Dividend Powerhouses: J&J, UNH, and MCK Lead the Way in Stability

When stock markets are soaring to new heights, it's easy to get caught up in the excitement and overlook essential portfolio preparation. However, it's precisely during these periods that investors should focus on building a robust portfolio capable of withstanding market downturns.

A key strategy for achieving this is to own dividend growth stocks with a proven track record of low volatility. Three healthcare giants stand out as exemplary models: Johnson & Johnson (JNJ), UnitedHealth Group (UNH), and McKesson (MCK).

Johnson & Johnson, with a market capitalization of $612 billion, has been steadily growing its sales at a 6.6% year-over-year rate, enabling it to increase its dividend payout annually. The company boasts an impressive 64 consecutive years of dividend increases, earning it the title of Dividend King.

UnitedHealth Group, despite experiencing a significant stock price decline in recent years due to increased claims costs and overspending, has shown resilience by consistently growing its dividend per share by 271% over the last decade. The company's position as a leading health insurer in the United States is further bolstered by the rising tide of healthcare spending.

Mckesson, with a market capitalization of $100 billion, has demonstrated remarkable stability, with only one 50% drawdown in the last 15 years. Its dividend payments have steadily grown, increasing by 193% over the past decade.