Top 10 Dividend Stocks To Buy According To Hedge Funds

8. Johnson & Johnson (NYSE:JNJ)

Number of Hedge Fund Holders: 98

An American multinational pharmaceutical company, Johnson & Johnson (NYSE:JNJ) ranks eighth on our list of the best dividend stocks according to hedge funds. The company has a diverse portfolio that includes over 10 high-performing drugs across multiple therapeutic areas, such as infectious diseases and oncology. In addition to its pharmaceutical business, the company is a major player in the medical device industry, providing further diversification. Its financial performance remains stable and reliable. Since the start of 2025, the stock has surged by nearly 15%.

In the fourth quarter of 2024, Johnson & Johnson (NYSE:JNJ) reported $22.5 billion in revenue, marking a 5.2% increase from the prior year. As a prominent healthcare company, it remains focused on developing treatments for diseases with substantial unmet needs, including multiple myeloma, lung cancer, inflammatory bowel disease, and heart failure. The MedTech division recorded a 6.2% rise in global operational sales, with acquisitions and divestitures contributing 1.5% to this growth. Strong demand for electrophysiology products and Abiomed supported growth in the Cardiovascular segment, while the General Surgery unit saw increased sales of wound closure products.

Johnson & Johnson (NYSE:JNJ)’s quarterly dividend currently comes in at $1.24 per share and has a dividend yield of 3.00%, as of February 25. The company maintains one of the longest dividend growth streaks in the market, spanning 62 years.