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Regular dividend increases each year, even during recessions, are critical for dividend growth investors. This makes the Dividend Champions a great source of stocks that can provide long-term passive income. The Dividend Champions have each increased their dividends for at least 25 consecutive years.

This article will list 3 Dividend Champions that have high dividend growth rates expected for the future, making them appealing for long-term dividend compounding.

Aflac Inc. (AFL)

Aflac Inc., founded in 1955, is the world’s largest underwriter of supplemental cancer insurance. The diversified insurance corporation also provides accident, short-term disability, critical illness, dental, vision, and life insurance.

Roughly 70% of the company’s pretax earnings are from Japan, with 30% coming from the U.S. The company generated $5.4 billion in profit in 2024.

On April 30th, 2025, Aflac reported first quarter results for the period ending March 31st, 2025. For the quarter, revenue declined 37% to $3.4 billion, which was $874 million below estimates. For the quarter, net earnings equaled $29 million, or $0.05 per share, compared to net earnings of $1.9 billion, or $3.25 per share, in the prior year.

However, this includes investment losses of $963 million, which are excluded from adjusted earnings. On an adjusted basis, earnings-per-share equaled $1.66, matching the prior year’s result.

The steep decline in revenue was primarily due to investment losses compared to investment gains in the prior year. The weakening yen/dollar exchange rate reduced earnings-per-share by $0.01. In U.S. dollars, Aflac Japan’s quarterly net earned premiums decreased 7.4% to $1.7 billion while Aflac U.S. net earned premiums grew 1.8% to $1.5 billion.

Adjusted book value grew 3.5% to $51.98 per share.

AFL has increased its dividend for 43 consecutive years. With a 2025 payout ratio expected to be below 40%, the dividend appears very well-covered with room for strong dividend growth going forward.

Becton Dickinson & Co. (BDX)

Becton, Dickinson & Co., or BD, is a global leader in the medical supply industry. The company was founded in 1897 and has 75,000 employees across 190 countries. The company generates almost $22 billion in annual revenue, with approximately 43% of revenues coming from outside of the U.S. BD is composed of three segments.

Products sold by the Medical Division include needles for drug delivery systems, and surgical blades. The Life Sciences division provides products for the collection and transportation of diagnostic specimens. The Intervention segment includes several of the products produced by what used to be Bard.

BDX continues to generate growth this year, even in an uncertain economic climate. In the 2025 first quarter, revenue grew 4.5% to $5.3 billion. On a currency neutral basis, revenue increased 6%. Adjusted earnings-per-share of $3.36 compared favorably to $3.17 in the prior year and was $0.07 above estimates.

For the quarter, U.S. grew 7% while international was up 1.2% on a reported basis. Excluding currency exchange, international revenue was higher by 4.8%. Organic growth was up 0.7% for the period. The Medical segment grew 3.6% organically to $2.76 billion, due to continued gains in Mediation Management Solutions, Medication Delivery Solutions, and Pharmaceutical Systems.

BD showed that it can perform well in less-than-ideal economic conditions during the last recession. The company’s key competitive advantage is that its products are in high demand as medical devices and other healthcare products are still sought out during a recession. People will seek medical care regardless of how the economy is performing. This ability to grow or maintain earnings in any economic climate makes BD a quality company and a consistent dividend growth stock.

In 2024, BDX increased its quarterly dividend 9.5% to $1.04, extending the company’s dividend growth streak to 53 consecutive years. The dividend has a compound annual growth rate of 5.2% over the last 10 years and 5.7% over the past five years, solid dividend growth rates that have outpaced the rate of inflation.

Sherwin-Williams (SHW)

Sherwin-Williams is North America’s largest manufacturer of paints and coatings. It distributes its products through wholesalers as well as retail stores (including a chain of more than 5,000 company-operated stores and facilities) to 120 countries under the Sherwin-Williams name.

The company also manufactures Dutch Boy, Pratt & Lambert, Minwax, Thompson’s Waterseal, Krylon, Valspar (acquired in 2017), and other brands. Sherwin-Williams generated annual sales of $23 billion last year.

With 47 years of consecutive dividend increases, Sherwin-Williams is a member of the Dividend Aristocrats Index. On April 29th, 2025, Sherwin-Williams released financial results for the first quarter of fiscal 2025. Sales dipped -1% over the prior year’s quarter, mostly due to weak construction completion activity.

However, gross margin expanded from 47.2% to 48.2% and adjusted earnings-per-share grew 4%, from $2.17 to $2.25.

Sherwin-Williams reiterated its positive guidance for 2025. It expects sales to be up a low-single digit percentage, and earnings-per-share of $11.65-$12.05.

Sherwin-Williams has raised its dividend consistently for decades, but its dividend payout ratio has never risen to a high level. Currently, the dividend payout ratio is expected to be below 30% of earnings for 2025. The dividend appears exceptionally well covered.

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