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30 Best Stocks to Buy for Retirement

In this article, we discuss 30 best stocks to buy for retirement. You can skip our detailed and historical performance of dividend stocks, and go directly to read 10 Best Stocks to Buy for Retirement

Millions of American households are behindhand when it comes to retirement planning. According to a study conducted by Northwestern Mutual, Americans expect that they need approximately $1.25 million to retire comfortably. This figure shows a 20% growth from the $1.05 million recorded in 2021. Another data from Natixis Investment Managers shows that 58% of the high net worth individuals mentioned that they’ll have to extend their working years instead of retiring at the age of 63.

Retirees around the world search for ways to increase their earnings through investments as inflation notched its highest mark in nearly 40 years. In this regard, the Social Security Administration provided relief to retirees with the announcement of increasing benefits by 8.7% this year to weather this inflationary environment, as reported by Bloomberg. Through this increase, the average retiree benefit has grown to $1,827 per month, up $146 from the last year. However, with average annual household expenses for ages 65-74 of approximately $53,000, these social security benefits are not sufficient to cover living expenses smoothly. For this purpose, retiree investors are showing a renewed interest in the stock market, loading up steadily on dividend stocks.

Historical analysis of dividend stocks shows that these securities generated stable returns for shareholders over the years. According to a paper published by Jefferson Research, dividend stocks accounted for 85% of the market’s total returns from 1926 to 2010. The paper also cited Goldman Sachs’ 2013 report which mentioned that dividend growers and initiators delivered an annual average return of 9.6% through this period with a 16.2% volatility. Whereas, the S&P 500 returned 7.1% with a volatility of 18%.

Stocks like The Coca-Cola Company (NYSE:KO), PepsiCo, Inc. (NASDAQ:PEP), and Johnson & Johnson (NYSE:JNJ) are popular among retiree investors as these companies have solid free cash flow generation and hold long dividend growth track records. Further in this article, we will discuss other best stocks to buy for retirement.

30 Best Stocks to Buy for Retirement
30 Best Stocks to Buy for Retirement

Image by coombesy from Pixabay

Our Methodology:

For this article, we first used stock screeners to find dividend stocks with a 3-year average dividend growth rate above 10% and payout ratios below 70%. From the resultant list, we picked stocks that have dividend yields above 3%, as of February 9. Along with this, the hedge fund sentiment was measured using data from 920 hedge funds tracked by Insider Monkey in Q3 2022. The stocks are ranked in ascending order of their dividend yields, as of February 9.

30 Best Stocks to Buy for Retirement

30. Jefferies Financial Group Inc. (NYSE:JEF)

Dividend yield as of February 9: 3.07%

3-Year Average Annual Dividend Growth Rate: 33.8%

Dividend Payout Ratio: 39.2%

Jefferies Financial Group Inc. (NYSE:JEF) is a New York-based multinational independent investment bank that provides related financial services to its consumers. The company currently pays a quarterly dividend of $0.30 per share and has a dividend yield of 3.07%, as of February 9. In the past 3 years, it has raised its payouts at an annual average rate of 33.8%, which makes it one of the best dividend stocks on our list. The company also has a solid payout ratio of 39.2%.

In addition to popular dividend stocks like The Coca-Cola Company (NYSE:KO), PepsiCo, Inc. (NASDAQ:PEP), and Johnson & Johnson (NYSE:JNJ), investors are also positive about Jefferies Financial Group Inc. (NYSE:JEF).

In Q4 2022, Jefferies Financial Group Inc. (NYSE:JEF) reported revenue of $1.44 billion, which fell by 18.2% from the same period last year. However, the revenue beat Street estimates by $190 million. At the end of November 2022, the company had over $9.7 billion available in cash and cash equivalents.

At the end of Q3 2022, 33 hedge funds tracked by Insider Monkey reported owning stakes in Jefferies Financial Group Inc. (NYSE:JEF), up from 29 in the previous quarter. The collective value of these stakes is over $495.3 million. With over 5.7 million shares, First Pacific Advisors LLC was the company's leading stakeholder in Q3.

