Parker-Hannifin is an engineering company specializing in movement and control technologies that has paid dividends for 300 consecutive quarters.
WW Grainger is a global distributor of industrial support products that constantly increases its revenue, net income and free cash flows over the years.
Procter & Gamble is a consumer product Behemoth that has raised its dividends for 69 consecutive years.
10 shares we like better than Parker-Hannifin ›
Dividends can be described as a gift that continues to give, as dividend shares can deliver you passive income for years or even decades. The good news is that it is easy to build a portfolio of dividing stocks with a wide selection of stocks there, but the key is to choose the right ones to have.
Companies with strong business models, well -known brands, and these are leaders in their area are a good first filter. You should also make sure that they kill a constant free cash flow and boast an attempt to increase their dividends over the years or even decades. After identifying these shares, you need to buy and keep them in the long run and enjoy the dividends that flow into your bank account.
Here are three dividend shares that you may want to buy with $ 5,000 from your savings.
Image source: Getty Images.
Parker-Chanifin(Nyse: pH) is a leader in movement and control technology and serves industrial and aerospace markets. The company has demonstrated stable revenue and growth of net income over the years, as shown in the table below. Gross margin is also steadily increasing over the same period, with free cash flow growing in tandem.
Metric
2022
2023
2024
Revenue
$ 15,862 billion
$ 19.065 billion
19.930 billion dollars
Gross
$ 5.311 billion
$ 6.429 billion
$ 7,128 billion
Gross margin of profit
33.5%
33.7%
35.8%
Net income
$ 1.316 billion
$ 2,083 billion
$ 2.844 billion
Free cash
$ 2,212 billion
$ 2.599 billion
$ 2,984 billion
Data Source: Parker-Hanifin. The fiscal years end June 30.
Parker-Chanifin continued to report solid results for the first nine months of the fiscal 2025. Although the revenue remained equal to a year of about $ 1.46 billion, the company managed to improve its gross margin again, from 35.7% to 36.7%, which led to a gross profit, which increased by 1.8% compared to the year. The free cash flow was healthy, growing almost 8% compared to a year to $ 2 billion. The company recently increased its quarterly dividend by 12% compared to a year to $ 1.80 per share, marking its 69th consecutive year of increase in dividends.
Parker-Hanifin maintains position # 1 in the movement and control industry and has a greater exposure to longer cycles, along with secular growth trends that can help increase their revenue and profits further. The acquisitions of Clarcor of Clarcor, manufacturer of products and technologies for filtering, and Meggitt, which sells aerospace and defense technologies and products, also helps to increase their capabilities and expand their set of customer products. For 2025 fiscal, Parker-Chanifin sees the greatest growth coming from the aerospace and defense sector and expects to generate a free cash flow of about $ 3.1 billion. This sequential increase in free cash flow should continue to feed dividends higher in the foreseeable future.
WW GRAINGER(Nyse: gww) is a distributor of products for maintenance and repair of enterprises and institutions. The business demonstrates a constant path to increasing its revenue and net income, as shown in the table below. Granger has also taken a constant free cash flow over the years, which supports increased dividend payments over 54 years.
Metric
2022
2023
2024
Revenue
$ 15.228 billion
16,478 billion dollars
$ 17.168 billion
Operating income
$ 2,215 billion
$ 2.565 billion
$ 2,637 billion
Net income
$ 1.547 billion
$ 1.829 billion
$ 1,909 billion
Free cash
$ 1.077 billion
$ 1.586 billion
$ 1.570 billion
Data Source: Grainger.
The company continued to remove a healthy free cash flow in the first quarter of 2025. Revenues increased by 1.7% compared to a year to $ 4.3 billion, while operating profit increased by 0.4% in the year to $ 672 million. The net profit increased slightly by only 0.2% compared to the year, but the business continued to break out a healthy free cash flow of $ 521 million for the quarter. The company raised its quarterly dividend by 10% year to $ 2.26 per share.
