In this article, we will take a look at the 14 Value Stocks with Highest Dividends.
Dividends have been part of the conversation for as long as modern finance has existed. Over time, a lot of research has focused on how they shape returns and how dividend-paying companies behave. A report by S&P Dow Jones Indices points out that dividend yield is a key part of total return. That has become more noticeable since the 2008 financial crisis, with markets staying volatile and interest rates remaining low. The report further revealed that strategies built around dividend yield, which combine income with some level of capital appreciation, have shown they can deliver steady income. They have also offered a degree of downside protection when markets weaken.
Data from BTS Asset Management showed that dividend growers have, over time, outperformed companies that do not pay dividends, while also showing less volatility. Companies that consistently raise their dividends have tended to hold up better during uncertain periods. They also appear less sensitive to rising interest rates and inflation, and in many cases perform better than other dividend-paying groups.
Looking at longer periods, dividend growers have delivered stronger returns with lower risk compared to companies that keep dividends flat, pay none, or cut them. The report also makes a simple point that not all dividend-paying companies are the same. Investors tend to look for sustainable payout ratios, solid balance sheets, and a consistent approach to capital allocation.
Returning capital through a growing dividend still matters. Keeping an eye on these fundamentals can help manage risk, especially when inflation and higher interest rates start to put pressure on margins.
Given this, we will take a look at some of the best value stocks with the highest dividends.
Image by Steve Buissinne from Pixabay
Our Methodology:
For this article, we screened for dividend-paying companies with forward P/Es below 20. From that list, we picked dividend stocks with yields above 4.5%, as of April 14. We limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
14. Ford Motor Company (NYSE:F)
Dividend Yield as of April 14: 4.76%
Forward P/E Ratio: 8.05
On April 14, Goldman Sachs analyst Mark Delaney lowered the firm’s price recommendation on Ford Motor Company (NYSE:F) to $13 from $15. It reiterated a Neutral rating on the shares. He pointed out that auto OEMs and suppliers are likely to post results that are mostly in line, though softer this quarter. Rising input costs and weak Q1 auto sales in China are weighing on the group, he told investors in a research note. At the same time, he drew a contrast with industrial tech companies. Those businesses are expected to report solid performance and guidance, supported by improving industrial trends and strong data center demand, the firm said.
On April 14, UBS analyst Joseph Spak upgraded Ford (F) to Buy from Neutral, while leaving the price target unchanged at $15.He said the firm sees a “credible path” to Ford earning over $2 in earnings per share in 2027, or 17% above consensus. Looking beyond that, he expects Ford to move toward $3 in earnings-per-share power. That view is tied to its product portfolio, a “more lenient” US regulatory backdrop, and a “more pragmatic” electric vehicle strategy, as he told investors in a research note. UBS also believes concerns around higher gasoline prices and rising aluminum costs are overdone in Ford shares.
Ford Motor Company (NYSE:F) is an automobile company. It develops and delivers Ford trucks, sport utility vehicles, commercial vans, and cars, along with Lincoln luxury vehicles and connected services. The company operates through Ford Blue, Ford Model e, Ford Pro, and Ford Credit.
13. International Paper Company (NYSE:IP)
Dividend Yield as of April 14: 5.01%
Forward P/E Ratio: 20.2
On April 14, Citigroup lowered its price recommendation on International Paper Company (NYSE:IP) to $44 from $47. It reiterated a Buy rating on the shares. The firm updated its estimates for the packaging group as part of its Q1 preview. It described the near-term setup as “tough” for the sector, pointing to rising energy and fiber costs. It also noted that boxboard conditions remain challenging. Oversupplied markets are limiting pricing power, the analyst said in a research note.
On April 1, Deutsche Bank initiated coverage of International Paper with a Hold rating and a $38 price target. The firm launched coverage of the packaging sector and said it is “navigating a complex and evolving economic landscape” in early 2026. It pointed out that last year’s pressures from soft consumer demand and cost inflation have not eased. Now, higher oil prices and tariff-related pressures are adding to the strain, creating a difficult backdrop for the industry, the analyst said in a research note. Deutsche said it is “constructive on the rigid and flexible packaging group” and “cautious” on the fiber-based packaging group.
International Paper Company (NYSE:IP) is a sustainable packaging solutions company. It operates through Packaging Solutions North America and Packaging Solutions EMEA. Its offerings include packaging, packaging services, and recycling.
