For investors focused on creating a more secure retirement portfolio, owning dependable dividend stocks—and reinvesting those payouts over time—can be one of the most effective long-term investment strategies. Here are three dependable dividend stocks that stand out for their consistent payouts, solid fundamentals, and commitment to returning capital to shareholders.

A bit of advice to do well: Aggressively invest in high-yielding stocks and reinvest the dividends continuously until you consider retirement. After all, each reinvested dividend payout buys you more income-producing shares without any out-of-pocket expenses. Better, by doing so, you’re compounding the earnings and expediting the growth of your portfolio.

Here are three dependable dividend stocks that stand out for their consistent payouts, solid fundamentals, and commitment to returning capital to shareholders.

Home Depot Delivers Consistent Dividend Growth

With a yield of 2.74%, Home Depot (NYSE: HD) just paid a quarterly cash dividend of $2.33 a share on June 18. This is now the 157th consecutive quarter that it has paid a dividend.

Recent earnings were solid. EPS of $3.43 beat by two cents. Revenue of $41.8 billion beat by $290 million. Comparable sales for the first quarter of fiscal 2026 increased 0.6%, and comparable sales in the U.S. increased 0.4%.

“Our first quarter results were in line with our expectations. The underlying demand in our business was relatively similar to what we saw throughout fiscal 2025, despite greater consumer uncertainty and housing affordability pressure,” said Ted Decker, president and CEO. 

Winnebago Industries Rewards Long-Term Shareholders

With a yield of 4.78%, Winnebago Industries (NYSE: WGO) recently paid out a dividend of 35 cents per share on June 24. 

“Returning capital to shareholders remains a priority for Winnebago Industries,” said Bryan Hughes, chief financial officer for Winnebago Industries. “Our disciplined capital allocation strategy allows us to invest in our brands and enterprise capabilities while maintaining financial flexibility. This dividend, which marks our 48thconsecutive quarterly payment, reflects confidence in the strength of the business and the durability of our cash flows.”

EOG Resources Combines Dividends With Share Buybacks

With a yield of 3.03%, EOG Resources (NYSE: EOG) will pay a dividend of $1.02 per share on July 31 to shareholders of record as of July 17. The company also boosted its buyback program to $20 billion, effective May 20. In addition, the company’s recent Q1 EPS of $3.41 bet by 20 cents. Revenue of $6.92 billion, up 22% year over year, beat by $860 million.

“EOG delivered exceptional results in the first quarter, with oil, gas, and NGL volumes exceeding the midpoints of guidance while maintaining rigorous cost discipline – total per-unit cash operating costs and DD&A both came in better than guidance midpoints. Operational excellence translated into robust financial performance: we generated $1.5 billion in free cash flow and returned nearly $950 million to shareholders through our regular dividend and share repurchases,” as quoted by the company’s earnings release.

These Dividend Stocks Could Strengthen Your Retirement Portfolio

Home Depot, Winnebago Industries, and EOG Resources each offer a combination of reliable dividend payments and established businesses, making them worth considering for income-focused investors. For those looking to build wealth over time, consistently investing in high-quality dividend stocks and reinvesting those payouts can be a simple but effective strategy.

From an investor’s perspective, these intense weather events can present an opportunity to make substantial gains. Momentum is on the side of companies likely to post strong revenue and earnings in the upcoming reporting season.  

Generac (GNRC) 

One of the most uncomfortable parts of stormy weather is having to deal with a power outage. If it’s only for a few hours, it’s manageable. But when it stretches into days or weeks, issues such as food spoilage come into play. Plus, in the hyperconnected world in which we operate, not having an internet connection can literally mean a loss of power will quickly mean a loss of income. 

Generac Holdings (NYSE: GNRC) has been the go-to backup power solution for millions of customers. In 2026, the company is also seeing increased revenue from data center demand. In its Q1 2026 earnings report, Generac reported a current backlog of over $700 million, which was more than double the amount from its Q4 2025 earnings report.  

GNRC is up 85% in 2026 and, in June, UBS Group raised its price target to $335 from $305, which is 17% above analysts’ consensus price target. And at 28x forward earnings, GNRC is valued attractively to the S&P 500. It’s not a forever stock, but it’s a solid momentum play for the second half of 2026.  

Carrier (CARR) 

Carrier Global (NYSE: CARR) is one of the global leaders in commercial and residential HVAC solutions. The company’s core business has been impacted by a constricted housing market in the United States. That accounts for CARR stock being down 7.7% in the last 12 months.  

Normally, it’s helpful for investors to take a long-term view. In this case, momentum suggests narrowing your focus. That’s because in the company’s Q1 2026 earnings report, the company noted that strong demand was coming from data centers. Global orders were up over 500%, and the current backlog covers the company’s targeted $1.5 billion of data center sales in 2026.  

CARR stock is within 5% of its consensus price target of $73.25. However, it does pay a dividend of 96 cents per share that has increased for the last four consecutive years and is well supported by next year’s earnings and cash flow estimates.  

