Welcome to 2020! Here are 3 FTSE 100 dividend stocks I’d buy and hold for the next decade

first_img Edward Sheldon owns shares in Diageo, Prudential, and DS Smith. John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. The Motley Fool UK owns shares of and has recommended Amazon. The Motley Fool UK has recommended Diageo, DS Smith, and Prudential. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Simply click below to discover how you can take advantage of this. Edward Sheldon, CFA | Wednesday, 1st January, 2020 | More on: DGE PRU SMDS “This Stock Could Be Like Buying Amazon in 1997” If you’re looking for FTSE 100 dividend stocks to buy and hold for the next decade, it’s worth thinking about long-term revenue drivers. Ideally, you want to invest in companies that are set to benefit from powerful long-term trends.With that in mind, here’s a look at three FTSE 100 dividend-paying companies that I believe are well positioned to profit from dominant structural trends over the next 10 years.5G is here – and shares of this ‘sleeping giant’ could be a great way for you to potentially profit!According to one leading industry firm, the 5G boom could create a global industry worth US$12.3 TRILLION out of thin air…And if you click here we’ll show you something that could be key to unlocking 5G’s full potential…DiageoThe first dividend stock I’d like to highlight is alcoholic beverage champion Diageo (LSE: DGE), which owns an outstanding portfolio of brands including Johnnie Walker, Tanqueray, and Smirnoff.The reason I like Diageo as a long-term buy-and-hold is that the company has significant exposure to the world’s emerging markets. What this means is that the firm is likely to benefit from both rising populations and rising incomes in the years ahead. Indeed, Diageo says that it expects another 550m new legal drinking age consumers across the emerging markets to enter the market by 2030 while it expects an additional 750m consumers to be able to afford international-style spirits by 2030. That’s a considerable number of extra consumers!Diageo isn’t the cheapest stock in the FTSE 100 (forward-looking P/E ratio of around 23) and its yield isn’t that eye-catching either (2.3%). I wouldn’t let these metrics put you off though – this is a high-quality company with a fantastic dividend growth track record.PrudentialNext up, financial services group Prudential (LSE: PRU). What appeals to me about PRU is that, after its recent demerger with M&G, the company is largely focused on the savings and insurance needs of those in Asia.Why is this such a big deal? Simply because incomes across Asia are growing at a rapid rate. Indeed, by 2030, Asia will represent 66% of the global middle-class population, according to projections from the Organisation for Economic Co-operation and Development (OECD), up from around 54% today. This rise in wealth across Asia is likely to create a strong demand for financial services products such as savings accounts and life insurance.Source: Prudential Prudential shares have been a little out of favour recently due to the trade war situation and the protests in Hong Kong. I think this has created an attractive buying opportunity for long-term investors. Currently, the stock’s forward-looking P/E ratio is just 10, and the prospective yield is about 2.8%.DS SmithFinally, check out sustainable packaging specialist DS Smith (LSE: SMDS). It specialises in manufacturing cardboard boxes (the type Amazon deliveries come in).To my mind, DS Smith looks set to benefit from two powerful trends in the years ahead. Firstly, there’s the growth of e-commerce. These days, more and more consumers are shopping online and this is a trend that looks set to continue. According to Statista, global retail e-commerce sales could climb to $6.5trn by 2023, up from around $3.5trn today. This means that demand for packaging is only likely to increase over time.Secondly, there’s the focus on sustainability. Increasingly, consumers are ditching plastics and looking for sustainable packaging solutions. Given that sustainability is at the heart of DS Smith’s philosophy, I see an attractive long-term growth story here.DS Smith shares currently trade on a forward-looking P/E ratio of 11.2 and offer a prospective yield of a healthy 4.3%. Looking at those metrics, I think the stock offers a lot of value right now. I would like to receive emails from you about product information and offers from The Fool and its business partners. Each of these emails will provide a link to unsubscribe from future emails. More information about how The Fool collects, stores, and handles personal data is available in its Privacy Statement. Image source: Getty Images Enter Your Email Addresscenter_img Our 6 ‘Best Buys Now’ Shares Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee. See all posts by Edward Sheldon, CFA Welcome to 2020! Here are 3 FTSE 100 dividend stocks I’d buy and hold for the next decade I’m sure you’ll agree that’s quite the statement from Motley Fool Co-Founder Tom Gardner.But since our US analyst team first recommended shares in this unique tech stock back in 2016, the value has soared.What’s more, we firmly believe there’s still plenty of upside in its future. In fact, even throughout the current coronavirus crisis, its performance has been beating Wall St expectations.And right now, we’re giving you a chance to discover exactly what has got our analysts all fired up about this niche industry phenomenon, in our FREE special report, A Top US Share From The Motley Fool. Click here to claim your copy now — and we’ll tell you the name of this Top US Share… free of charge!last_img

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