In this article, we discuss the 5 undervalued defensive stocks for 2024. To read the detailed overview of the market and defensive stocks, go directly to the 15 Undervalued Defensive Stocks For 2024.
5. Altria Group, Inc. (NYSE:MO)
PE ratio as of December 22 market close: 8.24
Number of Hedge Fund Holders: 40
Altria Group, Inc. (NYSE:MO) is a Virginia-based company that develops and markets tobacco, cigarettes, and related products.
On December 6, Altria Group, Inc. (NYSE:MO) announced a quarterly dividend of $0.98, payable by January 10 to the shareholders of record on December 21. The stock’s dividend yield was a hefty 9.71% as of the December 22 market close.
According to Insider Monkey’s database, the number of hedge funds with a stake in Altria Group, Inc. (NYSE:MO)’s stock was 40 in Q3, down from 43 in Q2, but the total investment value increased to $565.188 million in the third quarter from second quarter’s $446.269 million.
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Follow Altria Group Inc. (NYSE:MO)
4. Bunge Global SA (NYSE:BG)
PE ratio as of December 22 market close: 7.87
Number of Hedge Fund Holders: 31
Bunge Global SA (NYSE:BG) is a Missouri-based company that carries out the storage, transportation, purchasing, and selling of food and ingredients, edible oils, and more.
4 Wall Street analysts covered Bunge Global SA (NYSE:BG) over the last three months, and 3 kept a Buy rating on the stock. The average price target of $137.50 had an upside of 35.28% as of the December 22 market close.
On November 1, Bunge Global SA (NYSE:BG) announced a quarterly dividend of $0.6625, payable by March 1 to the shareholders of record on February 16. As of the December 22 market close, the stock’s dividend yield was 2.618%.
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3. BioNTech SE (NASDAQ:BNTX)
PE ratio as of December 22 market close: 5.53
Number of Hedge Fund Holders: 19
BioNTech SE (NASDAQ:BNTX) is a German company involved in the development and manufacturing of active immunotherapies.
On December 21, BioNTech SE (NASDAQ:BNTX) announced that its BNT323/DB-1303, next-generation antibody-drug conjugate candidate co-developed with Duality Biologics (Suzhou) Co. Ltd., received Breakthrough Therapy designation from the U.S. Food and Drug Administration.
Artisan Partners mentioned BioNTech SE (NASDAQ:BNTX) in its third quarter 2023 investor letter. Here is what it said:
“Notable trims in the quarter included Zscaler, BioNTech SE (NASDAQ:BNTX) and Ingersoll Rand. BioNTech is a biotech company focused on developing immunotherapies to treat cancer and other serious diseases. Management has been using its COVID-19 vaccine cash flows to reinvest in building a substantial early stage pipeline. The company’s intellectual property in mRNA and COVID-funded manufacturing capacity leave it well positioned to develop new mRNA vaccines and cancer therapies. In addition, the company has non-mRNA technology (e.g., cell therapy assets) and blue-chip partnerships offering additional optionality. While we are optimistic that this pipeline will eventually yield promising medications within oncology and infectious diseases, patience will be required. In the meantime, demand for COVID-19 vaccine boosters continues to wane. Therefore, we decided to trim the position in favor of more compelling near-term opportunities.”
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Follow Biontech Se (NASDAQ:BNTX)
2. Companhia Energética de Minas Gerais – CEMIG (NYSE:CIG)
PE ratio as of December 22 market close: 4.59
Number of Hedge Fund Holders: 15
Companhia Energética de Minas Gerais – CEMIG (NYSE:CIG) is a Brazilian integrated energy company engaged in the generation, transmission, and distribution of electricity.
Companhia Energética de Minas Gerais – CEMIG (NYSE:CIG)’s latest dividend of $0.1215 is payable by December 29 to the shareholders of record on December 26.
On November 10, Companhia Energética de Minas Gerais – CEMIG (NYSE:CIG) announced its third-quarter earnings result with revenue of R$9.43 billion, which grew 2.3% year-over-year (YoY). In the quarter, the adjusted net profit was R$1.23 billion, an increase of 20% YoY.
Companhia Energética de Minas Gerais – CEMIG (NYSE:CIG)’s stock was held by 15 hedge funds in the third quarter. The most significant stakeholder was Nathaniel August’s Mangrove Partners, with 7.95 million shares worth $19.246 million.
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Follow Companhia Energetica De Minas Gerais (NYSE:CIG)
1. Enel Chile S.A. (NYSE:ENIC)
PE ratio as of December 22 market close: 2.98
Number of Hedge Fund Holders: 8
Enel Chile S.A. (NYSE:ENIC), previously Enersis Chile SA, is involved in the generation, distribution, and selling of electricity. The company exports natural gas and offers several energy-related products.
According to Insider Monkey’s database, 8 hedge funds had investments in Enel Chile S.A. (NYSE:ENIC)’s stock in the third quarter. Cliff Asness’s AQR Capital Management was the top stakeholder in the company and increased its stake by a staggering 409% to 2.85 million shares worth $8.44 million.
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Follow Enel Chile S.a. (NYSE:ENIC)
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