13 Best Foreign Dividend Stocks To Buy According to Analysts

2. Rio Tinto Group (NYSE:RIO)

Dividend Yield as of February 12: 6.99%

Number of Hedge Fund Holders: 30

Average Upside Potential: 32.60%

Founded in 1873, Rio Tinto Group (NYSE:RIO) is headquartered in London. It is a global mining company specializing in iron ore, aluminum, copper, and minerals. On January 17, 2025, RBC Capital Markets maintained a Sector Perform rating and a £54 price target on the stock after reports of preliminary merger talks with Glencore, which appears undervalued at $56.42 billion. However, discussions are no longer active, and neither company has commented. The potential deal could have involved a merger or asset breakup.

While Rio Tinto Group (NYSE:RIO) remains optimistic about its future, the company fell short of Q3 production estimates. The $6.7 billion Arcadium Lithium acquisition is a bright spot for Rio’s future. The company’s iron ore output grew 1% but fell short of expectations, while copper production declined due to issues at the Kennecott mine. The company paid a $1.77 per share semi-annual dividend on September 26, 2024. It is one of the best dividend stocks to monitor for an income portfolio.

In the third quarter of 2024, 30 hedge funds were bullish on Rio Tinto Group (NYSE:RIO), compared to 29 funds in the earlier quarter. Ken Fisher’s Fisher Asset Management was the leading stakeholder in the company, with 17.5 million shares worth $1.2 billion.