GoodHaven Capital Management mentioned Jefferies Financial Group Inc. (NYSE:JEF) in its Q2 2022 investor letter. Here is what the firm has to say:

Jefferies Financial Group Inc. (NYSE:JEF) was our next biggest dollar detractor, and had also been a strong contributor in prior periods. As we have previously mentioned, while Jefferies has become a better business it is still a cyclical business, and that some moderating earnings after the recent boom were to be expected. In the first six months of their fiscal 2022, Jefferies earned a ROATE (Return on Adjusted Tangible Equity) of over 11%, reasonable given the very material slowdown in the capital markets lately. They also repurchased over $620 million of their shares at $34+ per share and Jefferies’ stock now trades below tangible book value/share. Given the obvious slowdown in capital raising transactions industry wide, we expect continued muted results in the near-term but also continued share buybacks. Our long-term enthusiasm remains, as does our view of the material upside for the shares from recent levels.”

29. Virtus Investment Partners, Inc. (NASDAQ:VRTS)

Dividend yield as of February 9: 3.08%

3-Year Average Annual Dividend Growth Rate: 37.1%

Dividend Payout Ratio: 39.6%

Virtus Investment Partners, Inc. (NASDAQ:VRTS) is an American asset management company that provides related solutions to individual and institutional investors. On December 8, the company declared a quarterly dividend of $1.65 per share, which fell in line with its previous dividend. It has been raising its dividends consistently for the past five years and its 3-year average dividend growth stands at 37.1%. The company is one of the best stocks for retirement on our list as its dividend payout ratio is 39.6%.

In the fourth quarter of 2022, Virtus Investment Partners, Inc. (NASDAQ:VRTS) reported revenue of $176.2 million. The company's total sales for the quarter amounted to $$7.3 billion and its assets under management came in at $149.4 billion.

As of the close of Q3 2022, 17 hedge funds in Insider Monkey's database owned stakes in Virtus Investment Partners, Inc. (NASDAQ:VRTS), compared with 13 in the previous quarter. These stakes have a consolidated value of nearly $60 million.

28. Corning Incorporated (NYSE:GLW)

Dividend yield as of February 9: 3.09%

3-Year Average Annual Dividend Growth Rate: 10.5%

Dividend Payout Ratio: 70.1%

Corning Incorporated (NYSE:GLW) is a New York-based multinational tech company that specializes in advanced optics technologies for industrial and scientific applications. In February, Susquehanna lifted its price target on the stock to $40 with a Positive rating on the shares, appreciating the company's recent quarterly earnings.

On February 8, Corning Incorporated (NYSE:GLW) declared a 3.7% hike in its quarterly dividend to $0.28 per share. The company has been raising its dividends consistently for over 10 years. The stock's dividend yield on February 9 came in at 3.09%. In the past three years, the company has raised its dividend at an annual average rate of 10.5%. It has a healthy payout ratio of 70.1%, which places it as one of the best stocks for retirement on our list.

At the end of September 2022, 38 hedge funds tracked by Insider Monkey owned investments in Corning Incorporated (NYSE:GLW), up from 34 in the previous quarter. The collective value of these stakes is over $376.4 million.

27. Broadcom Inc. (NASDAQ:AVGO)

Dividend Yield as of February 9: 3.10%

3-Year Average Annual Dividend Growth Rate: 14.7%

Dividend Payout Ratio: 61.9%

Broadcom Inc. (NASDAQ:AVGO) is a California-based semiconductor manufacturing company that also specializes in a wide range of other software products. In January, Truist maintained a Buy rating on the stock with a $659 price target, presenting a positive stance on AI names.

On December 8, Broadcom Inc. (NASDAQ:AVGO) declared a 12.2% hike in its quarterly dividend to $4.60 per share. This was the company's 12th consecutive year of dividend growth, which makes it one of the best stocks for retirement. In the past three years, the company has raised its payout at an annual average rate of 14.7% and has a payout ratio of 61.9%. As of February 9, the stock has a dividend yield of 3.10%.

