In this article, we discuss 5 best recession dividend stocks to buy. If you want to read our detailed analysis of dividend stocks and their performance in periods of economic downturns, go directly to read 11 Best Recession Dividend Stocks to Buy.
5. The Coca-Cola Company (NYSE:KO)
Number of Hedge Fund Holders: 61
Dividend Yield as of July 24: 2.95%
An American beverage company, The Coca-Cola Company (NYSE:KO) mainly belongs to the consumer staples industry, which makes it one of the best dividend stocks to consider during a recession. The company has a strong history of 61 years of consistent dividend growth. It currently pays a quarterly dividend of $0.46 per share and has a dividend yield of 2.95%, as of July 24.
The Coca-Cola Company (NYSE:KO) was a part of 61 hedge fund portfolios in Q1 2023, according to Insider Monkey’s database. The stakes owned by these hedge funds have a total value of over $24.8 billion, with Warren Buffett’s Berkshire Hathaway owning KO stakes worth more than $24.8 billion.
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4. Bristol-Myers Squibb Company (NYSE:BMY)
Number of Hedge Fund Holders: 69
Dividend Yield as of July 24: 3.53%
Bristol-Myers Squibb Company (NYSE:BMY) is an American biopharmaceutical company that focuses on researching, developing, and commercializing innovative medicines and treatments.
On June 14, Bristol-Myers Squibb Company (NYSE:BMY) declared a quarterly dividend of $0.57 per share, which was similar to its previous dividend. However, the company stretched its dividend growth streak to 17 years in 2022, which makes it one of the best dividend stocks on our list. The company’s shares offer a dividend yield of 3.53%, as of July 24.
The number of hedge funds tracked by Insider Monkey owning stakes in Bristol-Myers Squibb Company (NYSE:BMY) remained unchanged at 69 in Q1 2023. The stakes owned by these funds have a consolidated value of over $1.55 billion.
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3. PepsiCo, Inc. (NASDAQ:PEP)
Number of Hedge Fund Holders: 70
Dividend Yield as of July 24: 2.66%
With 70 hedge funds holding stakes in the company in Q1, PepsiCo, Inc. (NASDAQ:PEP) ranks third on our list of the best dividend stocks to consider for a recession. The stakes owned by these hedge funds are collectively valued at over $4 billion.
PepsiCo, Inc. (NASDAQ:PEP) currently pays a quarterly dividend of $1.265 per share and has raised its payouts for 51 years straight. The stock has a dividend yield of 2.66%, as recorded on July 24.
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2. Exxon Mobil Corporation (NYSE:XOM)
Number of Hedge Fund Holders: 73
Dividend Yield as of July 24: 3.50%
Exxon Mobil Corporation (NYSE:XOM) is a Texas-based multinational oil and gas company that is one of the largest marketers of petroleum products in the world. The company’s cash position remained strong in the first quarter of 2023 as it generated $16.4 billion in operating cash flow and its free cash flow came in at $11.4 billion. During the quarter, it returned $8.1 billion to shareholders in dividends and share repurchases.
One of the best dividend stocks on our list, Exxon Mobil Corporation (NYSE:XOM) has been growing its dividends for 40 years running. It offers a quarterly dividend of $0.91 per share and has a dividend yield of 3.50%, as of July 24.
As per Insider Monkey’s database of Q1 2023, 73 hedge funds owned stakes in Exxon Mobil Corporation (NYSE:XOM), worth collectively over $4.3 billion.
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1. The Procter & Gamble Company (NYSE:PG)
Number of Hedge Fund Holders: 75
Dividend Yield as of July 24: 2.46%
The Procter & Gamble Company (NYSE:PG), an Ohio-based consumer goods company, tops our list of the best dividend stocks to buy. With a dividend growth track record of 67 years, PG has been on investors’ radars also due to its strong business during previous recessions. It currently pays a quarterly dividend of $0.9407 per share, with a dividend yield of 2.46%, as recorded on July 24.
Insider Monkey’s database of Q1 2023 showed that 75 hedge funds owned stakes in 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.
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You can also take a look at 10 Best Retail Dividend Stocks to Buy and 12 Highest Yielding Dow Jones Dividend Stocks
