20 Worst Dividend Aristocrat Stocks According to Analysts

15. C.H. Robinson Worldwide, Inc. (NASDAQ:CHRW)

Average Analyst Rating Score: 3.2

C.H. Robinson Worldwide, Inc. (NASDAQ:CHRW) is an American transport company that offers related services and products to its consumers. Analysts predict that the global shipping industry will continue to face a freight recession in 2024. Factors contributing to this challenging outlook include high levels of inventories and reduced consumer spending, which are impacting demand for shipping services. The company also navigated through an extended period of freight recession characterized by an oversupply of shipping capacity. In the first quarter of 2024, C.H. Robinson Worldwide, Inc. (NASDAQ:CHRW) reported a 4.3% year-over-year decline in revenues to $4.4 billion. Its operating cash flow also decreased by nearly $288 million to $33.3 million.

From a dividend perspective, though C.H. Robinson Worldwide, Inc. (NASDAQ:CHRW) has been growing its payouts for the past 25 consecutive years, there are concerns about the sustainability of its future dividends. For starters, the company’s earnings have been fluctuating for quite some time now. In fact, it has reported declines in revenue consecutively for several quarters, which is concerning for income investors. Moreover, the company has a payout ratio of nearly 80%, which is high considering its fluctuating earnings. In the first quarter, it returned $90 million to shareholders through dividends and share repurchases. Its trailing twelve-month levered free cash flow is over $335 million. C.H. Robinson Worldwide, Inc. (NASDAQ:CHRW)’s quarterly dividend comes in at $0.61 per share and has a dividend yield of 2.91%, as of June 15. Analysts have a consensus Hold rating on the stock, which makes CHRW one of the worst dividend aristocrat stocks on our list.

C.H. Robinson Worldwide, Inc. (NASDAQ:CHRW) experienced a decline in hedge fund positions in Q1 2024. 19 hedge funds in Insider Monkey’s database reported having stakes in the company, down from 26 in the previous quarter. These stakes are worth over $237 million in total.