Dividend stocks can be wonderful investments. As a group, they have outperformed the broader market over the last 50 years (with a 9.2% average annual total return versus 7.7% from an equal-weighted S 500 index).

And the best returns come from companies that steadily increase their payouts -- 10.2% a year on average.  (NYSE: CVX), Coca-Cola (NYSE: KO), and Medtronic (NYSE: MDT) have elite track records of growing their dividends. Those payouts currently yield over 3% -- double the 1.5% dividend yield on the S 500 -- and should continue rising. Because of that, investors don't need to think twice about buying them this July. 

Chevron currently yields 3.8%. The company has an exceptional track record, increasing its payout annually for 36 straight years, the second-longest streak in the oil patch. It has risen at a 6% compound annual rate over the last 15 years -- and twice as fast as its closest peer over the last five years. 

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Source Fool.com