In this article, we will be taking a look at 5 cheap dividend aristocrats to buy now. To read our detailed analysis of dividend investing, you can go directly to see the 10 Cheap Dividend Aristocrats to Buy Now.
5. Amcor plc (NYSE: AMCR)
Number of Hedge Fund Holders: 16
Dividend Yield: 3.72%
Number of Years of Consistent Dividend Increases: 10
Share Price as of August 26: $12.48
Amcor plc (NYSE: AMCR) produces packaging products for sale to the food, beverage, medical and pharmaceutical, fresh produce, snack food, personal care, and other industries. It ranks 5th on our list of cheap dividend aristocrats to buy now and was founded in 2018.
As of this July, Macquarie’s John Purtell has an Outperform rating on shares of Amcor plc (NYSE: AMCR), an upgrade from the previous Neutral rating.
In the fiscal third quarter of 2021, Amcor plc (NYSE: AMCR) had an EPS of $0.18, beating estimates by $0.01. The company’s revenue was $3.21 billion, up 2.1% year over year and beating the previous quarter’s $3.1 billion revenue. Amcor plc (NYSE: AMCR) has gained 17% in the past 6 months and 12.48% year to date.
By the end of the second quarter of 2021, 16 hedge funds out of the 873 tracked by Insider Monkey held stakes in Amcor plc (NYSE: AMCR) worth roughly $212 million. This is compared to 16 hedge funds in the previous quarter with a total stake value of approximately $226 million.
4. Walgreens Boots Alliance, Inc. (NASDAQ: WBA)
Number of Hedge Fund Holders: 41
Dividend Yield: 3.9%
Number of Years of Consistent Dividend Increases:46
Share Price as of August 26: $48.65
Walgreens Boots Alliance, Inc. (NASDAQ: WBA), a holding company, is next on our list of cheap dividend aristocrats to buy now. It owns and operates the retail pharmacy chains named Walgreens and Boots, and ranks 4th on our list.
Truist analyst David MacDonald has a Hold rating on shares of Walgreens Boots Alliance, Inc. (NASDAQ: WBA) as of this July, alongside a price target of $52.
In the fiscal third quarter of 2021, Walgreens Boots Alliance, Inc. (NASDAQ: WBA) had an EPS of $1.38, beating estimates by $0.23. The company’s revenue was $34.03 billion, beating estimates by $526.6 million. Walgreens Boots Alliance, Inc. (NASDAQ: WBA) has gained 1.5% in the past 6 months and 17.51% year to date.
By the end of the second quarter of 2021, 41 hedge funds out of the 873 tracked by Insider Monkey held stakes in Walgreens Boots Alliance, Inc. (NASDAQ: WBA) worth roughly $1.1 billion. This is compared to 41 hedge funds in the previous quarter with a total stake value of approximately $1.1 billion.
Ariel Investments, an investment management firm, mentioned Walgreens Boots Alliance, Inc. (NASDAQ: WBA) in its fourth-quarter 2020 investor letter. Here’s what they said:
“Walgreens Boots Alliance, Inc. has been essentially flat during our brief holding period. We have successfully owned Walgreens in the past. Recently, its share price has been pressured on concerns that Amazon may enter the prescription drug distribution business. As recently as 2015, Walgreens was a market favorite, trading at more than 20 times forward earnings. The company was expected to grow in good times and bad. Walgreens’ new clinics, designed to treat day-to-day healthcare needs such as flu shots and children’s ear infections, could be part of the solution for expensive emergency room overcrowding. Finally, trends toward generic pharmaceutics that began in 2015 are still considered a positive, as pharmacies have more influence in directing customers toward particular generics than with a patient seeking a patented drug prescribed by a doctor. Walgreens will face new competition going forward, but with its current depressed valuation, we believe the threats are more than discounted in an attractive stock price.”
3. People’s United Financial, Inc. (NASDAQ: PBCT)
Number of Hedge Fund Holders: 24
Dividend Yield: 4.51%
Number of Years of Consistent Dividend Increases: 29
Share Price as of August 26: $16.48
People’s United Financial, Inc. (NASDAQ: PBCT), a bank holding company, is next on our list of cheap dividend aristocrats to buy now, ranking 3rd. The company owns People’s United Bank, which operates about 403 branches in the US.
As of this May, analysts at Compass Point hold a Neutral rating on People’s United Financial, Inc. (NASDAQ: PBCT), alongside a $19.50 price target.
In the second quarter of 2021, People’s United Financial, Inc. (NASDAQ: PBCT) had an EPS of $0.41, beating estimates by $0.08. The company’s revenue was $479.90 million but missed estimates by $17.70 million. People’s United Financial, Inc. (NASDAQ: PBCT) has gained 28.05% year to date and 57.55% in the past year.
By the end of the second quarter of 2021, 24 hedge funds out of the 873 tracked by Insider Monkey held stakes in People’s United Financial, Inc. (NASDAQ: PBCT) worth roughly $219 million. This is compared to 20 hedge funds in the previous quarter with a total stake value of approximately $208 million.
2. Exxon Mobil Corporation (NYSE: XOM)
Number of Hedge Fund Holders: 68
Dividend Yield: 6.3%
Number of Years of Consistent Dividend Increases: 38
Share Price as of August 26:
Exxon Mobil Corporation (NYSE: XOM), an energy company, manufactures and transports crude oil and natural gas, petroleum products, petrochemicals, and other specialty products. The company ranks 2nd on our list of cheap dividend aristocrats to buy now.
DZ Bank has a Hold rating and a $62.5o price target on shares of Exxon Mobil Corporation (NYSE: XOM), set by analyst Werner Eisenmann this August.
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 2% in the past 6 months and 33.64% year to date.
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.
1. AT&T Inc. (NYSE: T)
Number of Hedge Fund Holders: 68
Dividend Yield: 7.56%
Number of Years of Consistent Dividend Increases: 36
Share Price as of August 26: $27.43
AT&T Inc. (NYSE: T) is a telecommunications and communication services company ranking 1st on our list of cheap dividend aristocrats to buy now. The company offers a range of services like broadband, wireless voice and data communications services, and others.
Deutsche Bank holds a Buy rating and a $37 price target on shares of AT&T Inc. (NYSE: T) as of this July.
In the second quarter of 2021, AT&T Inc. (NYSE: T) had an EPS of $0.89, beating estimates by $0.09. The company’s revenue was $44.05 billion, up 7.56% year over year and beating estimates by $1.32 billion.
By the end of the second quarter of 2021, 68 hedge funds out of the 873 tracked by Insider Monkey held stakes in AT&T Inc. (NYSE: T) worth roughly $2.9 billion. This is compared to 63 hedge funds in the previous quarter with a total stake value of approximately $2.7 billion.
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