmakers initially hoped it would make it to the president's desk by July 4, 2025. But the Senate is determined to make its mark on the legislation as well, and at least some senators, like Ron Johnson (R-WI), feel the July 4 deadline isn't realistic. The Senate is already making changes The Senate's version of the "One, Big, Beautiful Bill" isn't finalized yet, but we've already had a peek at some of the changes it hopes to make. While the general idea of no taxes on overtime pay remains in the latest version of the bill, the Senate has added one important restriction. The tax deduction for overtime pay would be limited to $12,500 per person or $25,000 for married couples filing a joint return. While this should be adequate for most people, it may be disappointing if you earn a lot of money from overtime. The House version of the bill didn't have any restrictions on the overtime tax deduction. There are also income phaseouts that reduce the deduction by $100 for every $1,000 your modified adjusted gross income (MAGI) exceeds $150,000 for a single adult or $300,000 for a married couple. Individuals with MAGIs of $275,000 or more and married couples with MAGIs of $550,000 or more wouldn't be eligible to claim the deduction. It's not a done deal yet Senate Republicans can only afford to lose three Republican votes if they want the bill to pass, and right now, there are several who are voicing concerns about the bill in its current state. This means that it likely won't be passed in the next couple of weeks at least. There isn't a vote scheduled currently. If it does pass, the overtime tax deduction will take effect for the 2025 tax year, according to the current bill. However, it would only remain in place through the 2028 tax year. After that, it would be up to lawmakers to decide whether to continue the deduction or not. The $23,760 Social Security bonus most retirees completely overlook If you're like most Americans, you're a few years (or more) behind on your retirement savings. But a handful of little-known "Social Security secrets" could help ensure a boost in your retirement income. One easy trick could pay you as much as $23,760 more... each year! Once you learn how to maximize your Social Security benefits, we think you could retire confidently with the peace of mind we're all after. Join Stock Advisor to learn more about these strategies.
