5 Best Dividend Stocks to Buy According to John Rogers’ Ariel Investments

4. Walgreens Boots Alliance, Inc. (NASDAQ:WBA)

Number of Hedge Fund Holders: 38
Dividend Yield as of May 26: 4.50%
Ariel Investments’ Stake Value: $66,969,000

Walgreens Boots Alliance, Inc. (NASDAQ:WBA) is an Anglo-Swiss-American company that mainly deals in pharmaceutical products. Ariel Investments held stakes worth roughly $67 million in the company at the end of Q1 2022, making up 0.59% of John Rogers’ portfolio. The hedge fund first bought shares worth $29.2 million in the company during the second quarter of 2020.

Walgreens Boots Alliance, Inc. (NASDAQ:WBA) currently pays a quarterly dividend of $0.4775 per share, with a dividend yield of 4.50%, as of the close of May 26. The company has consecutively paid dividends to shareholders for 89 years, while maintaining a 46-year track record of dividend growth. This April, Cowen set a $50 price target on Walgreens Boots Alliance, Inc. (NASDAQ:WBA), with an Outperform rating on the shares.

As per Insider Monkey’s Q1 2022 data, 38 hedge funds held stakes in Walgreens Boots Alliance, Inc. (NASDAQ:WBA), down from 42 in the previous quarter. The collective value of these stakes is roughly $737 million. With stakes worth roughly $107.4 million, Camber Capital Management held one of the largest positions in the Illinois-based company in Q1 2022.

Miller Howard Investments mentioned Walgreens Boots Alliance, Inc. (NASDAQ:WBA) in its Q3 2021 investor letter. Here is what the firm has to say:

“While optimistic about a recovery, we continue to balance our cyclical holdings with dividend-payers in stable, less economically-sensitive industries. We took a position in Walgreens (WBA) based on its low valuation, high dividend yield, and stable business model.”