In this article, we will take a look at the 5 safe haven stocks billionaires are loading up on. To see more such companies, go directly to 10 Safe Haven Stocks Billionaires Are Loading Up On.
5. Thermo Fisher Scientific Inc. (NYSE:TMO)
Number of Billionaire Investors: 19
Another dividend-paying defensive play in our list, Thermo Fisher Scientific Inc. (NYSE:TMO) recently said it will buy data intelligence company CorEvitas from Audax Private Equity for approximately $913 million in cash.
As of the end of the first quarter of 2023, 19 billionaire hedge fund managers reported owning stakes in Thermo Fisher Scientific Inc. (NYSE:TMO). Overall, 98 hedge funds in Insider Monkey’s database of hedge funds reported owning stakes in Thermo Fisher Scientific Inc. (NYSE:TMO). Some notable billionaires owning stakes in Thermo Fisher Scientific Inc. (NYSE:TMO) include Andreas Halvorsen, Chris Hohn and Cliff Asness.
4. Walmart Inc. (NYSE:WMT)
Number of Billionaire Investors: 20
Walmart Inc. (NYSE:WMT) is in the limelight after analyst commentary which suggests the stock is positioned to grow in the second half of 2023. Evercore ISI recently added Walmart Inc. (NYSE:WMT) in its Best Core Ideas. Evercore’s analyst Greg Melich praised Walmart Inc. (NYSE:WMT)’s strong value proposition which could help it grow traffic in 2023. The analyst thinks Walmart Inc. (NYSE:WMT) is positioned better than rivals Costco Wholesale Corporation (NASDAQ:COST) and Target Corporation (NYSE:TGT) due to better geographic positioning in the U.S. The analyst thinks that Walmart Inc. (NYSE:WMT)’s tech-related investments made during the COVID-19 pandemic are also starting to bear fruit.
Insider Monkey’s billionaire database shows 20 billionaires had stakes in Walmart Inc. (NYSE:WMT). Some of the most famous billionaires having stakes in Walmart Inc. (NYSE:WMT) are DE Shaw, Ken Griffin, Steve Cohen and Ray Dalio.
3. Mastercard Incorporated (NYSE:MA)
Number of Billionaire Investors: 20
Payments giant Mastercard Incorporated (NYSE:MA) ranks 3rd in our list of the best safe haven stocks billionaires love in 2023. A total of 20 billionaires in Insider Monkey’s database had stakes in Mastercard Incorporated (NYSE:MA). Among these are Warren Buffett, Andreas Halvorsen, DE Shaw, and Cliff Asness.
Manole Capital Management made the following comment about Mastercard Incorporated (NYSE:MA) in its second quarter 2023 investor letter:
“We like to start out all of our discussions by telling investors who we are. We are FINTECH investors, and we define Fintech as “anything utilizing technology to improve an established process.” We realize that half of Fintech is financial, but we don’t invest in traditional, credit sensitive banks. Having managed money during the Financial Crisis, we learned firsthand how certain opaque and balance sheet intensive financials could go bankrupt or insolvent.
We prefer transaction-based businesses, generating recurring revenue, with sustainable margins, and significant cash flow. From our perspective, the perfect example of a FINTECH business is the secularly growing payments industry. Names like Visa or Mastercard Incorporated (NYSE:MA), that generate revenue and profit per swipe or transaction, without the underlying credit sensitivity or risk associated with that underlying line of credit.”
2. Visa Inc. (NYSE:V)
Number of Billionaire Investors: 24
Visa Inc. (NYSE:V) ranks 2nd in our list of the safe haven stocks billionaires are loading up on.
Insider Monkey’s database shows that 24 billionaires had stakes in Visa Inc. (NYSE:V) as of the end of the March quarter. Some notable billionaires with stakes in Visa Inc. (NYSE:V) are Chris Hohn, Warren Buffett, Andreas Halvorsen and Terry Smith.
Manole Capital Management made the following comment about Visa Inc. (NYSE:V) in its second quarter 2023 investor letter:
“We like to start out all of our discussions by telling investors who we are. We are FINTECH investors, and we define Fintech as “anything utilizing technology to improve an established process.” We realize that half of Fintech is financial, but we don’t invest in traditional, credit sensitive banks. Having managed money during the Financial Crisis, we learned firsthand how certain opaque and balance sheet intensive financials could go bankrupt or insolvent.
We prefer transaction-based businesses, generating recurring revenue, with sustainable margins, and significant cash flow. From our perspective, the perfect example of a FINTECH business is the secularly growing payments industry. Names like Visa Inc. (NYSE:V) or Mastercard, that generate revenue and profit per swipe or transaction, without the underlying credit sensitivity or risk associated with that underlying line of credit.”
1. UnitedHealth Group Inc. (NYSE:UNH)
Number of Billionaire Investors: 25
UnitedHealth Group Inc. (NYSE:UNH) is one of the top safe haven stocks billionaires love. Insider Monkey’s database of billionaires’ holdings shows that 25 billionaires had stakes in UnitedHealth Group Inc. (NYSE:UNH) as of the end of the first quarter. Some of the notable billionaires with stakes in UnitedHealth Group Inc. (NYSE:UNH) included Rajiv Jain, Andreas Halvorsen and Richard Chilton.
With over a decade of consistent dividend increases and long-term growth catalysts UnitedHealth Group Inc. (NYSE:UNH) is a solid pick for recessions.
ClearBridge Large Cap Value Strategy made the following comment about UnitedHealth Group Incorporated (NYSE:UNH) in its first quarter 2023 investor letter:
“The tech-dominated quarter was a headwind for both defensive and cyclical sectors, with shares of health care holdings such as UnitedHealth Group Incorporated (NYSE:UNH), Elevance (ELV) and Johnson & Johnson (JNJ) declining after a strong 2022.”
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