13 Cheap High Dividend Stocks To Invest In Now

1. Ford Motor Company (NYSE:F)

Number of Hedge Fund Holders: 36

Dividend Yield as of February 17: 7.91%

P/E Ratio: 6.40

American automobile manufacturer, Ford Motor Company (NYSE:F), ranks 1st on our list of the best dividend stocks. Ford’s stock recently took a hit after the company warned that profits could drop by $2 billion or more in 2025. It expects earnings before interest and taxes to fall to $7–$8.5 billion, down from $10.2 billion in 2024, due to lower vehicle prices and the expensive launch of new Lincoln Navigator and Ford Expedition SUVs. Incoming CFO Sherry House blamed a 2% industrywide price drop, while CEO Jim Farley is scaling back Ford’s EV push after overestimating demand and working to cut costly warranty repairs. Adding to the pressure, potential new tariffs under President Trump could further impact the company’s bottom line.

Ford Motor Company (NYSE:F) hit a record $185 billion in revenue, marking its fourth consecutive year of growth, driven by its strong pickup truck dominance. The company generated $6.7 billion in adjusted free cash flow with a 65% cash conversion rate, exceeding its target. With a strong balance sheet holding $28 billion in cash and $47 billion in liquidity, Ford has returned over $10 billion to shareholders in the past three years. The company also announced a first-quarter dividend of $0.15 per share, plus a $0.15 supplemental dividend, payable on March 3 to shareholders on record as of February 18.

Among the hedge funds tracked by Insider Monkey, 36 funds held stakes in Ford Motor Company (NYSE:F), compared to 47 funds in the previous quarter. Jim Simons’ Renaissance Technologies was one of the leading shareholders of the company, with a position worth nearly $115 million.

Overall, Ford Motor Company (NYSE:F) ranks first on our list of the best cheap high dividend stocks. While we acknowledge the potential of F 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 F but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

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