10 Best High-Yield Dividend Stocks To Invest In

8. Viatris Inc. (NASDAQ:VTRS)

Number of Hedge Fund Holders: 57

Dividend Yield as of January 20: 4.25%

Viatris Inc. (NASDAQ:VTRS) is a Pennsylvania-based pharmaceutical company that specializes in a wide variety of therapeutic areas. The company spun off from Pfizer in 2020. It is currently experiencing a period of robust global execution, resulting in steady growth of its core business, a trend expected to persist into the following year. It reported total revenues of $3.8 billion, which includes $133 million from new products. In addition, the company strengthened its financial position by repaying approximately $1.9 billion in debt and expanded its innovative portfolio through an exclusive licensing agreement with Lexicon Pharmaceuticals for sotagliflozin outside the US and Europe.

With sector-leading cash flow and a solid balance sheet as its foundation, Viatris Inc. (NASDAQ:VTRS) is well-positioned to achieve steady growth in its core business, while also investing in its operations and returning substantial capital to shareholders. In the most recent quarter, the company generated $826.5 million in operating cash flow and its free cash flow came in at approximately $750 million.

Although Viatris Inc. (NASDAQ:VTRS) has made efforts to reduce its debt in the latest quarter, it still holds over $16 billion in debt. This may concern some investors, but given the company’s commitment to returning value to shareholders, it may not be a significant issue. Annually, Viatris allocates approximately $580 million to dividend payments, indicating that its current dividend is likely sustainable. The company has been paying regular dividends to shareholders since 2021. Currently, it offers a quarterly dividend of $0.12 per share and has a dividend yield of 4.25%, as of January 20.

Viatris Inc. (NASDAQ:VTRS) remained popular among elite funds in Q3 2024, with 57 funds tracked by Insider Monkey owning positions in the company, up from 45 in the previous quarter. These stakes have a total value of nearly $1.3 billion. Among these hedge funds, Deerfield Management was the company’s leading stakeholder in Q3.