3 Rock-Solid Dividend Stocks to Buy Before a Downturn

Buying dependable dividend stocks is a great way to ride out economic downturns. These stocks may not have meteoric growth, but their steady, above-average dividends make them a safe place to park investments.

The best dividend stocks deliver a yield of at least 2.4%, or double the average S&P 500 dividend. Beyond that, you want to find stocks with high triple-digit total returns over the past decade.

You also want companies whose financials show growth in revenue and cash flow. Three that meet those criteria are The Williams Companies (WMB 0.26%), Kinder Morgan (KMI 0.25%) and Main Street Capital (MAIN 0.07%).

Image source: Getty Images.

The Williams Companies’ pipelines deliver profits

Midstream operator Williams Companies, based in Tulsa, Oklahoma, has more than 33,000 miles of natural gas pipelines in the U.S. and has grown its adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) for 13 consecutive years. Its consistent cash flow from long-term contracts makes this dividend stock a rock-solid performer, even during economic downturns.

Williams raised its dividend this year by 5%, marking its ninth straight year of increases, and it yields around 2.77% at its current share price. Over the past decade, it has delivered a total return of more than 300%, outpacing the S&P 500. It has paid a dividend for 52 consecutive years. The payout is covered by 2.4 times with its adjusted funds from operations.

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NYSE: WMB

Williams Companies

Today’s Change

(-0.26%) $-0.19

Current Price

$73.62

Key Data Points

Market Cap

$90B

Day’s Range

$73.19 - $74.45

52wk Range

$51.58 - $76.87

Volume

49K

Avg Vol

7.2M

Gross Margin

41.57%

Dividend Yield

2.74%

In 2025, the company reported earnings per share (EPS) of $2.14, up 17.5%, and adjusted EBITDA of $7.8 billion, up 9%. That level of performance explains why the stock is up more than 21% so far this year. The company’s natural gas is increasingly in demand as new artificial intelligence (AI) data centers are built, requiring a consistent energy source.

Kinder Morgan is seeing strong orders from data center growth

This Houston-based midstream operator has advantages similar to the Williams Companies, including steady, long-term contracts. It has more than 79,000 miles of pipelines. And it stores, transports, and distributes oil, gas, and carbon dioxide, including roughly 40% of the natural gas produced in the U.S.

The company has raised its dividend for nine consecutive years, including a 1.7% bump in 2025, and the yield is around 3.54% at its current share price. Over the past decade, the stock has delivered a total return of 194%.

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NYSE: KMI

Kinder Morgan

Today’s Change

(-0.25%) $-0.09

Current Price

$33.90

Key Data Points

Market Cap

$76B

Day’s Range

$33.77 - $34.10

52wk Range

$23.94 - $34.26

Volume

1.7M

Avg Vol

14M

Gross Margin

34.74%

Dividend Yield

3.44%

In 2025, Kinder reported revenue of $16.9 billion, an increase of 12.1%, and EPS of $1.37, up 17%. The company said it had a record $10 billion project backlog, most of which is tied to meeting power demand from AI data centers. The company also moves about 40% of the natural gas feedstock used by U.S. LNG export facilities, giving it a fee-based revenue stream that isn’t that sensitive to commodity price changes.

Main Street Capital thinks big by thinking small

Main Street Capital is a Houston-based business development company (BDC). It provides long-term debt and equity capital to lower-middle-market companies, those with annual revenue between $10 million and $150 million.

For investors, the most engaging features of BDCs are their high-yielding dividends, because they are required to distribute 90% of their taxable income, similar to real estate investment trusts. That high-paying dividend helps explain why the company’s total return over the past decade is 280.5%.

Main Street pays a monthly dividend, and the stock yields 5.59% at current share prices. It doesn’t have a long history of increases, but it has raised its payout by 66% over the past decade, including a recent 4% bump. Since the company had its initial public offering (IPO) in 2007, its dividends have grown by 133% and its net asset value (NAV) per share has risen 159%.

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NYSE: MAIN

Main Street Capital

Today’s Change

(-0.07%) $-0.04

Current Price

$54.43

Key Data Points

Market Cap

$4.9B

Day’s Range

$54.40 - $54.72

52wk Range

$46.07 - $66.76

Volume

3.1K

Avg Vol

696K

Gross Margin

100.00%

Dividend Yield

6.09%

The company has investments in 178 companies, none of which represent more than 5.2% of its total. It also has diversity in where its investments are located in the U.S., and in various industries. That’s important because a downturn in one area is usually offset by a rising trend in another.

In 2025, the company reported net investment income per share (NII) of $3.95, flat with the prior year, but NAV per share was a record $33.33, up 5% over the prior year.

Three solid long-term selections

While past returns don’t guarantee future success, these three stocks’ strength over the past decade and their focus on shareholder returns through dividends make them great long-term holds, particularly in periods of economic uncertainty.

The Williams Companies and Kinder Morgan are poised for expansion amid huge energy demand while remaining insulated from commodity price swings. Main Street Capital’s diversified portfolio, monthly dividends, and history of consistent NAV growth offer a high-performing alternative for investors seeking frequent income and capital preservation.

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
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