Markets

Insider Trading

Hedge Funds

Retirement

Opinion

15 Best Annual Dividend Stocks To Buy Now

In this article, we discuss 15 best annual dividend stocks to buy now. You can skip our detailed analysis of dividend stocks and their performance in the past, and go directly to read 5 Best Annual Dividend Stocks To Buy Now

Investors widely favor dividend-paying stocks, irrespective of the frequency at which dividends are distributed. While a majority of companies adhere to a quarterly dividend distribution schedule to provide returns to shareholders, there are variations in payout frequency. Some companies opt for a monthly dividend distribution, offering investors more regular income streams, while others choose an annual payout structure. The appeal of dividend-paying stocks lies in the steady income they provide, making them attractive to a diverse range of investors seeking a reliable source of returns from their investments.

The frequency of dividend payments is not a determining factor in the attractiveness of these stocks, as they have consistently delivered robust returns over the years. A report by Hartford Funds highlighted that from 1930 to 2022, the contribution of dividend income to the total return of the S&P 500 Index averaged 41%. Apart from their substantial contribution to the overall market return, dividends are attractive to investors due to their yields. However, the common mistake among investors seeking dividend-paying investments is to solely focus on those offering the highest yields. A study conducted by Wellington Management sheds light on the potential pitfalls of this approach.

Wellington Management analyzed by categorizing dividend-paying stocks into quintiles based on their dividend payouts. The top 20%, labeled as the first quintile, comprised the highest dividend payers, while the bottom 20%, the fifth quintile, consisted of the lowest dividend payers. Surprisingly, the study found that second-quintile stocks outperformed the S&P 500 Index in eight out of the 10 time periods spanning from 1930 to 2022. The first- and third-quintile stocks tied for second place, collectively beating the Index 67% of the time. On the contrary, fourth- and fifth-quintile stocks consistently lagged behind by a significant margin. The superior performance of second-quintile dividend-paying stocks can be attributed to the fact that the excessive dividend payouts of first-quintile stocks haven’t always proven to be sustainable over time. This highlights the importance of a more nuanced approach when selecting dividend-paying investments, considering factors beyond just the immediate yield.

In this context, it is more sensible to consider companies that consistently raise their dividends. Dividend growth, especially when coupled with robust balance sheets and substantial yields, can offer investors a reliable source of income, act as a buffer against market downturns, and potentially contribute to the healthy growth of investments. According to a report from Guardian Capital citing data from Goldman Sachs, from 1970 to 2021, companies that are consistent dividend growers and payers have demonstrated better performance compared to non-dividend payers and those that have reduced dividends, especially during periods characterized by high inflation and rising interest rates.

While major companies such as The Procter & Gamble Company (NYSE:PG), Johnson & Johnson (NYSE:JNJ), and AbbVie Inc. (NYSE:ABBV) pay dividends on a quarterly basis, we will discuss some of the best dividend stocks that offer annual dividends.

Photo by Dan Dennis on Unsplash

Our Methodology:

For this list, we selected dividend companies that pay dividends just once a year to shareholders. Most of these companies are traded on American exchanges, however, some foreign companies on our list are traded on the OTC market. The listed companies below have been selected based on their dividend frequency, indicating that they may pay dividends less frequently. Consequently, it’s important to note that their dividend yields could be comparatively lower. We measured hedge fund sentiment around American stocks based on Insider Monkey’s database for Q2 2023. The stocks are ranked from the lowest dividend yield to the highest, as of January 30. Hedge funds’ top 10 consensus stock picks outperformed the S&P 500 Index by more than 140 percentage points over the last 10 years (see the details here).

15. Cameco Corporation (NYSE:CCJ)

Dividend Yield as of January 30: 0.19%

Cameco Corporation (NYSE:CCJ) is a Canadian mining company and one of the world’s largest uranium producers. Its primary business involves the exploration, mining, refining, and marketing of uranium. The company currently offers an annual dividend of C$0.12 per share and has a dividend yield of 0.19%, as of January 30. It has been paying regular dividends to shareholders since 1991, which makes CCJ one of the best dividend stocks that pay annual dividends to shareholders.

Though annual dividend stocks are gaining popularity, investors also consider stocks that offer quarterly payouts, such as The Procter & Gamble Company (NYSE:PG), Johnson & Johnson (NYSE:JNJ), and AbbVie Inc. (NYSE:ABBV).

At the end of Q3 2023, 54 hedge funds tracked by Insider Monkey reported having stakes in Cameco Corporation (NYSE:CCJ), the same as in the previous quarter. The consolidated value of these stakes is over $1.05 billion. With roughly 4 million shares, Driehaus Capital was the company’s leading stakeholder in Q3.