As of the close of Q3 2022, 74 hedge funds tracked by Insider Monkey owned stakes in Broadcom Inc. (NASDAQ:AVGO), growing from 66 in the previous quarter. The collective value of these stakes is over $4.44 billion.

26. Popular, Inc. (NASDAQ:BPOP)

Dividend yield as of February 9: 3.16%

3-Year Average Annual Dividend Growth Rate: 33.8%

Dividend Payout Ratio: 22.3%

Popular, Inc. (NASDAQ:BPOP) is a financial services company, headquartered in Puerto Rico. The company provides commercial banking services to its consumers. The company offers a quarterly dividend of $0.55 per share and has a dividend yield of 3.16%, as of February 9. It has raised its dividends at an annual average rate of 33.8% in the past three years. The company has a dividend payout ratio of 22.3%.

In January, RBC Capital maintained an Outperform rating on Popular, Inc. (NASDAQ:BPOP) with a $75 price target. The firm highlighted the company's improved core business due to strong loan growth.

As per Insider Monkey's database for Q3 2022, 26 hedge funds owned stakes in Popular, Inc. (NASDAQ:BPOP), worth nearly $490 million. With over 3.2 million shares, Polaris Capital Management was the company's leading stakeholder in Q3.

25. Morgan Stanley (NYSE:MS)

Dividend yield as of February 9: 3.16%

3-Year Average Annual Dividend Growth Rate: 31.41%

Dividend Payout Ratio: 47.9%

Morgan Stanley (NYSE:MS), one of the best stocks for retirement on our list, is a New York-based multinational financial services company that provides related services to its consumers. Following the company's recent quarterly earnings, Deutsche Bank raised its price target on the stock to $102 with an Outperform rating on the shares.

On January 17, Morgan Stanley (NYSE:MS) declared a quarterly dividend of $0.775 per share, which fell in line with its previous dividend. The stock's dividend yield on February 9 came in at 3.16%. The stock's 3-year average annual dividend growth rate came in at 31.4%. Its payout ratio stood at 47.9%.

As of the close of Q3 2022, 52 hedge funds in Insider Monkey's database owned stakes in Morgan Stanley (NYSE:MS), down from 58 a quarter earlier. The collective value of these stakes is over $3.3 billion.

Here is what Madison Dividend Income Fund has to say about Morgan Stanley (NYSE:MS) in its Q3 2022 investor letter:

“This quarter we are highlighting Morgan Stanley (NYSE:MS) as a relative yield example in the Financial sector. MS is a leading investment bank and wealth management firm with approximately $5 trillion of client assets under management. It merged Citigroup’s Smith Barney business into its own wealth management business after the 2008 recession/financial crisis, which resulted in a more stable business model. Recent acquisitions of asset manager Eaton Vance and E-Trade provide additional stability and higher returns on capital. We believe MS has a sustainable competitive advantage due to its size and scale, global reach, strong reputation, and financial distribution capabilities. Importantly for a financial institution, it is in good financial health as key leverage ratios including common equity Tier 1 ratio, Tier 1 capital ratio, Tier 1 leverage ratio, and supplementary leverage ratio were all well above required minimums at the end of 2021.

Our thesis on MS is that its wealth management business will continue to become a larger part of the overall company, which will increase overall margins and return on equity (ROE). Wealth management and asset management are less cyclical than investment banking, and often generate higher margins and provide better stability of financial results. For example, the addition of Smith Barney added significant scale and boosted wealth management operating margins from below 10% into the mid-20%s over the past several years while also increasing returns on equity. Looking ahead, we believe the company will benefit from rising asset prices and higher interest rates, should they happen over time…” (Click here to see the full text)

24. Darden Restaurants, Inc. (NYSE:DRI)

Dividend yield as of February 9: 3.28%

3-Year Average Annual Dividend Growth Rate: 11.7%

Dividend Payout Ratio: 63.7%

Darden Restaurants, Inc. (NYSE:DRI) is a Florida-based multi-brand restaurant company that owns fine dining restaurant chains. Guggenheim initiated its coverage of the stock with a Buy rating and a $170 price target. The firm called it 'one of the best-managed restaurant companies'.