Dover (DOV) 

Dover Corp. (NYSE: DOV) is an alternative to Carrier with two important distinctions. First, the company operates exclusively in the commercial and industrial sectors. That’s translated into year-over-year revenue and earnings growth that’s expected to continue.  

Second, the company not only has a higher per share dividend payout, but Dover is a dividend king that has increased its payout for the last 70 consecutive years. 

At 20x forward earnings, valuation may be a small concern for a stock, known for income first and growth second. However, analysts give DOV stock a consensus price target of $239.85, which is an increase of over 12% from its closing price on July 2.  

First Solar (FSLR) 

Solar energy can shine brightly during heat waves that are punctuated by intense sunlight. First Solar (NYSE: FSLR) is the largest U.S.-headquartered solar panel maker. The company’s advanced thin-film modules have the benefit of performing better in high-temperature conditions. They also perform better in low-light conditions (e.g., during a storm).  

FSLR has been volatile. As of July 2, it’s down 14.02% in 2026, but it was up 14.8% in the last three months and 21.1% in the last 12 months. However, the consensus analyst price target of around $250 leaves about 11% upside. Plus, several analysts have price targets of $300 or higher, which suggests the stock may be just starting to heat up. If you can handle that volatility, First Solar may have a place in a long-term growth portfolio.  

Home Depot (HD) 

Home Depot (NYSE: HD) is a weather-adjacent stock that could offer both growth and value in 2026 and beyond. To begin with, at $357.72 as of the close of trading on July 2, Home Depot is trading significantly below its all-time high of around $425. That’s largely been due to the slowdown in the housing market, which is ongoing.  

But all it takes is one named storm in hurricane season to remind investors why Home Depot is an all-season stock to own. The company’s revenue and earnings have remained resilient due to the strength in its Pro business.  

Growth investors may balk at HD stock’s performance in the last five years. But over a longer period, it’s been a tremendous performer for both growth and income investors. The current dividend yield is 2.61%, and the stock pays $9.32 per share on an annual basis.  

Weathering the Market Heat 

The bottom line is that extreme temperatures aren’t the only thing running hot this summer. Many of the companies positioned to benefit from weather‑driven demand, infrastructure strain, and long‑term energy transitions are showing real momentum heading into the second half of 2026. From backup power to HVAC demand, industrial strength, solar performance, and home‑improvement resilience, each of these stocks reflects a different angle of how climate and infrastructure pressures shape economic opportunity. 

Investors don’t need to chase every heat‑related trend, but they can recognize when weather patterns highlight structural needs—backup power reliability, cooling efficiency, renewable generation, and storm‑driven home repair. These aren’t passing fads; they’re durable themes that tend to intensify as climate volatility increases. 

As temperatures rise, so does the importance of owning companies built to perform in all conditions. The market’s weather may shift day to day, but businesses solving real‑world problems tend to stay hot even after the forecast cools. 

The simple approach focuses on buying the 10 highest-yielding stocks in the Dow Jones Industrial Average at the beginning of each year and holding them for 12 months. Historically, the strategy has generated competitive returns, strong dividend income, and downside protection during volatile markets. 

After another solid showing in 2025, the Dogs of the Dow are once again proving their value in 2026, with several of this year’s top-yielding Dow components already posting impressive gains. Here’s a closer look at how the strategy performed last year, how it’s doing so far in 2026, and why income-focused investors continue to rely on this time-tested investing approach.

How the Dogs of the Dow Performed in 2025

For 2025, here’s how the Dogs of the Dow did.

• Verizon (NYSE: VZ) started 2025 at around $38. It ended the year at $39.44.
• Chevron (NYSE: CVX) from about $142 to $149.56.
• Johnson & Johnson (NYSE: JNJ) ran from $142 to $204.68.
• Amgen (NYSE: AMGN) ran from about $258 to $322.62.
• Merck (NYSE: MRK) ran from about $98 to $103.74.
• Coca-Cola (NYSE: KO) jumped from $61 to $68.99.
• IBM (NYSE: IBM) ran from about $215 to a $292.38.
• Cisco (NYSE: CSCO) ran from about $58 to $76.21.
• McDonald’s (NYSE: MCD) ran from about $293 to $301.88.
• Procter & Gamble (NYSE: PG) fell from about $264 to $141.24

That’s not bad at all.

Plus, once you factor in the yields for each, the Dogs outperformed the Dow Jones.

Dogs of the Dow Off to Strong Start in 2026

As for 2026, here’s how the Dogs of the Dow have performed to date.