12. Lincoln National Corporation (NYSE:LNC)
Dividend Yield as of April 14: 5.08%
Forward P/E Ratio: 4.08
On April 14, Bank of America lowered its price recommendation on Lincoln National Corporation (NYSE:LNC) to $37 from $41. It reiterated a Neutral rating on the shares. The firm said the change reflects recent Q4 developments and updates to peer multiples across its U.S. insurance coverage.
On April 13, Mizuho Financial Group lowered its price target on Lincoln National to $48 from $54 and maintained an Outperform rating. The firm adjusted its estimates and targets across its North America insurance coverage. It said it is most constructive on brokers, expects some easing in commercial pricing pressure among property and casualty insurers, and believes the setup for life insurers is “the most challenging.”
Lincoln National Corporation (NYSE:LNC) is a holding company that runs a range of insurance and retirement businesses through its subsidiaries. It operates across four segments: Annuities, Life Insurance, Group Protection, and Retirement Plan Services.
11. Kimberly-Clark Corporation (NASDAQ:KMB)
Dividend Yield as of April 14: 5.28%
Forward P/E Ratio: 12.89
On April 14, Barclays analyst Lauren Lieberman lowered the firm’s price recommendation on Kimberly-Clark Corporation (NASDAQ:KMB) to $99 from $105. It reiterated an Equal Weight rating on the shares. The firm adjusted targets across the consumer staples group as part of its Q1 preview. It said it has “growing caution” on the group heading into earnings, pointing to higher input costs. In food, the analyst also flagged “building concerns” around how sustainable the dividend is for certain companies, according to a research note.
A separate update addressed a fire at a distribution center in Ontario, California, operated by third-party logistics partner NFI Industries. Kimberly-Clark confirmed there were no reported injuries and that all employees at the facility were safely evacuated. The company said it has business interruption and property damage insurance policies in place. No Kimberly-Clark manufacturing assets were affected, and no employees of the company were onsite at the time of the fire. It added that further updates will be provided, if needed, with its next quarterly business update scheduled for April 28.
Kimberly-Clark Corporation (NASDAQ:KMB) is a global company focused on products and solutions for personal care. It operates through two segments: North America and International Personal Care.
10. T. Rowe Price Group, Inc. (NASDAQ:TROW)
Dividend Yield as of April 14: 5.42%
Forward P/E Ratio: 9.36
On April 13, T. Rowe Price Group, Inc. (NASDAQ:TROW) announced that its assets under management at the end of March stood at $1.71 trillion, down from $1.80 trillion at the end of the prior month. Net outflows came in at $3.2 billion for March, compared to $5.3 billion in the previous month. By asset class, Equity accounted for $810 billion in AUM as of March 31. Fixed income, including money market, stood at $215 billion. Multi-asset totaled $625 billion, while Alternatives came in at $60 billion.
In another update, on April 10, BMO Capital Markets lowered its price recommendation on TROW to $98 from $104. It reiterated a Market Perform rating on the shares. The firm said its negative EPS revisions across the group mainly reflect broader market headwinds that became more noticeable in March, according to a research note.
Similarly, on April 9, TD Cowen analyst Bill Katz lowered the firm’s price target on T. Rowe Price to $93 from $97 and maintained a Hold rating. The firm adjusted its targets across asset managers, broker-dealers, and exchanges as part of its Q1 preview.
T. Rowe Price Group, Inc. (NASDAQ:TROW) is a financial services holding company that provides global investment advisory services. It offers investment solutions across equity, fixed income, multi-asset, and alternative strategies, serving individuals, advisors, institutions, and retirement plan sponsors.
9. Prudential Financial, Inc. (NYSE:PRU)
Dividend Yield as of April 14: 5.67%
Forward P/E Ratio: 7.74
On April 14, Bank of America lowered its price recommendation on Prudential Financial, Inc. (NYSE:PRU) to $104 from $112. It reiterated a Neutral rating on the shares. The firm said the change reflects recent Q4 developments and updates to peer multiples across its US insurance coverage.
On April 13, Mizuho Financial Group lowered its price goal on Prudential to $101 from $113 and maintained a Neutral rating. The firm updated its estimates and targets across its North America insurance coverage and remained most constructive on brokers. It expects some easing in commercial pricing pressure among property and casualty insurers, and believes the setup for life insurers is “the most challenging.”