Darden Restaurants, Inc. (NYSE:DRI), one of the best stocks for retirement, currently offers a quarterly dividend of $1.21 per share and has a dividend yield of 3.28%, as recorded on February 9. In the past three years, the company raised its payouts at an annual average rate of 11.7% and has a payout ratio of 63.7%.

At the end of September 2022, 27 hedge funds in Insider Monkey's database reported having stakes in Darden Restaurants, Inc. (NYSE:DRI), compared with 32 in the previous quarter. These stakes are valued at roughly $350 million. With over 1 million shares, Arrowstreet Capital was the company's largest stakeholder in Q3.

23. Watsco, Inc. (NYSE:WSO)

Dividend yield February 9: 3.32%

3-Year Average Annual Dividend Growth Rate: 10.14%

Dividend Payout Ratio: 59.7%

Watsco, Inc. (NYSE:WSO) is one of America's largest distributors of air conditioning, heating, and refrigeration equipment. The company is one of the best stocks for retirement on our list as it has paid dividends to shareholders for 48 years in a row. It offers a per-share dividend of $2.45 every quarter, raising it by 11% on January 3. The stock's dividend yield on February 9 came in at 3.32%. It has raised its payouts at an annual average rate of 10.14% in the past three years and has a payout ratio of 59.7%.

In February, KeyBanc raised its price target on Watsco, Inc. (NYSE:WSO) to $335 with an Overweight rating on the shares. The firm expects the company to hold its margins to its 27% target.

As of the end of Q3 2022, 26 hedge funds tracked by Insider Monkey owned stakes in Watsco, Inc. (NYSE:WSO), up from 25 in the previous quarter. The collective value of these stakes is nearly $286 million. Among these hedge funds, Markel Gayner Asset Management was the company's leading stakeholder in Q3.

22. First BanCorp. (NYSE:FBP)

Dividend yield as of February 9: 3.43%

3-Year Average Annual Dividend Growth Rate: 48.6%

Dividend Payout Ratio: 28.9%

First BanCorp. (NYSE:FBP) is a Puerto Rico-based company that provides commercial banking services to its consumers. On February 9, the company hiked its quarterly dividend by 16.7% to $0.14 per share. Its 3-year annual average dividend growth stands at 48.6%. As of February 9, the stock has a dividend yield of 3.43%. Its dividend payout ratio came in at 28.9%.

In Q4 2022, First BanCorp. (NYSE:FBP) reported revenue of $235 million, which showed a 9.6% growth from the same period last year. The company returned $22.2 million in dividends to shareholders during the quarter, which makes it one of the best stocks for retirement on our list.

According to Insider Monkey's Q3 2022 database, 16 hedge funds owned stakes in First BanCorp. (NYSE:FBP), compared with 17 in the previous quarter. These stakes are collectively valued at over $61 million. Israel Englander's Millennium Management was the company's leading stakeholder in Q3.

21. United Parcel Service, Inc. (NYSE:UPS)

Dividend Yield as of February 9: 3.50%

3-Year Average Annual Dividend Growth Rate: 16.55%

Dividend Payout Ratio: 46.06%

United Parcel Service, Inc. (NYSE:UPS) is an American multinational shipping and supply chain management company. The company also specializes in express delivery services. In February, BMO Capital raised its price target on the stock to $185 with a Market Perform rating on the shares. The firm appreciated the company's steady execution and improvements in productivity.

On January 31, United Parcel Service, Inc. (NYSE:UPS) declared a quarterly dividend of $1.62 per share, having raised it by 6.6%. This was the company's 13th consecutive year of dividend growth which makes it one of the best stocks for retirement. The stock's dividend yield on February 9 came in at 3.50%.

In the past three years, United Parcel Service, Inc. (NYSE:UPS) has raised its payouts at an annual average rate of 16.55%. The company has a healthy payout ratio of 46.06%.

