Billionaire Steve Cohen Is Bullish On These Dividend Stocks

#1 Delek US Holdings, Inc. (NYSE:DK)

– Shares Owned by Point72 Asset Management (as of September 30): 4.8 Million

– Value of Holding (as of September 30): $133.3 Million

After breaking the $40 mark for the first time in 2013, the stock of Delek US Holdings, Inc. (NYSE:DK) again tried to surpass it in April and July last year, but failed and since then has receded by over 40%. During the third quarter, when the stock fell by 24.4%, Point72 Asset Management increased its stake in the company by 37%. Moreover, the ownership of the company among the funds covered by Insider Monkey also increased by six during the same period.

According to Delek US Holdings, Inc. (NYSE:DK) latest quarterly report, its total liabilities at the end of third quarter stood at $2.01 billion, which, although, were lower than the $2.13 billion it had reported at the end of the second quarter, were still large compared to its size.

On December 23, the company submitted an amended 13D filing with the SEC revealing that it now owns almost 33.7 million or 47.5% of all outstanding shares of energy company Alon USA Energy, Inc. (NYSE:ALJ). Prior to that, on December 16, analysts at Raymond James had upgraded Delek US Holdings’ stock to ‘Outperform’ from ‘Market Perform’, while keeping their price target on it constant at $30. On January 5 analysts at Bank of America also upgraded the stock to ‘Buy’ from ‘Neutral’, while keeping their price target on it constant at $30.

The 2.60% annual dividend yield that the stock provides has made it appealing to a lot of institutional investors, including George Soros’ Soros Fund Management, which raised its stake in Delek US Holdings by 41% during the third quarter, taking its total holding to 957,053 shares at the end of September.

Disclosure: None