These 10 Dividend Stocks are Outperforming the Market in 2025

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1. TELUS Corporation (NYSE:TU)

Dividend yield: 7.28%

Dividend payout ratio: 232.33%

Ex-Dividend Date: March 11, 2025

Number of Hedge Funds: 16

TELUS Corporation (NYSE:TU) is a Canadian company that provides wireless and wireline telecommunication services, including voice, data services, mobile, IP, television, video and security, internet, and cloud-based solutions. Headquartered in British Columbia, Canada, the company offers its services to North America, Europe, Asia, and Central America.

TELUS Corporation (NYSE:TU) experienced a year-to-date increase of 15.02% as of February 28, 2025. The recently reported fourth-quarter results saw an EPS of $0.54, which surpassed the anticipated $0.49 increase. Revenue also surpassed the forecasted value of 32.07 billion USD to 32.23 billion USD. Performance efficiency was attributed to new telecom customer services in 2024. The company gained over 1,200,000 new customers because of its bundled product offerings across mobile and home. The financial performance and visible increase in customer base have garnered a positive outlook for the company’s stocks in the market.

TELUS Corporation (NYSE:TU) features a substantial 7.28% dividend yield. However, it is backed by a large payout ratio of 232.33%. Hence, the possibility of debt risk stands high. The stock has drawn investment from 16 hedge funds in Q4 2024, tracked by Insider Monkey.

Analysts maintain a consensus Buy stance for the stocks. The 1-year median price target of $16.14 suggests an upside of 4.30%. The ex-dividend date falls on March 11, 2025, for the consideration of income-focused investors.

Overall TELUS Corporation (NYSE:TU) ranks first on our list of 10 dividend stocks that are outperforming the benchmark index in 2025. While we acknowledge the potential for TU 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 TU but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

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