In this article, we discuss 5 dividend stocks to buy according to billionaire Stanley Druckenmiller’s Duquesne Capital. If you want to read our detailed analysis of the billionaire’s investment strategy and his hedge fund’s past performance as well as the risk/reward and methodology of this list, go directly to read 10 Dividend Stocks to Buy According to Billionaire Stanley Druckenmiller’s Duquesne Capital.
5. EQT Corporation (NYSE:EQT)
Number of Hedge Fund Holders: 52
Dividend Yield as of September 8: 1.30%
EQT Corporation (NYSE:EQT) is an American energy company that specializes in the exploration of hydrocarbon and pipeline transport. The company is one of the latest holdings of Duquesne Capital, as the hedge fund bought 259,055 shares in the company in the recent quarter. The fund’s total stake in the company stood at roughly $9 million, which represented 0.64% of its 13F portfolio.
On July 20, EQT Corporation (NYSE:EQT) announced a 20% hike in its quarterly dividend to $0.15 per share. As of September 8, the stock’s dividend yield stood at 1.30%.
In August, Mizuho lifted its price target of EQT Corporation (NYSE:EQT) to $59 with a Buy rating on the shares. The firm presented a positive outlook for Exploration and Production sector and expects it to outperform the broader market in the current market situation.
As of the close of Q2 2022, 52 hedge funds tracked by Insider Monkey owned investments in EQT Corporation (NYSE:EQT), ranking the stock as among our list of 5 and 10 dividend stocks to buy according to billionaire Stanley Druckenmiller’s Duquesne Capital. The hedge fund’s investments hold a collective value of over $2.28 billion. Dan Loeb’s Third Point was the company’s leading stakeholder in Q2.
ClearBridge Investments mentioned EQT Corporation (NYSE:EQT) in its recently-published Q2 2022 investor letter. Here is what the firm has to say:
“We initiated a position in EQT (NYSE:EQT), the largest natural gas producer in the U.S., which possesses high-quality acreage within the Marcellus Shale basin. EQT has benefited from tight supply and demand dynamics as cleaner-burning natural gas takes global share from coal and exports to Europe and Asia provide an avenue of demand growth. Longer-term contracts enhance EQT’s earnings visibility as Europe eliminates its dependence on Russian gas.”
4. Pioneer Natural Resources Company (NYSE:PXD)
Number of Hedge Fund Holders: 56
Dividend Yield as of September 8: 10.85%
Up next on our list of dividend stocks in billionaire Druckenmiller’s portfolio is Pioneer Natural Resources Company (NYSE:PXD), which is an American company that is engaged in the exploration of hydrocarbon. In August, Barclays reiterated its Overweight rating on the stock with a $309 price target, highlighting the company’s dividend yield and its buyback program.
Duquesne Capital initiated its position in Pioneer Natural Resources Company (NYSE:PXD) during the third quarter of 2012, purchasing shares worth over $26 million. In Q2 2022, the hedge fund owned 48,455 PXD shares, worth over $10.8 million. The company accounted for 0.78% of the fund’s 13F portfolio.
Pioneer Natural Resources Company (NYSE:PXD) has a long history of offering dividends to shareholders. On August 2, the company declared a base-plus-variable cash dividend of $8.57 per share. The stock has a dividend yield of 10.85%, as of September 8. Given the base-plus-variable cash dividend policy, Pioneer Natural Resources Company (NYSE:PXD) dividend could rise if oil prices rise or decline if energy prices fall.
The number of hedge funds tracked by Insider Monkey owning stakes in Pioneer Natural Resources Company (NYSE:PXD) grew to 56 in Q2 2022, from 54 in the previous quarter. These stakes hold a consolidated value of roughly $697 million.
3. Freeport-McMoRan Inc. (NYSE:FCX)
Number of Hedge Fund Holders: 56
Dividend Yield as of September 8: 2.11%
Freeport-McMoRan Inc. (NYSE:FCX) is an Arizona-based mining company that is also one of the world’s largest producers of molybdenum and also operates one of the largest gold mines in the world. The company was the fifth-largest holding of Duquesne Capital in Q2 2022. The hedge fund owned over 3.2 million shares in the company, worth over $94.5 million. The company made up 6.84% of billionaire Druckenmiller’s portfolio.
Freeport-McMoRan Inc. (NYSE:FCX) currently pays a quarterly dividend of $0.15 per share. As of September 8, the stock’s dividend yield came in at 2.11%.
In July, RBC Capital maintained its Sector Perform rating on Freeport-McMoRan Inc. (NYSE:FCX) with a $35 price target. The firm acknowledged the company’s performance in the recent quarter, highlighting its improving revenues.
