1. Capital Group Dividend Value ETF (NYSE:CGDV)
YTD Share Price Performance as of December 30: 20.14%
Capital Group Dividend Value ETF (NYSE:CGDV) aims to generate consistent income that surpasses the average yield of the S&P 500 by investing in dividend-paying companies or those with the potential to pay dividends. As of December 27, 2024, the ETF manages nearly $12.4 billion in assets, with a 0.33% expense ratio and a 1.74% 30-day SEC yield. Launched on February 22, 2022, Capital Group Dividend Value ETF (NYSE:CGDV) holds 52 stocks in its portfolio as of November 2024. CGDV ranks 1st on our list of the best performing ETFs.
Carrier Global Corporation (NYSE:CARR) is one of the top stocks in the Capital Group Dividend Value ETF (NYSE:CGDV)’s portfolio. Carrier Global Corporation (NYSE:CARR) provides HVAC, refrigeration, fire, security, and building automation technologies globally. It operates in three segments – HVAC, offering heating, cooling, and ventilation products and services; Refrigeration, providing transport refrigeration and commercial cooling solutions; and Fire & Security, offering fire detection, suppression, and security technologies.
In Q3 2024, Carrier Global Corporation (NYSE:CARR) reported a 20% increase in organic orders, positioning the company for continued growth in 2025. Despite challenges in residential and light commercial HVAC in Europe and China, the company achieved 4% organic sales growth. Strong aftermarket performance is set to deliver double-digit growth for the fourth consecutive year. CARR repurchased $400 million in shares in Q3 and plans to repurchase $5 billion in shares by the end of next year. Carrier Global’s adjusted EPS from continuing operations was $0.77, up 3% year-over-year, driven by organic growth, pricing, and productivity, partially offset by higher interest expenses, tax rates, and share count.
Insider Monkey’s Q3 database indicates that 45 hedge funds were bullish on Carrier Global Corporation (NYSE:CARR), the same as the prior quarter. Fisher Asset Management is the leading stakeholder of the company, with a position worth $1.15 billion.
Overall, Capital Group Dividend Value ETF (NYSE:CGDV) ranks first on our list of the best performing dividend ETFs. While we acknowledge the potential of CGDV to grow, our conviction lies in the belief that certain AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CGDV 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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