5 Best Dividend Stocks to Buy According to Noam Gottesman’s GLG Partners

2. Citigroup Inc. (NYSE:C)

Number of Hedge Fund Holders: 97
Dividend Yield as of May 20: 4.10%
GLG Partners’ Stake Value: $140,950,000

Citigroup Inc. (NYSE:C) is an American multinational investment bank and financial services company based in New York. GLG Partners started building its position in the company during the second quarter of 2011, with shares worth $4.5 million. In Q1 2022, the hedge fund held over 2.6 million shares in the company, worth roughly $141 million. Citigroup Inc. (NYSE:C) made up 0.49% of the hedge fund’s 13F portfolio.

In May, Oppenheimer called Citigroup Inc. (NYSE:C) a profitable bank with its consistent dividends and believed that the company will benefit from loan growth and high-interest rates. The firm set a $93 price target on the stock, with an Outperform rating on the shares. Citigroup Inc. (NYSE:C) currently pays a quarterly dividend of $0.51 per share, with a dividend yield of 4.10%, as recorded on May 20.

Insider Monkey’s Q4 2021 data shows that hedge fund interest has spiked in Citigroup Inc. (NYSE:C), as 97 hedge funds held stakes in the company in Q4, up from 79 in the previous quarter. These stakes hold a total value of over $6.6 billion. With shares worth roughly $3 billion, Warren Buffett’s Berkshire Hathaway was the largest shareholder of this New York-based company in Q1 2022.

Artisan Value Fund mentioned Citigroup Inc. (NYSE:C) in its Q4 2021 investor letter. Here is what the firm has to say:

“We fully exited the position in Citigroup. Global financial services company Citigroup made a $900 million clerical error and received a public reprimand from federal regulators. This, after a decade focused on process control, information technology and risk systems, makes the error substantially more costly than just the $900 million mistake. Regulators believe the company’s risk management improvements have fallen short of expectations. To rectify the situation, a process and technology spending surge could negatively affect 2021-2022 profits by 10% to 20%. Trust and confidence are important in large financial institutions, and this incident combined with the CEO’s sudden retirement shook ours.”