5 Best Cheap DRIP Stocks to Buy Now

2. California Water Service Group (NYSE:CWT)

Share Price as of September 19: $57.6
Dividend Yield as of September 19: 1.72%

Up next on our list of the best cheap DRIP stocks to buy now is California Water Service Group (NYSE:CWT), which is a California-based public utility company that provides drinking water and wastewater services.

Though California Water Service Group (NYSE:CWT) missed Street estimates on various fronts in Q2 2022, the company’s cash position remained strong. It ended the first six months of the year with $61.7 million in cash and cash equivalents and $3.78 billion in total assets. Its operating cash flow for the quarter came in at $35.7 million, compared with $37.6 million during the same period last year. The company expects to achieve its dividend payout ratio of 60%.

California Water Service Group (NYSE:CWT) holds one of the strongest dividend histories in the market. The company has been making consecutive dividend payments for the past 76 years and has raised its payout for 54 consecutive years. Currently, it offers a quarterly dividend of $0.25 per share and has a yield of 1.72%, as recorded on September 19.

At the end of June 2022, 12 hedge funds tracked by Insider Monkey owned stakes in California Water Service Group (NYSE:CWT), worth $108.7 million. In comparison, 19 hedge funds owned positions in the company in the previous quarter, with stakes valued at $143.5 million.