In this article, we discuss the dividend stocks in Ken Heebner’s portfolio. If you want to read our detailed analysis of Capital Growth Management’s past performance and Heebner’s investment strategy, go directly to read Ken Heebner’s Capital Growth Management’s Portfolio: 10 Dividend Stock Picks.
5. MetLife, Inc. (NYSE:MET)
Number of Hedge Fund Holders: 39
Capital Growth Management’s Stake Value: $34,789,000
Dividend Yield as of May 24: 3.15%
MetLife, Inc. (NYSE:MET) is an American insurance company with around 90 million customers in over 60 countries. The company announced its Q1 2022 results on May 5 and reported revenue of $17.7 billion, which presented a 6% year-over-year growth. Moreover, the company’s EPS of $2.08 beat the market consensus by $0.45.
In April, MetLife, Inc. (NYSE:MET) announced a 4.2% growth in its quarterly dividend to $0.50 per share, with a dividend yield of 3.15%, as of the close of May 24. Since 2011, the company has raised its quarterly dividend at a CAGR of 9.5%.
Capital Growth Management initiated its position in MetLife, Inc. (NYSE:MET) during the first quarter of 2022, purchasing shares worth over $34.7 million. The company accounted for 3.2% of Ken Heebner’s portfolio. In May, Citigroup initiated its coverage of MetLife, Inc. (NYSE:MET) with a Buy rating and a $77 price target.
Pzena Investment Management was the largest shareholder of MetLife, Inc. (NYSE:MET) in Q1 2022, holding shares worth roughly $360 million. Overall, 39 hedge funds tracked by Insider Monkey were bullish on the company in Q1 2022, up from 36 in the previous quarter. These stakes hold a consolidated value of over $945.5 million.
4. UDR, Inc. (NYSE:UDR)
Number of Hedge Fund Holders: 27
Capital Growth Management’s Stake Value: $5,737,000
Dividend Yield as of May 24: 3.21%
UDR, Inc. (NYSE:UDR), an American real estate investment trust, announced solid Q1 2022 results on April 26. The company posted an FFO of $0.55, beating analysts’ expectations by $0.01. In the last two years, the company has beaten FFO estimates 50% of the time.
In Q1 2022, the number of hedge funds tracked by Insider Monkey holding stakes in UDR, Inc. (NYSE:UDR) grew to 27, from 19 in the previous quarter. The total value of these stakes is over $276.6 million, up from $245 million worth of stakes held by hedge funds in Q4 2021.
In March, UDR, Inc. (NYSE:UDR) announced a quarterly dividend of $0.38 per share, having raised it by 4.8% from the prior dividend of $0.36 per share. The stock’s dividend yield, as of May 24, stood at 3.21%. The company did not raise its dividend in 2020 because of the pandemic-related financial disturbance.
In May, Barclays set a $56 price target on UDR, Inc. (NYSE:UDR), with an Overweight rating on the shares, expecting the company to show long-term rent growth. Capital Growth Management reduced its position in UDR, Inc. (NYSE:UDR) by 67% during Q1 2022 and held shares worth over $5.7 million. The company accounted for 0.52% of Ken Heebner’s portfolio.
3. The Buckle, Inc. (NYSE:BKE)
Number of Hedge Fund Holders: 29
Capital Growth Management’s Stake Value: $29,406,000
Dividend Yield as of May 24: 5.01%
The Buckle, Inc. (NYSE:BKE) is an American fashion retailer that sells clothing, footwear, and accessories for men, women, and children. In April, the company reported its comparable store net sales of $96.3 million, a 2.8% growth from the same period last year.
The Buckle, Inc. (NYSE:BKE) currently pays a quarterly dividend of $0.35 per share, having raised it by 6% in December 2021. The company has raised its dividends three years in a row. The stock’s dividend yield was recorded at 5.01% on May 24.
Capital Growth Management started building its position in The Buckle, Inc. (NYSE:BKE) during the second quarter of 2021. At the end of Q1 2022, the hedge fund held shares worth roughly $30 million in the company, after increasing its position by 6%. The company accounted for 2.71% of Ken Heebner’s portfolio.
At the end of March 2021, 29 hedge funds tracked by Insider Monkey reported owning stakes in The Buckle, Inc. (NYSE:BKE), up from 28 in the previous quarter. These stakes hold a consolidated value of roughly $133 million. With shares worth over $34 million, Renaissance Technologies held the largest stake in the company in Q1 2022.
2. Simon Property Group, Inc. (NYSE:SPG)
Number of Hedge Fund Holders: 35
Capital Growth Management’s Stake Value: $26,312,000
Dividend Yield as of May 24: 6.44%
Simon Property Group, Inc. (NYSE:SPG) is an American real estate investment trust that invests in shopping malls and community centers. As per Insider Monkey’s Q1 2022 database, 35 hedge funds held a $688 million worth of stake in the company. In comparison, 39 hedge funds held positions in the company in the previous quarter, with stakes valued at roughly $620 million.
In May, Simon Property Group, Inc. (NYSE:SPG) announced a 3% hike in its quarterly dividend at $1.70 per share. In 2021, the company raised its dividend for three consecutive quarters. The stock’s dividend yield was recorded at 6.44%, as of the market close of May 24. Highlighting the company’s share repurchase program, in May, Stifel set a $165 price target on Simon Property Group, Inc. (NYSE:SPG), while maintaining a Buy rating on the shares.
At the end of Q1 2022, Capital Growth held 200,000 shares in Simon Property Group, Inc. (NYSE:SPG), valued at over $26.3 million. The company represented 2.42% of Ken Heebner’s portfolio.
Baron Funds mentioned Simon Property Group, Inc. (NYSE:SPG) in its Q1 2022 investor letter. Here is what the firm has to say:
“Following a share price gain of more than 97% in 2021, we recently trimmed the Fund’s holdings in Simon Property Group, Inc. (NYSE:SPG), the largest and premier mall operator in the U.S. Though we are also tempered by the expectation for modest earnings growth in 2022, we remain optimistic about the company’s long-term prospects. Simon owns A-quality malls in A-quality geographic locations. We expect Simon to benefit from the ongoing economic recovery and believe management is well positioned to acquire real estate assets given its strong balance sheet and low cost of capital.”
1. Rio Tinto Group (NYSE:RIO)
Number of Hedge Fund Holders: 26
Capital Growth Management’s Stake Value: $32,964,000
Dividend Yield as of May 24: 11.31%
Rio Tinto Group (NYSE:RIO), an Anglo-Australian mining company, was the latest addition to Capital Growth’s portfolio. The hedge fund initiated its position in the company with shares worth roughly $33 million. The company represented 3.04% of Ken Heebner’s portfolio.
In February, Rio Tinto Group (NYSE:RIO) announced an ordinary dividend of $7.93 per share, with a special dividend of $2.47 per share. The stock’s dividend yield, as of May 24, stood at 11.31%.
At the end of Q1 2022, 26 hedge funds tracked by Insider Monkey were bullish on Rio Tinto Group (NYSE:RIO), up from 22 in the previous quarter. These stakes hold a consolidated value of over $2.5 billion.
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