In this article, we will be taking a look at 5 long-term dividend stocks to buy right now. To read our detailed analysis of these stocks and dividend investing, you can go directly to our article This Is the Best Time to Buy These 10 Long-Term Dividend Stocks.
5. The Coca-Cola Company (NYSE:KO)
Number of Hedge Fund Holders: 64
Dividend Yield as of November 1: 2.94%
The Coca-Cola Company (NYSE:KO) is a consumer staples company offering nonalcoholic beverages across the globe. It is based in Atlanta, Georgia.
A Buy rating was reiterated on The Coca-Cola Company (NYSE:KO) shares on October 26 by Peter Grom at UBS. The analyst also raised his price target on the stock from $63 to $68.
The Coca-Cola Company (NYSE:KO) is one of the top dividend-payers today, having raised its dividend for the past 60 years consistently. It reported revenue growth of 11% for the third quarter, including a 4% growth in concentrate sales. Since the company is also a defensive stock, being in the consumer staples sector, it is considered a strong play in inflationary times.
Out of 895 hedge funds tracked in the second quarter, 64 funds were long The Coca-Cola Company (NYSE:KO). Their total stake value was $29.2 billion.
Aristotle Capital Management, LLC, an investment management company, mentioned The Coca-Cola Company (NYSE:KO) in its second-quarter 2022 investor letter. Here’s what the firm said:
“The Coca-Cola Company (NYSE:KO), the global beverage business, was a leading contributor for the period. Coca-Cola continues to benefit from the refranchising of its bottling operations and realignment of incentives, catalysts we previously identified. These initiatives are demonstrating their strength in an inflationary and supply-chain-challenged environment. Additionally, the company has focused on evolving its customer engagement practices by leveraging digital and social medias for targeted campaigns, such as the design and launch of Coke Byte in the metaverse. Lastly, Coca-Cola has furthered its transformation into a total beverage company, as it debuted its new Jack Daniel’s Tennessee Whiskey and Coca-Cola ready-to-drink premixed cocktail. Although uncertainties surrounding cost pressures, lockdowns and geopolitical conflicts remain, we believe Coca-Cola is uniquely positioned to successfully continue its transition toward a total beverage business.”
4. Chevron Corporation (NYSE:CVX)
Number of Hedge Fund Holders: 53
Dividend Yield as of November 1: 3.14%
Chevron Corporation (NYSE:CVX) is an energy company engaged in conventional energy operations worldwide. The company is based in San Ramon, California.
Charles Ryhee, an analyst at Cowen, holds an Outperform rating on Chevron Corporation (NYSE:CVX) shares as of October 31. The analyst also raised his price target on the stock from $160 to $185.
Chevron Corporation’s (NYSE:CVX) dividend growth history shows consistent dividend increases over the past 34 years and a five-year dividend growth rate of 5.33%. The company has been performing well relative to the S&P 500, with its shares rising 121.5% so far this year, compared to the S&P 500’s 19.2% gain.
In total, 53 hedge funds were long Chevron Corporation (NYSE:CVX) in the second quarter and in the previous quarter as well. Their total stake values were $27.9 billion and $6.5 billion, respectively.
3. Exxon Mobil Corporation (NYSE:XOM)
Number of Hedge Fund Holders: 83
Dividend Yield as of November 1: 3.18%
Exxon Mobil Corporation (NYSE:XOM) is another energy company on our list, based in Irving, Texas. It explores for and produces crude oil and natural gas in the US and internationally.
Truist’s Neal Dingmann has a Hold rating on Exxon Mobil Corporation (NYSE:XOM) shares as of October 31. The analyst also raised his price target on the stock from $111 to $114.
Exxon Mobil Corporation (NYSE:XOM) has been attracting investor attention since posting its third-quarter sales of $112 billion and operating profits of $25 billion. The company is seen as a growth and safety play for most investors hedging against geopolitical turmoil and energy crises, in light of its yield and positive performance. Exxon is a dividend aristocrat, having raised its dividend consistently for 25 years.
There were 83 hedge funds long Exxon Mobil Corporation (NYSE:XOM) in the second quarter, with a total stake value of $8.6 billion.
2. Pfizer Inc. (NYSE:PFE)
Number of Hedge Fund Holders: 79
Dividend Yield as of November 1: 3.44%
Pfizer Inc. (NYSE:PFE) is a healthcare and pharmaceutical company selling biopharmaceutical products across the globe. The company is based in New York, US.
SVB Securities analyst David Risinger holds a Market Perform rating on Pfizer Inc. (NYSE:PFE), alongside a $48 price target.
The company has raised its dividend yield for the past 12 years consistently, making it a reliable dividend stock in the healthcare sector. Recently, Pfizer Inc. (NYSE:PFE) also raised its 2022 earnings guidance to $34 billion, representing a $2 billion increase from the previous figure. It has also revised its revenue and adjusted EPS guidance to $99.5 billion – $102 billion and $6.4-$6.5, compared to consensus estimates of $99.6 billion and $6.39.
Pfizer Inc. (NYSE:PFE) was found among the 13F holdings of 79 hedge funds in the second quarter and 83 hedge funds in the previous quarter. Their total stake values were $4.1 billion and $5.1 billion, respectively.
Carillon Tower Advisers, an investment management company, mentioned Pfizer Inc. (NYSE:PFE) in its second-quarter 2022 investor letter. Here’s what the firm said:
“Pfizer Inc. (NYSE:PFE) is a research-based global biopharmaceutical company. The United States agreed to pay Pfizer and its vaccine partner more than $3 billion in a deal for their messenger RNA shots against COVID-19. Additionally, the U.S. Food and Drug Administration authorized the company’s COVID vaccine for children aged 5 to 11.”
1. Devon Energy Corporation (NYSE:DVN)
Number of Hedge Fund Holders: 66
Dividend Yield as of November 1: 6.02%
A Buy rating was reiterated on Devon Energy Corporation (NYSE:DVN) shares on October 21 by analyst Scott Gruber at Citigroup. The analyst also raised his price target on the stock from $77 to $80.
Devon Energy Corporation (NYSE:DVN) stands to gain from rising energy prices and hiked natural gas and oil production levels in the US. The company also increased its dividend by 22% to a record high of $1.55 per share in the second quarter. It has been raising its dividend for the past four years in a row.
Our hedge fund data shows 66 hedge funds long Devon Energy Corporation (NYSE:DVN) in the second quarter. Their total stake value was $1.9 billion.
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