In this article, we discuss the 5 best dividend stocks according to Andreas Halvorsen’s Viking Global. If you want to read our detailed analysis of Halvorsen’s hedge fund, Viking Global, and its performance, go directly to read 10 Best Dividend Stocks According to Andreas Halvorsen’s Viking Global.
5. Assurant, Inc. (NYSE:AIZ)
Number of Hedge Fund Holders: 28
Viking Global’s Stake Value: $268,667,000
Dividend Yield as of February 15: 1.64%
Assurant, Inc. (NYSE:AIZ), an American insurance company, increased its quarterly dividend by 3% on November 10, 2021. This marked the company’s 17th year of consistent dividend growth. Assurant, Inc. (NYSE:AIZ) currently pays a quarterly dividend of $0.68 per share, which yields 1.64%.
As per Insider Monkey’s Q3 data, the hedge fund interest spiked in Assurant, Inc. (NYSE:AIZ), as 28 hedge funds held stakes in the company, up from 26 in the previous quarter. These stakes hold a consolidated value of over $794 million.
As of Q4 2021, Viking Global’s stake in Assurant, Inc. (NYSE:AIZ) equaled over $268.6 million. The company constituted 0.77% of Andreas Halvorsen’s portfolio. On February 14, Morgan Stanley lifted its price target on Assurant, Inc. (NYSE:AIZ) to $197, while maintaining an Overweight rating on the shares.
4. Royalty Pharma plc (NASDAQ:RPRX)
Number of Hedge Fund Holders: 20
Viking Global’s Stake Value: $411,068,000
Dividend Yield as of February 15: 1.92%
Royalty Pharma plc (NASDAQ:RPRX) is the largest buyer of pharmaceutical royalties and also funds innovation in the industry. This December, Tigress Financial appreciated the company’s significant revenue growth, cash flow, and dividend increases. The firm lifted its price target on the stock to $52, with a Buy rating on the shares.
Warren Buffett’s Berkshire Hathaway was the second-largest shareholder of Royalty Pharma plc (NASDAQ:RPRX) in Q3 2021, owning shares valued at over $475 million. Overall, 20 hedge funds tracked by Insider Monkey held stakes in the company in Q3, the same as in the previous quarter. These stakes hold a value of nearly $2 billion.
Royalty Pharma plc (NASDAQ:RPRX) started giving dividends to shareholders right after its IPO in 2020. Since then, the company has increased its dividend two times, recently growing it by 12%. Royalty Pharma plc (NASDAQ:RPRX) pays a quarterly dividend of $0.19 per share, with a dividend yield of 1.92%. Viking Global increased its stake in the company by 150% in Q4, which made up 1.19% of its 13F portfolio.
3. American International Group, Inc. (NYSE:AIG)
Number of Hedge Fund Holders: 30
Viking Global’s Stake Value: $165,081,000
Dividend Yield as of February 15: 2.13%
American International Group, Inc. (NYSE:AIG) is an American finance and insurance company that has operations in over 80 countries. The company was one of the recent holdings of Viking Global in Q4 2021 and accounted for 0.47% of its portfolio. The fund held shares worth over $165 million in American International Group, Inc. (NYSE:AIG).
On February 10, Wolfe Research set a $65 price target on American International Group, Inc. (NYSE:AIG), with a Peer Perform rating on the shares. The company currently pays a quarterly dividend of $0.32 per share, with a dividend yield of 2.13%.
In Q3 2021, 30 hedge funds tracked by Insider Monkey held a stake worth roughly $2 billion in American International Group, Inc. (NYSE:AIG). In the previous quarter, 39 hedge funds held positions in the company, with stakes valued at over $2.7 billion.
2. Comcast Corporation (NASDAQ:CMCSA)
Number of Hedge Fund Holders: 75
Viking Global’s Stake Value: $715,345,000
Dividend Yield as of February 15: 2.25%
Though Comcast Corporation (NASDAQ:CMCSA), an American telecommunications company, saw a decline in the number of hedge funds holding positions in it, analysts remained positive on the company’s long-term outlook. This January, Cowen raised its price target on the stock to $64, with an Outperform rating on the shares, appreciating the company’s growth and buybacks.
Comcast Corporation (NASDAQ:CMCSA) has been increasing its dividends for the past 14 years consecutively. On January 27, the company announced a quarterly dividend of $0.27 per share, up 8% from its previous dividend. The stock’s dividend yield stands at 2.25%. Moreover, Comcast Corporation (NASDAQ:CMCSA) paid over $4.5 billion in dividends in 2021. Viking Global started investing in the company during the fourth quarter of 2012. In Q4 2021, the hedge fund increased its position in Comcast Corporation (NASDAQ:CMCSA) by 40%, which presented 2.07% of Andreas Halvorsen’s portfolio.
The number of hedge funds tracked by Insider Monkey having stakes in Comcast Corporation (NASDAQ:CMCSA) declined to 75 in Q3, from 84 in the previous quarter. The total value of these stakes is over $8.5 billion.
ClearBridge Investments mentioned Comcast Corporation (NASDAQ:CMCSA) in its Q2 2021 investor letter. Here is what the firm has to say:
“We funded the shift primarily with trims in Comcast following big gains in this name. Comcast is a long-term holding that have been and remain core holdings. During the quarter, however, we took gains and resized the positions to reflect their current risk-reward post strong increases in the stocks.
Comcast, like Blackstone, has been a meaningful long-term holding whose stock performance has at times lagged its robust fundamental performance. Over the last nine months the stock price caught up some with the fundamentals and looked like it had more room to run. Our thesis on the name evolved, however, following the May 17 announcement that competitor Discovery was merging its operations with Time Warner. This deal positions the new company as a credible competitor to Netflix, Amazon Prime, Hulu and Disney, and results in Comcast being left without the proverbial dance partner in the evolving pay TV/DTC landscape. While we continue to believe Comcast’s cable systems business is well-positioned and that NBCUniversal remains valuable, the competitive dynamic for NBCUniversal has stiffened. Our reduced position size reflects both our continued enthusiasm for many parts of the franchise and emerging concerns given the evolving pay TV/DTC landscape.”
1. Bristol-Myers Squibb Company (NYSE:BMY)
Number of Hedge Fund Holders: 74
Viking Global’s Stake Value: $113,204,000
Dividend Yield as of February 15: 3.20%
On December 13, Bristol-Myers Squibb Company (NYSE:BMY), an American pharmaceutical company, raised its quarterly dividend by 10% to $0.54 per share, achieving 15 years of consistent dividend growth. The stock’s current dividend yield stands at 3.20%.
This December, JPMorgan raised its price target on Bristol-Myers Squibb Company (NYSE:BMY) to $80, with an Overweight rating on the shares, expecting a rebound in the company’s shares in 2022. In Q4 2021, Bristol-Myers Squibb Company (NYSE:BMY) represented 0.32% of Andreas Halvorsen’s portfolio, as his hedge fund held a stake worth over $113.2 million in the company.
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.
You can also take a look at 15 Biggest Companies That Don’t Pay Dividends and 10 Stocks that Pay Dividends Monthly
