12 Best Small-Cap Dividend Stocks To Buy

2. Select Medical Holdings Corporation (NYSE:SEM)

Number of Hedge Fund Holders: 30

Dividend Yield as of December 5: 1.68%

Market Cap as of December 5: $1.849B

Select Medical Holdings Corporation (NYSE:SEM) is one of the best dividend stocks to buy. As of December 5, the average price target for SEM suggests an upside of 34%, however, the Street high indicates an upside of 41%.

Previously, on November 5, analyst Ben Hendrix from RBC Capital kept a Buy call on Select Medical Holdings, along with a $20 price target.

In another business update, dated October 30, the company reported its Q3 2025 results. Select Medical’s revenue rose to $1,363.4 million, up 7.2% on a year-over-year basis. The company’s revenue increased in its critical illness recovery hospital, the rehabilitation hospital, and the outpatient rehabilitation segments by 4.6%, 16.2%, and 4.3% during the September quarter, respectively. The company also paid a cash dividend of $0.0625 per share on November 25.

The company’s board also announced a common share repurchase initiative with a capacity of up to $1 billion. The share repurchase program was extended from December 31, 2025, to December 31, 2027.

For FY2025, Select Medical estimates total revenue generation of $5.3-$5.5 billion, with Adjusted EBITDA ranging between $510 million and $530 million, and diluted EPS falling between $1.14 and $1.24.

Select Medical Holdings Corporation (NYSE:SEM) is an operator of hospitals and outpatient clinics across the United States, and its specializations include heart and lung conditions, neurological and orthopedic issues, cancer, work-related injuries, pediatric care, and sports rehab.