In this article, we discuss the 5 best dividend stocks to buy according to John Khoury’s Long Pond Capital. If you want to read our detailed analysis of Khoury’s history, investment philosophy, and hedge fund performance, go directly to the 10 Best Dividend Stocks to Buy According to John Khoury’s Long Pond Capital.
5. CyrusOne Inc. (NASDAQ: CONE)
Khoury’s Stake Value: $36,645,000
Percentage of John Khoury’s 13F Portfolio: 1.25%
Dividend Yield: 2.73%
Number of Hedge Fund Holders: 21
CyrusOne Inc. (NASDAQ: CONE) is a Dallas-based real estate investment trust that invests in carrier-neutral data centers. The company was founded in 2001 and stands fifth on the list of 10 best dividend stocks to buy according to John Khoury’s Long Pond Capital. CyrusOne currently has a $9.06 billion market capitalization.
On July 6, BMO Capital analyst Ari Klein upgraded CyrusOne Inc. (NASDAQ: CONE) from “Market Perform” to “Outperform” with a price target of $81 from $74. On April 28, CyrusOne declared Funds from operations (FFO) for the first quarter of 2021. It reported FFO of $1.00, beating market predictions by $0.02. The revenue for the first three months of 2021 was $298.6 million, up 21.4% YoY, beating the estimates by $26.97 million. The company’s adjusted EBITDA for the first quarter was $140.3 million, which outperformed the consensus estimate by $141.7 million.
The stock is a new arrival on John Khoury’s portfolio, as his hedge fund bought about 541,128 shares of CyrusOne Inc. (NASDAQ: CONE), worth $36.65 million. The shares account for about 1.25% of Long Pond Capital’s portfolio. Barry Rosenstein’s JANA Partners is the company’s most significant stakeholder, with 551,365 shares worth $37.34 million.
4. NETSTREIT Corp. (NYSE: NTST)
Khoury’s Stake Value: $50,087,000
Percentage of John Khoury’s 13F Portfolio: 1.71%
Dividend Yield: 3.61%
Number of Hedge Fund Holders: 10
NETSTREIT Corp. (NYSE: NTST) is a real estate investment trust established in Dallas, Texas. It was founded in 2019 and is ranked fourth on the list of 10 best dividend stocks to buy according to John Khoury’s Long Pond Capital. NETSTREIT currently has a $1.39 billion market capitalization and was able to deliver a 29.60% return in the past 12 months.
On July 9, Wells Fargo analyst Todd Stender raised the firm’s price target to $26.00 from $20.50 and kept an “Overweight” rating on the shares. On April 29, NETSTREIT Corp. (NYSE: NTST) posted Funds from operations (FFO) for the first quarter of 2021. It reported FFO of $0.23, beating market predictions by $0.01. The revenue for the first three months of 2021 was $11.93 million, up 116.9% YoY, beating the estimates by $0.08 million.
The most significant stakeholder of NETSTREIT Corp. (NYSE: NTST) is Long Pond Capital, with 2.71 million shares worth $50.09 million. This represented 1.71% of the investment portfolio of Long Pond Capital.
3. VICI Properties Inc. (NYSE: VICI)
Khoury’s Stake Value: $26,828,000
Percentage of John Khoury’s 13F Portfolio: 0.91%
Dividend Yield: 4.21%
Number of Hedge Fund Holders: 41
VICI Properties Inc. (NYSE: VICI) is a real estate investment trust investing in casino properties in New York City. The company was founded in 2017, and it stands third on the list of 10 best dividend stocks to buy according to John Khoury’s Long Pond Capital. VICI shares have gained 44.50% over the last 12 months.
On June 14, Wolfe Research analyst Andrew Rosivach initiated a coverage on VICI Properties Inc. (NYSE: VICI) with an “Outperform” rating and price target of $47. On June 10, VICI Properties declared a quarterly dividend of $0.33 per share, in line with the previous. The forward yield is 1.32%.
The stock is a new arrival on John Khoury’s portfolio, as his hedge fund bought about 950,000 shares of the company, worth $26.83 million. At the end of the first quarter of 2021, 41 hedge funds in the database of Insider Monkey held stakes worth $875.49 million in VICI Properties Inc. (NYSE: VICI), up from 38 the preceding quarter worth $970.23 million.
2. National Retail Properties, Inc. (NYSE: NNN)
Khoury’s Stake Value: $49,863,000
Percentage of John Khoury’s 13F Portfolio: 1.7%
Dividend Yield: 4.35%
Number of Hedge Fund Holders: 22
National Retail Properties, Inc. (NYSE: NNN) is a real estate investment trust, which invests mainly in high-quality properties. The company was incorporated in 1984 and is ranked second on the list of 10 best dividend stocks to buy according to John Khoury’s Long Pond Capital. National Retail currently has an $8.51 billion market capitalization. It delivered a 36.53% return in the past 12 months.
On July 15, National Retail Properties, Inc. (NYSE: NNN) declared a quarterly dividend of $0.53 per share, which was a 1.9% increase from its prior dividend of $0.52. On July 1, Wells Fargo analyst Todd Stender raised the firm’s price target to $50 from $44 and kept an “Equal Weight” rating on the shares. On May 4, National Retail Properties, Inc. (NYSE: NNN) posted Funds from operations (FFO) for the first quarter of 2021. It reported FFO of $0.69, beating market predictions by $0.05. The revenue for the first three months of 2021 was over $179 million, beating the market predictions by $12.67 million.
Long Pond Capital holds 1.13 million shares in National Retail Properties, Inc. (NYSE: NNN) worth over $49 million, representing 1.7% of their portfolio. The hedge fund has trimmed stakes in the firm by 44% in the past few months. As of the end of the first quarter, there were 22 hedge funds in Insider Monkey’s database that held stakes in National Retail Properties, Inc. (NYSE: NNN), compared to 14 funds in the previous quarter.
1. Spirit Realty Capital, Inc. (NYSE: SRC)
Khoury’s Stake Value: $75,869,000
Percentage of John Khoury’s 13F Portfolio: 2.59%
Dividend Yield: 5.11%
Number of Hedge Fund Holders: 18
Spirit Realty Capital, Inc. (NYSE: SRC) is a net-lease real estate investment trust based in Dallas, Texas. It was founded in 2003 and ranks first on the list of 10 best dividend stocks to buy according to John Khoury’s Long Pond Capital. Spirit Realty shares have gained about 41.85% over the last 12 months.
On June 22, JPMorgan analyst Anthony Paolone raised the firm’s price target on Spirit Realty Capital, Inc. (NYSE: SRC) to $54 from $48 and kept an “Overweight” rating on the shares. On May 20, Spirit Realty declared a quarterly dividend of $0.625 per share, in line with the previous.
Long Pond Capital is a leading shareholder in Spirit Realty Capital, Inc. (NYSE: SRC) with 1.79 million shares worth $75.87 million, representing 2.59% of their investment portfolio. Hedge funds are loading up on Spirit Realty Capital, Inc. (NYSE: SRC), as Insider Monkey’s data shows that 18 hedge funds held stakes in the company in the first quarter of 2021, compared to 17 funds a quarter earlier.
You can also take a peek at 10 Best Dividend Stocks to Buy According to James Parsons’ Junto Capital and 10 Best Dividend Stocks to Buy Under $20
