10 Best Affordable Dividend Stocks to Buy According to Hedge Funds

2. Bank of America Corporation (NYSE:BAC)

Number of Hedge Fund Holders: 113

Forward P/E Ratio as of February 26: 11.88

Bank of America Corporation (NYSE:BAC) is an American financial services company that offers a wide range of related services and products to its consumers. In the fourth quarter of 2024, the company delivered strong financial results, with revenue climbing to $25.3 billion from $22 billion in the same quarter the previous year. Net income more than doubled, reaching $6.7 billion compared to $3.1 billion a year earlier. The bank also continued expanding its customer base, adding 213,000 new consumer checking accounts—extending its streak of quarterly growth to six years. Additionally, it distributed $2 billion to shareholders through dividend payments.

Bank of America Corporation (NYSE:BAC) remains one of the best dividend stocks, having maintained regular dividend payments for 27 consecutive years. The company currently offers a quarterly dividend of $0.26 per share, yielding 2.37% as of February 26.

With a strong presence in retail banking, Bank of America Corporation (NYSE:BAC) serves millions of customers through checking accounts, credit cards, mortgages, and lending services. Its well-established digital banking platform enhances accessibility, while its investment banking and asset management divisions—including Merrill and BofA Securities—provide advisory, trading, and financial planning services.