12 Best Financial Sector Dividend Stocks To Buy Right Now

5. The Charles Schwab Corporation (NYSE:SCHW)

Number of Hedge Fund Holders: 74

The Charles Schwab Corporation (NYSE:SCHW) is a Texas-based financial services company that offers investing and commercial banking services to its consumers. In the fourth quarter of 2024, the company reported $5.3 billion in revenue, marking a 20% increase from the same period a year earlier. This growth was fueled by higher client activity, with active brokerage accounts rising 5% to 36.5 million, reflecting the company’s ability to attract new clients with its competitive offerings. The ongoing integration of TD Ameritrade further bolstered Schwab’s market position, adding $1.6 trillion in client assets to its platform. Net interest revenue reached $2.53 billion, while asset management and administration fees contributed $1.5 billion.

On January 13, The Charles Schwab Corporation (NYSE:SCHW) launched the Schwab Core Bond ETF, its second actively managed fixed-income ETF. This follows the introduction of the Schwab Ultra-Short Income ETF in August 2024. The new fund provides investors with access to the firm’s portfolio management expertise while benefiting from the flexibility and efficiency of an ETF structure.

The Charles Schwab Corporation (NYSE:SCHW)’s maintained a solid cash position in the latest quarter, closing with over $42 million in cash and cash equivalents, up from $35 million in the prior quarter. On January 29, the company announced an 8% increase in its quarterly dividend, raising it to $0.27 per share. The stock has a dividend yield of 1.34%, as of February 16. It is one of the best dividend stocks on our list as the company has paid regular dividends to shareholders since 1990.