In this article, we will analyze the list of the best beaten down dividend stocks.
Dividend stocks have faced challenges over the past year due to the rising focus on tech stocks. However, the value of income remains strong, and investors haven’t overlooked dividend equities. As a result, US companies are now more focused on dividends, offering substantial payouts to shareholders. In fact, many tech companies have begun issuing dividends this year, thanks to strong cash flow on their balance sheets. While they could reinvest in growth, sharing profits with shareholders has become an appealing strategy to attract investors.
Also read: 10 Stocks that Pay Dividends Monthly
This means that with the changing market dynamics, high-quality companies with strong balance sheets that are trading at lower multiples have become more appealing. Dividend stocks often fall into this category, as they typically have stable business models and cash flows that allow them to consistently return earnings to investors. Dan Lefkovitz, a strategist for Morningstar Indexes, also highlighted this in the firm’s latest report:
“Investing in dividend-paying stocks is a good way to participate in equities over the long term. There have been long stretches when the dividend-paying section of the market has outperformed. Eventually, they’ll come back into favor. Dividend-paying stocks have a value bias. To the extent that there’s a rotation away from technology and growth into the value side of the market and more old economy sectors, that’s going to benefit the dividend-paying portion of the market.”
Another factor influencing the market trends is the Fed’s anticipated rate cuts. Investors believe the Fed is likely to start lowering interest rates in September, marking the beginning of a new easing cycle after one of its most aggressive tightening phases. The central bank began raising rates in March 2022 in response to soaring inflation, and they’ve remained at restrictive levels since July 2023. According to popular belief, dividend investors might benefit as rates decline. Lower rates can reduce bond yields, making dividend yields more appealing by comparison. In addition, companies with higher debt, such as utility companies and REITs, often benefit from falling rates and are typically among dividend payers.
If we set aside the impact of interest rates on dividend stocks, it becomes clear that they have made a substantial contribution regardless of market conditions. According to a study by S&P Dow Jones Indices, from 1926 to July 2023, dividends accounted for 32% of the broader market’s monthly total return, with the rest coming from capital appreciation. The report also underscored the power of compounding dividends. Without dividends, an initial investment in the stock market on January 1, 1930, would have grown to $214 by July 2023. However, with dividends reinvested, that same investment would have soared to $7,219 over the same period.
While there are encouraging signs for dividend stocks, they have struggled to keep pace with the broader market this year. The Dividend Aristocrats Index, which tracks the performance of companies with at least 25 consecutive years of dividend growth, has gained nearly 9% in 2024, compared with over 16.5% return of the broader market. With this, we will take a look at some of the best beaten down dividend stocks to invest in.
Photo by lucas Favre on Unsplash
Our Methodology:
To compile this list, we began by examining stocks that have experienced a decline from their peak prices within the past three years. From this pool, we selected 10 dividend-paying stocks that have witnessed a drop of 25% or greater in their share prices over these three years. The rankings within the list are based on the extent of the decrease in share prices from their three-year highs to their current levels, with the list arranged in ascending order of these declines as of August 30, 2024.
We also measured hedge fund sentiment around each stock according to Insider Monkey’s database of 912 funds as of Q2 2024. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points. (see more details here).
10. American Tower Corporation (NYSE:AMT)
3-year high-to-low share price decrease as of August 30: 25.99%
American Tower Corporation (NYSE:AMT) is an American real estate investment trust company that specializes in wireless and broadcast communications infrastructure in several countries. The company has struggled in the recent past because of high interest rates, leading to a drop of nearly 26% from its 2021 peak. In addition, the company is burdened with substantial debt, totaling $47.4 billion in the latest quarter. Its debt-to-equity ratio is also significantly high at 4.5. If high interest rates persist, it could have a negative impact on the company’s performance.
That said, analysts are expecting rates cut in September, which would benefit American Tower Corporation (NYSE:AMT). Moreover, the company has reported strong earnings in the second quarter of 2024. Its revenue for the quarter came in at $2.9 billion, which showed a 4.6% growth from the same period last year. The company’s net income also increased significantly by 96.8% to $908 million. Being a dividend payer, it maintains a solid balance sheet. The company ended the quarter with $9.2 billion in total liquidity and $2.5 billion available in cash and cash equivalents.
