13 Most Profitable Dividend Stocks to Buy Right Now

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3. Broadcom Inc. (NASDAQ:AVGO)

Net Profit Margin: 31.39%

Broadcom Inc. (NASDAQ:AVGO) has quietly positioned itself as a prominent player behind the ongoing artificial intelligence surge. In the third quarter of FY 2025, the company reported about $16 billion in revenue, marking an increase of 22% from the previous year. Its AI-related revenue increased even faster, climbing 63% to $5.2 billion YoY. Most of that development is coming from its networking division, powered by new custom chips such as Tomahawk 6, which effectively doubles the bandwidth for AI data centers.

Broadcom Inc. (NASDAQ:AVGO)’s growing presence in the AI ​​space was reinforced by reports that it is working closely with OpenAI to create a custom AI chip, which would be launched in 2026. This partnership throws light on the power of a highly competitive market focused on the speed and efficiency of the company. With the long-term demand for management and the rapid increase in sales of AI, the company finds a well-deployed approach to maintain a trajectory. Nevertheless, some of its huge dependence on some big customers and already elevated expectations may face further challenges.

Outside the AI, Broadcom Inc. (NASDAQ:AVGO) stands out for its frequent returns for shareholders. The company has raised its dividend for 14 straight years and currently pays quarterly dividends of $0.59 per share. The stock has a dividend yield of 0.70%, as of October 6.

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