25 Best Dividend Stocks to Buy According to Billionaires

17. Texas Instruments Incorporated (NASDAQ:TXN)

Number of Billionaire Investors: 15

Dividend Yield as of March 3: 2.75%

Texas Instruments Incorporated (NASDAQ:TXN) is an American semiconductor company, headquartered in Texas. The company specializes in analog and embedded chips. It produces more than 80,000 products, serving a diverse customer base of over 100,000. While the company primarily focuses on the industrial and automotive sectors, its chips are also widely used in enterprise systems, communications equipment, and personal electronics. In the past 12 months, the stock has surged by nearly 14%.

Texas Instruments Incorporated (NASDAQ:TXN) has established a strong presence in the industry. Under the leadership of former CEO Rich Templeton, it became a leader in dividend growth, increasing its payout at a 24% compound annual rate from 2004 to 2023. In fiscal year 2024, the company maintained a solid cash position, generating $6.3 billion in operating cash flow over the past twelve months, with free cash flow reaching $1.5 billion. Moreover, in the fourth quarter of 2024, it distributed $4.8 billion to shareholders through dividends.

Texas Instruments Incorporated (NASDAQ:TXN) currently pays a quarterly dividend of $1.36 per share and has a dividend yield of 2.75%, as of March 3. It is one of the best dividend stocks on our list as the company has raised its payouts for 21 years straight.