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

1. Walmart Inc. (NYSE:WMT)

Number of Hedge Fund Holders: 115

Walmart Inc. (NYSE:WMT) is an Arkansas-based retail corporation that operates a chain of hypermarkets, discount stores, and grocery stores across the US. In December 2024, the company finalized its $2.3 billion acquisition of Vizio, a well-known budget-friendly television brand. This strategic decision is expected to strengthen its advertising segment, which saw a 27% increase in fiscal year 2025, reaching approximately $4.4 billion. Walmart Connect, a key component of this division, also experienced substantial growth, rising by 24%.

Walmart Inc. (NYSE:WMT) posted a 4.1% increase in revenue for fiscal Q4 2035, reaching $180.6 billion, with constant currency growth of 5.3%. The company’s operating income rose by 8.3%, supported by higher gross margins, increased membership revenue, and improved profitability in eCommerce. For the full fiscal year 2025, Walmart generated $36.4 billion in operating cash flow and ended the year with $9 billion in cash and cash equivalents. In addition, the retailer repurchased $4.5 billion in shares and announced a 13% increase in its quarterly dividend to $0.235 per share—the largest hike in over ten years.

Walmart Inc. (NYSE:WMT) also demonstrated a strong cash position in FY25. The company generated an operating cash flow of $36.4 billion, an increase of $0.7 billion. Its free cash flow for the year came in at $12.7 billion. Due to this cash generation, the company declared a 13% hike in its quarterly dividend to $0.235 per share, marking its largest hike in more than a decade. This was the company’s 52nd consecutive year of dividend growth. The stock has a dividend yield of 0.99%, as of February 23.

Overall, Walmart Inc. (NYSE:WMT) ranks first on our list of the best dividend aristocrat stocks. While we acknowledge the potential for WMT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than WMT but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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