In this article we will take a look at the 10 best dividend stocks to buy according to billionaire Ken Fisher. You can skip our detailed analysis of Fisher’s history, investment philosophy, and hedge fund performance, and go directly to the 5 Best Dividend Stocks to Buy According to Billionaire Ken Fisher.
Billionaire Ken Fisher is one of the leading money managers in the financial industry. He is a long-time contributor for the Forbes magazine and has authored 11 books. Fisher is the founder, chairman, and ex-CEO of Fisher Investments, which has a portfolio of $141.96 billion. Fisher Investments is a financial advisor and manager with operations in the U.S, Germany, and England.
Mr. Fisher founded Fisher Investments in 1979 and served as its CEO until 2016, when Damian Ornani took over. Ken Fisher’s main strategy involves investing in high-growth stocks in consumer discretionary, information technology, and communications sectors. This strategy helped his fund generate a strong return in 2020, with many of his stocks outperforming the broader market. Apart from share price appreciation, dividend stocks also contribute heavily to Fisher’s returns.
Fisher Investments in March published an infographic paper titled How Does Trade Affect the US Economy? which examines how international trade affects the US economy, businesses, and individuals. The infographic also gives an easy-to-understand outline of the complex concept of international trade.
Fisher likes to diversify his portfolio and spread his investments in stocks in various sectors, including technology, energy, pharmaceutical and banking. As of the first quarter of 2021, Fisher Investments holds stocks in several big companies like Apple Inc. (NASDAQ: AAPL), Microsoft Corporation (NASDAQ: MSFT), Intel Corporation (NASDAQ: INTC) and Walmart Inc. (NYSE: WMT).
Apple Inc. (NASDAQ: AAPL), ranking top in Fisher’s portfolio, recently announced $89.6 billion in revenue for fiscal Q2 2021, representing a 54% increase YoY. Apple Inc. (NASDAQ: AAPL) has been working on a plan to cut its reliance on third-party vendors for modems. Apple is reportedly working to start producing its in-house cellular modems to replace Qualcomm Incorporated (NASDAQ: QCOM)’s devices. Apple acquired Intel Corporation (NASDAQ: INTC)’s smartphone modem business in 2019 for $1.0 billion.
Fisher Investments also has a significant holding in Microsoft Corporation (NASDAQ: MSFT). The US tech giant recently announced that its board had in 2020 recommended the stepping down of Bill Gates from the board after allegations of an alleged romantic relationship with a company employee two decades ago. Rosenblatt analyst John McPeake recently gave the stock a “Buy” rating and a price target of $301. According to McPeake, Microsoft Corporation (NASDAQ: MSFT) will soon start generating 78% of its revenue from recurring sources.
Intel Corporation (NASDAQ: INTC), in which Fisher increased its hold by 4% in the first quarter, recently announced a new 11th Generation Intel Core H-series mobile processor, also dubbed Tiger Lake-H. The new processor is part of the flagship Intel Corporation (NASDAQ: INTC) Core i9-11980HK, used in content creation, gaming, and business purposes. Intel Corporation (NASDAQ: INTC) is also expanding its semiconductor production capacity with a $3.5 billion expansion project for its New Mexico plant. The expansion will involve the production of advanced semiconductor packaging technologies like Foveros 3D packaging technology.
Walmart Inc. (NYSE: WMT) is another large cap stock in Fisher’s portfolio, in which the fund has upped its stake by 4%. The company announced plans to acquire Zeekit, a virtual fitting room startup, as it seeks to bolster its position in the online fashion market. The startup is an Israel-based company that integrates fashion and technology. In order to expand its footprint in self-driving cars, Walmart Inc. (NYSE: WMT) has invested in Cruise, a San Francisco-based company that enables a self-driving future through its all-electric fleet of self-driving cars.
Ken Fisher of Fisher Asset Management
Investing in dividend stocks has become extremely important in the current age of financial volatility, which isn’t sparing even the smart money. The entire hedge fund industry is feeling the reverberations of the changing financial landscape. Its reputation has been tarnished in the last decade, during which its hedged returns couldn’t keep up with the unhedged returns of the market indices. On the other hand, Insider Monkey’s research was able to identify in advance a select group of hedge fund holdings that outperformed the S&P 500 ETFs by more than 124 percentage points since March 2017. Between March 2017 and February 26th 2021 our monthly newsletter’s stock picks returned 197.2%, vs. 72.4% for the SPY. Our stock picks outperformed the market by more than 124 percentage points (see the details here). We were also able to identify in advance a select group of hedge fund holdings that significantly underperformed the market. We have been tracking and sharing the list of these stocks since February 2017 and they lost 13% through November 16th. That’s why we believe hedge fund sentiment is an extremely useful indicator that investors should pay attention to. You can subscribe to our free newsletter on our homepage to receive our stories in your inbox.
Below is a detailed overview of the 10 best dividend stocks to buy according to Billionaire Ken Fisher. We used Ken Fisher’s 13F portfolio for the first quarter of 2021 for this analysis.
Best Dividend Stocks to Buy According to Billionaire Ken Fisher
10. TOTAL SE (NYSE: TOT)
Fisher’s Stake Value: $1,037,249,000
Percentage of Ken Fisher’s 13F Portfolio: 0.73%
Dividend Yield: 6.4%
Number of Hedge Fund Holders: 14
TOTAL SE (NYSE: TOT) operates as an integrated oil and gas company. The stock ranks 10th in the list of best dividend stocks to buy now according to billionaire Ken Fisher.
TOTAL SE (NYSE: TOT) operates Block 17 in Angola and has announced production from Zinia Phase 2 short-cycle project, connected to existing Pazflor’s FPSO. The company is undertaking the project in partnership with Angolan National Oil, Gas and Biofuels Agency.