Despite the ongoing challenges posed by high interest rates, income investors can feel reassured about American Tower Corporation (NYSE:AMT)’s payout due to its stable cash flow. Although the dividend was slightly reduced in March, that risk has now passed, as the company’s cash flows are secure for this quarter. Its operating cash flow came in at $1.33 billion and free cash flow amounted to over $1 billion, showing 10.7% and 27.5% YoY growth, respectively. The company pays a quarterly dividend of $1.62 per share and has a dividend yield of 2.89%, as of August 30. It is one of the best dividend stocks grabbing investors’ attention despite reporting negative returns.
The number of hedge funds tracked by Insider Monkey owning stakes in American Tower Corporation (NYSE:AMT) grew to 63 in Q2 2024, from 56 in the previous quarter. These stakes are collectively valued at nearly $3 billion. With over 6 million shares, Akre Capital Management was the company’s leading stakeholder in Q2.
9. Bristol-Myers Squibb Company (NYSE:BMY)
3-year high-to-low share price decrease as of August 30: 38.7%
Bristol-Myers Squibb Company (NYSE:BMY) is a New York-based pharmaceutical industry company that offers innovative medicines and therapies to patients with serious illnesses. Over the past five years, the stock’s performance has been lackluster, largely due to significant patent expirations. The most notable is Revlimid, a once top-selling cancer drug, which has lost its patent protection. Earlier this year, BMY finalized a $14 billion acquisition of Karuna Therapeutics and its experimental psychosis treatment, KarXT. However, the stock has dropped because the company took a $12.9 billion charge for in-process research and development in the first quarter, linked to this acquisition.
The approval decision for KarXT is expected in September, and even if the deal doesn’t go through, Bristol-Myers Squibb Company (NYSE:BMY) still has solid growth potential. In the second quarter of 2024, the company reported revenue of $12.2 billion, which saw a 9% growth from the same period last year. Its Growth and Legacy portfolios resulted in US revenues growing by 13% on a YoY basis to $8.8 billion. The company’s development pipeline includes five experimental drugs currently in late-stage clinical trials. With numerous potential growth drivers ahead and several already in the commercial phase, the company is well-positioned to sustain steady cash flow generation.
Ariel Investments highlighted the company’s new product launches in its Q4 2023 investor letter. Here is what the firm has to say about Bristol-Myers Squibb Company (NYSE:BMY):
“Biopharmaceutical company, Bristol-Myers Squibb Company (NYSE:BMY), also underperformed in the quarter on mixed earnings results and a reduction in guidance due to a delay across several new product launches. Although the company’s mid- to long-term targets remain intact, management expects a transition period before the company returns to top-tier growth. In our view, many of the new drugs represent either the first-in-class (the first molecule approved by the FDA) or best efficacy opportunities and believe the new product portfolio should outperform expectations over time. Meanwhile, management remains bullish on its maturing pipeline and reaffirmed it will continue to seek business development through bolt-on acquisitions and licensing deals.”
Bristol-Myers Squibb Company (NYSE:BMY) is a strong dividend payer with 18 consecutive years of dividend growth under its belt. The company’s cash reserves suggest the potential for additional dividend increases. Its trailing twelve-month operating cash flow comes in at $14.1 billion and a levered free cash flow is $15.7 billion. Currently, the company pays a quarterly dividend of $0.60 per share and has a dividend yield of 4.80%, as of August 30.
At the end of Q2 2024, 61 hedge funds tracked by Insider Monkey held stakes in Bristol-Myers Squibb Company (NYSE:BMY), up from 57 in the previous quarter. These stakes have a total value of more than $2.5 billion.
8. Hormel Foods Corporation (NYSE:HRL)
3-year high-to-low share price decrease as of August 30: 39.5%
Hormel Foods Corporation (NYSE:HRL) is one of the best dividend stocks that is currently facing business headwinds. The American food processing company specializes in marketing and production of a wide range of consumer-branded food and meat products. In the past 12 months, the stock has fallen by nearly 18%.
Hormel Foods Corporation (NYSE:HRL) is struggling to pass on rising costs to its customers, a challenge that its competitors don’t seem to face. In addition, its turkey operations have been severely impacted by avian flu outbreaks. The company reported declines on many fronts in the first quarter of 2024. Its revenue fell by 3% on a YoY basis at $2.9 billion and its operating income also dropped to $252 million, from $296 million in the same period last year. However, the company’s volumes provided some relief for investors, with its food service volumes notably rising by 2.9% compared to the same period last year.