As of the end of June 2022, 56 hedge funds tracked by Insider Monkey owned stakes in Freeport-McMoRan Inc. (NYSE:FCX), down from 68 in the previous quarter. These stakes hold a combined value of over $2.47 billion.
Carillon Tower Advisers mentioned Freeport-McMoRan Inc. (NYSE:FCX) in its Q1 2022 investor letter. Here is what the firm has to say:
“Supply chains eased for some goods, but remained challenged for many commodities including energy, agriculture, and fertilizer due to war and general scarcity, and also in many consumer products as semiconductors remained in short supply. Copper and gold producer Freeport- McMoRan (NYSE:FCX) rose as copper prices remained strong due to supply shortages and growing use in renewable energy systems and electric vehicles.”
2. Chevron Corporation (NYSE:CVX)
Number of Hedge Fund Holders: 59
Dividend Yield as of September 8: 3.66%
Chevron Corporation (NYSE:CVX) is a California-based energy industry company that deals in the exploration of oil and natural gas. The company currently offers a quarterly dividend of $1.42 per share, with a dividend yield of 3.66%, as recorded on September 8. It has been consistently raising its dividends for the past 35 years, coming through as one of the best dividend stocks in billionaire Druckenmiller’s portfolio.
Chevron Corporation (NYSE:CVX) was the third-largest holding of Duquesne Capital in Q2 2022. The hedge fund owned 830,435 shares in the company, worth $120.2 million. The company represented 8.69% of the fund’s 13F portfolio.
In August, BMO Capital raised its price target on Chevron Corporation (NYSE:CVX) to $180 with an Outperform rating on the shares, highlighting the company’s strong operational performance, asset base, and financial strength.
Warren Buffett’s Berkshire Hathaway owned stakes worth over $23.3 billion in Chevron Corporation (NYSE:CVX), becoming the company’s leading stakeholder in Q2 2022. Overall, 59 hedge funds in Insider Monkey’s database owned stakes in the energy company in Q2, up from 53 in the previous quarter. These stakes hold a collective value of over $26 billion.
Diamond Hill Capital mentioned Chevron Corporation (NYSE:CVX) in its Q1 2022 investor letter. Here is what the firm had to say:
“Other top contributors in Q1 included multinational energy company Chevron Corp. (NYSE:CVX). The company benefited from increased energy demand as COVID-related economic restrictions eased in tandem with concerns regarding supply interruptions related to Russia’s invasion of Ukraine.”
1. Eli Lilly and Company (NYSE:LLY)
Number of Hedge Fund Holders: 70
Dividend Yield as of September 8: 1.26%
Eli Lilly and Company (NYSE:LLY) is an American pharmaceutical company that has operations in 18 countries and sells its products in over 125 countries. The company was a popular buy among elite funds in Q2 2022, as 70 hedge funds tracked by Insider Monkey were bullish on it, compared with 53 in the previous quarter. These stakes hold a collective value of over $6.7 billion.
Eli Lilly and Company (NYSE:LLY) was the recent holding of Duquesne Capital, as the hedge fund opened its position in the company with 297,150 shares. The fund’s total stake in the company amounted to over $96.3 million, which represented 6.97% of its 13F portfolio.
Eli Lilly and Company (NYSE:LLY) has consistently paid dividends to shareholders since 1885 and has been raising its payouts for the past 8 consecutive years. It currently pays a quarterly dividend of $0.98 per share, with shares boasting a dividend yield of 1.26%, as of September 8.
In August, Citigroup lifted its price target on Eli Lilly and Company (NYSE:LLY) to $370 with a ‘Buy’ rating on the shares, calling the stock an attractive opportunity in the current economic landscape.
Baron Funds mentioned Eli Lilly and Company (NYSE:LLY) in its Q2 2022 investor letter. Here is what the firm had to say:
“Eli Lilly and Company is a global pharmaceutical company focused on discovering, developing, and selling medicines for patients in the therapeutic areas of diabetes, oncology, immunology, and neuroscience. Stock performance was strong due to positive study results for Eli Lilly’s drug Tirzepatide (subsequently branded Mounjaro), which delivered up to 22.5% weight loss in adults with obesity. We think Tirzepatide is in the early innings of adoption in a large obesity market where penetration of anti-obesity medications is currently low. We continue to think Eli Lilly has a healthy base business with limited near-term patent expirations, a strong pipeline, and potential for significant margin expansion, which should translate to solid revenue and earnings growth over many years.”
You can also take a look at 10 Dividend Stocks to Buy According to Billionaire Paul Tudor Jones’ Tudor Investment Corp and 10 Dividend Stocks to Buy According to Billionaire Carl Icahn’s Icahn Capital LP
