5 Best DRIP Stocks To Own

1. 3M Company (NYSE:MMM)

Dividend Yield as of January 16: 4.60%

3M Company (NYSE:MMM) is a Minnesota-based multinational conglomerate that operates in the sectors of industry, healthcare, and consumer goods. The company’s reinvestment plan allows its shareholders to have their cash dividends automatically reinvested to purchase shares of 3M stock. It maintains a 64-year streak of dividend growth and pays a quarterly dividend of $1.64 per share. The stock’s dividend yield on January 16 came in at 4.60%. Due to its strong dividend plans, the company is one of the best DRIP stocks to own.

In Q3 2022, 3M Company (NYSE:MMM) reported strong performance with an operating cash flow of $1.5 billion and a free cash flow of $1.4 billion. Its cash generation was enough for its dividend payments and share repurchases of $1 billion during the quarter.

At the end of Q3 2022, 49 hedge funds tracked by Insider Monkey reported owning stakes in 3M Company (NYSE:MMM), down from 54 in the previous quarter. The consolidated value of these stakes is over $1.45 billion.

Mayar Capital mentioned 3M Company (NYSE:MMM) in its Q2 2022 investor letter. Here is what the firm has to say:

“We also bought back into 3M (NYSE:MMM) as the stock reached attractive levels. We’d sold our shares in 3M last year when the price exceeded our estimated fair value, and as better opportunities to invest in presented themselves at the time. Nonetheless, we’ve always liked this business with its diversified revenues, its R&D leadership and its stable margins.

You can also take a look at 12 Best Up-and-Coming Stocks To Buy and 11 Best All-Time Low Stocks To Buy

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