In this article, we discuss the 10 best dividend stocks billionaire Paul Tudor Jones is buying. You can skip our detailed analysis of Tudor Investment Corp and its recent developments, and go directly to read 5 Best Dividend Stocks Billionaire Paul Tudor Jones Is Buying.
Paul Tudor Jones, the founder of Tudor Investment Corporation, is one of Wall Street’s most notable advocates of cryptocurrency. In late 2021, Jones spoke about how his hedge fund would prefer digital assets over traditional commodities, acknowledging that crypto is a hedge against inflation, as reported by Bloomberg. One of the many reasons for his inclination towards digital money is his firm’s strategy to keep up with the continuously evolving markets.
Tudor Investment’s Q3 portfolio also showed the firm’s heavy investments in the tech sector. Along with this, the fund also invested in services, finance, and healthcare sectors. In Q3, the hedge fund’s 13F portfolio value stands at $6.16 billion, up from $5.2 billion in Q2. Some of its major holdings include Microsoft Corporation (NASDAQ:MSFT), Apple Inc. (NASDAQ:AAPL), and Airbnb, Inc. (NASDAQ:ABNB).
Our Methodology:
In this article, we will focus on the dividend stocks in Paul Tudor’s portfolio. For this list, we considered Tudor Investment Corp’s 13F portfolio as of Q3.
10 Best Dividend Stocks Billionaire Paul Tudor Jones Is Buying
10. Extra Space Storage Inc. (NYSE:EXR)
Number of Hedge Fund Holders: 27
Dividend Yield as of February 3: 2.44%
Tudor Investment Corp’s Stake Value: $14,751,000
Extra Space Storage Inc. (NYSE:EXR) is a real estate investment trust that invests in self-storage units. In 2021, the company increased its dividend by 38% and currently pays a quarterly dividend of $1.25 per share. The stock’s dividend yield stands at 2.44%. Extra Space Storage Inc. (NYSE:EXR) has been growing dividends consistently for the past 11 years, with a 5-year CAGR of 8.7%.
Extra Space Storage Inc. (NYSE:EXR) was one of the latest holdings of Tudor Investment Corp in Q3, which accounted for 0.23% of Paul Tudor’s 13F portfolio. The hedge fund started building its position in the company with a $14.7 million worth of stake. As the economy improves after Covid-related restrictions, Truist expects Extra Space Storage Inc. (NYSE:EXR) to gain due to healthy occupancy and rent growth. In January, the firm lifted its price target on the stock to $220, while maintaining a Buy rating on the shares.
At the end of Q3 2021, 27 hedge funds tracked by Insider Monkey held stakes in Extra Space Storage Inc. (NYSE:EXR), up from 21 in the previous quarter. These stakes hold a consolidated value of over $405 million, presenting a tremendous growth from $176 million worth of stakes in Q2.
Along with Extra Space Storage Inc. (NYSE:EXR), some other important holdings of Paul Tudor Jones include Microsoft Corporation (NASDAQ:MSFT), Apple Inc. (NASDAQ:AAPL), and Airbnb, Inc. (NASDAQ:ABNB).
9. Equity Residential (NYSE:EQR)
Number of Hedge Fund Holders: 32
Dividend Yield as of February 3: 2.62%
Tudor Investment Corp’s Stake Value: $15,646,000
In Q3 2021, Tudor Investment Corp increased its stake by 113% in Equity Residential (NYSE:EQR), a real estate investment trust. The hedge fund held shares worth over $15.6 million in the company, which represented 0.25% of its 13F portfolio.
As per Insider Monkey’s Q3 data, the number of hedge funds holding stakes in Equity Residential (NYSE:EQR) stood at 32 in Q3, compared with 31 in the previous quarter. The total value of these stakes is over $558.8 million. First Eagle Investment Management held the largest stake in the company, worth $473.4 million.
Equity Residential (NYSE:EQR) currently pays a quarterly dividend of $0.6025 per share, with a dividend yield of 2.62%. In view of the fact that the real estate sector outperformed the S&P 500 in 2021, Wall Street analysts presented a positive stance on Equity Residential (NYSE:EQR). In January, both Mizuho and Truist raised their price targets on the stock to $98 and $95, respectively.