• Verizon (VZ), which yields 6.51%, ran from $39.48 to a current price of $43.52.
• Chevron (CVX), which yields 4.2%, ran from $149.32 to $169.15.
• Merck (MRK), which yields 2.64%, ran from about $104.01 to $128.88.
• Procter & Gamble (PG), which yields 2.95%, ran from $141.04 to $147.81.
• Amgen (AMGN), which yields 2.8%, ran from $324.06 to $359.76.
• Coca-Cola (KO), which yields 2.57%, ran from $68.95 to $82.77.
• Nike (NYSE: NKE), which yields 3.98%, fell from $63.01 to $41.24.
• UnitedHealth (NYSE: UNH), which yields 2.22%, ran from $326.43 to $419.04.
• Home Depot (NYSE: HD), which yields 2.67%, ran from $338.61 to $348.76.
• Johnson & Johnson (JNJ), which yields 2.09%, ran from $204.55 to $256.24.

Why this Strategy Still Works

Historically, the Dogs of the Dow do very well.

The 2024 Dogs of the Dow underperformed the major indices in 2024. However, with dividends, investors still did well for the year.

The 2023 Dogs of the Dow returned an average of 10.1%, which came in below the 14.4% return on the Dow Jones’ Industrials. Still, with the appreciation in most of the 2023 Dogs coupled with dividends, investors still did well overall.

The 2022 Dogs of the Dow beat the major indices, even in a rough year.

In fact, while the Dogs of the Dow stocks fell 1.6% on the year, once you add in the dividend payouts, the Dogs returned 2% on the year. And while 2% may not sound like a big win, consider that, in 2022, one of the worst years on record since 2008, the NASDAQ lost 33%.  The S&P 500 lost 19%.  The Dow Jones lost about 9%.

In 2021, the Dogs of the Dow returned about 16.3%. While 2020 wasn’t a great year for the Dogs, most other years have done very well.  In 2019, the Dogs were up 20%.  In 2018, they were up about 1%, but still beat the Dow, which fell close to 6%.  In 2017, the dogs were up 19%.  In 2016, they were up 16%.

The Long-Term Outlook

With several of the 2026 Dogs already delivering solid gains and continuing to pay dependable dividends, the strategy remains an appealing option for investors seeking income, stability, and long-term growth. As always, diversification and patience are key, but for those looking for a straightforward, historically successful investing strategy, the Dogs of the Dow continue to earn their place in a well-balanced portfolio.

One strategy is to invest in high-quality dividend-paying stocks and dividend-focused exchange-traded funds (ETFs). Not only can dividend investments provide a steady stream of income, but they can also help cushion portfolios during market downturns.

If you’re looking for safety with yield to boot, it’s worth taking a closer look at the Dividend Aristocrats and Dividend Kings.

Why Dividend Aristocrats and Kings Matter

The Dividend Aristocrats represent some of the highest-quality companies in the market. To earn Aristocrat status, a company must have increased its dividend payout for at least 25 consecutive years. Dividend Kings take that distinction even further, consisting of companies that have raised their dividends for 50 years or more.

What makes these companies impressive is their ability to continue rewarding shareholders through virtually every economic environment imaginable. Whether facing inflation, recessions, rising interest rates, stock market crashes, geopolitical uncertainty, or economic booms and busts, these businesses have consistently found ways to grow their payouts.

If a company can survive decades of changing economic conditions while continuing to increase its dividend, it’s often worth putting on your investment radar.

Unfortunately, investors won’t currently find a dedicated Dividend King ETF. However, several ETFs provide exposure to high-quality companies and can help generate reliable income while reducing risk.

ProShares S&P 500 Dividend Aristocrats ETF 

One of the most popular options is the ProShares S&P 500 Dividend Aristocrats ETF (BATS: NOBL). With an expense ratio of 0.35% and a yield of about 2.02%, NOBL focuses exclusively on companies within the S&P 500 that have increased dividends for at least 25 consecutive years. 

A few of the fund’s top holdings include Caterpillar (NYSE: CAT), AbbVie (NYSE: ABBV), and Walmart (NASDAQ: WMT). Many of these companies have been rewarding investors with rising dividend payments for decades. 

Schwab U.S. Large-Cap Value ETF 

Another one to consider is the Schwab U.S. Large-Cap Value ETF (NYSEARCA: SCHV).

With a low expense ratio of just 0.04%, SCHV provides broad exposure to large-cap value stocks that often trade at attractive valuations compared to the broader market. The fund currently yields approximately 1.85%.

Its holdings include some of the most recognizable names in American business, including Johnson & Johnson (NYSE: JNJ), Exxon Mobil (NYSE:XOM), Home Depot (NYSE: HD), and AbbVie.

Schwab U.S. Dividend Equity ETF 

For investors seeking a higher yield, the Schwab U.S. Dividend Equity ETF (NYSEARCA: SCHD) also stands out. With an expense ratio of just 0.06% and a yield of about 3.5%, SCHD has become a favorite among income-focused investors. The fund tracks the Dow Jones U.S. Dividend 100 Index and emphasizes companies with strong cash flow, sustainable dividends, and solid financial health. Top holdings include Amgen (NASDAQ: AMGN), AbbVie, Home Depot, and Coca-Cola (NASDAQ: COKE).

