Dividends come with many great perks, with the payouts essentially reflecting a form of 'payday' in the market.
And several stocks with a strong history of increasing payouts – Broadcom AVGO, ExxonMobil XOM, and Caterpillar CAT – are strong options for those looking to reap income.
Caterpillar Benefits from Data Center Buildout
Caterpillar has notably become a big beneficiary amid the AI infrastructure buildout, enjoying strong demand for its power products used in data center applications, primarily large reciprocating engines.
The outsized sales growth has helped shares outperform over the last year, with Caterpillar's shareholder-friendly nature also a major positive, sporting a 7.8% five-year annualized dividend growth rate while also being a Dividend Aristocrat.
Exxon Mobil Outperforms
Exxon Mobil shares have delivered a strong performance in 2026 on the back of higher oil prices stemming from geopolitical concerns, outperforming the S&P 500 by a wide margin. The company's strong cash-generating abilities have made it a favorite among many income-focused investors.
Like CAT, XOM is a member of the elite Dividend Aristocrat group, carrying a respectable 3.9% five-year annualize...