S&P 500 Dividend Aristocrats List: Sorted By Hedge Fund Sentiment

3. S&P Global Inc. (NYSE:SPGI)

Number of Hedge Fund Holders: 99

S&P Global Inc. (NYSE:SPGI) is an American capital market company that offers services in financial information and analytics. The company primarily operates on a subscription-based revenue model, with more than 75% of its earnings coming from recurring sources. This structure ensures financial stability, even amid market fluctuations, particularly in the debt issuance sector, where S&P Global’s credit ratings business remains essential. In addition, its Market Intelligence segment, which provides financial analytics and data, along with its Indices and Commodity Insights divisions, further contribute to consistent revenue streams.

In the fourth quarter of 2024, S&P Global Inc. (NYSE:SPGI) saw its revenue grow by 14% year-over-year, while adjusted earnings per share (EPS) rose by 20% to $3.77. Further boosting investor confidence, the company shared an upbeat forecast for the upcoming year and introduced a new share buyback program. Its revenue from the Ratings segment grew by 31% year-over-year, reflecting a broader focus beyond investment-grade and high-yield debt. The company has been expanding into other loan types and structured products, strengthening its revenue diversification.

S&P Global Inc. (NYSE:SPGI) also reported a solid cash position. For the full year, operating cash flow reached $5.7 billion, up from $3.7 billion in 2023, while free cash flow surged to $5.27 billion from $3.2 billion in the prior year. This strong cash flow allowed the company to distribute $1.1 billion to shareholders through dividends. The company currently pays a quarterly dividend of $0.96 per share and has a dividend yield of 0.72%, as of February 23. It is one of the best dividend aristocrat stocks on our list with 53 consecutive years of dividend growth under its belt.