5 Dividend Stocks to Buy According to Ken Fisher

2. BHP Group (NYSE:BBL)

Fisher Asset Management Stake Value: $447,539,000
Percentage of Fisher Asset Management’s 13F Portfolio: 0.25%
Number of Hedge Fund Holders: 21
Dividend Yield: 10.78%

BHP Group (NYSE:BBL) is a mining and oil and gas exploration, development, production, processing, and marketing company. Ken Fisher’s Fisher Asset Management is the company’s biggest shareholder with 8 million shares worth $405.50 million.

In September, RBC Capital analyst Tyler Broda initiated coverage of BHP Group (NYSE:BBL), downgrading BHP Group to “Sector Perform” from “Outperform” and gave a price target of 1,900 GBp, down from 2,300 GBp. According to Broda, while the demerger of petroleum may restrict the growth of the company and make its portfolio less diversified.

BHP Group (NYSE:BBL) recently saw a decrease in hedge fund sentiment. The number of long hedge fund positions declined to 21 in the third quarter of 2021 compared to 24 positions in the previous quarter.

In its first-quarter 2021 investor letter, Harding Loevner, mentioned BHP Group (NYSE:BHP). Here is what the fund said:

“Our purchase of Australian mining company BHP is an example of a quality company at a moderate valuation that should deliver attractive long-term returns. We believe the market has undervalued its enduring competitive advantage due to its low-cost iron and copper mining operations which has allowed the company to deliver consistent profits and cash flows across the inevitable ups and downs of the global metals cycle. While the variability of commodity prices prevents BHP from scoring in the top ranks of measured quality, we are willing to bear some of that uncertainty in return for a more attractive valuation given the company’s strong business fundamentals.”