12 Best International Dividend Stocks To Buy Now

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1. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM)

Dividend Yield as of February 11: 1.34%

Number of Hedge Fund Holders: 158

Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM), the world’s largest chip manufacturer, ranks first on our list of the best dividend stocks. Experts warn that Trump’s plan to impose a 100% tariff on Taiwanese semiconductors could backfire, as Taiwan dominates advanced chip production. Companies like Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) have strong pricing power and would likely pass the extra costs onto US businesses and consumers, potentially fueling inflation. Analysts also argue that instead of bringing chip manufacturing to the US, the move could push Taiwanese firms to set up factories elsewhere, triggering a global trade war and straining US-Taiwan relations.

In the fourth quarter of 2024, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) saw a 14.3% year-over-year rise in consolidated revenue, reaching NT$868.46 billion, with diluted earnings per share at NT$14.45. Since initiating cash dividends in 2004, TSM has maintained a steady payout without any reductions. In 2024, the company distributed $11.3 billion in dividends. The company last paid a $0.6165 per share quarterly dividend on January 9, 2025.

In the third quarter of 2024, 158 hedge funds tracked by Insider Monkey were bullish on Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM), up from 156 funds in the last quarter.

Overall, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) ranks first on our list of the best international dividend stocks. While we acknowledge the potential of TSM to grow, our conviction lies in the belief that certain 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 TSM but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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

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