5 Best Quality Dividend Stocks to Buy

In this article, we discuss 5 best quality dividend stocks to buy. If you want to read our detailed analysis of dividend stocks and their performance over the years, go directly to read 11 Best Quality Dividend Stocks to Buy. 

5. PepsiCo, Inc. (NASDAQ:PEP)

Number of Hedge Fund Holders: 70

PepsiCo, Inc. (NASDAQ:PEP) is a New York-based food company with primary business revolving around the manufacturing, marketing, and distribution of a wide range of food and beverage products. The company has delivered consistent growth in dividend payments for 51 years straight, which makes it one of the best dividend stocks on our list. It pays a quarterly dividend of $1.265 per share for a dividend yield of 2.76%, as of July 12.

In the first quarter of 2023, PepsiCo, Inc. (NASDAQ:PEP) posted revenue of $17.8 billion, which showed a 10.2% growth from the same period last year. During the quarter, it returned $7.7 billion to shareholders through dividends and share repurchases.

At the end of Q1 2023, 70 hedge funds in Insider Monkey’s database reported having stakes in PepsiCo, Inc. (NASDAQ:PEP), the same as in the previous quarter. These stakes have a consolidated value of over $4 billion.

4. Exxon Mobil Corporation (NYSE:XOM)

Number of Hedge Fund Holders: 73

Exxon Mobil Corporation (NYSE:XOM) is one of the largest multinational oil and gas companies in the world. The company is involved in various aspects of the energy industry, including exploration, production, refining, and marketing of petroleum products. In the first quarter, the company’s cash position remained strong with $16.3 billion in operating cash flow and $11.4 billion in free cash flow. It also returned $8.1 billion to shareholders through a combination of dividends and share repurchases.

Exxon Mobil Corporation (NYSE:XOM) has a solid 40-year history of consistent dividend growth. It currently offers a quarterly dividend of $0.91 per share and has a dividend yield of 3.42%, as of July 12.

According to Insider Monkey’s database of Q1 2023, 73 hedge funds owned stakes in Exxon Mobil Corporation (NYSE:XOM), worth collectively over $4.3 billion.

3. The Procter & Gamble Company (NYSE:PG)

Number of Hedge Fund Holders: 75

The Procter & Gamble Company (NYSE:PG) is an Ohio-based multinational consumer goods company. The company manufactures and markets a diverse range of products across various categories. On June 11, it declared a quarterly dividend of $0.9407 per share, which was in line with its previous dividend. The company has consistently raised its dividends for 67 years. With a dividend yield of 2.53%, PG is one of the best dividend stocks on our list.

In fiscal Q3 2023, The Procter & Gamble Company (NYSE:PG)’s revenue showed a 3.5% year-over-year growth at $20.07 billion. Its operating cash flow for the quarter came in at roughly $4 billion and cash flow productivity stood at 92%. The company returned $2.2 billion to shareholders in dividends, which makes it one of the best dividend stocks on our list.

Insider Monkey’s database of Q1 2023 indicated that 75 hedge funds presented a bullish outlook on The Procter & Gamble Company (NYSE:PG), compared with 74 in the previous quarter. The stakes owned by these hedge funds have a total value of $4.66 billion.

2. Johnson & Johnson (NYSE:JNJ)

Number of Hedge Fund Holders: 86

Johnson & Johnson (NYSE:JNJ) is one of the largest and most diversified healthcare conglomerates globally, encompassing multiple sectors within the healthcare field. In the first quarter of 2023, the company reported revenue of $24.7 billion, which showed a 5.6% growth from the same period last year. Its MedTech segment also showed a 7.3% year-over-year growth at $7.4 billion.

Johnson & Johnson (NYSE:JNJ) is one of the strongest dividend payers in the market with 62 years of consistent dividend growth. It pays a quarterly dividend of $1.19 per share for a dividend yield of 3.01%, as recorded on July 12.

The number of hedge funds tracked by Insider Monkey owning stakes in Johnson & Johnson (NYSE:JNJ) grew to 86 in Q1 2023, from 84 in the previous quarter. These stakes have a consolidated value of over $4.5 billion.

1. Walmart Inc. (NYSE:WMT)

Number of Hedge Fund Holders: 91

Walmart Inc. (NYSE:WMT) tops our list of the best dividend stocks to buy now. The multinational retail corporation has been raising its dividends for 50 years straight and currently pays a quarterly dividend of $0.57 per share. The stock’s dividend yield on July 12 came in at 1.47%.

Walmart Inc. (NYSE:WMT) was a popular stock among hedge funds in Q1 2023, as hedge fund positions in the company jumped to 91, from 66 in the previous quarter, as shown by Insider Monkey’s database. The stakes owned by these hedge funds have a consolidated value of over $5.6 billion.

You can also take a look at 10 UK Dividend Growth Stocks to Consider and 10 Best Stocks to Buy for a Month

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