8. The Coca-Cola Company (NYSE:KO)
Number of Hedge Fund Holders: 61
Dividend Yield as of February 3: 2.75%
Tudor Investment Corp’s Stake Value: $14,429,000
The Coca-Cola Company (NYSE:KO) was upgraded at Guggenheim to Buy this January, with a $66 price target. According to the firm, the company saw strong on-premise sales post-Covid and further expects sales to grow by 12% in fiscal 2023.
The Coca-Cola Company (NYSE:KO) maintains a 59-year streak of consistent dividend growth. In 2021, the company increased its dividend by 2.4% to $0.42 per share. The stock’s current dividend yield stands at 2.75%. In Q3 2021, Tudor Investment Corp increased its position in The Coca-Cola Company (NYSE:KO) significantly by 3,079% and held shares worth over $14.4 million. The company accounted for 0.23% of Paul Tudor’s 13F portfolio.
In Q3 2021, 61 hedge funds tracked by Insider Monkey held stakes in The Coca-Cola Company (NYSE:KO), worth over $25.1 billion. In comparison, 62 hedge funds held positions in the company in the previous quarter, with stakes valued at roughly $25 billion.
7. Bristol-Myers Squibb Company (NYSE:BMY)
Number of Hedge Fund Holders: 74
Dividend Yield as of February 3: 3.38%
Tudor Investment Corp’s Stake Value: $11,535,000
In Q3 2021, the number of hedge funds tracked by Insider Monkey having stakes in Bristol-Myers Squibb Company (NYSE:BMY) grew to 74, from 73 in the preceding quarter. These stakes hold a value of over $4.75 billion. Among these shareholders, Warren Buffett’s Berkshire Hathaway held the largest stake in the company, worth over $1.3 billion.
On December 13, 2021, Bristol-Myers Squibb Company (NYSE:BMY) announced a 10.2% increase in its quarterly dividend at $0.54 per share. This marked the company’s 15th year of consecutive dividend growth, making it one of the best dividend stocks in Paul Tudor’s portfolio. The stock’s current dividend yield stands at 3.38%. Tudor Investment Corp started investing in Bristol-Myers Squibb Company (NYSE:BMY) during the third quarter of 2021 with a stake worth over $11.5 million. The company accounted for 0.18% of the hedge fund’s 13F portfolio.
This December, JPMorgan announced that it sees the company’s shares rebounding in 2022. The firm lifted its price target on Bristol-Myers Squibb Company (NYSE:BMY) to $80, while maintaining an Overweight rating on the shares.
6. Duke Energy Corporation (NYSE:DUK)
Number of Hedge Fund Holders: 32
Dividend Yield as of February 3: 3.75%
Tudor Investment Corp’s Stake Value: $13,663,000
Duke Energy Corporation (NYSE:DUK) is an American energy company that distributes electric power and gas across the country. In 2021, the company increased its dividend by 2% to $0.985 per share, with a dividend yield of 3.75%. Duke Energy Corporation (NYSE:DUK) has been paying dividends to shareholders consistently for the past 96 years, coming through as one of the best dividend stocks in Paul Tudor’s portfolio.
Tudor Investment Corp started investing in Duke Energy Corporation (NYSE:DUK) during the third quarter of 2021, with a stake worth roughly $2 million. In Q3 2021, the hedge fund held shares worth $13.6 million, after increasing its position in the company massively by 3,392%. Duke Energy Corporation (NYSE:DUK) constituted 0.22% of the hedge fund’s 13F portfolio. This December, Barclays set a $110 price target on Duke Energy Corporation (NYSE:DUK), with an Equal Weight rating on the shares, acknowledging the company’s focus on carbon reduction and clean energy.
With a stake worth $687.5 million, 32 hedge funds tracked by Insider Monkey held positions in Duke Energy Corporation (NYSE:DUK) in Q3. In the previous quarter, 36 hedge funds held stakes in the North Carolina-based energy company.
Like Microsoft Corporation (NASDAQ:MSFT), Apple Inc. (NASDAQ:AAPL), and Airbnb, Inc. (NASDAQ:ABNB), Duke Energy Corporation (NYSE:DUK) is also one of the important stocks in Tudor Investment’s portfolio.
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Disclosure. None. 10 Best Dividend Stocks Billionaire Paul Tudor Jones Is Buying is originally published on Insider Monkey.