14. Churchill Downs Incorporated (NASDAQ:CHDN)

Dividend Yield as of January 30: 0.31%

Churchill Downs Incorporated (NASDAQ:CHDN) is an American diversified racing, gaming, and entertainment company. It is famous for its horse racing events, especially the Kentucky Derby, held annually in Louisville, Kentucky. In November 2023, the company declared its annual dividend of $0.382 per share, which has a dividend yield of 0.31%, as of January 30. It is one of the best annual dividend stocks on our list as the company has a 31-year run of paying regular dividends to shareholders.

As of the close of Q3 2023, 24 hedge funds in Insider Monkey’s database reported having stakes in Churchill Downs Incorporated (NASDAQ:CHDN), compared with 35 in the previous quarter. These stakes are collectively valued at over $303 million.

13. Shenandoah Telecommunications Company (NASDAQ:SHEN)

Dividend Yield as of January 30: 0.43%

Shenandoah Telecommunications Company (NASDAQ:SHEN) commonly known as Shentel, is a telecommunications company that provides a range of services primarily in rural areas of Virginia, West Virginia, Maryland, and Pennsylvania. In October 2023, the company declared a 12.5% hike in its annual dividend to $0.09 per share. This was the company’s 64th consecutive annual dividend, which makes SHEN one of the best dividend stocks that pay annual dividends. The stock’s dividend yield on January 30 came in at 0.43%.

At the end of September 2023, 4 hedge funds tracked by Insider Monkey owned stakes in Shenandoah Telecommunications Company (NASDAQ:SHEN), which remained unchanged from the previous quarter. The collective value of these stakes is more than $3.5 million.

12. Balchem Corporation (NASDAQ:BCPC)

Dividend Yield as of January 30: 0.56%

Balchem Corporation (NASDAQ:BCPC) is next on our list of the best annual dividend stocks to buy now. The global company specializes in the development, manufacturing, and marketing of specialty ingredients and products for various industries. The company has been growing its dividends consistently for the past 15 years. It currently offers an annual dividend of $0.79 per share and has a dividend yield of 0.56%, as of January 30.

Balchem Corporation (NASDAQ:BCPC) was a part of 10 hedge fund portfolios at the end of Q3 2023, down from 12 in the previous quarter, as per Insider Monkey’s database. The stakes owned by these funds have a total value of over $40.3 million. Among these hedge funds, Montanaro Asset Management was the largest stakeholder of the company in Q3.

11. SAP SE (NYSE:SAP)

Dividend Yield as of January 30: 1.27%

SAP SE (NYSE:SAP) is a multinational software corporation based in Germany that provides enterprise software solutions to businesses of various sizes and industries. In 2023, the company declared an annual dividend of €2.05 per share, which showed a 5% growth from the dividend paid the previous year. It expects to pay approximately €2.4 billion in dividends through FY23. With a dividend yield of 1.27% as of January 30, SAP is one of the best annual dividend stocks on our list.

As of the end of the September quarter of 2023, 17 hedge funds tracked by Insider Monkey owned stakes in SAP SE (NYSE:SAP), up from 16 in the previous quarter. The total value of these stakes is over $1.08 billion.

10. Logitech International S.A. (NASDAQ:LOGI)

Dividend Yield as of January 30: 1.38%

Logitech International S.A. (NASDAQ:LOGI) is a Swiss-American company that designs and manufactures computer peripherals and accessories. These devices are designed to enhance user experience and improve productivity in various computing environments. It currently pays an annual dividend of $1.187 per share and has a dividend yield of 1.38%, as of January 30. It is one of the best annual dividend stocks on our list as the company has been growing its dividends consistently since 2014.

Insider Monkey’s database of Q3 2023 indicated that 14 hedge funds owned stakes in Logitech International S.A. (NASDAQ:LOGI), down from 18 in the preceding quarter. These stakes are collectively valued at over $78.3 million. Marshall Wace LLP was the company’s leading stakeholder in Q3.

9. Flanigan’s Enterprises, Inc. (NYSE:BDL)

Dividend Yield as of January 30: 1.68%

Flanigan’s Enterprises, Inc. (NYSE:BDL) is a Florida-based packaged store company that is primarily known for its involvement in the restaurant and beverage industry, particularly through its chain of restaurants and liquor stores. In 2023, the company declared an annual dividend of $0.45 per share. The stock’s dividend yield on January 30 came in at 1.68%.

At the end of Q3 2023, Jim Simon’s Renaissance Technologies was the only stakeholder of Flanigan’s Enterprises, Inc. (NYSE:BDL), according to Insider Monkey’s database.