When we look at the performance of Hormel Foods Corporation (NYSE:HRL) for the first half of the year, it doesn’t look too bad, especially when taking its cash flows into account. This period for the company was strong, with consecutive quarters of earnings surpassing expectations and a significant boost in operating cash flows. The company also made strides in its strategic initiatives and is on course to achieve its goals of enhancing business performance and driving long-term growth and returns for shareholders. So far this year, it has generated over $640 million in operating cash flow, representing a 55% increase from the same period last year.
The strong cash flows have enabled Hormel Foods Corporation (NYSE:HRL) to increase its dividends for 50 consecutive years, a significant achievement that’s not easy to accomplish. The company’s quarterly dividend comes in at $0.2825 per share and has a dividend yield of 3.47%, as of August 30.
Of the 912 hedge funds tracked by Insider Monkey at the end of Q2 2024, 31 funds held investments in Hormel Foods Corporation (NYSE:HRL), growing from 27 in the preceding quarter. These stakes have a consolidated value of nearly $714 million. Among these hedge funds, Citadel Investment Group was the company’s leading stakeholder in Q2.
7. CVS Health Corporation (NYSE:CVS)
3-year high-to-low share price decrease as of August 30: 47.8%
CVS Health Corporation (NYSE:CVS) is an American healthcare company that operates a retail pharmacy chain. The stock has fallen by over 29% since the start of 2024 as the company could not satisfy investors with its quarterly earnings this year. The company, in its Q2 2024 results, lowered its earnings forecast for the full year, because of the challenges in its Health Care Benefits segment, which includes its insurance division, Aetna. This marks the second time it has reduced its 2024 forecast. The company had previously lowered its guidance following its Q1 results for the same reason.
While investors are displeased with this decision, CVS Health Corporation (NYSE:CVS) had a significant reason for the revised outlook: rising medical costs. As things gradually return to normal, surgeries that were delayed or impossible due to COVID-19 are now being scheduled again, leading to an increase in expenses. This was also highlighted by Ariel Investments in its Q2 2024 investor letter. Here is what the firm has to say:
“American healthcare company, CVS Health Corporation (NYSE:CVS), also declined following disappointing earnings results and a subsequent reduction in full year guidance. The miss was primarily due to increased utilization of Medicare Advantage plans and weakness in the health services segment driven by the loss of a large client and continued pharmacy client price improvements. In response, management reiterated its focus on improving margins and enhancing its positioning in Medicare Advantage. CVS believes the program can remain an attractive business for Aetna and CVS Health over time and will construct its bid for 2025 as a multi-year repricing opportunity across plan level benefits. Meanwhile, CVS continues to return capital to shareholders through dividends and a recent accelerated share repurchase transaction.”
That said, CVS Health Corporation (NYSE:CVS) believes that it is well-positioned for success both now and in the future. It is accelerating innovation by implementing more transparent pharmacy reimbursement models, increasing the adoption of biosimilars, and enhancing patient outcomes through its connected healthcare delivery assets. Its integrated model and strategic approach enable it to perform effectively in a challenging environment, delivering the value its customers expect. In the second quarter of 2024, the company reported revenue of $91.2 billion, which showed a 2.6% growth from the same period last year.
CVS Health Corporation (NYSE:CVS) also cut its guidance for operating cash flow to $9 billion from $10.5 billion in the previous quarter. Despite this reduced guidance, its strong cash position is noteworthy, particularly when considering dividends. In the first six months of the year, the company generated $8 billion in operating cash flow. Its trailing twelve-month levered free cash flow came in at $5.58 billion. The company offers a quarterly dividend of $0.665 per share and has a dividend yield of 4.65%, as of August 30.
As of the close of Q2 2024, 60 hedge funds in Insider Monkey’s database held stakes in CVS Health Corporation (NYSE:CVS), down from 54 in the previous quarter. These stakes have a total value of over $2.77 billion. With nearly 13 million shares, Pzena Investment Management was the company’s leading stakeholder in Q2.
