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The 5 Best Dividend Stocks to Buy Now


  • Investors are looking for the best dividend-paying stocks that could help weather an uncertain stock market.
  • Abbie (ABBV): expects its new drugs, Skyrizi and Rinvoq, to ​​generate combined sales of more than $15 billion in 2025.
  • Exxon Mobil (XOM): tripled its share buyback program to $30 billion through 2023.
  • SL Green (SLG): Expects office properties to remain in high demand from institutional investors.
  • United Parcel Service (UPS): 2022 Forecast Calls for Record Revenue of $102 Billion
  • Verizon Communications (VZ): Accelerating 5G rollout suggests long-term benefit due to increased data consumption.

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Last week we discovered that the Consumer Price Index (CPI) is ridden by 8.3% in April, more than the estimate of 8.1%. During this time, the In progress war in ukraine adds to the already nervous sentiment of the market.

As a result, investors abandon high-growth stocks and seek best dividend actions that could help them get through the stock Exchange uncertainty.

Passive income in the form of regular dividend yields significantly reduces the volatility of a long-term portfolio. It also provides a hedge against rising inflation.

S&P Global (NYSE:SPGI) estimate that dividends represented approximately one-third of the total return of the S&P500 index over the last century.

The remaining two-thirds come from capital appreciation. Additionally, on a risk-adjusted basis, dividend names generated returns that outperformed non-dividend paying stocks as well as the market in general.

With this information, here five of the best dividend-paying stocks that could generate consistent returns in today’s volatile stock market.

ABBV AbbVie $153.50
XOM Exxon $88.86
SLG SL Green $64.44
UPS United Parcel Service $178.04
VZ Verizon $48.18

Abbvie (ABBV)

The 5 Best Dividend Stocks to Buy Now

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AbbVie (NYSE:ABBV), the biopharmaceutical giant, focuses on immunology and oncology. His bestseller, Humira, currently accounts for about half of AbbVie’s earnings. This drug generated more than $17 billion in revenue last year.

Abbie announced Q1 results in April. 29. Revenue increased 4.1% year over year to $13.54 billion. Diluted adjusted earnings per share (EPS) was $3.16, up 9% from $2.89 a year ago.

Even if the drugmaker will lose US-exclusive for Humira in 2023, its new drugs, Skyrizi and Rinvoq, grew 64% and 54% year-over-year, respectively. Therefore, any bad news about Humira is likely to already be factored into ABBV’s share price.

ABBV Share won more than 13% since the beginning of the year. Besides being one of the best dividend stocks to buy now, ABBV is a dividend king. The company posts a record of dividend increases for 50 consecutive years. AbbVie currently offers a strong dividend yield of 3.7%.

The shares are trading at a reasonable valuation of 10.8 times forward earnings and 4.8 times sales. The 12-month median price forecast for Abbvie stock is $170.

Exxon Mobil (XOM)

The 5 Best Dividend Stocks to Buy Now

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Exxon (NYSE:XOM), one of the world’s largest oil and gas companies is also among the best dividend-paying stocks to buy. Management Published Q1 results April 29.

Revenue skyrockets 52% year over year to $87.7 billion. EPS came in at $1.28, down from 64 cents a year ago. The oil giant generated free cash flow (FCF) of $10.8 billion, benefiting from a strong recovery in demand and rising oil prices.

In April, Exxon moved forward with its investment decision on the Development of yellowtail flounder, its fourth and largest offshore oil project in Guyana. The $10 billion project is expected to produce 250,000 barrels of oil from From 2025.

Management distributed $3.8 billion in dividends and repurchased $2.1 billion in stock during the quarter. This dividend aristocrat currently generates a dividend yield of 4.1%.

To the delight of long-term shareholders, the XOM share enjoyed nearly 40% year to date. Right now, stocks are changing hands at 10.1 times forward earnings and 1.3 times sales. Meanwhile, the 12-month median price forecast for Exxon Mobil stock is $98.

SL Green Realty (SLG)

The 5 Best Dividend Stocks to Buy Now

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SL Green (NYSE:SLGlisten)) is Manhattan’s largest office owner. This real estate investment trust (REIT) also benefits from additional real estate exposure through its portfolio of high-end retail spaces.

SL Green released Q1 results April 20. Revenue was down 20% year over year to $187.96 million. Net income was 11 cents per share compared to a net loss of 12 cents per share for the same period a year ago. Funds from operations (FFO) was $1.65 per share, compared to $1.73 per share for the prior year period.

The management made its first large-scale acquisition in years and secure International Business Machines (NYSE:IBM) as the anchor tenant of its $2.3 billion One Madison Avenue development.

SLG-Share decreased by more than 16% year to date. Nonetheless, the REIT is supporting a generous dividend yield of 5.9%, making SLG shares attractive to income investors during this pullback.

Currently, the shares are trading at 68 times forward earnings and 6.1 times sales. And the 12-month median price forecast for SL Green stock is $79.

United Parcel Service (UPS)

The 5 Best Dividend Stocks to Buy Now

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United Parcel Service (NYSE:UPS) is the largest package delivery company in the world. Its international footprint makes it a leading industry name, operating a large fleet of over 500 aircraft and 100,000 vehicles.

UPS published Q1 results April 26. Receipts grown up 6.4% year-over-year to $24.4 billion. Diluted adjusted EPS increased 10% year-over-year for $3.05. FCF during the quarter was $3.92 billion.

Wall Street rejoiced when management announced a 5.9% price increase in November 20221. Along with investments in efficiency, its significant pricing power helped UPS grow its operating margin, despite the rise in inflation. For 2022, management expects record revenue of $102 billion.

Despite the positive news, UPS stock dropped nearly 17% year to date. It currently bears a dividend yield of 3.4%. The board expects $5.2 billion in dividend payouts for fiscal 2022.

The shares are trading at 14.2 times forward earnings and 1.6 times sales. Currently, the 12-month median price forecast for UPS stock is $229.

Verizon Communications (VZ)

The 5 Best Dividend Stocks to Buy Now

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Verizon (NYSE:VZ) is the largest wireless service provider in the United States with more than 91 million postpaid customers. By the end of 2022, the company plans to cover more than 175 million people with its 5G Ultra Wideband network.

The leading wireless service provider published Q1 results April 22. Revenue rose 2.1% year over year to $33.6 billion. Adjusted PES of $1.35 was roughly flat year over year. Cash and cash equivalents ended the period at $3.23 billion.

Verizon is playing a strong role in the growing adoption of 5G in the United States. Total wireless service revenue increased 9.5% year over year to $18.3 billion. Verizon has the broadest spectrum in the sub-6 gigahertz range.

VZ-share lost just over 8% since the start of the year. Meanwhile, the board has increased dividends for 15 consecutive years, who currently yields 5.2%.

Stocks offer value at just 8.9 times future earnings and 1.5 times trailing sales. Finally, the 12-month median price prediction for Verizon is $57.

At the date of publication, Tezcan Gecgil did not hold (neither directly nor indirectly) any position in the securities mentioned in this article. The opinions expressed in this article are those of the author, subject to InvestorPlace.com publishing guidelines.

Tezcan Gecgil has worked in investment management for over two decades in the US and UK. In addition to formal higher education in the field, she has also completed all 3 levels of the Chartered Market Technician (CMT) exam. His passion is option trading based on the technical analysis of fundamentally sound companies. She particularly enjoys setting up covered weekly calls to generate income.

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