In this article, we discuss 5 high-yield dividend stocks popular on Robinhood. If you want to see more stocks in this selection, click 10 High-Yield Dividend Stocks Popular on Robinhood.
5. Exxon Mobil Corporation (NYSE:XOM)
Number of Hedge Fund Holders: 71
Dividend Yield as of May 20: 3.84%
Exxon Mobil Corporation (NYSE:XOM) is a Texas-based provider of crude oil and natural gas in the United States and internationally. The company has a rich dividend history. Exxon Mobil Corporation (NYSE:XOM) has paid a dividend to shareholders for 100 years, and its increasing dividends stretch back to 39 consecutive years. The company posted a revenue of $90.50 billion for Q1 2022, above consensus by $5.62 billion.
Exxon Mobil Corporation (NYSE:XOM) declared on April 27 a $0.88 per share quarterly dividend, in line with previous. The dividend is payable on June 10, to shareholders of the company as of May 13. Exxon Mobil Corporation (NYSE:XOM) is one of the most popular high yield dividend stocks popular on Robinhood, yielding 3.84% as of May 20.
Exxon Mobil Corporation (NYSE:XOM) on May 19 signed an agreement with subsidiaries of BKV Corporation for the sale of operated and non-operated Barnett Shale gas assets in Texas for $750 million, with additional payments based on future natural gas prices. Citi analyst Alastair Syme on May 19 raised the firm’s price target on Exxon Mobil Corporation (NYSE:XOM) to $90 from $80 and kept a Neutral rating on the shares after the Q1 results.
Among the hedge funds tracked by Insider Monkey, 71 funds were long Exxon Mobil Corporation (NYSE:XOM) in Q4 2021, up from 64 funds in the prior quarter. In Q1 2022, Rajiv Jain’s GQG Partners held a significant position in Exxon Mobil Corporation (NYSE:XOM), with 51.80 million shares worth $4.2 billion.
Here is what Goehring & Rozencwajg Associates has to say about Exxon Mobil Corporation (NYSE:XOM) in its Q3 2021 investor letter:
“After successfully replacing 25% of Exxon’s board of directors despite owning just 0.02% of the outstanding equity, Engine No. 1, the climate-focused activist hedge fund, met with Chevron’s management late last summer. In discussions that were later described as “cordial,” Chevron executives shared their plan to reduce carbon emissions. Subsequently, Chevron announced new plans to further reduce carbon output, along with their intention to appoint a new director with “environmental expertise.” Although it remains unclear exactly what Engine No. 1 is planning, rumors suggest the fund has contacted other investors, strongly suggesting they intend to launch a second campaign in the not-too-distant future.
What should Chevron expect?
It was recently reported by The Wall Street Journal that Exxon was considering abandoning two massive natural gas projects: the 75 trillion cubic foot (tcf ) Rovuma LNG project (capital cost $30 bn) and the 5 tcf Ca Voi Xanh offshore-Vietnam gas project (capital cost $10 bn). Exxon board members (most likely including the three supported by Engine No. 1) have publicly expressed concerns about both projects.
According to internal reports, these projects are among the highest CO2 producers in Exxon’s pipeline; it is no surprise these projects have been called into question. However, we find the plight of both fields to be perplexing since production would almost certainly be used to displace coal in electricity generation, cutting CO2 emissions by nearly 50%. This fact seems to be lost on the new Exxon board members.”