6. UGI Corporation (NYSE:UGI)
3-year high-to-low share price decrease as of August 30: 48.8%
UGI Corporation (NYSE:UGI) is a Pennsylvania-based natural gas and electric power distribution company that offers safe, reliable, and affordable energy to its consumers. The company owns AmeriGas, the largest propane marketer in the US. The European propane market has been volatile, leading to an oversupply and decreased demand in the heating sector. The company also runs an LPG distribution business across 16 European countries under six well-known brands. This has led to the company encountering difficulties in the market. As a result, propane prices have fallen by nearly 20%, now sitting below levels from two years ago. AmeriGas Propane, its LPG division, reported $445 million in revenue for fiscal Q3 2024, down from $514 million during the same period last year.
UGI Corporation (NYSE:UGI) also reported a nearly 17% YoY decline in its revenue in fiscal Q3 2024 at $1.38 billion. These recent headwinds have not distracted the company from achieving its long-term goals. The company is actively tackling the current challenges by leveraging all available resources. The board has chosen to focus on restructuring and improving operations at AmeriGas. This approach emphasizes retaining customers, boosting free cash flow, managing costs effectively, and maintaining disciplined capital allocation. The company has also set a plan to distribute $1.3 billion in shareholder returns from fiscal 2024 through 2027.
First Pacific Advisors also mentioned reasons to invest in UGI Corporation (NYSE:UGI) in its Q1 2024 investor letter. Here is what the firm said:
“UGI Corporation (NYSE:UGI) owns gas utilities and pipelines in Pennsylvania and West Virginia and the largest propane distribution businesses in the United States and Europe. Despite its disparate parts, UGI has increased consolidated earnings at a relatively steady high- single-digit rate while distributing excess cash through dividends. UGI’s share price has declined because of a combination of poor execution and too much debt at AmeriGas, UGI’s U.S. propane business. On August 30, 2023 UGI announced a review of strategic alternatives. We believe the company’s stock price is attractive at less than 10x earnings, and we have been incrementally adding to the Fund’s position.”
UGI Corporation (NYSE:UGI), one of the best dividend stocks on our list, has been growing its dividends consistently for the past 37 years. The company pays a quarterly dividend of $0.375 per share and has an impressive dividend yield of 6.02%, as of August 30.
UGI Corporation (NYSE:UGI) was a part of 32 hedge fund portfolios at the end of Q2 2024, up from 29 in the previous quarter, as per Insider Monkey’s database. The stakes owned by these hedge funds have a consolidated value of over $310.6 million.
5. Pfizer Inc. (NYSE:PFE)
3-year high-to-low share price decrease as of August 30: 51.7%
An American multinational pharmaceutical and biotech company, Pfizer Inc. (NYSE:PFE) ranks fifth on our list of the best beaten down dividend stocks. The stock is down by 18% in the past 12 months. The company’s recent performance has been closely tied to the success of its coronavirus vaccine, Comirnaty. In 2022, the vaccine helped generate over $100 billion in revenue, the highest in the company’s history. However, the demand for the vaccine hasn’t materialized after the pandemic years. Comirnaty sales in the second quarter of 2024 were only $195 million, a sharp 87% decline from the previous year, with no signs of a rebound expected.
According to analysts, if this specific factor is overlooked, Pfizer Inc. (NYSE:PFE) still has a strong potential for success, as reflected in its quarterly earnings. In the second quarter of 2024, the company reported $13.3 billion in revenue, a 4.3% increase compared to the same period last year. In addition, a robust 14% rise in operational revenue from non-COVID products during the second quarter demonstrated the company’s continued focus on effective commercial execution. Parnassus Investments also mentioned various reasons to add PFE to income portfolios, despite its recent underperformance. Here is what the firm has to say about the company in its Q1 2024 investor letter:
“During the quarter, we added new positions in Pfizer Inc. (NYSE:PFE), NICE and Charter Communications. We purchased Pfizer to capture the potential upside from any turnaround following the COVID-induced boom-bust cycle of the last few years. Pfizer’s stock price sank by more than 40% in 2023 as COVID-19 vaccine revenues rolled off, providing an attractive entry point for us. The company completed its acquisition of Seagen, which should strengthen Pfizer’s pipeline in antibody-drug conjugates (ADC). Pfizer also offers an attractive dividend yield.”
As mentioned in this investor letter, Pfizer Inc. (NYSE:PFE)’s dividend makes it an attractive investment among shareholders. The company has never missed a dividend in 85 years and maintains a 14-year track record of consistent dividend growth. It also remained committed to its shareholder obligation, returning $4.8 billion to investors through dividends in the first six months of 2024. Its quarterly dividend currently comes in at $0.42 per share for a dividend yield of 5.79%, as of August 30.
