There are not many S&P/ASX 200 Index (ASX: XJO) shares that have a long-term track record of resilient payments. But, there are a few ASX 200 dividend stocks that I think could be particularly good long-term buys.
One of the businesses I want to highlight is APA Group (ASX: APA). I think it's one of the most defensive ASX shares that Australians can buy.
If I had $1,000 to invest in a reliable ASX 200 dividend stock, APA would be one of the top options to consider, along with Washington H. Soul Pattinson and Co. Ltd (ASX: SOL).
Image source: Getty Images
Why APA is a great ASX 200 dividend stock
One of the most appealing things about the business is that it has increased its payout every year since 2004, which is the second-longest streak of annual passive income on the ASX.
Dividend growth isn't guaranteed from any particular business, but it is clear which businesses are making an effort to increase their payouts. If an ASX 200 dividend stock has a history of dividend growth, I think it's likely that the leadership will want to continue that streak.
APA is expecting to increase its FY26 annual payout to 58 cents per security, which translates into a forward distribution yield of 5.8%, at the time of writing.
The business has been able to grow its distribution so consistently because the energy infrastructure business has invested in expanding its portfolio of energy assets. Additionally, most of its revenue is linked to inflation, meaning there's steady organic growth for revenue, net profit and cash flow – those metrics are key for affording its current and future payouts.
APA has a number of plans to help grow its business. One is expanding its gas pipeline network to help take more gas from sources of supply to where it's needed in the country with strong demand.
Additionally, APA is working on a gas power plant in Queensland which help grow and diversify its earnings.
How much we could buy today
At the time of writing and the current APA share price, investors would be able to buy 100 APA shares if they had $1,000 to invest in it.
If someone did invest that much, then they'd receive $58 of annual passive income in the first year. I'm optimistic the business can grow its payout in the years ahead, particularly as it builds out its project pipeline and invests in the occasional acquisition.
While it's not a high-flying growth stock, I think it can be viewed as an attractive idea for the long-term as part of an ASX 200 dividend stock portfolio.
