5 Best Dividend Stocks to Buy According to Billionaire Louis Bacon

1. Exxon Mobil Corporation (NYSE: XOM)

Bacon’s Stake Value: $4,746,000
Percentage of Louis Bacon’s 13F Portfolio: 0.06%
Dividend Yield: 5.55%
Number of Hedge Fund Holders: 65

Exxon Mobil Corporation (NYSE: XOM) explores and manufactures petroleum and fossil gas in the United States and globally. The company was incorporated in 1870 and ranks first on the list of 10 best dividend stocks to buy according to billionaire Louis Bacon. Exxon Mobil Corporation stock has offered investors more than 31.80% in returns over the past year.

Exxon Mobil Corporation posted quarterly earnings results on April 30, reporting earnings per share of $0.65 for the first three months of 2021, beating market predictions by $0.05. It is a good option for dividend investors. It declared a quarterly dividend of $0.87 per share on April 28, in line with the previous. The forward yield is 5.55%. On May 5, DZ Bank’s analyst Werner Eisenmann initiated a coverage on the stock and rated it as “Buy,” giving it a price target of $67.00.

Louis Bacon’s hedge fund owns 85,000 shares of the company, worth over $4.75 million. Bacon’s hedge fund decreased its stake in the company by 68% in the first quarter. Hedge fund sentiment increased for Exxon Mobil Corporation (NYSE: XOM) in the first quarter of 2021. Insider Monkey’s data shows that 65 elite hedge funds held stakes in the company, up from 63 funds a quarter earlier.

Harding Loevner in its Q1 2021 investor letter, mentioned Exxon Mobil Corporation. Here is what Harding Loevner has to say about Exxon Mobil Corporation in its letter:

“We felt that our remaining energy holding, ExxonMobil, with its stronger balance sheet, was in a better position to ride out the cyclical slump in oil demand and even perhaps take advantage of it by investing counter-cyclically. While ExxonMobil does plan to increase capital expenditure, we’ve been disappointed in its regrettable failure to address ongoing emission trends, which reflects poorly on management’s foresight. As a result, we sold our ExxonMobil holdings.”

You can also take a peek at Billionaire Daniel Sundheim’s Top 10 Picks and Billionaire Andreas Halvorsen’s Top Stock Picks. 

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