Pfizer Inc. (NYSE:PFE) was also popular among elite money managers, as hedge fund positions in the company jumped to 84 in Q2 2024, from 77 in the preceding quarter, as per Insider Monkey’s database. The stakes held by these hedge funds have a total value of more than $3.6 billion. Among these hedge funds, Ken Griffin’s Citadel Investment Group was the company’s leading stakeholder in Q2.
4. Nutrien Ltd. (NYSE:NTR)
3-year high-to-low share price decrease as of August 30: 53.9%
Nutrien Ltd. (NYSE:NTR) is a Canadian fertilizer company and is also one of the largest producers of potash in the world. The stock is down by nearly 54% from its three-year high mainly because of rising inflation. Moreover, fluctuating commodity prices and rising production costs have significantly impacted the company’s declining performance. In the second quarter of 2024, the company generated over $9.9 billion in revenues, which fell by 13% from the same period last year. The revenue also missed analysts’ consensus by $817 million.
Despite these challenges, Nutrien Ltd. (NYSE:NTR) has shown confidence in its operations throughout the quarter. The company benefited from improved retail margins, increased fertilizer sales volumes, and lower operating costs during the first half of 2024. With strong demand for crop inputs, Nutrien raised its full-year forecast for global potash demand, backed by strong engagement in all major markets. Although the company has $13.37 billion in debt as of the most recent quarter with a debt-to-equity ratio of 0.53, this shouldn’t worry income investors, as its cash generation remains strong. In the second quarter of 2024, the company reported $1.8 billion in operating cash flow and distributed $266 million to shareholders through dividends.
Nutrien Ltd. (NYSE:NTR), one of the best dividend stocks, has raised its payouts for five years in a row. The company offers a quarterly dividend of $0.54 per share and has a dividend yield of 4.55%, as of August 30.
According to Insider Monkey’s database of Q2 2024, 35 hedge funds held stakes in Nutrien Ltd. (NYSE:NTR), up from 33 in the previous quarter. Their total stake value is more than $386.4 million. With over 9.4 million shares, First Eagle Investment Management was the company’s largest stakeholder in Q2.
3. NextEra Energy Partners, LP (NYSE:NEP)
3-year high-to-low share price decrease as of August 30: 71.1%
NextEra Energy Partners, LP (NYSE:NEP) is an American master limited partnership (MLP), based in Florida. The company mainly focuses on the acquisition of clean energy projects. The company is encountering challenges with its convertible equity portfolio financings (CEPF) used to fund acquisitions and meet its dividend goals. Analysts anticipate a possible dividend reduction. They believe that the company needs to secure a private capital solution to rebuild confidence in its ability to grow and sustain its distribution over the long term. The stock is down by over 19% since the start of 2024 and in the past 12 months, it has fallen significantly by over 48%.
Another factor contributing to expectations of a dividend cut is that NextEra Energy Partners, LP (NYSE:NEP) has lowered its dividend growth rate to 5% to 8% annually with a goal of 6% per year, from the previous rate of 12% to 15%. However, NEP can still be considered a strong dividend payer, as even its revised dividend growth rate remains impressive for a high-yield stock.
On July 24, NextEra Energy Partners, LP (NYSE:NEP) declared a 1.4% hike in its quarterly dividend to $0.905 per share. The company has been growing its dividends consistently every quarter since 2015, which makes NEP one of the best dividend stocks. Its strong cash generation is a key factor behind its consistent dividend growth. In the second quarter of 2024, the company’s cash available for distribution (CAFD) grew to $220 million, from $200 million in the same period last year. In the first six months of the year, its operating cash flow rose to $309 million, from $296 million in the prior-year period. The stock’s dividend yield on August 30 came in at 14.49%.
Insider Monkey’s database of Q2 2024 indicated that 20 hedge funds held stakes in NextEra Energy Partners, LP (NYSE:NEP), up from 18 in the previous quarter. These stakes have a consolidated value of over $71 million.
