Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25

Asset Allocation

Position	Category/Sector	Target Weight
BDX Becton, Dickinson and Company	Healthcare	10%
BF-B Brown-Forman Corporation	Consumer Defensive	10%
CLX The Clorox Company	Consumer Defensive	10%
XOM Exxon Mobil Corporation	Energy	10%
MDT Medtronic plc	Healthcare	10%
WST West Pharmaceutical Services, Inc.	Healthcare	10%
AMCR Amcor plc	Consumer Cyclical	10%
PEP PepsiCo, Inc.	Consumer Defensive	10%
NDSN Nordson Corporation	Industrials	10%
KMB Kimberly-Clark Corporation	Consumer Defensive	10%

Benchmark Against

Benchmark

S&P 500 Index

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Performance

Performance Chart

The chart shows the growth of an initial investment of $10,000 in Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25, comparing it to the performance of the S&P 500 index or another benchmark. All prices have been adjusted for splits and dividends. The portfolio is rebalanced Every year.

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Returns By Period

Position	1D	1M	YTD	6M	1Y	3Y*	5Y*	10Y*
Benchmark S&P 500 Index	-2.64%	-0.21%	7.86%	7.47%	23.05%	19.90%	11.79%	13.33%
Portfolio Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25	1.15%	-0.45%	3.66%	1.66%	7.50%	-2.42%	0.77%	—
Portfolio components:
AMCR Amcor plc	1.30%	-2.92%	-5.82%	-5.36%	-11.10%	-3.54%	-4.32%	—
BDX Becton, Dickinson and Company	1.07%	1.16%	-0.29%	0.31%	13.46%	-6.72%	-2.30%	3.09%
BF-B Brown-Forman Corporation	2.75%	-5.49%	1.31%	-13.15%	-3.83%	-23.48%	-18.51%	-2.19%
CLX The Clorox Company	5.03%	2.15%	-4.41%	-8.12%	-22.95%	-12.80%	-9.01%	-0.22%
KMB Kimberly-Clark Corporation	6.28%	2.13%	0.74%	-1.28%	-22.21%	-5.97%	-1.69%	0.86%
MDT Medtronic plc	-0.32%	7.25%	-14.29%	-18.17%	-3.63%	2.50%	-5.14%	2.40%
NDSN Nordson Corporation	-1.31%	-0.28%	17.95%	19.11%	33.49%	9.14%	5.91%	13.55%
PEP PepsiCo, Inc.	0.89%	-7.25%	0.82%	-0.22%	13.46%	-4.61%	2.38%	6.52%
WST West Pharmaceutical Services, Inc.	-0.89%	-3.50%	14.50%	12.42%	40.43%	-2.88%	-0.91%	15.65%
XOM Exxon Mobil Corporation	-1.39%	4.40%	26.26%	30.38%	48.36%	16.01%	24.00%	9.82%

*Multi-year figures are annualized to reflect compound growth (CAGR)

Monthly Returns

Based on dividend-adjusted daily data since Jun 12, 2019, Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25's average daily return is +0.03%, while the average monthly return is +0.51%. At this rate, an investment would double in approximately 11.4 years.

Historically, 58% of months were positive and 42% were negative. The best month was Apr 2020 with a return of +13.0%, while the worst month was Feb 2020 at -9.4%. The longest winning streak lasted 8 consecutive months, and the longest losing streak was 5 months.

On a daily basis, Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25 closed higher 53% of trading days. The best single day was Mar 17, 2020 with a return of +9.6%, while the worst single day was Mar 12, 2020 at -9.1%.

	Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec	Total
2026	5.82%	8.13%	-8.44%	-0.60%	-2.02%	1.61%							3.66%
2025	1.89%	-2.49%	-0.67%	-6.20%	-1.38%	-1.80%	3.06%	2.47%	-0.89%	-0.88%	3.56%	-2.78%	-6.36%
2024	0.38%	0.92%	3.95%	-3.56%	-2.10%	-0.89%	1.95%	5.41%	0.82%	-2.89%	0.56%	-6.80%	-2.84%
2023	2.44%	-0.47%	3.28%	4.61%	-7.02%	7.06%	-0.17%	-0.14%	-6.61%	-6.87%	6.55%	1.74%	3.06%
2022	-1.40%	-1.91%	1.20%	-0.99%	2.41%	-3.82%	5.70%	-2.61%	-9.25%	10.44%	3.24%	-2.06%	-0.42%
2021	-1.93%	0.07%	3.75%	4.17%	1.38%	0.94%	2.22%	1.84%	-2.60%	2.44%	-1.82%	5.00%	16.21%

Benchmark Metrics

Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25 has an annualized alpha of -3.34%, beta of 0.65, and R2 of 0.56 versus S&P 500 Index. Calculated based on daily prices since June 12, 2019.

This portfolio participated in 78.44% of S&P 500 Index downside but only 52.55% of its upside - more exposed to losses than it benefited from rallies.
This portfolio had an annualized alpha of -3.34% versus S&P 500 Index - delivering less than market exposure alone would predict.
Beta of 0.65 indicates this portfolio moves significantly less than S&P 500 Index - a genuinely defensive profile with reduced participation in both market rallies and downturns.

Alpha: -3.34%

Beta: 0.65

R²: 0.56

Upside Capture: 52.55%

Downside Capture: 78.44%

Expense Ratio

Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25 has an expense ratio of 0.00%, meaning no management fees are charged. Below, you can find the expense ratios of the portfolio's funds side by side and easily compare their relative costs.

The portfolio doesn't include any funds that charge management fees.

Return for Risk

Risk / Return Rank

Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25 ranks 8 for risk / return — in the bottom 8% of Portfolios on our site. This means you're taking on significantly more risk than the returns justify. Consider whether the potential upside is worth the volatility, or explore alternatives with better risk / return profiles.

Overall Rank

Sharpe Ratio Rank

Sortino Ratio Rank

Omega Ratio Rank

Calmar Ratio Rank

Martin Ratio Rank

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

Return / Risk — by metrics

The table below presents risk-adjusted performance metrics for Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25 and compares them with S&P 500 Index.

	Portfolio	Benchmark	Difference
Sharpe ratioReturn per unit of total volatility	0.58	2.01	-1.43
Sortino ratioReturn per unit of downside risk	0.93	2.71	-1.78
Omega ratioGain probability vs. loss probability	1.11	1.36	-0.26
Calmar ratioReturn relative to maximum drawdown	0.71	2.69	-1.98
Martin ratioReturn relative to average drawdown	1.60	12.34	-10.74
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

How much return does each position deliver for the risk it carries? Higher values mean better reward for the risk taken.

Position	Risk / Return Rank	Sharpe ratio	Sortino ratio	Omega ratio	Calmar ratio	Martin ratio
AMCR Amcor plc	27	-0.34	-0.27	0.96	-0.39	-0.71
BDX Becton, Dickinson and Company	59	0.61	1.19	1.13	0.67	1.60
BF-B Brown-Forman Corporation	39	-0.02	0.25	1.03	-0.03	-0.07
CLX The Clorox Company	11	-0.82	-1.01	0.88	-0.72	-1.50
KMB Kimberly-Clark Corporation	11	-0.88	-1.07	0.84	-0.76	-1.18
MDT Medtronic plc	34	-0.15	-0.08	0.99	-0.11	-0.28
NDSN Nordson Corporation	82	1.65	2.43	1.28	2.43	7.83
PEP PepsiCo, Inc.	60	0.64	1.13	1.13	0.85	2.29
WST West Pharmaceutical Services, Inc.	74	1.08	2.09	1.25	1.80	3.61
XOM Exxon Mobil Corporation	87	2.13	2.70	1.35	3.33	9.35

Sharpe Ratio

The Sharpe ratio helps investors understand how much return they're getting for the level of risk taken. A higher Sharpe ratio indicates better risk-adjusted performance, meaning more reward for each unit of risk.

Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25 Sharpe ratios as of Jun 6, 2026 (values are recalculated daily):

1-Year: 0.58
5-Year: 0.05
All Time: 0.31

These values reflect how efficiently the investment has delivered returns relative to its volatility over different time periods. All figures are annualized and based on daily total returns (including price changes and dividends).

Compared to the broad market, where average Sharpe ratios range from 1.64 to 2.53, this portfolio's current Sharpe ratio places it in the bottom 25%. This suggests weaker risk-adjusted returns than most portfolios, possibly due to lower returns, higher volatility, or both. It may be worth reviewing the allocation. You can use the Portfolio Optimization tool to explore options for improving the Sharpe ratio.

The chart below shows the rolling Sharpe ratio of Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25 compared to the selected benchmark. This view highlights how the investment's risk-adjusted performance has changed over time.

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Dividends

Dividend yield

Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25 provided a 3.47% dividend yield over the last twelve months.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
Portfolio	3.47%	3.38%	2.79%	2.65%	2.38%	2.48%	2.55%	2.08%	2.22%	1.77%	1.90%	1.86%
Portfolio components:
AMCR Amcor plc	6.79%	6.15%	5.34%	5.11%	4.05%	3.93%	3.93%	2.17%	0.00%	0.00%	0.00%	0.00%
BDX Becton, Dickinson and Company	2.32%	2.15%	1.71%	1.51%	1.38%	1.34%	1.28%	1.14%	1.34%	1.37%	1.64%	1.60%
BF-B Brown-Forman Corporation	3.50%	3.49%	2.32%	1.46%	1.17%	2.37%	0.88%	0.99%	3.10%	1.09%	1.54%	1.29%
CLX The Clorox Company	5.27%	4.88%	2.98%	3.34%	3.33%	2.60%	2.15%	2.63%	2.41%	2.21%	2.62%	2.38%
KMB Kimberly-Clark Corporation	5.13%	5.00%	3.72%	3.88%	3.42%	3.19%	3.17%	3.00%	3.51%	3.22%	3.22%	2.77%
MDT Medtronic plc	3.48%	2.95%	3.49%	3.34%	3.44%	2.39%	1.95%	1.87%	2.15%	2.24%	2.34%	1.88%
NDSN Nordson Corporation	1.15%	1.66%	1.02%	1.01%	0.98%	0.71%	0.77%	0.90%	1.09%	0.78%	0.91%	1.43%
PEP PepsiCo, Inc.	4.05%	3.92%	3.51%	2.91%	2.50%	2.45%	2.71%	2.77%	3.25%	2.64%	2.83%	2.76%
WST West Pharmaceutical Services, Inc.	0.28%	0.31%	0.25%	0.22%	0.31%	0.15%	0.23%	0.41%	0.58%	0.54%	0.58%	0.75%
XOM Exxon Mobil Corporation	2.72%	3.32%	3.57%	3.68%	3.22%	5.70%	8.44%	4.92%	4.74%	3.66%	3.30%	3.69%

Drawdowns

Drawdowns Chart

The Drawdowns chart displays portfolio losses from any high point along the way. Drawdowns are calculated considering price movements and all distributions paid, if any.

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Worst Drawdowns

The table below displays the maximum drawdowns of the Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25. A maximum drawdown is a measure of risk, indicating the largest reduction in portfolio value due to a series of losing trades.

The maximum drawdown for the Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25 was 29.54%, occurring on Mar 23, 2020. Recovery took 50 trading sessions.

The current Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25 drawdown is 12.17%.