Why Dividend ETFs Work

Markets will always experience periods of uncertainty. Economic cycles come and go, interest rates rise and fall, and investor sentiment can shift quickly. However, companies that consistently generate profits and reward shareholders through growing dividends have historically proven to be among the market’s most dependable performers.

For investors seeking a combination of income, stability, and long-term wealth creation, dividend-focused ETFs such as NOBL, SCHV, and SCHD offer an easy way to gain exposure to some of the strongest businesses in America. While no investment is completely risk-free, owning a diversified basket of proven dividend growers can help smooth out market volatility while putting cash back into your pocket along the way.

A tropical system that developed near the Texas Gulf Coast has become Tropical Storm Arthur, the first named storm of the 2026 Atlantic hurricane season. Forecasters warn the storm could dump as much as 20 inches of rain across parts of Texas, Louisiana, Mississippi, Alabama, and portions of the Southeast, raising concerns about flash flooding and infrastructure damage.

The storm arrives just weeks after the official start of hurricane season on June 1, and it serves as an early reminder that weather-related risks can quickly create opportunities for certain sectors of the market.

As we saw in 2025, hurricane season remained active, producing 13 named storms. This year could be another busy one. Early forecasts from Colorado State University and AccuWeather call for 11 to 16 named storms, four to seven hurricanes, and two to four major hurricanes. With Gulf waters remaining unusually warm, meteorologists expect favorable conditions for tropical development throughout the summer and fall.

For investors, that could create opportunities in companies tied to storm preparation, infrastructure repair, emergency response, and backup power demand.

Generac: A Leader in Backup Power Demand

One of the most popular hurricane-season trades has been Generac Holdings (NYSE: GNRC).

The company is a leading manufacturer of residential standby generators and mobile power systems. Historically, demand for generators tends to rise as hurricanes threaten populated regions and homeowners prepare for potential power outages.

The stock has shown a strong tendency to rally during the tropical storm season. In late May 2025, shares traded near $122 before climbing to roughly $200 by August. Similar seasonal moves occurred in 2024 and 2023 as investors anticipated increased generator demand.

Beyond hurricanes, Generac is also benefiting from growing concerns about aging electrical infrastructure, grid reliability, and extreme weather events. As storms become more frequent and severe, more households and businesses are investing in backup power solutions before outages occur.

Home Depot and Lowe’s: Retail Winners in Storm Recovery

Home improvement retailers can also see a boost when storms approach.

Historically, both Home Depot (NYSE: HD) and Lowe’s (NYSE: LOW) have benefited from increased demand for plywood, roofing materials, tools, generators, tarps, cleaning supplies, and other products needed before and after major storms.

According to Morgan Stanley, the home improvement sector is “naturally positively exposed” to both hurricane preparation and recovery efforts. Following major storms, rebuilding activity can support sales for months as homeowners and contractors repair damaged properties.

Seasonal performance reflects that trend. Home Depot climbed from approximately $350 in May 2025 to about $425 later in the season. Lowe’s advanced from roughly $220 to $270 during the same period.

With another active hurricane season expected, investors may once again turn to these names as storm-related spending accelerates.

Xylem: Flood Management and Water Infrastructure Play

Another hurricane play is Xylem (NYSE: XYL).

The company specializes in water infrastructure, flood management, pumping systems, and emergency response equipment. Xylem works with municipalities, counties, and private organizations to prepare for and respond to natural disasters.

As coastal communities face heavier rainfall and increased flooding risks, demand for water management solutions continues to grow. That trend could be especially important this year as Tropical Storm Arthur highlights the flood risks posed by even relatively weak tropical systems. Forecasters say rainfall, rather than wind, may be the storm’s most dangerous threat.

The stock has historically performed well during hurricane season, climbing from $121 to $155 in 2025 and posting seasonal gains in both 2024 and 2023.

Key Takeaways for Investors in Hurricane Season 2026

No investment is guaranteed to rise simply because hurricane season is active. However, history shows that certain companies often benefit when storms increase demand for generators, home repair materials, emergency equipment, and water infrastructure solutions.

With Tropical Storm Arthur already bringing flooding concerns to the Gulf Coast and forecasters calling for another potentially active Atlantic season, investors may want to keep companies such as Generac, Home Depot, Lowe’s, and Xylem on their radar. If storm activity accelerates in the months ahead, these hurricane-season stocks could continue to benefit.

Their walls cracked. Roofs leaked. Pipes burst. And people only repaired what they had because replacing it cost too much.

Today, something eerily similar is happening across large parts of America’s housing market.

Yet, in its fiscal Q1 2026 earnings report, Home Depot Inc (NYSE: HD) reported revenue of $41.9 billion and adjusted EPS of $3.63, both ahead of expectations. Of course, most investors would take this by face value, but a second look under what’s beneath this earnings beat, you’ll discover an economy where Americans have stopped moving, where existing home sales remain near multi-decade lows, and where homeowners locked into older low-rate mortgages can no longer justify upgrading into dramatically higher monthly payments.

