5 Best Halal Dividend Stocks To Buy

In this article, we discuss 5 best halal dividend stocks to buy. If you want to read our detailed analysis of dividend stocks and their performance, go directly to read 10 Best Halal Dividend Stocks To Buy. 

5. Kimberly-Clark Corporation (NYSE:KMB)

Dividend Yield as of December 7: 3.39%

Kimberly-Clark Corporation (NYSE:KMB) is a Texas-based multinational manufacturing company that specializes in paper-based consumer products. In the third quarter of 2022, the company reported an operating cash flow of $798 million, compared with $782 million in the prior-year quarter. It returned $392 million to shareholders in dividends during the quarter, which places it as one of the best dividend stocks on our list.

On November 17, Kimberly-Clark Corporation (NYSE:KMB) announced a quarterly dividend of $1.16 per share, which fell in line with its previous dividend. The company has been making consistent dividend payments to shareholders for the past 88 years while maintaining a 50-year streak of dividend growth. The stock’s dividend yield on December 7 came in at 3.39%.

The number of hedge funds tracked by Insider Monkey owning stakes in Kimberly-Clark Corporation (NYSE:KMB) jumped to 34 in Q3 2022, from 24 in the previous quarter. These stakes have a total value of nearly $680 million. With over 1 million shares, Two Sigma Advisors was the company’s leading stakeholder in Q3.

4. Exxon Mobil Corporation (NYSE:XOM)

Dividend Yield as of December 7: 3.53%

Exxon Mobil Corporation (NYSE:XOM) is an American energy company that deals in the distribution of natural gas. In November, Citigroup raised its price target on the stock to $110 with a Neutral rating on the shares. The firm mentioned that energy stocks usually perform better in earnings recession and presented a positive stance on the sector.

In 2022, Exxon Mobil Corporation (NYSE:XOM) extended its dividend growth streak to 40 years, which makes it one of the best dividend stocks to invest in. The company currently pays a quarterly dividend of $0.91 per share for a dividend yield of 3.53%, as of December 7. In Q3 2022, it paid $3.7 billion to shareholders in dividends, which shows the company’s strong cash generation.

As of the close of Q3 2022, 75 hedge funds tracked by Insider Monkey owned stakes in Exxon Mobil Corporation (NYSE:XOM), up from 72 in the previous quarter. The collective value of these stakes is $5.5 billion. Rajiv Jain’s GQG Partners was the company’s leading stakeholder in Q3.

3. Essex Property Trust, Inc. (NYSE:ESS)

Dividend Yield as of December 7: 4.14%

Essex Property Trust, Inc. (NYSE:ESS) is an American real estate investment trust company that invests in apartment buildings. In December, Morgan Stanley maintained an Equal Weight rating on the stock with a $242 price target. The firm presented a balanced view of apartment REITs in the given market condition.

In the third quarter of 2022, Essex Property Trust, Inc. (NYSE:ESS) reported revenue of $406.8 million, which showed a 12.8% growth from the same period last year. As of October, the company had $1.1 billion in liquidity. It also repurchased shares worth over $97.6 million under its ongoing stock repurchase program.

Essex Property Trust, Inc. (NYSE:ESS), one of the best dividend stocks to buy, has been raising its dividends consistently for the past 28 years. The company’s current quarterly dividend stands at $2.20 per share with a dividend yield of 4.14%, as of December 7.

At the end of September 2022, 24 hedge funds tracked by Insider Monkey reported owning stakes in Essex Property Trust, Inc. (NYSE:ESS), worth $210.7 million collectively.

2. 3M Company (NYSE:MMM)

Dividend Yield as of December 7: 4.73%

3M Company (NYSE:MMM) is a multinational conglomerate that manufactures products related to different industries. The company has always remained committed to shareholder obligation and in Q3 2022, it returned $1 billion to stakeholders in dividends and share repurchases. The company’s strong cash position and dividend growth streak make it one of the best dividend stocks on our list.

On November 8, 3M Company (NYSE:MMM) declared a quarterly dividend of $1.49 per share, consistent with its previous dividend. The company holds a 64-year streak of dividend growth. As of December 7, the stock has a dividend yield of 4.73%.

At the end of Q3 2022, 49 hedge funds tracked by Insider Monkey owned stakes in 3M Company (NYSE:MMM), worth over $1.45 billion.

Mayar Capital mentioned 3M Company (NYSE:MMM) in its Q2 2022 investor letter. Here is what the firm has to say:

“We also bought back into 3M (NYSE:MMM) as the stock reached attractive levels. We’d sold our shares in 3M last year when the price exceeded our estimated fair value, and as better opportunities to invest in presented themselves at the time. Nonetheless, we’ve always liked this business with its diversified revenues, its R&D leadership and its stable margins.

1. V.F. Corporation (NYSE:VFC)

Dividend Yield as of December 7: 7.10%

V.F. Corporation (NYSE:VFC) is an American multinational apparel and footwear company that manages its 13 brands. In fiscal Q2 2023, the company reported revenue of $3.08 billion, which fell by 3.8% from the same period last year. It returned $194 million to shareholders in dividends during the quarter. At the end of September, the company had $552.8 million available in cash and cash equivalents.

V.F. Corporation (NYSE:VFC) has been raising its dividends consistently for the past 48 years. The company offers a quarterly payout of $0.50 per share and has a dividend yield of 7.10%, as of December 7.

At the end of Q3 2022, 26 hedge funds in Insider Monkey’s database owned stakes in V.F. Corporation (NYSE:VFC), compared with 29 in the previous quarter. The collective value of these stakes is nearly $280 million.

Diamond Hill Capital mentioned V.F. Corporation (NYSE:VFC) in its Q3 2022 investor letter. Here is what the firm has to say:

“Our weakest performer in Q3 was apparel and footwear company V.F. Corporation (NYSE:VFC). Consumer spending concerns weighed on the market’s sentiment toward companies selling more discretionary goods. Additionally, management lowered guidance primarily due to weaker sales for its Vans brand, higher-than-expected industry discounting, and macroeconomic uncertainty. The remainder of the portfolio is performing well, as evidenced by solid refreshed long-term financial targets.”

You can also take a look at 15 Best Consistent Dividend Stocks to Buy and 13 Best Consumer Staples Dividend Stocks to Buy Now

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