5 Best Diversified Dividend Stocks to Buy Now

3. Colgate-Palmolive Company (NYSE:CL)

Number of Hedge Fund Holders: 61

An American manufacturing company, Colgate-Palmolive Company (NYSE:CL) is next on our list of the best dividend stocks. The company specializes in the household, healthcare, and personal care sectors. It pays a quarterly dividend of $0.48 per share and has a dividend yield of 2.59%, as of March 28. The company has been raising its dividends consistently for the past 61 years.

In March, Deutsche Bank maintained a Buy rating on Colgate-Palmolive Company (NYSE:CL) with an $80 price target, presenting a conservative outlook for the consumer staples sector.

At the end of December 2022, 61 hedge funds in Insider Monkey’s database had stakes in Colgate-Palmolive Company (NYSE:CL), compared with 57 in the previous quarter. The consolidated value of these stakes is over $4.46 billion.

Third Point mentioned Colgate-Palmolive Company (NYSE:CL) in its Q4 2022 investor letter. Here is what the firm has to say:

“Colgate-Palmolive Company (NYSE:CL) remains one of the firm’s largest equity positions. The company offers defensive growth at a reasonable valuation, and we continue to see the potential for shares to deliver attractive risk adjusted returns over the next several years.

Fourth Quarter results were disappointing. The company missed on gross margins, guided 2023 well below the Street, and took another large impairment charge on its portfolio of skin care brands. The price action on the day of the print (down 5%) was extreme and perhaps reflective of growing investor frustration that the company has failed to sustainably grow earnings over the past decade.”