8. Citizens Community Bancorp, Inc. (NASDAQ:CZWI)

Dividend Yield as of January 30: 2.36%

Citizens Community Bancorp, Inc. (NASDAQ:CZWI) is a community-oriented financial institution that provides a range of banking services to individuals, businesses, and communities. The company is also involved in lending activities, offering various loan products. It is one of the best annual dividend stocks on our list as the company has been raising its dividends for four consecutive years. Currently, it offers an annual dividend of $0.29 per share and has a dividend yield of 2.36%, as recorded on January 30.

According to Insider Monkey’s database of Q3 2023, 3 hedge funds owned stakes in Citizens Community Bancorp, Inc. (NASDAQ:CZWI), the same as in the previous quarter. The total value of these stakes is over $6.8 million.

7. Touchstone Bankshares, Inc. (OTC:TSBA)

Dividend Yield as of January 30: 3.12%

Touchstone Bankshares, Inc. (OTC:TSBA) is a Virginia-based commercial banking company. It has raised its dividends every year since 2021 and it currently offers an annual dividend of $0.32 per share. With a dividend yield of 3.12% as of January 30, TSBA is one of the best annual dividend stocks on our list.

6. Novartis AG (NYSE:NVS)

Dividend Yield as of January 30: 3.24%

Novartis AG (NYSE:NVS) is a Swiss multinational pharmaceutical company with a global presence. The company is engaged in the research, development, manufacturing, and marketing of a wide range of healthcare products. It offers an annual dividend of CHF 3.20 per share and has a dividend yield of 3.24%, as of January 30. The company has been rewarding shareholders with growing dividends for the past 26 consecutive years, which makes NVS one of the best annual dividend stocks on our list.

In addition to CHF, many quarterly dividend stocks also hold strong dividend growth streaks, such as The Procter & Gamble Company (NYSE:PG), Johnson & Johnson (NYSE:JNJ), and AbbVie Inc. (NYSE:ABBV).

Of the 910 hedge funds tracked by Insider Monkey at the end of Q3 2023, 26 funds owned stakes in Novartis AG (NYSE:NVS). The total value of these stakes is over $468 million. With over 1.4 million shares, Fisher Asset Management was the company’s leading stakeholder in Q3.

Click to continue reading and see 5 Best Annual Dividend Stocks To Buy Now

Suggested articles:

Disclosure. None. 15 Best Annual Dividend Stocks To Buy Now is originally published on Insider Monkey.

AI, Tariffs, Nuclear Power: One Undervalued Stock Connects ALL the Dots (Before It Explodes!)

Artificial intelligence is the greatest investment opportunity of our lifetime. The time to invest in groundbreaking AI is now, and this stock is a steal!

AI is eating the world—and the machines behind it are ravenous.

Each ChatGPT query, each model update, each robotic breakthrough consumes massive amounts of energy. In fact, AI is already pushing global power grids to the brink.

Wall Street is pouring hundreds of billions into artificial intelligence—training smarter chatbots, automating industries, and building the digital future. But there’s one urgent question few are asking:

Where will all of that energy come from?

AI is the most electricity-hungry technology ever invented. Each data center powering large language models like ChatGPT consumes as much energy as a small city. And it’s about to get worse.

Even Sam Altman, the founder of OpenAI, issued a stark warning:

“The future of AI depends on an energy breakthrough.”

Elon Musk was even more blunt:

“AI will run out of electricity by next year.”

As the world chases faster, smarter machines, a hidden crisis is emerging behind the scenes. Power grids are strained. Electricity prices are rising. Utilities are scrambling to expand capacity.

And that’s where the real opportunity lies…

One little-known company—almost entirely overlooked by most AI investors—could be the ultimate backdoor play. It’s not a chipmaker. It’s not a cloud platform. But it might be the most important AI stock in the US owns critical energy infrastructure assets positioned to feed the coming AI energy spike.

As demand from AI data centers explodes, this company is gearing up to profit from the most valuable commodity in the digital age: electricity.

The “Toll Booth” Operator of the AI Energy Boom

  • It owns critical nuclear energy infrastructure assets, positioning it at the heart of America’s next-generation power strategy.
  • It’s one of the only global companies capable of executing large-scale, complex EPC (engineering, procurement, and construction) projects across oil, gas, renewable fuels, and industrial infrastructure.
  • It plays a pivotal role in U.S. LNG exportation—a sector about to explode under President Trump’s renewed “America First” energy doctrine.

Trump has made it clear: Europe and U.S. allies must buy American LNG.

And our company sits in the toll booth—collecting fees on every drop exported.

But that’s not all…

As Trump’s proposed tariffs push American manufacturers to bring their operations back home, this company will be first in line to rebuild, retrofit, and reengineer those facilities.

AI. Energy. Tariffs. Onshoring. This One Company Ties It All Together.