United Parcel Service, Inc. (NYSE:UPS) was a popular stock among hedge funds in Q3 2022, as 55 funds in Insider Monkey's database owned stakes in the company, up from 38 in the previous quarter. These stakes have a collective value of $656.2 million.

Diamond Hill Capital mentioned UPS in Q3 2022 investor letter. Here is what the firm has to say:

United Parcel Service, Inc. (NYSE:UPS) is the world’s largest package deliverer, operating globally. The company and its share price had benefited from pandemic-related spikes in shipping demand while supply was constrained (grounding of airlines and their associated space), leading to increased pricing power. Our view is such conditions will not persist as the environment normalizes. In Q3, UPS reported weak results and a decline in volume in its US domestic business, pressuring the share price.”

20. HP Inc. (NYSE:HPQ)

Dividend Yield as of February 9: 3.56%

3-Year Average Annual Dividend Growth Rate: 15.5%

Dividend Payout Ratio: 32.7%

HP Inc. (NYSE:HPQ) is a California-based computer hardware company that specializes in tech-related products and provides related services. The company currently pays a quarterly dividend of $0.2625 per share and has a dividend yield of 3.56%, as of February 9. It is one of the best stocks for retirement as it has been raising its payouts for 11 consecutive years.

HP Inc. (NYSE:HPQ) has raised its payouts at a 3-year annual average rate of 15.5%. The company has a solid payout ratio of 32.7%.

In January, Bernstein maintained a Market Perform rating on HP Inc. (NYSE:HPQ), presenting a neutral stance on the IT hardware sector.

At the end of Q3 2022, 42 hedge funds tracked by Insider Monkey reported owning stakes in HP Inc. (NYSE:HPQ), up from 35 in the previous quarter. The collective value of these stakes is nearly $3 billion. With over 104 million shares, Berkshire Hathaway was the company’s leading stakeholder in Q3.

19. Packaging Corporation of America (NYSE:PKG)

Dividend Yield as of February 9: 3.57%

3-Year Average Annual Dividend Growth Rate: 14.55%

Dividend Payout Ratio: 43.06%

An American product packaging company, Packaging Corporation of America (NYSE:PKG) has raised its dividends at an annual average rate of 14.55% in the past three years. The company has been raising its dividends consistently for the past 11 years. It currently offers a quarterly dividend of $1.25 per share and has a dividend yield of 3.57%, as of February 9. The stock has a healthy payout ratio of 43.06%.

In January, Truist raised its price target on Packaging Corporation of America (NYSE:PKG) to $144 with a Buy rating on the shares. The firm mentioned that the company is able to benefit from a strong sales mix.

At the end of Q3 2022, 27 hedge funds tracked by Insider Monkey owned stakes in Packaging Corporation of America (NYSE:PKG), up from 26 in the previous quarter. These stakes have a total value of roughly $176 million.

18. Radian Group Inc. (NYSE:RDN)

Dividend Yield as of February 9: 3.65%

3-Year Average Annual Dividend Growth Rate: 330.8%

Dividend Payout Ratio: 16.8%

Radian Group Inc. (NYSE:RDN) is an American mortgage insurance company that provides services related to real estate. The company pays a quarterly dividend of $0.20 per share and has a dividend yield of 3.65%, as of February 9. In 2022, it raised its payout for the third consecutive year at an annual average growth rate of 330.8%. The company has a solid payout ratio of 16.8%.

In December, BofA upgraded Radian Group Inc. (NYSE:RDN) to Buy with a $24 price target. The firm mentioned that the company's shares could offer an 'attractive' return at the current valuation.

At the end of Q3 2022, 27 hedge funds tracked by Insider Monkey owned stakes in Radian Group Inc. (NYSE:RDN), with a collective value of over $216.5 million. With over 2.4 million shares, Arrowstreet Capital was the company's leading stakeholder in Q3.

17. Ally Financial Inc. (NYSE:ALLY)

Dividend Yield as of February 9: 3.67%

3-Year Average Annual Dividend Growth Rate: 20.8%

Dividend Payout Ratio: 23.8%

Ally Financial Inc. (NYSE:ALLY) is a Michigan-based bank holding company that offers financial services and products to its consumers. Citigroup raised its price target on the stock in January to $45 with a Buy rating on the shares, appreciating the company's outlook for the next two years.

