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2 Dividend Stocks to Hold for the Next 10 Years

- - 2 Dividend Stocks to Hold for the Next 10 Years

Marc Guberti, The Motley FoolFebruary 16, 2026 at 1:50 AM

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Key Points -

Investing in dividend stocks with financial growth and rising dividend payouts can lead to positive long-term returns.

Visa dominates the financial industry, with its global payment network acting as the bedrock for many credit cards.

Caterpillar has seen booms and busts throughout its history, and the AI buildout has led to the company's most successful year and quarter.

10 stocks we like better than Caterpillar ›

Holding dividend stocks over many years is one of the best ways to build passive income. Each dividend reinvestment increases your total number of shares, and with most dividend-paying corporations hiking their payouts each year, it's only a matter of time before your current dividend income doubles.

Naturally, some dividend stocks are better than others. Dividend income stocks offer high yields now, but dividend growth stocks tend to maximize long-term returns. The two stocks on this list are part of the latter category and are among the most durable companies in financial markets.

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Rising bar chart showing dividend yield growth.

Image source: Getty Images.

Visa

Visa (NYSE: V) is the largest global payments network by market cap and is positioned to weather any economic cycle. People will always need to spend money on various products and services, and Visa's payment network enables many credit cards. Responsible use of these cards can boost your credit score, and they come with great perks, which makes them more desirable than debit cards.

The fintech company earned $10.9 billion in revenue in the first quarter of fiscal 2026 while boasting a 53.7% net profit margin -- a margin that provides Visa with a solid foundation to make meaningful dividend hikes. For instance, the firm raised its dividend by 14% at the end of fiscal 2025, and that move is supported by Visa's 14% GAAP net income growth in Q1 FY26.

Visa distributed $5.1 billion to shareholders as dividends and stock buybacks in the first fiscal quarter. That was just below Visa's $5.9 billion in net income. The fintech company has sufficient flexibility to increase its dividend payouts, especially if it continues to deliver strong net income growth.

Caterpillar

Caterpillar (NYSE: CAT) is a construction leader with more than 100 years in business. It has endured various booms and busts, and at this moment, it is positioned in the middle of a multiyear megatrend.

The artificial intelligence buildout is flush with capital, and part of that infrastructure requires construction services and power generators. Caterpillar supports construction projects from start to finish, including AI data center builds. However, its power generators are providing the necessary electricity for many AI tools, to the point where it recently signed a deal to deploy two gigawatts of dedicated power for hyperscaler AI infrastructure.

Soaring demand for its power generators has turned Caterpillar into a top performer, with its stock up by roughly 35% year to date. It's also a major catalyst that helped Caterpillar deliver a record-breaking fourth quarter and fiscal 2025. Revenue in the fourth quarter was up 18% from a year ago, and the company ended with a record $51 billion backlog, a 71% improvement.

It marks yet another successful quarter for the construction company and its investors. Caterpillar deployed $7.9 billion to shareholders via buybacks and dividends while delivering a 7% dividend increase last year.

Should you buy stock in Caterpillar right now?

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Marc Guberti has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Caterpillar and Visa. The Motley Fool has a disclosure policy.

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Source: “AOL Money”

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