In this article, we will discuss 5 dividend stocks to buy according to billionaire Paul Tudor Jones’ Tudor Investment Corp. If you want to read our detailed analysis of the hedge fund’s strategy and recent developments as well as the risk/reward and methodology of this list, go directly to read 10 Dividend Stocks to Buy According to Billionaire Paul Tudor Jones’ Tudor Investment Corp.
5. Lamar Advertising Company (NASDAQ:LAMR)
Number of Hedge Fund Holders: 37
Dividend Yield as of September 8: 4.95%
Lamar Advertising Company (NASDAQ:LAMR) is a Louisiana-based advertising company that mainly specializes in billboards, logo signs, and displays. On September 6, the company declared a quarterly dividend of $1.20 per share, consistent with its previous dividend. The stock’s dividend yield stood at 4.95% on September 8.
Lamar Advertising Company (NASDAQ:LAMR) has been a part of Tudor Investments’ portfolio since the fourth quarter of 2014 when the hedge fund invested $403,000 in the company. During Q2 2022, the hedge fund raised its position in the company by 36%, taking its total LAMR stake to over $10.8 million. The company made up 0.28% of billionaire Paul Tudor Jones’ portfolio.
In July, Citigroup upgraded Lamar Advertising Company (NASDAQ:LAMR) to Buy, with a $108 price target. However, the firm expressed concerns regarding the outlook of the advertisement sector in the current market environment.
The number of hedge funds tracked by Insider Monkey owning stakes in Lamar Advertising Company (NASDAQ:LAMR) jumped to 37 in Q2 2022 from 28 in Q1 2022, ranking it #5 on our list of 10 dividend stocks to buy according to billionaire Paul Tudor Jones’ Tudor Investment Corp. Among these hedge funds, Select Equity Group was the company’s leading stakeholder in Q2.
4. FirstEnergy Corp. (NYSE:FE)
Number of Hedge Fund Holders: 42
Dividend Yield as of September 8: 3.80%
FirstEnergy Corp. (NYSE:FE) is an American electric services company that specializes in the distribution and generation of electricity. In July, Barclays raised its price targets on North America’s power and utility sector, and in this view, it reiterated an Equal Weight rating on FE.
Tudor Investments initiated its position in FirstEnergy Corp. (NYSE:FE) during the fourth quarter of 2010 with shares worth $503,000. During Q2 2022, the hedge fund purchased additional stakes worth over $10 million in the company, increasing its position by 462%. The fund’s total FE stake amounted to roughly $13 million in Q2, which represented 0.33% of its 13F portfolio.
On July 19, FirstEnergy Corp. (NYSE:FE) declared a quarterly dividend of $0.39 per share, in line with its previous dividend. The company has not raised its payouts since 2019 in recognition of the pandemic but has maintained its distribution during these years. The current dividend yield for the stock, as of September 8, is 3.80%.
FirstEnergy Corp. (NYSE:FE) was a popular buy among hedge funds in Q2 2022 according to Insider Monkey’s data. 42 hedge funds owned stakes in the company in Q2, growing from 33 in the previous quarter. The stakes owned by these hedge funds hold a collective value of over $1.78 billion.
ClearBridge Investments mentioned FirstEnergy Corp. (NYSE:FE) in its Q4 2021 investor letter. Here is what the firm has to say:
“On a regional level, the Strategy’s largest exposure is in the U.S. and Canada (44%), consisting of regulated and contracted utilities (31%) and economically sensitive user-pays infrastructure (13%). During the quarter we initiated new positions in U.S. electric utility FirstEnergy. With supply chain issues, higher housing costs, higher commodity prices and producer price inflation remaining square in the sights for 2022, we think higher inflation is a risk for global markets. We expect growth to slow to trend or below by mid-2022 and U.S.”
3. CME Group Inc. (NASDAQ:CME)
Number of Hedge Fund Holders: 56
Dividend Yield as of September 8: 1.98%
Another prominent dividend stock in billionaire Paul Tudor Jones’ portfolio is CME Group Inc. (NASDAQ:CME), which is an American financial services company. The company has been a part of Tudor Investments since 2010 when the hedge fund initiated its position with stakes worth over $2.6 million. In Q2 2022, the fund owned 60,222 CME shares, worth over $12.3 million. The company made up 0.32% of the firm’s 13F portfolio.
