5 Best Dividend Stocks Under $20

3 – General Electric Company (NYSE:GE)

Although you might not be familiar with some of the companies in our list, I am sure most of you know General Electric very well. Starting with the Thomas Edison’s first incandescent light bulb, this company has pioneered technologies that transformed our world. GE has improved the lives of billions with its products and innovations on various fronts. The company has long been a leader in power, renewable energy, aviation and healthcare. General Electric has also another segment, which is financial services and activities of this business listed under GE Capital in the SEC filings.

As of this year’s third quarter report, GE had $254 billion worth of total assets. Due to steep market decline, recovery will be probably very slow on some business areas and this might hit the profitability. Not surprisingly GE declared only $0.04 dividends per share recently, and this is one of the lowest figures on our list. This payment corresponds to a 0.37 percent dividend yield. However, the company is taking action to navigate through risks. And it seems that market participants are convinced. Out of 823 big hedge funds 45 managers decided to invest in GE. Among these hedge funds Eagle Capital Management had the biggest position in GE with its $821 million investment. Closing price of the General Electric’s shares on December 17th was $10.87.

On the latest earnings call company’s CEO Larry Culp said: “I am proud of the GE team’s work in the third quarter to build momentum while continuing to protect the safety of our employees, serve our customers and communities, and preserve GE’s strengths. We are improving our profit and cash performance with organic margin expansion in every segment except Aviation, though orders more broadly remain under pressure. While our work continues, GE’s transformation is accelerating, and we expect Industrial free cash flow to be at least $2.5 billion in the fourth quarter and positive in 2021. We remain focused on unlocking upside potential for the long term.”