15 Best Dividend Stocks To Buy and Hold

9. International Business Machines Corporation (NYSE:IBM)

Number of Hedge Fund Holders: 56

International Business Machines Corporation (NYSE:IBM) is an American multinational technology company. In its recently released Q4 2024 earnings, the company reported $17.6 billion in revenue, reflecting a 1% increase compared to the same period last year. The company ended the year with double-digit revenue growth in its Software segment, fueled by strong momentum in Red Hat. Businesses worldwide are increasingly relying on IBM for AI-driven transformation. Its generative AI business has now surpassed $5 billion in total, growing by nearly $2 billion from the previous quarter.

International Business Machines Corporation (NYSE:IBM) has outperformed the market in the past 12 months, surging by nearly 44%. The company has reinvented itself as a leader in cloud computing and artificial intelligence (AI). Its advancements in hybrid cloud technology and the development of Watsonx AI have solidified its position in the tech industry. However, one area that has received less focus is its progress in quantum computing. IBM is considered a frontrunner in this field, leading some investors to evaluate whether this cutting-edge technology enhances the appeal of its stock.

International Business Machines Corporation (NYSE:IBM), one of the best dividend stocks, has been growing its dividends for 29 consecutive years. The company reported solid cash results for 2024. It generated $13.4 billion in operating cash flow, with free cash flow totaling $12.7 billion. In Q4 2024, IBM returned $1.5 billion to shareholders via dividends. The company’s quarterly dividend comes in at $1.67 per share for a dividend yield of 2.53%, as of February 4.

Of the 900 hedge funds tracked by Insider Monkey at the end of Q3 2024, 56 funds held stakes in International Business Machines Corporation (NYSE:IBM), up from 54 in the previous quarter. The consolidated value of these stakes is more than $1.7 billion.