While the world is distracted by flashy AI tickers, a few smart investors are quietly scooping up shares of the one company powering it all from behind the scenes.

AI needs energy. Energy needs infrastructure.

And infrastructure needs a builder with experience, scale, and execution.

This company has its finger in every pie—and Wall Street is just starting to notice.

Wall Street is noticing this company also because it is quietly riding all of these tailwinds—without the sky-high valuation.

While most energy and utility firms are buried under mountains of debt and coughing up hefty interest payments just to appease bondholders…

This company is completely debt-free.

In fact, it’s sitting on a war chest of cash—equal to nearly one-third of its entire market cap.

It also owns a huge equity stake in another red-hot AI play, giving investors indirect exposure to multiple AI growth engines without paying a premium.

And here’s what the smart money has started whispering…

The Hedge Fund Secret That’s Starting to Leak Out

This stock is so off-the-radar, so absurdly undervalued, that some of the most secretive hedge fund managers in the world have begun pitching it at closed-door investment summits.

They’re sharing it quietly, away from the cameras, to rooms full of ultra-wealthy clients.

Why? Because excluding cash and investments, this company is trading at less than 7 times earnings.

And that’s for a business tied to:

  • The AI infrastructure supercycle
  • The onshoring boom driven by Trump-era tariffs
  • A surge in U.S. LNG exports
  • And a unique footprint in nuclear energy—the future of clean, reliable power

You simply won’t find another AI and energy stock this cheap… with this much upside.

This isn’t a hype stock. It’s not riding on hope.

It’s delivering real cash flows, owns critical infrastructure, and holds stakes in other major growth stories.

This is your chance to get in before the rockets take off!

Disruption is the New Name of the Game: Let’s face it, complacency breeds stagnation.

AI is the ultimate disruptor, and it’s shaking the foundations of traditional industries.

The companies that embrace AI will thrive, while the dinosaurs clinging to outdated methods will be left in the dust.

As an investor, you want to be on the side of the winners, and AI is the winning ticket.

The Talent Pool is Overflowing: The world’s brightest minds are flocking to AI.

From computer scientists to mathematicians, the next generation of innovators is pouring its energy into this field.

This influx of talent guarantees a constant stream of groundbreaking ideas and rapid advancements.

By investing in AI, you’re essentially backing the future.

The future is powered by artificial intelligence, and the time to invest is NOW.

Don’t be a spectator in this technological revolution.

Dive into the AI gold rush and watch your portfolio soar alongside the brightest minds of our generation.

This isn’t just about making money – it’s about being part of the future.

So, buckle up and get ready for the ride of your investment life!

Act Now and Unlock a Potential 100+% Return within 12 to 24 months.

We’re now offering month-to-month subscriptions with no commitments.

For a ridiculously low price of just $9.99 per month, you can unlock our in-depth investment research and exclusive insights – that’s less than a single fast food meal!

Space is Limited! Only 1000 spots are available for this exclusive offer. Don’t let this chance slip away – subscribe to our Premium Readership Newsletter today and unlock the potential for a life-changing investment.

Here’s what to do next:

1. Head over to our website and subscribe to our Premium Readership Newsletter for just $9.99.

2. Enjoy a month of ad-free browsing, exclusive access to our in-depth report on the Trump tariff and nuclear energy company as well as the revolutionary AI-robotics company, and the upcoming issues of our Premium Readership Newsletter.

3. Sit back, relax, and know that you’re backed by our ironclad 30-day money-back guarantee.

Don’t miss out on this incredible opportunity! Subscribe now and take control of your AI investment future!


No worries about auto-renewals! Our 30-Day Money-Back Guarantee applies whether you’re joining us for the first time or renewing your subscription a month later!

A New Dawn is Coming to U.S. Stocks

I work for one of the largest independent financial publishers in the world – representing over 1 million people in 148 countries.

We’re independently funding today’s broadcast to address something on the mind of every investor in America right now…

Should I put my money in Artificial Intelligence?

Here to answer that for us… and give away his No. 1 free AI recommendation… is 50-year Wall Street titan, Marc Chaikin.

Marc’s been a trader, stockbroker, and analyst. He was the head of the options department at a major brokerage firm and is a sought-after expert for CNBC, Fox Business, Barron’s, and Yahoo! Finance…

But what Marc’s most known for is his award-winning stock-rating system. Which determines whether a stock could shoot sky-high in the next three to six months… or come crashing down.

That’s why Marc’s work appears in every Bloomberg and Reuters terminal on the planet…

And is still used by hundreds of banks, hedge funds, and brokerages to track the billions of dollars flowing in and out of stocks each day.

He’s used this system to survive nine bear markets… create three new indices for the Nasdaq… and even predict the brutal bear market of 2022, 90 days in advance.

Click to continue reading…