3 Dividend Aristocrats Whose Yields Can Help Combat Inflation

Key Points

• Dividend Aristocrats including Amcor, Chevron, and AbbVie can provide reliable income streams that can help offset persistent inflation.
• Each of those three companies offers a yield above 3% combined with decades of consistent dividend growth, signaling strong financial stability.
• These stocks also provide exposure to defensive sectors like packaging, energy, and health care, which tend to perform well during periods of elevated inflation.

The calendar says it’s spring, but investors can’t be blamed for feeling like it’s Groundhog Day: The economic issues impacting portfolios continue to persist this year. Just after a ceasefire between the United States and Iran was announced, providing an impactful market tailwind, investors are getting the latest inflation readings, which appear to be making an unwanted comeback.

The Personal Consumption Expenditures (PCE) index reading and the Consumer Price Index (CPI) for March are both out this week, and both reports are expected to show the rate of inflation creeping higher. 

However, the concerning news is that the inflation data isn’t yet reflecting the impact of higher oil prices, which is always inflationary. Whether this is a short-term headwind or a long-term pain point remains to be seen. 

But there are many layers to the inflation story. Even if oil prices go down and the economy revs up, that means demand will increase, which is inflationary. Interest rates are also a factor. The Federal Reserve has paused rate cuts, and there’s a small but noisy contingent that believes the next directional move for rates will be higher. 

The only thing that seems certain is that inflation is not likely to drop to the Fed’s preferred target of 2% anytime soon. One strategic move that investors can make right now is to buy dividend stocks that yield over 3%. Even if stock prices don’t move considerably, yields can keep growing with a return that will stay ahead of inflation. 

Rather than chasing yield, a better option is to find companies that have histories of consistently paying and reliably growing their dividends. That’s the case for the following three Dividend Aristocrats, each of which has increased its dividend payouts for at least 25 consecutive years. 

Amcor Offers High Yield With Defensive Demand

Amcor NYSE: AMCR is a global packaging company with market leadership in categories spanning food and beverage, pharmaceutical, and personal care products. The company’s products will always be in demand, especially at a time when companies may be looking for innovative ways to reduce input costs. 

That said, Amcor’s numbers over the last year haven’t excited investors. AMCR is mostly flat over the past 12 months. But its dividend is safe. The company has increased its payout for 27 consecutive years, a streak that includes dividend history inherited from its 2019 Bemis acquisition. As of April 9, its yield is 6.3%, and the annual payout per share is $2.60. 

Amcor faces its own cost pressures from tariffs and higher oil prices. At around 27X earnings, AMCR is expensive to both its own history and the broader market. However, the dividend is secure, and analysts have a consensus one-year price target of $52 on AMCR, which would be a gain of over 20% to go along with its sizable dividend yield. 

Chevron Combines Energy Exposure With Dividend Strength

Energy stocks have been volatile since the conflict with Iran began in late February. Chevron (NASDAQ; CVX) has been one of the beneficiaries. Year to date, CVX is up almost 30%. However, the company stands out in a volatile sector, and if oil prices stay elevated, investors will be glad they had CVX in their portfolios.

But even if oil prices retreat, Chevron will continue to be a best-in-class oil stock that's at the forefront of the move to increase output not only in the United States, but more recently in Venezuela. The integrated oil major also has significant exposure to the growing liquefied natural gas market and strategic investments in renewable energy. 

The recent spike in CVX's price has made the stock a little expensive. But the key to owning Chevron is not to confuse the long-term outlook with short-term thinking. Over time, CVX has been a good steward to shareholders. In 2025, the company generated $20.2 billion in free cash flow and still returned a record $27 billion to shareholders through dividends and buybacks. 

Speaking of that dividend, it has a 3.6% yield, good for $7.12 per share annually. Chevron has increased its dividend for 38 consecutive years.

AbbVie Delivers Reliable Growth and Income in Health Care

Health care isn't the first sector that comes to mind when investors think about inflation protection. But consider this: People don't stop filling prescriptions when prices go up. That's exactly the kind of demand durability that makes AbbVie NYSE: ABBV worth a closer look.

For the full year 2025, AbbVie generated record revenue of $61.2 billion, with immunology revenue growing 14% led by flagships Skyrizi and Rinvoq. Those two drugs have effectively filled the hole left by Humira's patent expiration.

While that’s old news, it’s important to the dividend story. Some analysts were concerned that the loss of patent protection for Humira would lead to a dividend cut. Instead, ABBV has continued to increase its payout with a streak that’s up to 52 years and counting. The yield is 3.3%, good for $6.92 per share annually. This is not a stock to trade; it’s one to own and let compounding do its work.