So instead of buying new homes…millions of Americans now pour money into repairing the ones they already own.

This is the story of how Home Depot rebuilt itself around that reality faster than most investors noticed.

Americans Stopped Buying Dream Homes

Comparable sales barely moved 0.6% during the quarter, but Home Depot still generated $41.9 billion in quarterly revenue, $5.1 billion in operating income, and about $3.4 billion in net earnings.

Average tickets also climbed another 2.1%. Read those figures together, and it’ll become clear that consumers may have reigned in spending on: new homes, large remodels, and discretionary housing upgrades… while spending to maintain the homes they can no longer afford to leave.

That distinction changes the entire psychology surrounding the business, especially when you think about the fact that roofs still fail. Water heaters still break. Air conditioners still die during the summer. And America’s housing stock keeps getting older.

In fact, the median U.S. home now sits more than 40 years old.

Together, they create a brutal long-term maintenance cycle underneath the economy itself.

The longer homeowners stay trapped inside aging properties, the more unavoidable those repair costs become.

And Home Depot appears to be positioned under that pressure.

Home Depot Is Meeting With Contractors Behind Closed Doors

For years, investors framed Home Depot around: DIY shoppers, housing booms, and weekend renovation culture.

The quarter exposed something very different.

Professional contractor sales outperformed DIY demand again during the quarter as Home Depot continued shifting deeper into the Pro economy.

With over 2,300 physical retail stores across the United States, Canada, and Mexico, the company spent $18.25 billion to acquire SRS Distribution, deepening its presence in roofing supply, landscaping, pool contractors, and specialized trade professionals.

All of which indicates that the company has now taken the center stage in the parts of the housing economy that homeowners cannot postpone.

Think about it, a consumer delays remodeling a kitchen, a leaking roof becomes an emergency, or an aging HVAC system eventually forces replacement.

And contractors remain tied to those recurring repair cycles regardless of whether home sales collapse or mortgage rates stay elevated.

In return, a much harder form of demand is created underneath the business than many investors still associate with Home Depot.

No wonder the company generated more than $20 billion from its Pro ecosystem last year alone, and why the management continues pouring capital into distribution infrastructure, trade credit, same-day delivery, fulfillment expansion, and contractor-focused supply chains.

So if there’s anything to take home from this piece today, it’s that Home Depot no longer behaves like a company waiting for housing euphoria to return. It sees where the housing market is heading and it’s spreading its tentacles.

Wall Street Is Starting To Price In Housing Survival

HD pushed sharply higher after earnings as buyers drove the stock back toward the upper end of its long-term trading range. The move came after Bernard Marcus and Arthur Blank’s company, backed by investment banker Ken Langone, generated roughly $41.8 billion in quarterly revenue while maintaining resilient spending trends despite one of the weakest housing environments in years.

The stock reclaimed momentum above both its 20-day moving average near $362 and 50-day moving average near $352 as volume expanded following earnings.

You’ll also see that HD is pressing directly against resistance near the $380-$385 zone, an area that repeatedly capped rallies over the past year. A breakout above that region could open the door toward retesting all-time highs near $400.

Overall, the setup reflects that the market is starting to price in the possibility that Americans trapped inside aging homes may keep spending heavily to maintain them anyway.

This Housing Paralysis Could Be A Significant Moat

This was probably the most important contradiction within the quarter.

The same housing paralysis crushing mobility, affordability, and existing home sales also traps millions of Americans inside aging homes that continue demanding repairs. This type of pressure has created recurring spending, and Home Depot is having a field day monetizing it.

Take a look, customer transactions rose 2.1% during the quarter while online sales climbed roughly 8%.

Meanwhile, operating cash flow still came in around $6.6 billion over the trailing twelve months, even as the company continued investing in: supply chain infrastructure, delivery networks, distribution capabilities, and contractor expansion.

Going forward, Home Depot won’t be trapped by America’s housing paralysis. If anything, it has shown it has the ability to leverage the situation, shift the market it serves, and scale its profits in the shortest time possible. A moat is missing among its competitors.

So if you still frame this stock as a simple housing-cycle stock, you might be in for a rude awakening, because as you’ve seen for yourself, the earnings suggest something much larger is happening under the surface.

Early forecasts from groups including Colorado State University (CSU) and AccuWeather suggest 11 to 16 named storms, four to seven hurricanes and two to four major hurricanes (Category 3 or stronger).

For investors, that could create another opportunity in hurricane season stocks tied to storm preparation, infrastructure repair, emergency response, and backup power demand. Historically, several companies have seen stronger sales and rising share prices as hurricane activity intensifies during the summer and early fall. 

We mention this because we can profit from hurricane season by investing in stocks, such as:

Generac Benefits From Rising Generator Demand

In late May 2025, Generac Holdings (NYSE: GNRC), which markets home standby generators and is the leading global manufacturer of mobile generators for industrial use, traded at about $122. It would rally to $200 a share by August. In 2024, it ran from about $149 in early June to a high of $200. In 2023, it ran from about $107 to a high of about $157.

