10 Best Dividend Aristocrat Stocks To Buy Right Now

1. Walmart Inc. (NYSE:WMT)

Number of Hedge Fund Holders: 88

Walmart Inc. (NYSE:WMT) is an American retail corporation that operates a chain of hypermarkets, discount stores, and grocery stores across the country. The company has seen an increase in customer traffic this year, with a 3% rise in the third quarter compared to the same period last year. This is a positive development for any major retailer. WMT is delivering exceptional returns this year, surging by over 68% since the start of 2024.

Walmart Inc. (NYSE:WMT)’s competitive strengths are driving significant financial benefits for its investors. Both cash flow and profitability are improving, fueled by more than just increased market share. The company’s e-commerce segment is now generating profits after years of substantial investment in its infrastructure. Additionally, strategic moves like price reductions and streamlined inventory management have yielded positive results.

In the third quarter of 2024, Walmart Inc. (NYSE:WMT) reported revenue of $168 billion, up 5.5% from the same period last year. The revenue beat analysts’ estimates by $1.4 billion. Being a strong dividend payer, the company boasts a solid cash position. Year-to-date, it has generated $22.9 billion in operating cash flow, an increase of $3.9 billion from the same period last year. The company’s free cash flow also increased by $1.9 billion on a YoY basis at $6.2 billion. It is one of the best dividend aristocrat stocks on our list with 51 consecutive years of dividend growth. The company’s quarterly dividend comes in at $0.2075 per share, for a dividend yield of 0.93%, as of November 25.

According to Insider Monkey’s database of Q3 2024, 88 hedge funds held stakes in Walmart Inc. (NYSE:WMT), compared with 95 in the previous quarter. These stakes are worth over $9.7 billion in total.

Overall, Walmart Inc. (NYSE:WMT) ranks first on our list. While we acknowledge the potential for WMT 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 WMT but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. 

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.

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