14 Best Large Cap Dividend Growth Stocks To Buy Now

10. Costco Wholesale Corporation (NASDAQ:COST)

5-Year Average Annual Dividend Growth Rate: 12.28%

Costco Wholesale Corporation (NASDAQ:COST) is an American retail company, based in Washington. The stock has surged by over 47% in the past 12 months. This strong performance reflects the company’s consistent growth and resilience, especially as other retailers faced rising costs. Analysts are positive about its future prospects, praising its proven ability to outperform competitors by steadily gaining market share and utilizing its retailing-as-a-service model, which provides reliable membership fees. Costco has established a solid competitive edge through its membership-based pricing and bulk discount approach, which has attracted a loyal and growing global customer base, as demonstrated by its recent quarterly results.

In fiscal Q1 2025, Costco Wholesale Corporation (NASDAQ:COST) reported revenue of $62 billion, reflecting a 7.5% increase from the previous year. Net income grew to $1.8 billion, up from $1.6 billion in the prior year. The company finished the quarter with a robust cash position, holding almost $11 billion in cash and cash equivalents, compared to $9.9 billion the previous quarter. Additionally, it generated $3.3 billion in operating cash flow.

In the past five years, Costco Wholesale Corporation (NASDAQ:COST) has raised its payouts at an annual average rate of over 12%. In addition, the company maintains a 20-year streak of consistent dividend growth, which makes COST one of the best dividend stocks on our list. Its quarterly dividend comes in at $1.16 per share for a dividend yield of 0.44%, as of February 12.