Winmark Corporation (NASDAQ:WINA) is included among the 15 Dividend Growth Stocks with the Highest Growth Rates.
Winmark Corporation (NASDAQ:WINA) specializes in franchising retail stores that sell secondhand goods across North America. Its well-known brands include Plato’s Closet, Once Upon A Child, Play It Again Sports, Style Encore, and Music Go Round. By the end of 2024, the company operated 1,350 franchise locations, up from 1,319 a year earlier, reflecting steady expansion.
The franchise model remains the core of Winmark Corporation (NASDAQ:WINA)’s business, generating consistent revenue through franchise fees and royalties. The company is gradually exiting its leasing segment, a move that supports higher margins and aligns with its long-term strategy. A growing emphasis on sustainability and supporting the circular economy has also become an important part of the company’s focus.
Winmark Corporation (NASDAQ:WINA)’s strong cash reserves make it an attractive choice for investors seeking steady income. In the third quarter of 2025, the company had over $39.7 million available in cash and cash equivalents, up from $12.1 million at the end of December 2024. Its operating cash flow came in at over $36.3 million. This strong cash position has enabled the company to maintain a solid dividend policy.
In the past five years, it has raised its dividends consistently, at an annual average rate of nearly 36%. Moreover, the company has also paid special dividends during this period, which makes WINA one of the best dividend stocks to invest in. Currently, it pays a quarterly dividend of $0.96 per share and has a dividend yield of 0.98%, as recorded on October 30.
While we acknowledge the potential of WINA as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: 13 Most Undervalued Dividend Stocks to Buy According to Wall Street Analysts and 11 Best FTSE Dividend Stocks to Buy Right Now.
Disclosure: None.