Generac has a very strong history of running ahead of forecasts during hurricane seasons. That’s because when there’s a loss of power, generators see significant demand.

The company is also benefiting from broader concerns about grid reliability and extreme weather events across the United States. As storms become more severe, homeowners and businesses are increasingly investing in backup power solutions before outages occur.

Home Improvement Stocks Often Benefit During Hurricane Season

Home Depot (NYSE: HD) and Lowe’s (NYSE: LOW) historically stand to benefit from increased sales of plywood and other home improvement goods.  This segment is “naturally positively exposed to preparation and recovery efforts,” says Morgan Stanley.  These “typically see a boost in sales post-storm as damaged property is repaired.”

In May 2025, shares of Home Depot ran from about $350 to a high of $425 with hurricane season and, of course, warmer summer weather. In 2024, it ran from about $315 to a high of $410. In 2023, it ran from about $276 to a high of $315. 

With LOW, in May 2025, it ran from about $220 to $270. In May 2024, it ran from about $218 to about $273. And in May 2023, it ran from about $192 to $220.

Investors often rotate into these hurricane season stocks because repair demand can remain elevated for months after major storms make landfall. Roofing materials, generators, lumber, tools, and cleanup supplies frequently see spikes in demand during active storm periods.

Xylem Could Benefit From Storm Infrastructure Demand

Xylem (NYSE: XYL) has a history of running higher in hurricane seasons, too.  

All as it works with “cities, counties and companies to create contingency plans that map out emergency response strategies and identify the required pumping equipment to react to natural disasters.” XYL also has a historical tendency to run higher throughout hurricane season.

In 2025, for example, it ran from $121 to $155. In 2024, it ran from $129 to $142. In 2023, it ran from about $100 to about $113.

Water infrastructure and flood management systems are becoming increasingly important as coastal regions face stronger storms and heavier rainfall. That trend could continue supporting demand for companies focused on emergency water management and disaster-response infrastructure.

Seasonal Hurricane Trades May Offer Opportunity

As hurricane season approaches, investors may want to keep a close eye on companies tied to storm preparation, recovery, and infrastructure support. Historically, stocks such as Generac, Home Depot, Lowe’s, and Xylem have seen increased investor interest as demand rises for generators, repair materials, water management solutions, and emergency equipment.

While no trade is guaranteed, seasonal trends and growing storm activity could once again create opportunities in these names as the 2026 hurricane season unfolds.

With geopolitical tensions surrounding Iran creating uncertainty, no one knows how long volatility will persist. That’s forcing investors to shift toward defensive strategies that emphasize stability, income, and diversification over aggressive growth.

Instead of sitting in cash or trying to time the market, investors may find better opportunities in safe ETFs that provide steady exposure to high-quality assets—some of which follow strategies favored by Warren Buffett.

Why Safe ETFs Make Sense in Volatile Markets

During uncertain periods, the priority shifts from maximizing returns to preserving capital and generating consistent income. Safe ETFs offer:

• Broad diversification across sectors
• Exposure to high-quality companies
• Lower costs compared to active funds
• Reliable dividend income in some cases

These characteristics make them ideal tools for navigating unpredictable markets while staying invested.

Vanguard S&P 500 ETF (VOO): Broad Market Stability

“Over the years, I’ve often been asked for investment advice,” Buffett wrote in a 2016 shareholder letter. “My regular recommendation has been a low-cost S&P 500 index fund.” With that, Buffett has named the Vanguard S&P 500 ETF (NYSEARCA: VOO) as one way to invest.

What makes the VOO ETF attractive is that it measures the performance of the S&P 500 and includes both value and growth stocks across multiple sectors. This broad exposure helps reduce risk tied to any single industry. Some of its top holdings include: NVIDIA Corp. (NASDAQ: NVDA), Microsoft Corp. (NASDAQ: MSFT), Apple (NASDAQ: AAPL), Amazon (NASDAQ: AMZN), Alphabet (NASDAQ: GOOGL), and Berkshire Hathaway (NYSE: BRK.B), to name a few.

It offers a low-cost way to safely diversify by tracking the biggest companies, making it an ideal “set it and forget it” trade. In addition, with an expense ratio of 0.03%, the ETF also pays a quarterly yield. 

VanEck Morningstar Wide Moat ETF (MOAT): Quality Over Everything

If you follow Warren Buffett, you know he prefers companies with a wide economic moat—businesses that can defend their profits against competitors over long periods.

