3 Dividend Stocks to Hold for the Next 10 Years

The stock market is unpredictable from day to day and even from year to year. That's why focusing on a business' long-term prospects is often the best way to find which companies are most deserving of your hard-earned capital.

It's also an excellent plan for dividend stocks because companies that pay you to own their stock often do their best work over the span of years, when investors can reinvest the dividends to maximize their returns.

Where to start? It might be helpful to consider what the world could look like in the years to come. For example, it appears that artificial intelligence (AI) is only just getting started. Also, an increasingly technology-driven world will likely consume more electricity. Lastly, people will eat -- some things don't ever change.

Here are three dividend stocks that play to these themes. Consider buying and holding them for the next decade.

Image source: The Motley Fool.

1. Microsoft

Artificial intelligence is still new. Some AI stocks will fail. However, it's unlikely that Microsoft (NASDAQ: MSFT) will be one of them.

The company was a diversified tech leader before the AI boom, with a sprawling empire spanning personal and enterprise software, cloud computing, gaming, and more. Microsoft made its name on PC software decades ago, but continues to evolve.

In addition to staying relevant, the company's prolonged success has enabled it to build its dividend track record. Despite investing billions of dollars in its data centers and other growth efforts, management has increased the dividend for 23 consecutive years. And Microsoft has a fortress-like balance sheet.

It currently has a market capitalization of $3.9 trillion. That's too large to expect life-changing growth, but Wall Street does expect nearly 15% annualized earnings increases over the long term as AI helps drive growth throughout the company. Microsoft's dividend and growth blend make it a stock that investors can confidently buy and hold indefinitely.

2. NextEra Energy

The AI boom is cranking up electricity demand. Unless that changes, companies like NextEra Energy (NYSE: NEE) will enjoy plentiful opportunities over the coming decade. The Florida-based energy giant operates America's largest electric utility and is a leader in wind and solar power generation projects.

Renewable energy has spread by leaps and bounds over time, and it seems unlikely to stop anytime soon, now that data centers are becoming an increasing strain on the broader electric grid. To that point, NextEra is investing $75 billion in energy infrastructure over the next few years, which should help keep growth headed in the right direction.

Investors get a strong starting dividend yield of 2.7% at the stock's current share price. Management has raised its payout for 30 consecutive years, with an average annual increase of 11% over the past decade, easily outpacing inflation. NextEra should continue to be a top-notch dividend stock, poised to extend its dividend growth streak for the next decade and beyond.

3. Domino's Pizza

Sometimes, the simple business models are the most effective. Domino's Pizza (NASDAQ: DPZ) is a great example. The popular restaurant chain has thrived in a highly competitive pizza industry because it offers a product that strikes the perfect balance between tasty and affordable, making it a popular choice for feeding families or large groups.

Domino's uses a franchise model. Franchisees pay fees and royalties to open restaurants, then handle most of the costs associated with opening and maintaining the business. The parent company generates more-stable revenue at higher profit margins as a result. Domino's has paid and raised its dividend for the past 12 years.

Pizza is a staple across multiple cultures, and it remains an affordable way to feed the masses, so there's a good chance that people will continue ordering Domino's Pizza well into the future. The company aims to continue expanding its global store count, paving the way for growth and making the stock a no-brainer for any long-term dividend investor.

Justin Pope has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Domino's Pizza, Microsoft, and NextEra Energy. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.