Related event	Drawdown	Fall	Recovery	Underwater
COVID crash2020	-29.54%Mar 2020	1mo 16d	2mo 12d	3mo 28dFeb 2020 - Jun 2020
2025 selloff2025	-20.22%Apr 2025	5mo 19d	—	1y 7moOct 2024 - now
2023 correction2023	-14.81%Oct 2023	3mo 2d	11mo 23d	1y 2moJul 2023 - Oct 2024
Bear market2022	-13.97%Sep 2022	1mo 14d	4mo 19d	6mo 3dAug 2022 - Feb 2023
Bear market2022	-10.25%Jun 2022	2mo 7d	1mo 12d	3mo 19dApr 2022 - Jul 2022

Volatility

Volatility Chart

The chart below shows the rolling one-month volatility.

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Diversification

Diversification Metrics

Number of Effective Assets

The portfolio contains 10 assets, with an effective number of assets of 10.00, reflecting the diversification based on asset allocation. Your capital is spread almost evenly across your holdings, indicating a well-balanced allocation. Note that true diversification also depends on the correlations between assets — check the diversification ratio below.

Diversification Ratio

	1Y	3Y	5Y	All Time
Diversification Ratio	1.78	1.79	1.72	1.59

The portfolio has a diversification ratio of 1.59, in line with the typical range across portfolios. There's room to improve by adding less correlated assets.

Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25 correlation to the S&P 500 Index

Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25 has a 0.26 correlation to S&P 500 Index over the trailing 12 months. This section compares each holding's correlation to the benchmark and to the portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.26
Correlation (3Y) Calculated over the trailing 3-year period	0.39
Correlation (5Y) Calculated over the trailing 5-year period	0.55
Correlation (All Time) Calculated using the full available price history since Jun 12, 2019	0.61

Benchmark Correlations

Correlation vs. S&P 500 Index. NDSN has the highest benchmark correlation at 0.64, while CLX has the lowest at 0.18.

0.18

0.23

0.33

0.35

0.39

0.40

0.49

0.50

0.51

0.64

Portfolio Correlations

Correlation vs. Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25. AMCR has the highest portfolio correlation at 0.67, while XOM has the lowest at 0.43.

0.43

0.51

0.56

0.60

0.63

0.65

0.65

0.66

0.67

0.67

Asset Correlations Table

The table below displays the correlation coefficients between the individual components of the portfolio, the entire portfolio, and the chosen benchmark.

	XOM	CLX	WST	KMB	BDX	BF-B	MDT	PEP	NDSN	AMCR
XOM	1.00	0.01	0.09	0.07	0.17	0.22	0.26	0.18	0.30	0.30
CLX	0.01	1.00	0.21	0.60	0.29	0.33	0.21	0.46	0.21	0.29
WST	0.09	0.21	1.00	0.19	0.42	0.29	0.37	0.28	0.46	0.33
KMB	0.07	0.60	0.19	1.00	0.33	0.42	0.33	0.58	0.25	0.37
BDX	0.17	0.29	0.42	0.33	1.00	0.37	0.50	0.41	0.38	0.38
BF-B	0.22	0.33	0.29	0.42	0.37	1.00	0.43	0.54	0.42	0.42
MDT	0.26	0.21	0.37	0.33	0.50	0.43	1.00	0.42	0.43	0.42
PEP	0.18	0.46	0.28	0.58	0.41	0.54	0.42	1.00	0.31	0.40
NDSN	0.30	0.21	0.46	0.25	0.38	0.42	0.43	0.31	1.00	0.55
AMCR	0.30	0.29	0.33	0.37	0.38	0.42	0.42	0.40	0.55	1.00

The correlation results are calculated based on daily price changes starting from Jun 12, 2019

Diversification Analysis

Find what Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25 is missing

See which holdings overlap, where Morningstar - 10 Best Dividend Aristocrats to Buy Now - 7/31/25 is concentrated, and which low-correlation assets could fill the gaps.

Analyze Diversification