In fact, if you want to invest in companies attractive to the billionaire, make sure they are:

• Simple companies that are easy to understand
• Companies with predictable and proven earnings
• Companies that can be bought at a reasonable price
• Companies with an “economic moat,” or a unique competitive advantage

With an expense ratio of 0.47%, the VanEck Morningstar Wide Moat ETF (BATS: MOAT) tracks companies with sustainable competitive advantages. That includes names such as Estee Lauder (NYSE: EL), Teradyne (NASDAQ: TER), Boeing (NYSE: BA), Alphabet, Nike (NYSE: NKE), and NXP Semiconductors (NASDAQ: NXPI). These are firms that tend to perform relatively well even during uncertain economic periods.

The MOAT ETF also yields 1.29% and pays a yearly dividend. On December 24, it paid out $1.2675. On December 22, 2023, it paid $0.7285. While the yield is modest, the focus here is on long-term quality and resilience.

Schwab U.S. Dividend Equity ETF (SCHD): Reliable Income Stream

There’s also the Schwab US Dividend Equity ETF (NYSEARCA: SCHD), which tracks the performance of 100 high-yielding dividend stocks selected based on yield and five-year dividend growth rates.

With an expense ratio of 0.06%, the ETF tracks the total return of the Dow Jones U.S. Dividend Index. It also yields 3.37%, about three times the S&P 500’s dividend yield, making it particularly attractive to income-focused investors. Its holdings include Amgen (NYSE: AMGN), AbbVie (NYSE: ABBV), Home Depot (NYSE: HD), Cisco Systems (NASDAQ: CSCO), Broadcom (NASDAQ: AVGO), Chevron (NYSE: CVX), UPS (NYSE: UPS), and Coca-Cola (NYSE: KO).

Safe ETFs Can Help You Stay Invested

At the end of the day, investing during periods of uncertainty isn’t about trying to perfectly time the market—it’s about positioning yourself to weather the storm while still staying invested. Safe ETFs like VOO, MOAT, and SCHD offer a balanced mix of broad market exposure, high-quality companies, and reliable income, which can help smooth out the ride when volatility spikes.

While no investment is completely risk-free, sticking with diversified, low-cost ETFs and focusing on long-term fundamentals can make a meaningful difference. Instead of reacting emotionally to headlines, investors may be better served by staying disciplined, maintaining perspective, and letting proven strategies work over time.

First, we have to get the not-so-pleasant news out of the way. On May 19, Home Depot will release its first-quarter earnings report, with analysts anticipating earnings per share of $3.41 on revenue of $41.54 billion. Based on the year-ago print of EPS of $3.56 and revenue of $39.86 billion, the figures should be reasonable. However, the previous three disclosures have been mixed, leading to some skepticism for HD stock.

Not only that, the fundamentals aren’t exactly pointing in a favorable direction. In recent years, the annual sales growth rate has been sluggish, which could potentially disappoint the stakeholders of HD stock. Further, flat same-store sales suggest that overall demand is stagnating. That’s going to raise questions about valuation. While HD’s multiple has been fading, investors may still view the name as overpriced.

Finally, sophisticated market participants might consider the options market a signal of concern about Home Depot stock. By looking at where call and put options are positioned, the smart money does appear to be biased toward downside protection.

That’s a clear warning sign — there’s no getting around that. But there’s also another way to interpret the tealeaves.

Volatility Skew Shows Risk for HD Stock But Also Opportunity

One major indicator that suggests that all may not be well with HD stock is the underlying volatility skew, particularly for the June 18 expiration date. A useful gauge of structural sentiment, volatility skew measures implied volatility (IV) — or a measure of anticipated forward movement — across the strike price spectrum of a given options chain.

We don’t really need to get into the granularity of the skew as it likely only muddies the water. Instead, the most important aspect to grasp is the concept. Essentially, the indicator represents an insurance market, with traders buying either downside or upside protection.

Regarding Home Depot stock, the skew features a volatility “smile,” with protection being sought on both ends of the spectrum. What this roughly translates to is that traders are pricing for both upside convexity and downside mitigation — they want to enhance exposure in case HD stock rips higher but are also hedging their bets if it doesn’t.

However, the smile is clearly elongated on the bullish side of the coin, which implies that traders are paying a higher-than-normal premium for far out-the-money calls. On the other hand, the skew to the bearish side is more accelerative, reaching its peak much quicker than the bullish counterpart. This dynamic suggests that the dominant concern is that HD stock may encounter rough weather.

But just like auto insurance, just because people are paying more for their coverage doesn’t necessarily mean that an accident is more likely to occur. To make that leap, we would have to work with the presupposition that the smart money is prescient relative to the public. Granted, that does seem logical but until we get some correlative evidence, this assumption is merely a guess.

Plus, there’s another aspect to the ‘risky’ volatility skew. If traders are paying relatively higher-than-normal premiums for downside protection, the equivalent move in volatility units should be cheaper on the bullish side. Basically, if you have justification to take a contrarian position, you can arbitrage the market’s fear.

I believe the justification just flashed in the technical charts.

Using an Inductive Model to Trade Home Depot Stock

While the volatility skew is a useful tool, it’s a structural snapshot of insurance demand. As such, it doesn’t really provide a probability of what may happen next. However, an inductive model — which relies on the uniformity of nature — provides an imperfect clue as to what we may expect.

