In this article, we will be looking at the 5 best blue chip dividend stocks hedge funds are buying. To see our detailed analysis of blue chip stocks and dividend investing, you can go directly to the 10 Best Blue Chip Dividend Stocks Hedge Funds are Buying.
5. AbbVie Inc. (NYSE: ABBV)
Number of Hedge Fund Holders: 72
Dividend Yield: 4.5%
AbbVie Inc. (NYSE: ABBV), a healthcare and biotech company selling pharmaceuticals across the globe, ranks 5th on our list of the best blue chip dividend stocks hedge funds are buying. The company is based in North Chicago and was founded in 2012.
David Toung, an analyst at Argus, raised his price target on shares of AbbVie Inc. (NYSE: ABBV) this August. The new price target stands at $140, $10 higher than the previous target of $130. Toung also reiterated a Buy rating on the shares.
In the second quarter of 2021, AbbVie Inc. (NYSE: ABBV) had an EPS of $3.11, beating estimates by $0.08. The company’s revenue was $13.96 billion, up 33.9% year over year and also beating estimates by $322.64 million. AbbVie Inc. (NYSE: ABBV) has also gained 9.62% in the past 6 months and 8.21% year to date.
By the end of the first quarter of 2021, 72 hedge funds out of the 866 tracked by Insider Monkey held stakes in AbbVie Inc. (NYSE: ABBV) worth roughly $5.92 billion. This is compared to 83 hedge funds in the previous quarter with a total stake value of approximately $6.97 billion.
4. Merck & Co., Inc. (NYSE: MRK)
Number of Hedge Fund Holders: 79
Dividend Yield: 3.4%
Merck & Co., Inc. (NYSE: MRK), yet another healthcare company, is next on our list of the best blue chip dividend stocks hedge funds are buying and ranks 4th. The company offers both human health pharmaceuticals and animal health pharmaceuticals. It is based in New Jersey.
This July, Truist analyst Robyn Karnauskas took over coverage of shares of Merck & Co., Inc. (NYSE: MRK). The analyst placed a Buy rating on the stock alongside a $92 price target.
In the second quarter of 2021, Merck & Co., Inc. (NYSE: MRK) had an EPS of $1.31, missing estimates by $0.04. The company’s revenue was $11.40 billion, up 4.87% year over year and also beating estimates by $208.55 million. Merck & Co., Inc. (NYSE: MRK) has also gained 5.48% in the past 6 months.
By the end of the first quarter of 2021, 79 hedge funds out of the 866 tracked by Insider Monkey held stakes in Merck & Co., Inc. (NYSE: MRK) worth roughly $6.49 billion. This is compared to 82 hedge funds in the previous quarter with a total stake value of approximately $7.12 billion.
3. Johnson & Johnson (NYSE: JNJ)
Number of Hedge Fund Holders: 81
Dividend Yield: 2.4%
Johnson & Johnson (NYSE: JNJ) is a healthcare company that works on researching and manufacturing products in the medical field, for sale across the world. The company is also among the few with an effective COVID-19 vaccine being mass-distributed and ranks 3rd on our list of the best blue chip dividend stocks hedge funds are buying.
As of this May, Morgan Stanley holds an Overweight rating on shares of Johnson & Johnson (NYSE: JNJ). The firm also holds a price target of about $187, upheld by analyst David Risinger.
In the second quarter of 2021, Johnson & Johnson (NYSE: JNJ) had an EPS of $2.48, beating estimates by $0.20. The company’s revenue was $23.31 billion, up 27.14% year over year and also beating estimates by $802.29 million. Johnson & Johnson (NYSE: JNJ) has also gained 4.14% in the past 6 months and 11% year to date.
By the end of the first quarter of 2021, 81 hedge funds out of the 866 tracked by Insider Monkey held stakes in Johnson & Johnson (NYSE: JNJ) worth roughly $6.91 billion. This is compared to 81 hedge funds in the previous quarter with a total stake value of approximately $5.82 billion.
2. Bristol-Myers Squibb Company (NYSE: BMY)
Number of Hedge Fund Holders: 81
Dividend Yield: 2.9%
Bristol-Myers Squibb Company (NYSE: BMY), a pharmaceutical developing, licensing, and marketing healthcare and biopharmaceutical company, ranks 2nd on our list of the best blue chip dividend stocks hedge funds are buying. The company is based in New York and was founded in 1887.
Bristol-Myers Squibb Company (NYSE: BMY) has a Buy rating alongside a $74 price target set on it at Truist, upheld by analyst Robyn Karnauskas as of this July.
In the second quarter of 2021, Bristol-Myers Squibb Company (NYSE: BMY) had an EPS of $1.93, beating estimates by $0.03. The company’s revenue was $11.70 billion, up 15.54% year over year and also beating estimates by $474.30 million. Bristol-Myers Squibb Company (NYSE: BMY) has also gained 12.3% in the past 6 months and 9.78% year to date.
By the end of the first quarter of 2021, 81 hedge funds out of the 866 tracked by Insider Monkey held stakes in Bristol-Myers Squibb Company (NYSE: BMY) worth roughly $5.04 billion. This is compared to 131 hedge funds in the previous quarter with a total stake value of approximately $6.09 billion.
1. JPMorgan Chase & Co. (NYSE: JPM)
Number of Hedge Fund Holders: 111
Dividend Yield: 2.3%
JPMorgan Chase & Co. (NYSE: JPM) is next and last on our list of the best blue chip dividend stocks hedge funds are buying and ranks 1st. The company is among the most renowned financial services corporations operating across the globe in the diversified banks industry, and has headquarters in New York.
This July, Credit Suisse raised its price target on shares of JPMorgan Chase & Co. (NYSE: JPM). The new target is up $7 from the previous $170, standing at $177. The firm also holds an Outperform rating on JPMorgan Chase & Co. (NYSE: JPM).
In the second quarter of 2021, JPMorgan Chase & Co. (NYSE: JPM) had an EPS of $3.78, beating estimates by $0.61. The company’s revenue was $30.48 billion, also beating estimates by $762.45 million. JPMorgan Chase & Co. (NYSE: JPM) has also gained 12.65% in the past 6 months and 24.99% year to date.
By the end of the first quarter of 2021, 111 hedge funds out of the 866 tracked by Insider Monkey held stakes in JPMorgan Chase & Co. (NYSE: JPM) worth roughly $5.25 billion. This is compared to 112 hedge funds in the previous quarter with a total stake value of approximately $6.97 billion.
You can also take a look at 10 Best Dividend Paying Stocks to Buy Under $50 and 10 Best Dividend Stocks Under $20.
