The article uses TipRanks’ Dividend Aristocrat tool to identify Amcor (AMCR), Hormel Foods (HRL), and Kimberly-Clark (KMB) as three dividend aristocrat stocks that offer at least 5% yield and have at least a Buy rating on Wall Street.
Claim 55% Off TipRanks
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Discover top-performing stock ideas and upgrade to a portfolio of market leaders with Smart Investor Picks
Dividend aristocrats are S&P 500 companies that have increased their dividend payments annually for a minimum of 25 straight years. Income-focused investors find this sustained performance compelling for their goal of fetching steady income while still capturing growth opportunities from the market.
The Case for These 3 Dividend Aristocrat Stocks
According to Wall Street analysts, the three stocks listed below are worth buying. The least of the trio has a dividend payout ratio of 69%, meaning that the company recently distributed about two-thirds of its net earnings to shareholders as dividends. Furthermore, each company currently has a Buy rating based on consensus from top analysts or broader Wall Street agreement, with significant upside potential.
Be sure to click on any ticker to thoroughly research the stock before you decide whether to add it to your portfolio. Here are today’s top dividend aristocrat stock picks from TipRanks.
- Amcor (AMCR)– Amcor is a Switzerland-based company focused on packaging and container production. It produces flexible and film packaging products for a range of industries, including food and beverage as well as medical and pharmaceutical. The Zurich-based company currently has a dividend payout ratio of 69.13%. It paid 65 cents a share in its last dividend issuance, with a dividend yield of 6.59%. AMCR stock boasts a Strong Buy consensus rating from the top seven analysts covering it. This comes with an average price target of $50.29, implying about 33% upside.
- Hormel Foods (HRL) — Hormel is a packaged foods giant that makes various meat, nuts, and other food products sold to retailers, delis, and other commercial customers. The Minnesota-based company currently has a dividend payout ratio of 171.36%. HRL paid 29 cents per share in its last dividend issuance, with a dividend yield of 5.47%. Its shares currently carry a Moderate Buy consensus rating from the top 2 analysts covering the stock. This comes with an average price target of $28.50 that suggests roughly 36% upside.
- Kimberly-Clark (KMB) — Kimberly-Clark is an American household and personal products company that makes products such as disposable diapers, baby wipes, paper towels, and napkins. KMB paid $1.28 per share in its last dividend issuance, with a dividend yield of 5.14%. Its shares currently have a Moderate Buy consensus rating from the top three analysts covering it. This is based on an average price target of $107 that suggests more than 11% upside.
More on Dividend Aristocrats
Some observers also treat recent spin-offs as dividend aristocrats if their parent companies meet the required track record, effectively granting the offshoot the parent’s dividend history.
Interested in More Dividend Aristocrat Stocks?
To find more stocks like these, take a look at TipRanks’ Dividend Aristocrats tool.
The page provides an exhaustive list of all dividend aristocrats, including their most recent dividend yields, previous dividend amounts, payout ratios, and other details.