In the past three years, Ally Financial Inc. (NYSE:ALLY) has raised its dividends at an annual average rate of 20.8%. The company currently pays a quarterly dividend of $0.30 per share and has a dividend yield of 3.67%, as of February 9. It is one of the best stocks for retirement as it has a healthy payout ratio of 23.8%.

As of the close of Q3 2022, Ally Financial Inc. (NYSE:ALLY) was a part of 42 hedge fund portfolios, according to Insider Monkey's database. The collective value of stakes owned by these funds is roughly $1.9 billion.

Oakmark Funds mentioned Ally Financial Inc. (NYSE:ALLY) in its Q3 2022 investor letter. Here is what the firm has to say:

“As for the detractors, fears of a recession have weighed heavily on consumer finance companies, like Ally Financial Inc. (NYSE:ALLY), due to concerns about deteriorating credit quality and used car price declines. Bad debt expense is likely to rise from the unusually low levels we’ve been experiencing, but we believe the company is well-positioned to absorb this normalization. With Ally’s shares trading for just 4x consensus EPS, we believe investors’ fears are already heavily discounted into Ally’s share price, creating an attractive risk/reward proposition.”

16. The PNC Financial Services Group, Inc. (NYSE:PNC)

Dividend Yield as of February 9: 3.78%

3-Year Average Annual Dividend Growth Rate: 11.04%

Dividend Payout Ratio: 41.5%

The PNC Financial Services Group, Inc. (NYSE:PNC) is an American financial services company that offers related baking services. On January 4, the company declared a quarterly dividend of $1.50 per share, which fell in line with its previous dividend. The company has been making regular dividend payments to shareholders for the past 30 years and also maintains a 12-year streak of dividend growth. The stock has a dividend yield of 3.78%, as of February 9.

The PNC Financial Services Group, Inc. (NYSE:PNC), one of the best stocks for retirement, has raised its dividends at an annual average rate of 11.04% in the past three years. The company has a payout ratio of 41.5%.

In January, Baird maintained an Outperform rating on The PNC Financial Services Group, Inc. (NYSE:PNC) with a $205 price target. The firm said that the company's FY23 outlook is generally solid.

At the end of Q3 2022, 43 hedge funds tracked by Insider Monkey owned stakes in The PNC Financial Services Group, Inc. (NYSE:PNC), up from 42 in the preceding quarter. The collective value of these stakes is over $615.7 million.

15. Carter's, Inc. (NYSE:CRI)

Dividend Yield as of February 9: 3.86%

3-Year Average Annual Dividend Growth Rate: 14.4%

Dividend Payout Ratio: 43.4%

Another best dividend stock for retirement is Carter's, Inc. (NYSE:CRI), which is a Georgia-based designer and marketer of children's apparel. The company offers a quarterly dividend of $0.75 per share and has a dividend yield of 3.86%, as of February 9. Its 3-year annual average dividend growth stands at 14.4%. The company has a payout ratio of 43.4%.

In January, B. Riley maintained its Buy rating on Carter's, Inc. (NYSE:CRI) with a $99 price target. The firm noted that the company has continued to see strong results with its exclusive brands at wholesale.

At the end of September 2022, 19 hedge funds in Insider Monkey's database reported owning stakes in Carter's, Inc. (NYSE:CRI), up from 18 in the previous quarter. These stakes are valued at $134.4 million collectively. Harris Associates was the company's leading stakeholder in Q3.

14. Victory Capital Holdings, Inc. (NASDAQ:VCTR)

Dividend Yield as of February 9: 3.87%

3-Year Average Annual Dividend Growth Rate: 115.4%

Dividend Payout Ratio: 21.05%

Victory Capital Holdings, Inc. (NASDAQ:VCTR) is a Texas-based investment management firm that provides various investment solutions to its consumers. In January, the company reported a 5.5% growth in its assets under management from the previous month to $161.4 billion. The company's mid-cap equity AUM also grew by 7.4% from the past month.

