10 Best Dividend Growth Stocks to Buy and Hold in 2025

6. T. Rowe Price Group, Inc. (NASDAQ:TROW)

5-Year Annual Dividend Growth Rate: 10.29%

T. Rowe Price Group, Inc. (NASDAQ:TROW) is a Maryland-based asset management company that offers a wide range of related products and services to its consumers. The company declared that its assets under management increased to $1.67 trillion in November, from $1.61 trillion in October. It is focused on building its own ETF business and has been branching out into high-demand sectors like alternative investments. With no long-term debt on its balance sheet, it also has considerable flexibility to make adjustments as needed. In the past year, the stock has surged by over 7.4%.

T. Rowe Price Group, Inc. (NASDAQ:TROW) reported mixed results for the third quarter of 2024. While its revenue reached $1.8 billion, marking a 7% increase from the same period last year, it fell short of analysts’ expectations by over $61 million. On a positive note, the company’s net income rose by 33.1%, reaching $603 million, up from $453 million a year earlier. The firm’s equity ETFs performed well, with strong sales pipelines and a reduction in net outflows compared to initial forecasts. In addition, its strategic focus on alternative investments, such as private credit, is expected to offer significant diversification benefits.

T. Rowe Price Group, Inc. (NASDAQ:TROW), one of the best dividend aristocrat stocks, currently offers a quarterly dividend of $1.24 per share. The company has been rewarding shareholders with 38 consecutive years of dividend growth. As of December 29, the stock has a dividend yield of 4.29%.

As per Insider Monkey’s database of Q3 2024, 26 hedge funds held stakes in T. Rowe Price Group, Inc. (NASDAQ:TROW), compared with 28 in the previous quarter. These stakes are collectively valued at over $422.5 million.