5 No-Brainer Dividend Stocks to Buy This June

Investing in the stock market can help generate wealth. With thousands of stocks available, it can become difficult to cherry-pick the best ones. However, in the volatile market of 2025, the best stocks are dividend-paying stocks. They will generate steady income and capital appreciation for you. If you reinvest the dividends, you could enjoy higher […] The post 5 No-Brainer Dividend Stocks to Buy This June appeared first on 24/7 Wall St..

Jun 4, 2025 - 17:48
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5 No-Brainer Dividend Stocks to Buy This June

Key Points

  • Dividend stocks are the best way to navigate an uncertain market.

  • These five dividend stocks will ensure steady income and capital appreciation in the long-term.

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Investing in the stock market can help generate wealth. With thousands of stocks available, it can become difficult to cherry-pick the best ones. However, in the volatile market of 2025, the best stocks are dividend-paying stocks. They will generate steady income and capital appreciation for you. If you reinvest the dividends, you could enjoy higher growth in the long term. 

There is tariff uncertainty, recession concerns, and market volatility. This is where a dividend portfolio can make all the difference. I’ve picked 5 no-brainer dividend stocks to add to your portfolio this June and enjoy reliable income in the coming quarters. 

United Parcel Service

With an attractive dividend yield of 6.67%, United Parcel Service (NYSE:UPS) is one of my favorite stocks. As a big player in the logistics industry, UPS continues to remain relevant for several businesses. It holds a dominant industry position and has managed to sustain the dividends despite business challenges.

The company has increased dividends for 15 years and the stock is trading for $98, down 20% year-to-date. UPS aims to pay $5.7 billion in dividends this year which means it will spend a large amount of free cash flow towards rewarding shareholders. The company faces tariff-related challenges and could see a further dip in average volume but it has the ability to navigate through the uncertainty. 

In the first quarter, the company reported a domestic revenue growth of 1.4% driven by the air cargo segment and a 4.5% jump in revenue per piece which helped offset the volume drop. Further, it generated a free cash flow of $1.5 billion and paid $1.35 billion in dividends. While the 90% payout ratio can be concerning, I believe the company has enough liquidity to sustain them. 

It is moving away from the deliveries for Amazon towards focusing on high-margin deliveries in small businesses and the healthcare industry. This transition could benefit the company in the long term. Further, the company is investing in automation to cut costs and improve productivity. 

Dominion Energy 

It hasn’t been easy for Dominion Energy Inc. (NYSE: D) to turn around the business. The company has had tough days and had to cut its dividend and revamp its assets. Today, it is an electric utility company which is one of the best dividend plays. It has a dividend yield of 4.71% which is higher than the sector dividend yield of 2.9%. Exchanging hands for $56, the stock is a solid buy below $100. 

Similar to several other companies today, artificial intelligence is the growth driver behind this company. Dominion Energy enjoys a monopoly on the power delivery to the largest data center in the world and the demand is only going to increase in the coming years.

It is operating in an attractive sector and the management has stated that the dividends are safe. As the company continues to grow, the dividends could grow too. If you believe in the future of AI, this is the stock to own. AI cannot exist without electricity and this is where Dominion Energy has a stronghold. 

The management is aiming for earnings growth in the range of 5% to 7% annually through 2029 and this can change as the power demand increases. It might take a while for the dividends to grow but the current yield isn’t bad either. Once the dividend starts to grow, the stock will be trading at a premium.

PepsiCo

Beverage giant PepsiCo Inc. (NASDAQ: PEP) is a dividend aristocrat with a massive market presence. The stock enjoys a dividend yield of 4.1% and it has increased dividends for 53 consecutive years. Trading at $132, the stock is down 12.31% year-to-date and 25% in 12 months. PEP stock is too cheap to ignore. While the stock price hasn’t moved much in the past five years, the dividends have remained consistent and the business is stable.

The stock has dropped due to a slowdown in consumer spending. It reported sluggish sales growth and lower profits. Despite being a highly diversified business, PepsiCo has seen a drop in demand and price hikes haven’t worked in favor of the company. The company has made several acquisitions to diversify its food and drink offerings. 

However, it would be a mistake to write off Pepsi. The company has a rock-solid balance sheet and a dividend payout ratio of 79%. It generated a revenue of $17.92 billion in the first quarter while the EPS came in at $1.48. Net sales were down and the company cut its 2025 outlook. It is now expecting flat EPS growth. Pepsi’s balance sheet is stable and the company has the ability to sustain dividends despite the current slowdown. 

If you are looking for a stable source of income, there’s nothing better than Pepsi. 

Morgan Stanley

I’ve been a fan of Morgan Stanley (NYSE:MS) stock before it hit triple digits. The company has shown impressive resilience and transformed the business through the expansion of the wealth management segment. It is showing high profitability and the stock has been moving higher. Exchanging hands for $128, MS stock is up 3.6% in 2025 and over 36% in 12 months. It has gone from $96 in June 2024 to $128 today. The stock has a dividend yield of 2.88% and has increased dividends for 12 consecutive years. 

The company saw a 26% year-over-year jump in earnings, a growing deposit base and a strong loan portfolio. For the first quarter, it reported a revenue of $17.74 billion, up 17% year over year. Equity trading reported a record quarter with a 45% revenue jump to $4.13 billion. 

Its wealth management segment saw a 6% jump in revenue followed by the fixed income trading segment which rose 5%. Morgan Stanley has a global footprint and a highly diversified business making it resilient in uncertain economic times. 

There are concerns about the impact of tariffs on Morgan Stanley’s business since it could pinch consumers but if the U.S. economy manages to avoid a recession and the stock market continues to climb, it could put an end to investors’ worries. Morgan Stanley is one of the top stocks that can reward investors with dividends and capital appreciation.  

Kinder Morgan 

The largest energy infrastructure company in North America, Kinder Morgan (NYSE:KMI) is known for owning oil and gas pipelines. Trading for $28.56, the stock has remained flat in 2025 but is up 44.10% in 12 months. It has a dividend yield of 4.08% and the company has increased dividends for 7 years. The company expects to report solid growth this year and is bullish on natural gas demand.

Kinder Morgan has a business model that continues to bring in cash whether consumers use its pipelines or not. It also earns fees from the volumes that run through its pipelines. Despite being in a commodity industry, the company remains shielded from price fluctuations due to the business model. Further, it is a diversified business which makes it a stable investment. 

For the first quarter, Kinder Morgan reported a net income of $717 million and an impressive project backlog of $900 million. This took the total backlog to $8.8 billion. The management does not see tariffs having any major impact on the business and expects the full-year net income to grow by 8% to $2.8 billion and the EPS to rise by 10% to $1.27. 

Given the company’s massive pipeline network and the minimal impact of tariffs, I believe Kinder Morgan is an attractive dividend stock to add to your portfolio. 

The post 5 No-Brainer Dividend Stocks to Buy This June appeared first on 24/7 Wall St..