What makes an outstanding dividend stock? High yields can seem attractive to income seekers, but unless a company has a steady, reliable business, payout cuts are a real possibility no matter how juicy its dividend yield. For those seeking dividend stocks to buy and hold for good, it's best to opt for companies that have proven they can perform relatively well -- and continue raising their dividends -- through economic and market fluctuations.

Medtronic (MDT -0.99%) and Abbott Laboratories (ABT -1.91%) are two such examples in the healthcare industry. Both are leading medical device giants that should continue paying dividends for a long time. Let me explain.

1. Medtronic

Medtronic's business spans several therapeutic areas where it develops and markets medical devices for areas including diabetes care, neuroscience, cardiovascular health, and medical-surgical. The company boasts dozens of products and routinely earns clearance for new ones or more indications for existing ones. Medtronic bagged about 120 approvals in the past 12 months alone.

The company's entrenched position in healthcare (where people's lives are at stake) and innovative abilities explain its consistent financial results.

MDT Revenue (Annual) data by YCharts.

These factors also show Medtronic's ability to remain successful for a long time. Even companies that offer valuable medical products and services -- which are always in high demand -- can go under if they fail to keep up with changing needs and dynamics in the sector. Based on the company's history, that's unlikely to happen. A few years ago, it launched the MiniMed 780G, an innovative insulin pump that can automatically adjust insulin delivery based on patients' glucose levels.

It is currently working on a robotic-assisted surgery device, the Hugo System, for an area that remains deeply underpenetrated. Both of these niches could represent powerful, long-term tailwinds for the company. Furthermore, Medtronic is implementing artificial intelligence (AI) across its business, something that could improve efficiency and boost the bottom line and margins in the long run. Lastly, Medtronic has an impressive dividend history. The company has raised its payouts in the past 47 consecutive years. Just three more years and Medtronic will be a Dividend King.

Its forward yield of 3% is impressive enough. The S&P 500's average is 1.3%. Medtronic's dividend track record, solid business, and growth opportunities make it a company that can remain successful and continue rewarding shareholders for a long time.

2. Abbott Laboratories

Whereas Medtronic is still chasing Dividend King status, Abbott Laboratories is already there. The company has increased its payouts for 52 years straight, and everything points to the healthcare leader maintaining that streak for many more years. Consider Abbott's diversified operations. Though its medical device business is arguably its most important, the company has relied on others, including pharmaceuticals, diagnostics, and nutrition, at various times when sales of its devices fell (such as in the early days of the pandemic).

Even within its medical device segment, Abbott is diversified, with such units as structural heart, heart failure, rhythm management, electrophysiology, etc. Its most important segment, though, remains diabetes care where it markets the FreeStyle Libre, one of the leading franchises of continuous glucose monitoring (CGM) systems on the market. Abbott's management pointed out that the FreeStyle Libre is the most successful medical device of all time in terms of sales, and it is still growing at a good clip.

Expect that to continue since, as the company said last year, only about 1% of adults worldwide have access to CGM technology. Abbott has expanded its reach in this field. Typically, patients (at least in the U.S.) need a prescription for CGM devices, and they are reserved for those with diabetes. Last year, Abbott Labs launched the Lingo, an over-the-counter CGM option for the general population. There will be plenty more room for growth in this and other areas for Abbott.

The company has also been a consistent performer.

ABT Revenue (Annual) data by YCharts.

Returning to Abbott's dividend, the company's forward yield is 1.7%. That's not too impressive, but Abbott Laboratories makes up for it with its strong underlying business and excellent prospects. This, too, is a dividend stock to hold onto for good.