Investors looking for reliable income sources may find value in the financial sector, particularly through dividend stocks. According to a report by S&P Global released on November 26, 2025, the global economic outlook for the first quarter of 2026 shows several positive indicators for growth. The report notes a stabilization in US import tariffs and reduced uncertainty regarding interest rate volatility. These developments, coupled with trade agreements involving the US, Mexico, and Canada, have contributed to a more favorable financial landscape.
The growth of data centers and artificial intelligence (AI) is also expected to drive economic expansion. Despite central banks maintaining neutral or restrictive rates, the overall financial environment supports premium asset prices in both equities and real estate. However, the banking industry may face challenges as an unpredictable economy and shifting consumer habits exert pressure on revenue and profits, according to Deloitte’s outlook for 2026.
Central banks are not the only entities navigating a changing landscape; innovation in payment systems, particularly with the rise of stablecoins, could disrupt traditional banking. This evolving environment necessitates that banks adapt quickly to new payment methods to remain competitive.
With this backdrop, a closer examination of promising dividend stocks within the financial sector reveals several noteworthy options.
Top Dividend Stocks to Consider
For this analysis, a stock screener was utilized to identify dividend-paying financial stocks with strong hedge fund interest, consistent dividend records, and solid financial performance. The stocks are ranked based on hedge fund holder numbers as of Q3 2025.
1. Wells Fargo & Company (NYSE:WFC)
Number of Hedge Fund Holders: 76
Dividend Yield as of November 28: 2.10%
Wells Fargo stands out in the financial sector with a recent Buy recommendation from Barclays analyst Jason Goldberg, who set a price target of $94. CEO Charlie Scharf indicated plans to streamline operations, forecasting a reduction in workforce from over 275,000 employees in 2019 to around 210,000. The Federal Reserve lifted a $1.95 trillion asset cap on the bank, clearing penalties from a past controversy and allowing for potential growth through acquisitions.
2. Blackstone Inc. (NYSE:BX)
Number of Hedge Fund Holders: 80
Dividend Yield as of November 28: 3.20%
Blackstone, a leading global investment firm, has announced the completion of a $1.2 billion senior notes offering. This offering, which includes two series of notes, will be used for general corporate purposes. The firm has maintained a solid dividend payout history for 19 consecutive years.
3. Intercontinental Exchange, Inc. (NYSE:ICE)
Number of Hedge Fund Holders: 82
Dividend Yield as of November 28: 1.22%
Intercontinental Exchange has received a Buy rating from Patrick Moley of Piper Sandler, with a price target of $202. The company reported significant growth in trading volumes for October 2025, with energy markets seeing a 9% increase year-over-year.
4. The Progressive Corporation (NYSE:PGR)
Number of Hedge Fund Holders: 84
Dividend Yield as of November 28: 0.17%
Although facing challenges in personal auto policies, The Progressive Corporation has announced notable share repurchases. Analyst Bob Huang from Morgan Stanley issued a Sell rating, indicating ongoing competitive pressures.
5. Moody’s Corporation (NYSE:MCO)
Number of Hedge Fund Holders: 87
Dividend Yield as of November 28: 0.77%
Moody’s Corporation reported a revenue of $2 billion for Q3 2025, marking a 12% year-over-year increase. Analyst David Motemaden reiterated a Buy rating, highlighting strong operational performance.
6. The Charles Schwab Corporation (NYSE:SCHW)
Number of Hedge Fund Holders: 99
Dividend Yield as of November 28: 1.16%
Analyst Benjamin Budish from Barclays has a Buy rating on Charles Schwab, setting a price target of $115. The company has authorized $2 billion in senior notes to bolster its financial position.
7. Citigroup Inc. (NYSE:C)
Number of Hedge Fund Holders: 107
Dividend Yield as of November 28: 2.32%
Citigroup is collaborating with Coinbase to enhance digital asset payments for institutional customers. Analyst Betsy Graseck maintains a Buy rating with a price target of $134.
8. S&P Global Inc. (NYSE:SPGI)
Number of Hedge Fund Holders: 110
Dividend Yield as of November 28: 0.77%
S&P Global announced a buyback program of up to 30 million shares, alongside a recent price target increase to $546. The company aims to return nearly 85% of its adjusted free cash flow to shareholders.
9. Bank of America Corporation (NYSE:BAC)
Number of Hedge Fund Holders: 111
Dividend Yield as of November 28: 2.09%
The bank introduced 401k Pay, a solution for transforming 401k assets into retirement funds, enhancing convenience for clients. Analyst Jason Goldberg maintains a Buy recommendation with a target of $59.
10. JPMorgan Chase & Co. (NYSE:JPM)
Number of Hedge Fund Holders: 120
Dividend Yield as of November 28: 1.92%
JPMorgan is focusing on fraud prevention with a nationwide initiative. Analyst Erika Najarian maintains a Buy rating and a price target of $357.
11. Capital One Financial Corporation (NYSE:COF)
Number of Hedge Fund Holders: 129
Dividend Yield as of November 28: 1.46%
Facing a lawsuit from the FDIC regarding payment shortfalls, Capital One remains under scrutiny. Analyst Erika Najarian has a Buy rating with a target price of $270.
12. Mastercard Incorporated (NYSE:MA)
Number of Hedge Fund Holders: 136
Dividend Yield as of November 28: 0.55%
Mastercard signed a memorandum with the Ukrainian government to enhance the country’s digital economy, a move that aligns with its strategic goals. Analyst Harshita Rawat maintains a Buy rating with a target of $607.
13. Visa Inc. (NYSE:V)
Number of Hedge Fund Holders: 179
Dividend Yield as of November 28: 0.80%
Visa is expanding its presence in the e-sports sector through a partnership with the M7 World Championship. Analyst Trevor Williams has set a price target of $410.
Investors considering these dividend stocks should assess their potential in light of the evolving financial landscape. By focusing on companies with strong fundamentals and consistent dividend payments, investors can better navigate market volatility while seeking income opportunities.
