Wall Street’s favorite momentum plays have hit a wall, and Dividend Aristocrat stocks like Roper Technologies (NASDAQ:ROP), Genuine Parts Co (NYSE:GPC), and FactSet Research Systems (NYSE:FDS) could be the biggest beneficiaries.
After three consecutive years of double-digit gains, the S&P 500 is down 2% so far into 2026, weighed down by tariff uncertainty, a wobbly labor market, and the looming shadow of midterm elections. Since 1957, the S&P 500 has entered correction territory in roughly 70% of midterm election years, and the average intra-year drawdown during these cycles is about 18%.
Smart investors are now quickly rotating their growth and tech gains into dividend stocks, especially those with very high yields. That said, there are some dividend stocks in the middle that have been left out. Divided Aristocrat stocks aren’t always boring plays that trade sideways and give you a 4% yield in compensation. There are many that have impressive growth rates whose dividends have lagged behind the business’s expansion.
Some of these Dividend Aristocrat stocks have been excessively punished, and I see them rebounding in earnest.
Roper Technologies (ROP)
Roper sells software for a variety of defensible niche markets. It makes the boring but essential software that always finds demand, and for most of its history, the stock has been very dependable.
ROP stock has declined significantly after the company’s full-year 2026 guidance. Management expects revenue growth of only “approximately 8%,” against Wall Street’s expectation of around 9%, and guided adjusted earnings per share of $21.30-$21.55 against the analyst consensus of $21.65.
Worse, Q1 2026 EPS guidance range of $4.95-$5.00 came in below the Street’s estimate of $5.18.
But does all of this warrant a 40% dive below its high? I don’t think so.
I believe ROP stock has bottomed out or is close to bottoming out. Revenue has climbed from $4.7 billion in 2019 to $7.9 billion in 2025. Profits have been more muted, but it is still $200 million higher than where it was two years ago.
It trades at just 16 times forward earnings now. Analysts see nearly 8% annual revenue and EPS growth in the coming years, and for a software Dividend Aristocrat stock, that warrants a higher premium.
Keep in mind that the broader S&P 500 software index is down by a quarter since October 2025, so Roper is not an outlier.
The dividend yield is a little above 1%, but only a small percentage of Roper’s earnings go into dividends.
Genuine Parts Co (GPC)
Genuine Parts is an automotive and industrial replacement parts company. I see plenty of upside here as the stock recovers from a 45% plunge from its peak in 2022. The stock is trading near $102, which is the exact floor price it rebounded from last year.
Analysts see stronger demand in the years ahead with 8.6% annual EPS growth. These estimates could end up being proven wrong due to the demand climbing fast. Once interest rates come down, I see significant gains. Of course, I don’t expect immediate rate cuts due to higher oil prices, but I expect rates to come down to 2% or below in the next 24 months.
Once that happens, both automotive and industrial demand will reignite, and growth rates could soar into the double digits. Automotive parts demand is growing organically regardless of interest rates, as the average civilian car on the road is almost 13 years old.
This is a Dividend Aristocrat stock with 69 consecutive years of dividend growth and a forward dividend yield of 4.09%. The payout ratio is still 55.83%, so there’s a lot of potential for outperformance with GPC. You’re paying just 13 times forward earnings.
FactSet Research Systems (FDS)
FactSet has long been a Wall Street mainstay, but it fell by over 56% from December 2024 due to the fear that artificial intelligence would commoditize financial data.
It issued fiscal 2026 EPS guidance of $16.90-$17.60 per share, with the midpoint landing below the average analyst estimate of $18.27. The market punished that immediately. Then again, in December 2025, even after a genuinely solid Q1 2026 beat (revenue up 6.9% to $608 million, EPS of $4.51 versus the $4.36 consensus), the stock fell more because the full-year outlook still underwhelmed.
If we were back in 2019, these earnings would’ve produced a reaction, but not an overreaction like the one we’re looking at now. FactSet is navigating through pressure and remains a highly profitable company, and the selloff has turned it into a bargain.
Revenue has kept on climbing and was just $1.44 billion in 2019. Revenue has grown by nearly a billion since, with net income more than doubling from 2018 levels.
The margins have declined, but the broader growth of the financial industry has kept this company relevant and will keep it relevant. AI hallucinates, and you’ll always need companies like FactSet to produce data that can be trusted and isn’t spat out of an LLM.
You can buy this Dividend Aristocrat stock for less than 12 times forward earnings. Historically, FDS stock has traded at over 33 times earnings.
The dividend yield is now 2.1% with a payout ratio of just 25%. I see plenty of gains as the market realizes how deep-rooted FactSet is.