In this article, we will be taking a look at the 5 best no-fee DRIP stocks to buy now. To read our detailed analysis of dividend investing, you can go directly to see the 10 Best No-Fee DRIP Stocks to Buy Now.
5. Johnson & Johnson (NYSE: JNJ)
Number of Hedge Fund Holders: 88
Dividend Yield: 2.38%
Johnson & Johnson (NYSE: JNJ) sells a wide variety of healthcare products under its Johnson’s, Aveeno, Listerine, Clean & Clear, and other brands. The company ranks 5th on our list of the best no-fee DRIP stocks to buy now. It operates through its Consumer Health, Pharmaceutical, and Medical Devices segments.
As of this August, Morgan Stanley’s Matthew Harrison holds an Overweight rating and a $187 price target on shares of Johnson & Johnson (NYSE: JNJ).
In the second quarter of 2021, Johnson & Johnson (NYSE: JNJ) had an EPS of $2.48, beating estimates by $0.20. The company’s revenue was $23.31 billion, up 27.14% year over year and beating estimates by $802.29 million. Johnson & Johnson (NYSE: JNJ) has gained 11.84% in the past 6 months and 14.66% year to date.
By the end of the second quarter of 2021, 88 hedge funds out of the 873 tracked by Insider Monkey held stakes in Johnson & Johnson (NYSE: JNJ) worth roughly $7.1 billion. This is compared to 81 hedge funds in the previous quarter with a total stake value of approximately $6.9 billion.
Distillate Capital, an investment management firm, mentioned Johnson & Johnson (NYSE: JNJ) in its second-quarter 2021 investor letter. Here’s what they said:
“The largest additions in the rebalance, Johnson & Johnson was around 50 and 40 basis points incrementally. J&J underperformed in the quarter while its normalized free cash flows held steady and so its position size was topped off to match the stable cash flows.”
4. 3M Company (NYSE: MMM)
Number of Hedge Fund Holders: 42
Dividend Yield: 3.05%
3M Company (NYSE: MMM), an industrials company, is next on our list of the best no-fee DRIP stocks to buy now. It manfactures a range of products for sale, like safety products, industrial adhesives, abrasives, and others. It ranks 4th on our list.
Argus analyst John Eade this July raised the price target on shares of 3M Company (NYSE: MMM) from $220 to $225. The analyst also reiterated a Buy rating on the stock.
In the second quarter of 2021, 3M Company (NYSE: MMM) had an EPS of $2.59, beating estimates by $0.30. The company’s revenue was $8.95 billion, up 24.72% year over year and beating estimates by $371.24 million. 3M Company (NYSE: MMM) has gained 10.21% in the past 6 months and 12.97% year to date.
By the end of the second quarter of 2021, 42 hedge funds out of the 873 tracked by Insider Monkey held stakes in 3M Company (NYSE: MMM) worth roughly $1.6 billion. This is compared to 41 hedge funds in the previous quarter with a total stake value of approximately $1.5 billion.
3. Realty Income Corporation (NYSE: O)
Number of Hedge Fund Holders: 23
Dividend Yield: 3.93%
Realty Income Corporation (NYSE: O), a real estate investment trust and S&P 500 company focused on providing investors with stable monthly income through dividends, is 3rd on our list of the best no-fee DRIP stocks to buy now. The company is based in California.
Andrew Rosivach, an analyst at Wolfe Research, began covering shares of Realty Income Corporation (NYSE: O) this June with a Peer Perform rating and a $79 price target.
In the second quarter of 2021, Realty Income Corporation (NYSE: O) had an FFO of $0.88, beating estimates by $0.01. The company’s revenue was $464.28 million, up 19.28% year over year and beating estimates by $31.06 million. Realty Income Corporation (NYSE: O) has gained 15.28% in the past 6 months and 20.13% year to date.
By the end of the second quarter of 2021, 23 hedge funds out of the 873 tracked by Insider Monkey held stakes in Realty Income Corporation (NYSE: O) worth roughly $221 million. This is compared to 18 hedge funds in the previous quarter with a total stake value of approximately $183 million.
2. AbbVie Inc. (NYSE: ABBV)
Number of Hedge Fund Holders: 82
Dividend Yield: 4.38%
AbbVie Inc. (NYSE: ABBV), a US-based publicly traded biopharmaceutical and healthcare company, is next on our list of the best no-fee DRIP stocks to buy now. The company ranks 2nd and operates through its subsidiary companies as well, like AbbVie GK and Pharmacyclics.
Cowen analysts this August raised the price target on shares of AbbVie Inc. (NYSE: ABBV) from $120 to $130. Additionally, Argus analyst David Toung holds a Buy rating on the stock as well.
In the second quarter of 2021, AbbVie Inc. (NYSE: ABBV) had an EPS of $3.11, beating estimates by $0.08. The company’s revenue was $13.96 billion, up 33.9% year over year and beating estimates by $322.64 million. AbbVie Inc. (NYSE: ABBV) has gained 11.81% in the past 6 months and 12.72% year to date.
By the end of the second quarter of 2021, 82 hedge funds out of the 873 tracked by Insider Monkey held stakes in AbbVie Inc. (NYSE: ABBV) worth roughly $5.4 billion. This is compared to 72 hedge funds in the previous quarter with a total stake value of approximately $5.9 billion.
1. Exxon Mobil Corporation (NYSE: XOM)
Number of Hedge Fund Holders: 68
Dividend Yield: 6.6%
Exxon Mobil Corporation (NYSE: XOM) is an energy and natural gas company. It ranks 1st on our list of the best no-fee DRIP stocks to buy now, and operates to provide crude oil and natural gas in the US and across the globe.
As of this July, Piper Sandler holds a Neutral rating and raised price target of $69 on shares of Exxon Mobil Corporation (NYSE: XOM).
In the second quarter of 2021, Exxon Mobil Corporation (NYSE: XOM) had an EPS of $1.10, beating estimates by $0.11. The company’s revenue was $67.74 billion, up 107.77% year over year and beating estimates by $3.02 billion. Exxon Mobil Corporation (NYSE: XOM) has gained 27.08% year to date and 24.92% in the past year.
By the end of the second quarter of 2021, 68 hedge funds out of the 873 tracked by Insider Monkey held stakes in Exxon Mobil Corporation (NYSE: XOM) worth roughly $3.7 billion. This is compared to 65 hedge funds in the previous quarter with a total stake value of approximately $2.8 billion.
You can also take a look at 20 Largest Insurance Companies In The US and 15 Biggest Companies That Don’t Pay Dividends.
