8 Magnificent Dividend Growth Stocks to Buy Now

5. Abbott Laboratories (NYSE:ABT)

5-Year Average Annual Dividend Growth Rate: 11.44%

Abbott Laboratories (NYSE:ABT) ranks fifth on our list of the best dividend aristocrat stocks. The American medical device company is attracting investor interest after a jury ruled in its favor, along with a Reckitt unit, clearing both of liability in a lawsuit concerning their infant formulas for premature babies. since the start of 2024, the stock has surged by over 5% and its 12-month return came in at 19.2%.

Abbott Laboratories (NYSE:ABT)  gains significant advantages from its diversified business model, which opens numerous avenues for growth and enables it to generate income from a range of sources. In the third quarter of 2024, the company reported revenue of over $10.6 billion, which showed a 5% growth from the same period last year. The company gains significant advantages from its collaborations with major industry players. In August, Abbott revealed a unique global partnership with Medtronic, aimed at integrating Abbott’s top-tier continuous glucose monitoring (CGM) system with Medtronic’s insulin delivery devices.

Abbott Laboratories (NYSE:ABT) is seeing robust growth in its medical device segment, with especially high demand for its continuous glucose monitors, which assist individuals with diabetes in managing their glucose levels effectively. In the most recent quarter, its medical device segment reported $4.7 billion in revenues, up from $4.3 billion in the prior year period.

In the past five years, Abbott Laboratories (NYSE:ABT) has raised its dividends at an annual average rate of 11.44%. Moreover, it is one of the best dividend aristocrat stocks on our list with 52 consecutive years of dividend growth under its belt. The company pays a quarterly dividend of $0.55 per share and has a dividend yield of 1.90%, as of November 14.