Dividend Champions vs Aristocrats: 12 Under-the-Radar Stocks to Buy

6. MGE Energy, Inc. (NASDAQ:MGEE)

Number of Hedge Fund Holders: 21

MGE Energy, Inc. (NASDAQ:MGEE) is a regulated utility from Wisconsin that stands out for its strong financial position, careful capital management, and stable business model— unlike many industry counterparts that struggle with heavy debt, inflation-related cash flow challenges, and strict regulatory pricing. The company provides vital electricity and natural gas services through well-established infrastructure, benefiting from a reliable customer base and the steady economic conditions of Wisconsin.

In the first quarter of 2025, MGE Energy, Inc. (NASDAQ:MGEE) reported revenue of nearly $219 million, up 14.4% from the same period last year. The company’s operating income was $52.8 million, growing from $40.7 million in the prior-year period. In addition, its net income also grew from $33.8 million last year to $41.6 million in the most recent quarter.

MGE Energy, Inc. (NASDAQ:MGEE) is a strong dividend stock, having raised its payouts for 49 consecutive years. The company currently offers a quarterly dividend of $0.45 per share and has a dividend yield of 2.07%, as of July 23. It is among the best dividend stocks on our dividend champions list.