Victory Capital Holdings, Inc. (NASDAQ:VCTR) started its dividend policy in 2019 and has raised its payouts every year since then. In the past three years, it has raised its payouts at an annual average rate of 115.4%. It pays a quarterly dividend of $0.32 per share for a dividend yield of 3.87%, as of February 9. The company has a strong payout ratio of 21.05%, which places it as one of the best stocks for retirement.

At the end of Q3 2022, 14 hedge funds tracked by Insider Monkey owned stakes in Victory Capital Holdings, Inc. (NASDAQ:VCTR), worth over $47 million collectively.

13. Kontoor Brands, Inc. (NYSE:KTB)

Dividend Yield as of February 9: 4.07%

3-Year Average Annual Dividend Growth Rate: 18.4%

Dividend Payout Ratio: 44.3%

Kontoor Brands, Inc. (NYSE:KTB) is an American clothing company, a spin-off from the VF Corp. The company is based in North Carolina. In January, Williams Trading upgraded the stock to Buy with a $53 price target, highlighting the company's performance last year.

Kontoor Brands, Inc. (NYSE:KTB)'s three-year annual average dividend growth came in at 18.4%. The company has a payout ratio of 44.3%. It pays a quarterly dividend of $0.48 per share for a dividend yield of 4.07%, as of February 9.

At the end of Q3 2022, 16 hedge funds tracked by Insider Monkey reported owning stakes in Kontoor Brands, Inc. (NYSE:KTB), compared with 17 in the previous quarter. The collective value of these stakes is over $45.2 million.

12. Best Buy Co., Inc. (NYSE:BBY)

Dividend Yield as of February 9: 4.14%

3-Year Average Annual Dividend Growth Rate: 20.7%

Dividend Payout Ratio: 50%

Best Buy Co., Inc. (NYSE:BBY) is an American consumer electronics company, based in Minnesota. In February, Barclays initiated its coverage of the stock with an Equal Weight rating and an $88 price target, presenting a neutral stance on the consumer sector.

Best Buy Co., Inc. (NYSE:BBY), one of the best stocks for retirement, has been raising its dividends consistently for the past 9 years and has grown its payouts at an annual average rate of 20.7% in the past three years. It pays a quarterly dividend of $0.88 per share and has a dividend yield of 4.14%, as of February 9. The company has a solid payout ratio of 50%.

Best Buy Co., Inc. (NYSE:BBY) was a part of 31 hedge fund portfolios in Q3 2022, growing from 26 in the previous quarter, as per Insider Monkey’s data. The stakes owned by these funds have a total value of $296.8 million. With over 1.3 million shares, Citadel Investment Group was the company’s leading stakeholder in Q3.

11. T. Rowe Price Group, Inc. (NASDAQ:TROW)

Dividend Yield as of February 9: 4.17%

3-Year Average Annual Dividend Growth Rate: 16.5%

Dividend Payout Ratio: 40.4%

T. Rowe Price Group, Inc. (NASDAQ:TROW) is a Maryland-based investment management company. The company pays a quarterly dividend of $1.22 per share and has a dividend yield of 4.17%, as of February 9. It maintains a 37-year streak of consistent dividend growth and has a 3-year annual average dividend growth rate of 16.5%. The company is one of the best stocks for retirement as it has a payout ratio of 40.4%.

Like The Coca-Cola Company (NYSE:KO), PepsiCo, Inc. (NASDAQ:PEP), and Johnson & Johnson (NYSE:JNJ), T. Rowe Price Group, Inc. (NASDAQ:TROW) also holds a decades-long dividend growth track record.

As per Insider Monkey’s Q3 2022 database, 30 hedge funds owned stakes in T. Rowe Price Group, Inc. (NASDAQ:TROW), with a total value of nearly $320 million.

Click to continue reading and see 10 Best Stocks to Buy for Retirement

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Disclosure. None. 30 Best Stocks to Buy for Retirement is originally published on Insider Monkey.