Equinix, J&J Among Stocks Generating $2,300+ Annual Passive Income

Investors seeking reliable passive income may want to consider adding certain stocks to their portfolios. These companies, including Equinix and Johnson & Johnson, have a history of paying consistent dividends and demonstrate strong financial health.

Equinix, a leader in data center infrastructure, has seen its quarterly payout rise from $2.66 in 2020 to $5.16 today. The company's conversion to a REIT in 2015 mandates distributing at least 90% of taxable income to shareholders.

Johnson & Johnson, on the other hand, is a Dividend King with 64 consecutive years of payout growth. Its six-decade history of steady free cash flow has enabled it to return significant funds to shareholders while maintaining a pristine balance sheet.

The authors of the original article screened their database and found four companies that can generate over $2,300 per year in passive income if invested in at the time of writing. The portfolio consists of Equinix, Johnson & Johnson, Amgen, and SBA Communications, which have seen price gains ranging from 27% to 54% in the past year.

The key feature of this portfolio is its ability to reinvest dividends and purchase additional shares at market prices. This can lead to significant long-term growth as these companies continue to raise their payouts multiple times over the next five years.