10 Best Innovative Stocks that Pay Dividends

3. Pfizer Inc. (NYSE:PFE)

Number of Hedge Fund Holders: 84

Pfizer Inc. (NYSE:PFE) ranks third on our list of the best innovative stocks that pay dividends. The American multinational and biotech company created a type of santonin for treating intestinal worms that quickly became popular due to its effectiveness. One of the founders, Erhart, used his expertise in confectionery to add almond-toffee flavoring to the medicine, making it more palatable. Additionally, the company began producing citric acid during the rise of popular drinks like Coca-Cola, which relied on citric acid as a crucial ingredient. This product soon became Pfizer’s main offering and significantly contributed to the company’s growth in the following decades.

In the second quarter of 2024, Pfizer Inc. (NYSE:PFE) generated $13.3 billion in revenues, up 4.3% from the same period last year. The company’s revenue has struggled to regain its former strength since the company lost the benefits from its COVID-19 vaccine. However, the company’s real appeal has not been its revenue but its dividends. It has paid regular dividends to shareholders for the past 85 years, maintaining an impressive and lengthy streak. Moreover, the company has raised its payouts for 14 consecutive years. In the most recent quarter, it paid nearly $5 billion to shareholders through dividends. Pfizer Inc. (NYSE:PFE) currently pays a quarterly dividend of $0.42 per share and has a dividend yield of 5.64%, as of September 18.

As per Insider Monkey’s database of Q2 2024, 84 hedge funds owned stakes in Pfizer Inc. (NYSE:PFE), growing from 77 in the previous quarter. These stakes are collectively valued at over $3.6 billion. Citadel Investment Group owned the largest stake in the company in Q2.