11 Innovative Dividend Stocks to Buy Now

4. Pfizer Inc. (NYSE:PFE)

Number of Hedge Fund Holders: 99

Pfizer Inc. (NYSE:PFE) is one of the best innovative dividend stocks. The American multinational biotech firm developed a form of santonin used to treat intestinal worms, which gained rapid popularity thanks to its effectiveness. One of its founders, Erhart, drew on his background in candy-making to add an almond-toffee flavor, making the medicine easier to take. Around the same time, the company also started producing citric acid, a key ingredient in popular beverages like Coca-Cola. This product eventually became a core part of Pfizer’s business and played a major role in its growth over the following decades.

Pfizer Inc. (NYSE:PFE) has struggled in recent years, with its stock falling by over 28% in the past decade. Despite this underperformance, the future looks more promising due to a solid lineup of drugs in development. Many of the concerns surrounding the company seem to be already priced into its lower share value. Recently, Pfizer’s forward price-to-earnings ratio was 8.49, which is well below its five-year average of 10.2.

In addition to its innovation, Pfizer Inc. (NYSE:PFE) has always remained committed to its shareholder obligations. In the most recent quarter, it returned $2.4 billion to investors through dividends. Moreover, it has raised its payouts for 15 consecutive years. The company pays a quarterly dividend of $0.43 per share and has a dividend yield of 7.08%, as of July 28.