15 Best Dividend Stocks To Buy and Hold

2. Exxon Mobil Corporation (NYSE:XOM)

Number of Hedge Fund Holders: 86

Exxon Mobil Corporation (NYSE:XOM) is an American oil and gas company that is engaged in the exploration, production, refining, and distribution of petroleum products. In the fourth quarter of 2024, the company reported revenue of $83.4 billion, which fell by 1.1% from the same period last year. Since 2019, the company has achieved a cumulative $12.1 billion in Structural Cost Savings, surpassing the accomplishments of its competitors and more than compensating for inflation and growth. Its return on capital employed was the industry leader for the year, reaching 12.7%, and its five-year average stood at 10.8%.

Exxon Mobil Corporation (NYSE:XOM)’s cash position also came in strong in FY24. The company generated $55 billion in free cash flow, marking its third-best year in the past decade. Its free cash flow for the year amounted to $36.2 billion. During the year, the company returned $16.7 billion to shareholders through dividends. It also intends to extend its annual $20 billion share repurchase program until 2026.

Exxon Mobil Corporation (NYSE:XOM) remains a leading player in the global fossil fuel industry while also increasing its investments in low-carbon energy. As part of its 2030 strategy, it plans to allocate up to $30 billion towards low-emission projects from 2025 to 2030. Additionally, the company has secured the largest offshore carbon dioxide storage site in the US through an agreement with the Texas General Land Office. It is also making progress on developing the world’s largest low-carbon hydrogen production facility, with an expected capacity of up to 1 billion cubic feet of hydrogen per day.

On January 31, Exxon Mobil Corporation (NYSE:XOM) declared a quarterly dividend of $0.99 per share, which was in line with its previous dividend. Overall, the company has been growing its payouts for 42 consecutive years, which makes XOM one of the best dividend stocks on our list.

Insider Monkey’s database of Q3 2024 indicated that 86 hedge funds owned stakes in Exxon Mobil Corporation (NYSE:XOM), compared with 92 a quarter earlier. These stakes have a total value of nearly $7 billion. First Eagle Investment Management was one of the company’s leading stakeholders.