12 Best Dividend Kings to Buy For Safe Dividend Growth

7. American States Water Company (NYSE:AWR)

5-Year Average Annual Dividend Growth Rate: 8.95%

American States Water Company (NYSE:AWR) deals in delivering safe, reliable, and sustainable services and products. Unlike companies in unregulated industries that can adjust prices when they see fit, businesses operating in regulated sectors must first obtain approval from public utility commissions before increasing customer rates. Though this limits its pricing flexibility, the company’s operations come with guaranteed rates of return, offering a level of financial stability. This predictability gives management clearer visibility into future cash flows, which aids in planning for long-term investments, including dividend payments.

In the fourth quarter of 2024, American States Water Company (NYSE:AWR) reported revenue of over $143 million, which showed a 14.3% growth from the same period last year. The company’s Water segment remained the winner with $92.6 million in revenue, up from $86.7 million in the prior-year period.

American States Water Company (NYSE:AWR) is popular among income investors because of its strong dividend history. The company has consistently paid common dividends every year since 1931 and has raised its dividend annually for 70 straight years. From 2019 through 2024, the company’s quarterly dividend has grown at a compound annual growth rate (CAGR) of 8.95%, and its calendar year dividend payments have posted a 10-year CAGR of 8.0% through 2024. AWR’s current long-term goal is to maintain a dividend growth rate of over 7% annually. Its quarterly dividend currently sits at $0.4655 per share for a dividend yield of 2.37%, as of April 4.