Another term for pattern recognition, induction assumes that the future will resemble the past. In non-deterministic systems where the outcome cannot be absolutely, logically deduced, induction is the best tool that we have. However, it does run the black swan risk: just because you see a thousand white swans does not necessarily mean all swans are white.

In addition to an inductive ‘if this, then that’ framework, we can apply a Markovian simulation on equity market data. Under Markov, the probability of the future state occurring depends on the condition of the current state. I define a state as a 10-week period. Thus, to find the next 10-week distribution, I look at the latest 10-week distribution.

Putting Theory to Practice

Using a dataset going back to January 2007, a random 10-week-long position in HD stock usually leads to a bullish bias. Out of 989 rolling 10-week sequences, 650 of them rose above the starting point, yielding a 65.7% exceedance ratio. That’s what you would expect from a blue-chip giant.

However, the average returns are modest. Assuming a starting price of $328.80 (Thursday’s close), the forward distribution would likely range between $320 and $350, with probability density peaking near $334. However, we’re not interested in betting on the aggregate performance of Home Depot stock.

Instead, we’re looking at the conditional probability of the current signal. In the last 10 weeks, HD stock printed only two up weeks, leading to an overall downward slope. Under this extremely rare signal, the forward distribution would be expected to land between $300 and $400. So, while there’s a chance of greater downside relative to the baseline, there’s also far greater potential opportunity.

With the wide distribution, there are a lot of options (no pun intended). However, aggressive speculators may consider the 345/350 bull call spread expiring June 18. If HD stock rises through the $350 strike at expiration, the maximum profit clocks in at over 156%.

A bit of advice to do well: Aggressively invest in high-yielding stocks and reinvest the dividends continuously until you consider retirement. After all, each reinvested dividend payout buys you more income-producing shares without any out-of-pocket expenses. Better yet, by doing so, you’re compounding earnings and accelerating your portfolio’s growth.

Home Depot: A Dividend Growth Machine Backed by Housing Demand

Over the last five years, Home Depot (NYSE: HD) raised its dividend by 55% from $1.50 to its new rate of $2.33 a share. As noted by Home Depot, the dividend was payable on March 26 to shareholders of record as of March 12.

This is the company’s 156th consecutive quarter of payouts. And while the housing market hasn’t been as hot as hoped, company earnings are still solid. EPS of $2.72 beat by 20 cents. Revenue of $38.2 billion, down 3.8% year over year, beat by $100 million.

Winnebago Industries: Cyclical Business, Consistent Shareholder Returns

With a yield of 4.33%, Winnebago Industries (NYSE: WGO) raised its dividend five times over the last five years from an annualized dividend of 45 cents in 2020 to $1.40 today.  Its last dividend payout was for 35 cents, paid on January 28.

In recent months, the company swung to a profit and raised guidance for 2025. In the quarter ended November 29, Winnebago earned an adjusted profit of 38 cents per share, as compared to a loss of 33 cents per share a year earlier, beating expectations by $0.24 while adjusted EBITDA more than doubled to $30.2 million.

For FY25, Winnebago expects to earn a profit between $2.10 and $2.80 per share, an increase from the previous range of $2.00 to $2.70 per share. The company’s outlook for total sales was also increased to a range of $2.8 billion to $3.0 billion, as compared to the earlier range of $2.75 billion to $2.95 billion.

EOG Resources: Energy Cash Flow Powering Reliable Dividends

With a yield of 3.01%, EOG Resources (NYSE: EOG) raised its annual dividend from $1.50 in 2020 to $4.08 today ($1.02 per quarter). The company just announced it would pay $1.02 per share on April 30 to shareholders of record as of April 16.

In its most recent earnings report, EOG posted EPS of $2.27, which beat by $2.27. Revenue of $5.65 billion, up 1.1% year over year, beat by $270 million. During that quarter, EOG returned $1.2 billion to shareholders, $550 million through regular dividends and $675 million in share repurchases.

“Management projects $4.5 billion in free cash flow for 2026 with plans for modest oil production growth, strong capital discipline, and continued high shareholder returns,” added the company, as noted by Seeking Alpha.

Why Dependable Dividend Stocks Still Win in Any Market

Dependable dividend stocks like Home Depot, Winnebago, and EOG Resources offer something many investors overlook: consistency. While high-growth stocks can capture attention, companies that steadily generate cash and return it to shareholders often deliver strong total returns over time.

In today’s uncertain market environment—marked by interest rate concerns, economic slowdowns, and sector rotation—reliable dividend payers provide both income and stability. Reinvested dividends can significantly enhance long-term portfolio performance through compounding, especially during periods of volatility.

For investors looking to balance growth with income, these stocks represent a practical strategy. They may not always be the most exciting names in the market, but their ability to deliver steady returns makes them valuable core holdings in almost any portfolio.