CME Group Inc. (NASDAQ:CME) has been raising its dividends consistently for the past 12 years. In the past five years, it raised its dividends at a CAGR of 8.61%. The company currently pays a quarterly dividend of $1.00 per share and has a yield of 1.98%, as recorded on September 8.
In September, Credit Suisse maintained a Neutral rating on CME Group Inc. (NASDAQ:CME) with a $210 price target, highlighting the company’s volumes in this inflationary period.
As of the close of Q2 2022, 56 hedge funds tracked by Insider Monkey reported owning stakes in CME Group Inc. (NASDAQ:CME), down from 58 in the previous quarter. These stakes are collectively valued at over $2.74 billion, compared with $2.9 billion worth of stakes owned by hedge funds in the preceding quarter.
ClearBridge Investments mentioned CME Group Inc. (NASDAQ:CME) in its Q4 2021 investor letter. Here is what the firm has to say:
“CME Group, for example, maintains a dominant franchise in electronic commodities and options trading with high incremental margins. Its interest rate trading business had been depressed coming out of the recession, but with a tightening policy environment, it now provides upside optionality that augments robust free cash flow growth and capital return. Willscot Mobile Mini is another compounder that executed well through the pandemic but was not initially recognized for the synergies of its Mobile Mini acquisition. The deal has reduced costs and created greater operating leverage as the company rides the tailwinds of improving industrial production and construction.”
2. The Procter & Gamble Company (NYSE:PG)
Number of Hedge Fund Holders: 71
Dividend Yield as of September 8: 2.65%
The Procter & Gamble Company (NYSE:PG) is an Ohio-based multinational company that specializes in consumer products. In August, Barclays maintained its Overweight rating on the stock with a $154 price target, appreciating the company’s recent quarterly earnings. The firm also appreciated the company’s business model in this current market cycle.
The Procter & Gamble Company (NYSE:PG) was one of the latest holdings of Tudor Investments. The hedge fund opened its position in the company with 81,324 shares, worth nearly $11.7 million. The company represented 0.3% of billionaire Paul Tudor Jones’ portfolio in Q2.
The Procter & Gamble Company (NYSE:PG) holds one of the longest dividend-paying histories in the US stock market. The company has been making consecutive dividend payments for the past 132 years while maintaining a 66-year track record of dividend growth. It currently pays a quarterly dividend of $0.9133 per share, with a dividend yield of 2.65%, as of September 8.
At the end of June 2022, 71 hedge funds tracked by Insider Monkey owned stakes in The Procter & Gamble Company (NYSE:PG), worth over $5.5 billion. In comparison, 72 hedge funds had investments in the consumer goods company in the previous quarter, with a total value of over $6 billion.
1. Comcast Corporation (NASDAQ:CMCSA)
Number of Hedge Fund Holders: 75
Dividend Yield as of September 8: 3.14%
Comcast Corporation (NASDAQ:CMCSA) is an American telecommunications company that provides cable and wireless services to its consumers. The company currently pays a quarterly dividend of $0.27 per share, with a dividend yield of 3.14%, as of September 8. It is one of the best dividend stocks in billionaire Paul Tudor Jones’ portfolio as it maintains a 14-year streak of dividend growth.
During Q2 2022, Tudor Investments raised its position in Comcast Corporation (NASDAQ:CMCSA) by 23%. The fund’s total stake in the company stood at over $17.4 million, which accounted for 0.45% of its 13F portfolio. CMCSA is one of the oldest holdings of Tudor Investments, as the hedge fund started its position in the company in Q4 2010.
In August, Barclays maintained its Equal Weight rating on Comcast Corporation (NASDAQ:CMCSA) with a $42 price target as the firm started coverage of cable companies.
At the end of Q2 2022, 75 hedge funds tracked by Insider Monkey owned stakes in Comcast Corporation (NASDAQ:CMCSA), compared with 78 in the previous quarter. These stakes hold a collective value of nearly $5.4 billion. Anand Desai, Ric Dillon, and Ken Griffin were some of the company’s most prominent stakeholders in Q2.
With 75 hedge funds in our database holding shares at the end of Q2 2022, Comcast Corporation (NASDAQ:CMCSA) is ranked #1 on our list of 10 dividend stocks to buy according to billionaire Paul Tudor Jones’ Tudor Investment Corp.
You can also take a look at 10 High Dividend Stocks to Shore Up Your Cash Position Before Recession Begins and 10 Safe Dividend Stocks to Buy Before 2023
