Consistency is what counts when it comes to shareholder returns, according to Wolfe Research. Investors looking for dividends should focus on those who regularly raise their payouts, analyst Chris Senyek said in a note Thursday. For instance, dividend aristocrats have increased their dividends every year for at least 25 years. Those focusing on stock buybacks should look for companies that have reduced their share count on a net basis for a minimum of 10 consecutive years, he said. “These cohorts of stocks have generally outperformed throughout many market environments including economic slowdowns,” Senyek said. There are 11 companies that hit both marks: They are dividend aristocrats and consistently buy back shares, he said. Here are some of the names that made the list. Walmart is well-liked by analysts, with an average rating of buy and 4% upside to the average price target, per FactSet. The big box retailer hiked its full-year sales and earnings outlook in November thanks to a double-digit rise in e-commerce and new customer growth. It also reported third-quarter results that topped expectations. Walmart has gained customers across all incomes that are seeking value, Chief Financial Officer John David Rainey told CNBC at the time. “Consumers are looking to do business with those companies that are providing value, that are delivering the convenience that they’ve come to know and expect, and that are executing consistently well,” he said. Walmart, which pays 0.82%, announced in February it was increasing its dividend for the 52nd consecutive year. It also said it repurchased 75.3 million shares , or $7 billion, year to date. The stock has moved 28% higher so far this year. A.O. Smith has an average analyst rating of hold and nearly 12% upside to the average price target. In October, the manufacturer of water heaters and boilers reported an earnings and revenue beat for its third quarter. However, it lowered its revenue guidance as well as the high end of its earnings guidance for the full year. “We are cautious about the remainder of the year primarily due to continued headwinds in the China market and the impact of weakening new home construction on residential water heating in North America,” CEO Steve Shafer said in the earnings release. “We remain confident in our ability to manage the tariff and competitive landscapes and are pleased with the performance we achieved in our growth priorities.” A.O. Smith also recently announced it was acquiring water management technology company Leonard Valve for about $412 million. In October, the company increased the dividend it paid in November. It has hiked its payout each year for over 30 years, Shafer said. A.O. Smith repurchased 5 million shares in the first nine months of 2025 and expects to buy about 1.8 million additional shares by the end of the year. The stock has a 2.14% dividend yield and is flat year to date. Lastly, Cardinal Health has a 1.03% dividend yield and has gained nearly 68% year to date. The health-care company announced its last dividend increase in May. It also raised its baseline share repurchase plans to at least $750 million per year in July. Cardinal Health posted an earnings and revenue beat in October for its fiscal first quarter. It also hiked its earnings guidance for the full year. Analysts covering the stock give it an average rating of overweight. It has 9% upside to the average price target, per FactSet. — CNBC’s Melissa Repko contributed reporting.
