Dividend stocks can be powerful investments. They’ve historically outperformed the market with lower volatility. The biggest driver of that outperformance is dividend growth.

Brookfield Renewable (NYSE: BEP)(NYSE: BEPC), Oneok (NYSE: OKE), NNN REIT (NYSE: NNN), and Alexandria Real Estate Equities (NYSE: ARE) stand out for their ability to pay dividends. They offer higher payouts, all with more than a 4% yield, compared with the sub-1.5% average of the S&P 500, and they’ve steadily increased those payouts. With more dividend growth ahead, you shouldn’t hesitate to buy them this month.

Powerful growth ahead

Brookfield Infrastructure currently yields around 4.4%. The global renewable energy producer has grown its payout at a 6% compound annual rate over the last two decades. It expects that growth to continue. It’s targeting to deliver 5% to 9% annual dividend growth over the long term.

The company already has all of the power needed to support its dividend growth plan for the next several years. A combination of inflation-driven rate increases, margin enhancement activities, and development projects should fuel 8% to 13% annual funds from operations (FFO) per share growth through 2029. That growth is highly visible and largely secured. Meanwhile, accretive acquisitions will enhance its growth profile and ability to increase its payout.

Ample fuel to continue increasing the dividend

Oneok also offers a dividend yield of around 4.4%. The pipeline giant has delivered over a quarter century of dividend stability and growth. While it hasn’t increased its payment every year, it has grown its dividend at a peer-leading rate of more than 150% over the past decade.

The company currently plans to increase its dividend by 3% to 4% annually over the next several years. Acquisitions are the main factor fueling that outlook. The company closed its transformative transaction to acquire Magellan Midstream Partners last year. That deal will add an average of 20% to its free cash flow per share through 2027. Meanwhile, it recently agreed to buy Medallion Midstream and a large stake in EnLink Midstream for $5.9 billion. The deal will be immediately accretive to its free cash flow, further enhancing its ability to increase its dividend.

An elite REIT

NNN REIT currently yields around 4.8%. The real estate investment trust (REIT) recently achieved a key dividend milestone. It has increased its payment for 35 straight years. It’s one of only three REITs and less than 80 publicly traded companies that have reached this landmark.

The REIT completes a steady diet of accretive acquisitions each year to drive its rising dividend. It buys freestanding retail properties net leased to growing national and regional retailers across many categories, like automotive service locations, convenience stores, and restaurants. It builds relationships with its tenants, which provides it with new acquisition opportunities as they expand. Over 70% of its acquisition volume since 2007 has been from existing relationships. With a strong balance sheet and tenant base, the REIT should be able to continue growing its portfolio and shareholder payout in the future.

A very healthy dividend

Alexandria Real Estate Equities has a dividend yield of around 4.4%. The REIT has steadily grown its payout over the years, including by a 5.4% compound annual rate since 2020. It has a low dividend payout ratio of 55% of its FFO, allowing it to retain significant cash to reinvest in growing its portfolio.

The office REIT focuses on life science properties, which are in high demand. It has an extensive pipeline of development projects currently under construction, providing lots of visibility into its future earnings growth. Alexandria has a fortress-like balance sheet, evidenced by a credit rating that’s in the top 10% of all publicly traded REITs. That gives it ample financial capacity to continue expanding its portfolio and dividend.

Top-notch dividend growth stocks

Brookfield Renewable, Oneok, NNN REIT, and Alexandria Real Estate Equities all offer dividend yields above 4%. They also have excellent records of increasing their payouts, which seems likely to continue. You can confidently buy these dividend stocks this month.

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Matt DiLallo has positions in Brookfield Renewable and Brookfield Renewable Partners. The Motley Fool has positions in and recommends Alexandria Real Estate Equities and Brookfield Renewable. The Motley Fool recommends Brookfield Renewable Partners and Oneok. The Motley Fool has a disclosure policy.

4 Top Dividend Stocks Yielding at Least 4% to Buy Without Hesitation This October was originally published by The Motley Fool