Under this project, the companies will drill nine wells whose production is expected to reach 40,000 barrels of oil per day by mid-2022.
TOTAL SE (NYSE: TOT) has also announced purchasing a 23% interest in Yunlin Holding GmbH, which owns and operates Yunlin offshore wind farm. The project is currently under construction and expected to have a production capacity of 640 megawatts (MW).
9. Artisan Partners Asset Management Inc. (NYSE: APAM)
Fisher’s Stake Value: $78,075,000
Percentage of Ken Fisher’s 13F Portfolio: 0.05%
Dividend Yield: 6.76%
Number of Hedge Fund Holders: 21
Artisan Partners Asset Management Inc. (NYSE: APAM) is a publicly owned investment manager. The company declared its quarterly results for Q1 2021 with $162.9 billion in AUM in Q1 2021, representing a $5.1 billion, or 3%, increase from the $157.8 billion reported in Q3 2020. The increase is mainly attributed to the $1.4 billion of net client cash inflows and $3.7 billion of investment returns. Like Apple Inc. (NASDAQ: AAPL), Microsoft Corporation (NASDAQ: MSFT), Intel Corporation (NASDAQ: INTC) and Walmart Inc. (NYSE: WMT), APAM is a notable stock in Fisher’s Q1 portfolio.
Artisan Partners Asset Management Inc. (NYSE: APAM) had its stock upgraded by Robert Lee from Keefe, Bruyette & Woods from “Market Perform” to “Outperform.” The firm has set the price target of $59.
8. Altria Group, Inc. (NYSE: MO)
Fisher’s Stake Value: $1,968,000
Percentage of Ken Fisher’s 13F Portfolio: 0.001%
Dividend Yield: 6.84%
Number of Hedge Fund Holders: 38
Altria Group, Inc. (NYSE: MO) has a network of subsidiaries through which it produces and sells cigarettes, oral tobacco products, and wine in the United States. The stock ranks 8th in the list of best dividend stocks to buy according to billionaire Ken Fisher. Altria has increased its dividend consistently for the last 50 years. Like Apple Inc. (NASDAQ: AAPL), Microsoft Corporation (NASDAQ: MSFT), Intel Corporation (NASDAQ: INTC) and Walmart Inc. (NYSE: WMT), MO is one of the most famous stocks in Ken Fisher’s Q1’21 portfolio.
In its latest financial report, Altria Group, Inc. (NYSE: MO) reported $6.0 billion in net revenue for Q1 2021, representing a 5.1% increase from Q1 2020. In March, Owen Bennett, an analyst at Jefferies, upgraded the company’s stock from “Hold” to “Buy.”
7. BHP Group (NYSE: BBL)
Fisher’s Stake Value: $413,522,000
Percentage of Ken Fisher’s 13F Portfolio: 0.29%
Dividend Yield: 7.3%
Number of Hedge Fund Holders: 18
BHP Group (NYSE: BBL) is engaged in the extraction of natural resources worldwide. Like Apple Inc. (NASDAQ: AAPL), Microsoft Corporation (NASDAQ: MSFT), Intel Corporation (NASDAQ: INTC), Walmart Inc. (NYSE: WMT), BHP is one of the best stocks in Fisher’s portfolio.
BHP has partnered with Rio Tinto and Vale to launch the Charge On Innovation Challenge, a global campaign by developers and technology innovators to develop new concepts for large-scale haul truck electrification systems. The competition is aimed at coming up with innovative solutions to cut emissions.
BHP Group (NYSE: BBL) recently announced its first oil production from the Ruby Project in offshore Trinidad and Tobago. The project aligns with the company’s petroleum strategy designed to improve returns and increase opportunities.
6. Enbridge Inc. (NYSE: ENB)
Fisher’s Stake Value: $270,000
Percentage of Ken Fisher’s 13F Portfolio: 0.001%
Dividend Yield: 7.05%
Number of Hedge Fund Holders: 28
Enbridge Inc. (NYSE: ENB) is an energy infrastructure company that operates in five segments: Energy Services, Renewable Power Generation, Gas Distribution and Storage, Gas Transmission and Midstream, and Liquids Pipelines. The stock ranks 6th in the list of best dividend stocks to buy according to billionaire Ken Fisher.
Enbridge Inc. (NYSE: ENB) reported GAAP earnings of $1.9 billion or $0.94 per common share for Q1 2021 compared to GAAP loss of $1.4 billion or $0.71 per common share in Q1 2020. The company’s adjusted earnings were $1.6 billion or $0.81 per common share compared to $1.7 billion or $0.83 per common share in Q1 2020. Enbridge Inc. (NYSE: ENB), Walker Industries and Comcor Environmental has partnered to develop renewable natural gas (RNG) projects in Canada. Like Apple Inc. (NASDAQ: AAPL), Microsoft Corporation (NASDAQ: MSFT), Intel Corporation (NASDAQ: INTC) and Walmart Inc. (NYSE: WMT), ENB is one of the most notable stocks in Ken Fisher’s Q1’21 portfolio.
Click to continue reading and see 5 Best Dividend Stocks to Buy According to Billionaire Ken Fisher.
Suggested articles:
- 10 Best Dividend Stocks According to George Soros
- 10 Best High-Yield Dividend Stocks to Buy According to Billionaire George Soros
- 10 Best High Dividend Stocks to Buy According to Billionaire Lee Cooperman
Disclosure: None. 10 Best Dividend Stocks to Buy According to Billionaire Ken Fisher is originally published on Insider Monkey.