2. Leggett & Platt, Incorporated (NYSE:LEG)
3-year high-to-low share price decrease as of August 30: 73.2%
Leggett & Platt, Incorporated (NYSE:LEG) is another best dividend stock that is added to our list. The American diversified manufacturing company was significantly impacted by a decline in consumer spending this year. As a result, the company announced an 89% reduction in its dividend this April, ending a 52-year streak of increasing payouts. This decision wasn’t made abruptly; the company’s cash flow had been consistently unstable, impacting its balance sheet. Free cash flow, which was over $602 million in 2020, dropped to $497.2 million by 2023. The stock is down by over 51.6% since the start of the year.
Leggett & Platt, Incorporated (NYSE:LEG) also reported an 8% decline in its revenue at $1.1 billion in Q2 2024. Despite this, the company has shown confidence in its future plans. The restructuring plan is proceeding as expected, with certain aspects advancing ahead of schedule and surpassing expectations. The company reduced its debt by $73 million, and the adjusted EBIT margin improved by 50 basis points sequentially this quarter. It remains dedicated to investing in its core businesses to foster profitable growth as market conditions improve.
On August 7, Leggett & Platt, Incorporated (NYSE:LEG) declared a quarterly dividend of $0.05 per share, which was in line with its previous dividend. The stock supports a dividend yield of 1.57%, as of August 30.
As per Insider Monkey’s database of Q2 2024, 21 hedge funds owned stakes in Leggett & Platt, Incorporated (NYSE:LEG), up from 19 in the preceding quarter. These stakes have a total value of nearly $92 million. Among these hedge funds, D E Shaw was the company’s largest stakeholder in Q2.
1. Walgreens Boots Alliance, Inc. (NASDAQ:WBA)
3-year high-to-low share price decrease as of August 30: 82.9%
Walgreens Boots Alliance, Inc. (NASDAQ:WBA) is an Illinois-based retail company that owns pharmaceutical manufacturing and distribution companies. The stock is down by over 66% this year so far because the retail pharmacy chain has been underperforming due to competition from online retailers and pressure from pharmacy benefits managers (PBMs). Additionally, the company cut its dividend by 50% at the beginning of the year, following nearly 50 years of consistent increases. This has led to a loss of investor confidence in the company’s credibility. However, management remains optimistic about their ability to reverse the situation.
The optimism largely stems from Walgreens Boots Alliance, Inc. (NASDAQ:WBA)’s cost-cutting strategies. The new CEO has suggested closing several underperforming stores and reducing primary-care initiatives. Moreover, the company plans to launch a US Retail Pharmacy action plan to improve customer and patient experiences. It will also streamline its US Healthcare portfolio and better integrate its pharmacy and healthcare operations to boost market competitiveness.
Ariel Investments also highlighted this in its Q2 2024 investor letter:
“Alternatively, shares of retail drugstore operator, Walgreens Boots Alliance, Inc. (NASDAQ:WBA), underperformed following an earnings miss and significant reduction to full year guidance, largely due to continued weakness in its U.S. retail business. In response, management announced a multi-year plan for the U.S. business to reduce the retail footprint, invest in the customer experience, align the retail and healthcare businesses for enhanced go-to-market capabilities and simplify the healthcare portfolio. Meanwhile, the company continues to execute on its cost savings initiatives to optimize profitability and is using excess capital to prioritize the sustainability of its operations and balance sheet. Over the medium-term, we expect a re-rating in shares as WBA’s new CEO rebuilds the leadership team and earns credibility by executing on previously articulated strategic imperatives as well as margin.”
Though Walgreens Boots Alliance, Inc. (NASDAQ:WBA) has significantly reduced its dividend, the company’s cash flow remains stable, which suggests that the outlook for future dividends isn’t entirely bleak. In the most recent quarter, the company generated $605 million in operating cash flow and its free cash flow came in at $334 million. In the first nine months of the year, the company paid over $1 billion to shareholders in dividends. The company currently offers a quarterly dividend of $0.25 per share and has a dividend yield of 11.10%, as of August 30.
Walgreens Boots Alliance, Inc. (NASDAQ:WBA) was included in 35 hedge fund portfolios at the end of Q2 2024, down from 41 in the previous quarter, as per Insider Monkey’s database. The stakes held by these hedge funds have a total value of nearly $427 million.
Overall, Walgreens Boots Alliance, Inc. (NASDAQ:WBA) ranks first on our list. While we acknowledge the potential for WBA to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than NVDA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
