Investors looking to pad their passive income streams with high-yield dividend stocks have three excellent choices. If you have an extra $100 to invest, you could set yourself up with dividends from Realty Income (NYSE: O), Altria Group (NYSE: MO), or Pfizer (NYSE: PFE).

All three of these dividend payers have long histories of steady annual dividend raises. Plus, they offer yields above 5% at recent prices.

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Nobody’s expecting huge payout bumps from these well-established businesses. With strong advantages against competitors, though, there’s a good chance they can maintain their payout-raising streaks long enough to fuel your retirement dreams.

1. Realty Income

Realty Income is a real estate investment trust (REIT) that leases commercial property to well-established organizations such as Walmart, Dollar General, and Tractor Supply Company. At recent prices, the stock offers a 5.6% dividend yield plus a couple of features its shareholders appreciate.

Realty Income makes monthly dividend payments, and you never need to wait long for a raise. This REIT raises its payout every quarter and recently announced its 125th payout bump since becoming a publicly traded company about 30 years ago.

Grocery stores, dollar stores, and home improvement stores have ups and downs, but they aren’t likely to go belly up during economic downturns. Plus, their physical locations are likely to remain relevant despite an ongoing shift toward online shopping.

In addition to selecting tenants that can reliably pay rent, Realty Income employs net leases that transfer all the variable costs of building ownership, such as taxes and maintenance to the tenant. This makes the company’s cash flows so stable that it sports an A3 credit rating from Moody’s.

Despite 30 years of operation, there’s still plenty of independently owned commercial real estate that could fit into Realty Income’s portfolio. With a credit rating that’s better than the vast majority of its peers, there’s a good chance this REIT can continue attracting quality tenants and raising its dividend through your retirement.

2. Altria Group

Cigarette smoking has been in decline for decades but this hasn’t stopped Altria Group from steadily raising its dividend. Last August, the U.S. tobacco giant behind the leading Marlboro brand announced its 58th dividend increase in 54 years.

Despite a long history of consecutive annual dividend payout bumps, the market isn’t expecting Altria Group’s streak to continue. The stock offers an ultra-high 8.5% yield at recent prices.

The Food and Drug Administration (FDA) banned flavored e-vapor devices, even though consumers of all ages appear to prefer them. The ban led to a huge illicit market, but access to flavored vaporizers like Elf Bar will get harder to access, at least in the U.S., where Altria does business.

In late 2023, the FDA began partnering with Customs and Border Protection to begin seizing shipments of illegal vaporizers. So far this year, it’s also issued warning letters to 61 brick-and-mortar retailers and 22 online retailers for carrying illicit devices.

Increased enforcement of the FDA’s flavor ban is great news for Altria. Last year, it acquired NJOY, which is one of just three brands of FDA-authorized e-cigarettes on the market today.

3. Pfizer

Shares of the pharmaceutical giant, Pfizer offer a 5.9% dividend yield at recent prices. It has the shortest streak on this list, but after raising its payout for 15 consecutive years, this is a very reliable dividend stock.

Pfizer’s revenue stream swelled up on sales of Comirnaty, a COVID-19 vaccine, and Paxlovid, a COVID-19 antiviral treatment. Unfortunately, demand for these two products evaporated faster than expected. The stock has been under pressure because trailing-12-month sales are down by about $50 billion from their peak in 2022.

Pfizer has reinvested its COVID-19 windfall in new revenue streams, and the plan is working well. Despite the loss of most COVID-19-related sales trailing 12-month revenue is 45.5% higher now than it was at the beginning of the pandemic.

Pfizer has reinvested its COVID-19 windfall in new drugs that could allow it to keep raising its payout for many years to come. In addition to acquiring Seagen and all four of its marketed cancer therapies, the FDA approved nine new drugs from Pfizer last year. Adding some shares to a diversified portfolio and holding them throughout your retirement years looks like a smart move for most income-seeking investors.

Should you invest $1,000 in Realty Income right now?

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Cory Renauer has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Moody’s, Pfizer, Realty Income, and Walmart. The Motley Fool recommends Tractor Supply. The Motley Fool has a disclosure policy.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.