5 Best Dividend-Paying Stocks Under $50

In this article, we discuss 5 best dividend-paying stocks under $50. If you want to read our detailed analysis of dividend stocks and their returns over the years, go directly to read 14 Best Dividend-Paying Stocks Under $50. 

5. Comcast Corporation (NASDAQ:CMCSA)

Number of Hedge Fund Holders: 72
Share Price as of April 7: $37.6

Comcast Corporation (NASDAQ:CMCSA) is an American multinational telecommunications company. KeyBanc upgraded the stock to Overweight in April with a $44 price target and mentioned that near-term setup in cable and wireless is most attractive.

On January 26, Comcast Corporation (NASDAQ:CMCSA) declared a 7.4% hike in its quarterly dividend to $0.29 per share. Through this increase, the company took its dividend growth streak to 15 years, which makes it one of the best dividend stocks on our list. The stock’s dividend yield on April 7 came in at 3.08%.

At the end of Q4 2022, 72 hedge funds tracked by Insider Monkey reported having stakes in Comcast Corporation (NASDAQ:CMCSA), compared with 73 in the previous quarter. The collective value of these stakes is over $3.67 billion.

ClearBridge Investments mentioned Comcast Corporation (NASDAQ:CMCSA) in its Q4 2022 investor letter. Here is what the firm has to say:

“That balance served the Strategy well throughout the year, enabling outperformance against the benchmark in all four quarters. Results in the last three months were driven by a long-time media position in Comcast Corporation (NASDAQ:CMCSA), which we consider a durable compounder due to its consistent revenue growth and free cash flow generation. Comcast shares saw a snapback after a difficult first half of the year caused by cord cutting in its cable business and slowing subscriber growth in its broadband business. A flexible balance sheet and strong cash generation enabled the company to repurchase shares during the selloff earlier in the year.”

4. Pfizer Inc. (NYSE:PFE)

Number of Hedge Fund Holders: 75
Share Price as of April 7: $41.50

Pfizer Inc. (NYSE:PFE) is an American multinational pharmaceutical industry company, based in New York. The company currently offers a quarterly dividend of $0.41 per share, having raised it by 2.5% in December 2022. This was the company’s 13th consecutive year of dividend growth. The stock’s dividend yield came in at 3.95% on April 7. It is among the best dividend stocks on our list.

In February, JPMorgan appreciated Pfizer Inc. (NYSE:PFE)’s decision to acquire Seagen and mentioned that this acquisition could bring $7 billion in its oncology sales through 2030. The firm maintained a Neutral rating on the stock.

As of the close of Q4 2022, 75 hedge funds in Insider Monkey’s database reported having stakes in Pfizer Inc. (NYSE:PFE), worth over $2.5 billion collectively.

Diamond Hill Capital mentioned Pfizer Inc. (NYSE:PFE) in its Q3 2022 investor letter. Here is what the firm has to say:

“Also among our bottom contributors were health care products manufacturer Abbott Labs, global pharmaceutical company Pfizer Inc. (NYSE:PFE), media and technology giant Alphabet, and insurance company American International Group (AIG). Although Pfizer continues to report strong performance of its core drugs, sales of its COVID vaccine and treatment have likely peaked and sales are expected to decline going forward. We remain optimistic about the company long term as we believe management is taking the company in the right direction, focusing R&D, and making strategic acquisitions with profits generated from COVID vaccine sales.”

3. Citigroup Inc. (NYSE:C)

Number of Hedge Fund Holders: 81
Share Price as of April 7: $45.8

Citigroup Inc. (NYSE:C) is a New York-based multinational investment banking company. In March, RBC Capital gave a neutral stance on the banking sector considering the ongoing inflation and interest rate hikes. Given this, the firm maintained an Outperform rating on the stock with a $51 price target.

Citigroup Inc. (NYSE:C), one of the best dividend stocks, declared a quarterly dividend of $0.51 per share on April 3, which was in line with its previous dividend. The stock has a dividend yield of 4.45%, As of April 7.

At the end of Q4 2022, 81 hedge funds tracked by Insider Monkey owned stakes in Citigroup Inc. (NYSE:C), compared with 85 in the preceding quarter. The collective value of these stakes is nearly $7.5 billion. Berkshire Hathaway was the company’s leading stakeholder in Q4.

2. Wells Fargo & Company (NYSE:WFC)

Number of Hedge Fund Holders: 87
Share Price as of April 7: $37.9

Wells Fargo & Company (NYSE:WFC) is an American multinational financial services company, based in California. Raymond James upgraded the stock to Strong Buy in April with a $47 price target. The firm mentioned that the bank would be a major beneficiary of the SVB’s fallout last month, which would offer great earnings potential to the bank.

Wells Fargo & Company (NYSE:WFC) is one of the best dividend stocks on our list as it has been making uninterrupted dividend payments to shareholders since 1959. It currently pays a quarterly dividend of $0.30 per share and has a dividend yield of 3.17%, as of April 7.

Wells Fargo & Company (NYSE:WFC) was a popular buy among elite funds in Q4 2022, as 87 funds in Insider Monkey’s database owned investments in the company, up from 77 in the previous quarter. These investments have a value of over $5.5 billion collectively.

Davis Advisers mentioned Wells Fargo & Company (NYSE:WFC) in its annual 2022 investor letter. Here is what the firm has to say:

“Our investment thesis for our next largest bank investment, Wells Fargo, is totally different. As is well known, Wells Fargo & Company (NYSE:WFC) is the country’s third-largest bank, serving one in three U.S. households. Years of regulatory missteps under prior managements resulted in reputational damage, higher-than-average expenses, numerous consent orders, caps on asset growth, all added to the negative impact of low rates on their interest income. However, where others see bad news, we see resiliency and gradual improvement. Wells Fargo’s resiliency is reflected in the fact that despite years of terrible headlines and congressional hearings, Wells Fargo’s core customers stayed put and customer attrition remains extraordinarily low. (Click here to view the full text)

1. Bank of America Corporation (NYSE:BAC)

Number of Hedge Fund Holders: 100
Share Price as of April 7: $27.8

An American financial services company, Bank of America Corporation (NYSE:BAC) tops our list of the best dividend stocks under $50. The company has been raising its dividends consistently for the past 9 years and pays a quarterly dividend of $0.22 per share. The stock has a dividend yield of 3.16%, as of April 7.

Bank of America Corporation (NYSE:BAC) was a part of 100 hedge fund portfolios in Q4 2022, as per Insider Monkey’s data. The stakes owned by these hedge funds have a total value of $37.5 billion.

Ariel Investments mentioned Bank of America Corporation (NYSE:BAC) in its third-quarter 2022 investor letter. Here is what the firm has to say:

“We initiated three new positions in the quarter. We added leading financial institution Bank of America Corporation (NYSE:BAC) which serves individual consumers, small and middle-market businesses, and large corporations with a full range of banking, investing, asset management, and other financial and risk management products and services. The current company was formed through various mergers including NationsBank, FleetBoston, US Trust, Countrywide Financial, and Merrill Lynch with the legacy commercial bank to form a national banking powerhouse and bulge bracket investment firm. As one of the ‘Big Four’ U.S. banks it enjoys scale driven cost advantages and economies of scale which provide meaningful competitive advantages and potential for strong returns in the largely commoditized banking industry. A survivor of the financial crisis, BAC has emerged with a solid capital base and stands to benefit from a rising interest rate environment.”

You can also take a look at 12 Best WallStreetBets Stocks To Buy Now and 12 Best Dow Stocks to Buy Now

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