Grainger has an impressive portfolio offering about 2 million parts for maintenance, repair and major overhaul (MRO) that give it a very competitive advantage. The company has provided encouraging year -round guidelines to increase sales by between 2.7% and 5.2% compared to the year for 2025. The profit per share is expected to remain permanent or increase by up to 6.5% compared to the year. These numbers include the effect of Trump’s tariffs and assume that any additional cost increase is mitigated from higher prices. Grainger’s leading position allows him to raise prices without suffering from the corresponding decline in demand, thus allowing the business to continue to pull out a healthy free cash flow with the potential for higher dividends in the coming years.
Procter & Gamble(Nyse: pg) is a giant for consumer goods that produces and sells products for toiletries, cultivation and health products under well-known trademarks such as Pantene, Olay, Gillette and Oral-B. The company may not show rapid growth, but over the years it has steadily increased its top and lower lines, as shown in the table below. Investors should note that 2024 include an impairment fee of assets of $ 1.3 billion; The net income would be much higher. Business also grows growing free cash flows that have contributed to Procter & Gamble to raise their dividends without failure for 69 consecutive years.
Metric
2022
2023
2024
Revenue
$ 80.187 billion
$ 82.006 billion
$ 84,039 billion
Operating income
$ 17,183 billion
$ 18,134 billion
$ 18,545 billion
Net income
$ 1442 billion
$ 14,653 billion
$ 14,879 billion
Free cash
$ 13,567 billion
13,786 billion dollars
$ 16,524 billion
Data Source: Procter & Gamble. The fiscal years end June 30.
Behemoth consumer goods reported a healthy set of profits for the first nine months of the fiscal 2025 revenue, reduced by 0.2% compared to a year to $ 63.4 billion, but operating income increased by nearly 10% compared to a year to $ 16.1 billion. The refusal of the impairment fee of the assets for fiscal 2024, operating income will still increase by 0.5% compared to a year. The main net profit, reduced by 5.5% from year to year to $ 12.3 billion. The generation of free cash flows remained firmly at $ 10.1 billion for the period, and Procter & Gamble raised its quarterly dividend to $ 1.0568 per share, which is 5% compared to the previous $ 1.0065.
Procter & Gamble held a session for Investor Day last year, in which management emphasized several areas to focus on continuing the business growth. The company will focus on improving the supply chain and building its digital capabilities. Procter & Gamble embarks on a biennial unforgettable restructuring exercise involving selected brand sales as the business rationalizes its portfolio. The efficiency of the production will be highlighted as the company transforms its supply chain and the management will work on redesigning the organization to enable integrated and faster decisions. The company is aimed at growing organic sales, which exceeds the market, while the main profits of an action are expected to grow to the middle to high one -off numbers each year as the margins improve. With continuous profuse generation of free cash flows, Procter & Gamble is well positioned to continue to raise its dividend.
Before you buy a warehouse at Parker-Hannifin, think about it:
Thehe Motley Fool stock adviser Analyst team has just identified what they think is 10 best shares For investors to buy now … and Parker-Hanifin was not one of them. The 10 shares that made the abbreviation could lead to the return on monsters in the coming years.
Consider whenNetflixMake this list on December 17, 2004 … If you have invested $ 1,000 at the time of our recommendation,You will have $ 653,702! ** Or when NvidiaMake this list on April 15, 2005 … If you have invested $ 1,000 at the time of our recommendation,You will have $ 870 207! **
It is now worth notingStock adviserThe total average return is988%-time-destroying superiority compared to172%for S&P 500. Don’t miss the top 10 list available when you joinStock adviserS
See the 10 shares »
*Stock Advisor since June 9, 2025
Royston Yang has no position in any of the reserves mentioned. Motley Fool has no position in any of the reserves mentioned. Motley Fool has a policy of disclosure.
The smartest dividend shares to buy $ 5,000 are currently initially published by Motley Fool