10 Cheapest Dividend Aristocrats to Buy Now

5. Genuine Parts Company (NYSE:GPC)

Forward P/E Ratio: 14.84

Genuine Parts Company (NYSE:GPC) is an American industrial supplies company that deals in automotive and industrial replacement parts. The company runs its automotive parts division under the NAPA brand, consisting of approximately 2,000 company-owned stores and about 4,800 independently operated stores across North America. The Automotive Parts Group is a major part of the business, contributing over 60% of the company’s total revenue. This segment offers a broad selection of replacement parts for cars, trucks, and other vehicles, excluding body parts.

Genuine Parts Company (NYSE:GPC) has not performed well in 2024, as the stock has fallen by nearly 14% in the past 12 months. The company is currently facing two major challenges in demand. The first is a slowdown in industrial production within its main US market, which is more significant than the growth in international demand. The second challenge is a slight drop in sales of replacement automotive parts.

That said, Genuine Parts Company (NYSE:GPC)’s cash position makes it a reliable investment option. In the first nine months of 2024, the company generated $1.1 billion in operating cash flow and $711 million in free cash flow. During this period, it returned $411 million to shareholders in the form of dividends. The company’s quarterly dividend comes in at $1.00 per share for a dividend yield of 3.22%, as of February 14. It maintains a 68-year streak of consistent dividend growth, which makes GPC one of the best dividend aristocrat stocks on our list.