Prudential Financial, Inc. (NYSE:PRU) is a financial services provider and global investment manager. It offers life insurance, annuities, retirement-related products and services, mutual funds, and investment management. These products are provided to individual and institutional customers through its own and third-party distribution networks.
8. TPG Inc. (NASDAQ:TPG)
Dividend Yield as of April 14: 5.81%
Forward P/E Ratio: 13.46
On April 9, TD Cowen analyst Bill Katz lowered the firm’s price recommendation on TPG Inc. (NASDAQ:TPG) to $41 from $49. It reiterated a Hold rating on the shares. The firm adjusted targets across asset managers, broker-dealers, and exchanges as part of its Q1 preview.
On April 5, Bank of America analyst Craig Siegenthaler lowered the firm’s price objective on TPG to $60 from $69 and maintained a Buy rating. The firm reduced targets across the asset managers group as part of a Q1 preview. It said macro indicators point to a “challenging” first half of 2026, according to a research note. It also noted that no companies in the group appear positioned for strong Q1 results.
In another update, on April 7, Hologic, Inc. announced the completion of its acquisition by funds managed by Blackstone Inc. and TPG in a deal valued at up to $79 per share, taking the company private. The transaction includes minority investments from a wholly owned subsidiary of the Abu Dhabi Investment Authority and an affiliate of GIC Private Limited. In connection with the deal, the company named José E. Almeida as Chief Executive Officer, effective immediately.
TPG Inc. (NASDAQ:TPG) is an alternative asset management company. It invests across private equity, impact, credit, real estate, and market solutions.
7. Enterprise Products Partners L.P. (NYSE:EPD)
Dividend Yield as of April 14: 5.96%
Forward P/E Ratio: 13.26
On April 14, Morgan Stanley raised its price recommendation on Enterprise Products Partners L.P. (NYSE:EPD) to $42 from $38. It reiterated an Underweight rating on the shares. The firm made the adjustment as part of its North American midstream and renewable energy infrastructure weekly update.
On April 7, Mizuho Financial Group analyst Gabriel Moreen raised the firm’s price target on Enterprise Products to $44 from $38 and maintained an Outperform rating. The firm expects the company to meet near-term expectations, supported by recent energy market developments tied to geopolitical disruptions. It also noted that the company’s crude oil and liquefied petroleum gas assets could see near-term margin capture opportunities, the analyst said in a research note.
Enterprise Products Partners L.P. (NYSE:EPD) provides midstream energy services to producers and consumers of natural gas, natural gas liquids, crude oil, refined products, and petrochemicals. Its NGL Pipelines & Services segment includes natural gas processing and related NGL marketing, along with pipelines, fractionation facilities, storage, and marine terminals.
6. Best Buy Co., Inc. (NYSE:BBY)
Dividend Yield as of April 14: 6.23%
Forward P/E Ratio: 9.29
On April 13, Goldman Sachs analyst Kate McShane double-downgraded Best Buy Co., Inc. (NYSE:BBY) to Sell from Buy. It also reduced the price target to $59 from $76. The firm sees risk to sales following the Q1 report as higher memory costs begin to flow into laptop and computer prices. It also pointed to margin pressure. Consumers may shift toward lower-priced models, and volumes could decline as manufacturers scale back shipments, the analyst said in a research note. Goldman added that the company is still struggling to grow its appliance and consumer electronics categories.
During its Q4 2026 earnings call, Best Buy shared its outlook for fiscal 2027. Revenue is expected to range between $41.2 billion and $42.1 billion. The company said comparable sales could fall 1% or rise 1%, reflecting a steady but uncertain demand environment. It also expects an adjusted operating income rate of about 4.3% to 4.4%, with adjusted diluted EPS between $6.30 and $6.60.On capital allocation, Best Buy plans to spend about $300 million on share repurchases. Capital expenditures are expected to be around $750 million. Corie Barry, CEO, said the company is operating in a mixed macroeconomic backdrop and expects comparable sales growth to remain within the range of down 1% to up 1%. Matthew Bilunas, CFO, noted that the gross profit rate should improve by about 30 basis points from the prior year, supported by growth in Best Buy Ads and its US Marketplace operations.
Best Buy Co., Inc. (NYSE:BBY) focuses on delivering technology solutions in a more personalized way. It operates through two segments: Domestic and International.
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