10 Very High Yield Dividend Stocks With Upside Potential

5. B&G Foods, Inc. (NYSE:BGS)

Number of Hedge Fund Holders: 21

Dividend Yield as of July 8: 9.72%

B&G Foods, Inc. (NYSE:BGS) is a New Jersey-based food company that specializes in food manufacturing and distribution. The company is restructuring its brand portfolio after its strategy of acquiring food brands through debt-financed deals proved unsuccessful, leading to net losses over the past two years. Its net loss for 2022 and 2023 came in at $11.4 million and $66.2 million, respectively. Since the start of 2024, the stock is down by over 31%.

Historically, B&G Foods, Inc. (NYSE:BGS) operated solely within a single industry segment. However, starting from the first quarter of 2024, the company has transitioned to operating and reporting results across four distinct business segments. This shift reflects the company’s recent structural changes and the development of its four business units: Specialty, Meals, Frozen & Vegetables, and Spices & Flavor Solutions. In the most recent quarter, all four segments of the company reported losses due to the fluctuations in the food sector.

That said, B&G Foods, Inc. (NYSE:BGS) anticipates that reshaping its brand portfolio will have a positive impact. In November 2023, the company divested its Green Giant US shelf-stable vegetable product line to Seneca Food Corporations, a key manufacturer of the line. The net proceeds from this transaction were applied to reduce long-term debt. The company retains ownership of its remaining brands.

B&G Foods, Inc. (NYSE:BGS) pays a quarterly dividend of $0.19 per share and has a dividend yield of 9.72%, as reported on July 8. Its dividend is relatively safe because of its stable cash flows. In the first quarter of 2024, the company generated over $35 million in operating cash flow. The company has paid regular dividends to shareholders since its inception, which places it on our list of the best dividend stocks with over 8% yield.

The number of hedge funds tracked by Insider Monkey owning stakes in B&G Foods, Inc. (NYSE:BGS) grew to 21 in Q1 2024, from 16 in the previous quarter. These stakes have a total value of over $33.3 million. Among these hedge funds, Balyasny Asset Management was the company’s leading stakeholder in Q1.