5 Dividend Stocks to Buy Now Before Recession Begins

1. Philip Morris International Inc. (NYSE:PM)

Dividend Yield as of August 3: 5.07%

Philip Morris International Inc. (NYSE:PM), a multinational tobacco company, reported over $5 billion in cash and cash equivalents at the end of Q2 2022, up from $4.5 billion in the previous quarter. The company’s total assets amounted to nearly $41 billion, in line with the previous quarter.

Philip Morris International Inc. (NYSE:PM) has been raising its dividends consistently for the past 14 years. It pays a quarterly dividend of $1.25 per share and has a yield of 5.07%, as of August 3. The company improved its payout ratio to 85.6%, from 95.3% in 2021.

The number of hedge funds tracked by Insider Monkey owning stakes in Philip Morris International Inc. (NYSE:PM) grew to 55 in Q1 2022, from 47 in the previous quarter. The stakes held by these hedge funds have a total value of over $6.6 billion.

Fundsmith Equity mentioned Philip Morris International Inc. (NYSE:PM) in its recently-published Q2 2022 investor letter. Here is what the firm has to say:

“Philip Morris International meanwhile benefited from its low rating, the perceived defensive nature of tobacco and latterly an attractive looking agreement to purchase Swedish Match (NASDAQ:MTCH) to create the undoubted leader in smokeless tobacco products and nicotine pouches. Despite this outperformance, Philip Morris International still ended the quarter as our second most lowly-rated stock.”

You can also take a look at 10 Semiconductor Stocks Popular Among Elite Hedge Funds and 10 Stocks That Will Benefit from Record Breaking Temperatures

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