If you’re new to investing, you’ve probably heard that it’s almost always a good idea to buy dividend stocks. Many experts claim they have the knowledge when it comes to investing and regularly share their advice with others. Today we will focus on one particular individual who has made a career out of investing.
In this blog, we’ll talk about 10 of the best dividend stocks to buy, recommended by billionaire David Tepper.
David Tepper is a businessman and hedge fund manager who also owns the Carolina Panthers of the National Football League and who heads Appaloosa Management LP. Tepper studied economics at the University of Pittsburgh and completed his MBA at Carnegie Mellon University, the latter having a business school named after Tepper.
Tepper’s $2.2 billion paycheque was ranked the highest ever for any hedge fund manager in 2012. He also ranked third on Forbes’ “The Highest-Earning Hedge Fund Managers 2018.” By simply prioritizing distressed bonds, Tepper had generated 61% in returns by 2001 at Appaloosa Management.
Tepper is also known for buying shares in riskier companies, and he has said that investors shouldn’t pay too much attention to what the news is saying about risky stocks.
Appaloosa Management made $7 billion in 2009 through purchasing distressed financial stocks. Their current major holdings include companies like Micron Technology, Inc. (NASDAQ: MU), Amazon.com, Inc. (NASDAQ: AMZN), Facebook, Inc. (NASDAQ: FB), and Alphabet Inc (NASDAQ: GOOG).
They also have a tendency to invest in dividend stocks, including HCA Healthcare, Inc. (NYSE: HCA), Emerson Electric Co. (NYSE: EMR), and Energy Transfer LP (NYSE: ET).
Below, we have outlined some of the best dividend stocks to buy according to David Tepper.
- HCA Healthcare, Inc. (NYSE: HCA). A for-profit healthcare company that has worked with healthcare facilities since 1968, HCA Healthcare had a revenue of $51 billion last year. The company has gained 28.25% year to date and has a market cap of $69 billion. The dividend yield is 0.92%
- UnitedHealth Group Incorporated (NYSE: UNH). As a for-profit insurance company, UnitedHealth Group Incorporated deals with healthcare insurance. The company also offers healthcare products. The company has gained 14.19% year to date and has a market cap of $376 billion. The dividend yield is 1.48%.
- Kohl’s Corporation (NYSE: KSS). Kohl’s Corporation is the owner of Kohl’s department store retail chain. The company’s revenue has grown $3.8 billion this year, and its current market value is $8.4 billion. Its dividend yield is 1.84%.
- Emerson Electric Co. (NYSE: EMR). Emerson Electric Co. is a manufacturing company and is a Fortune 500 company. They manufacture products and provide engineering services to customers. The company has a dividend yield of 2.04%. Emerson Electric Co. has a market cap of about $58.5 billion and has gained 25.05% year to date.
- QUALCOMM Incorporated (NASDAQ: QCOM). QUALCOMM Incorporated is a semiconductor company that manufactures semiconductors, software, and services connected to wireless technology. Although the company’s stock has been down this year, it’s a good one to buy for long-term gains as the company was leading the top IC design companies in terms of Q1 revenues. The dividend yield is 2.05%.
- Viacom CBS Inc. (NASDAQ: VIAC). Viacomb CBS Inc is a mass media company that was formed from a merger of CBS and Viacom 2 years ago. The company has a market cap of $27 billion, and the stock has gained 14.23% year to date. Its dividend yield is 2.27%.
- Sysco Corporation (NYSE: SYY). Sysco Corporation is a wholesale company that markets and distributes food products, small wares, kitchen equipment, and tabletop items. The company mostly sells products to restaurants, healthcare, and educational institutions. Sysco’s stock has gained 9.14% year to date and has a market cap of $40.4 billion. The dividend yield is 2.37%.
- Chesapeake Energy Corporation (NASDAQ: CHK). Chesapeake Energy Corporation is a gas industry that works in hydrocarbon exploration. Its dividend yield is 2.48%.
- Energy Transfer LP (NYSE: ET). Energy Transfer LP is a gas industry company that has gained 81.07% year to date and has a market value of about $29.9 billion. Its dividend yield is 5.62%.
- Enterprise Products Partners L.P. (NYSE: EPD). Enterprise Products Partners L.P. is a midstream natural gas and crude oil pipeline company. The company acquired Gulf Terra almost two decades ago, and ranked 105th in the 2018 Fortune 500 list of the largest American corporations by total revenue. The company has gained 29.57% year to date, and has a market value of $54.6 billion. Its dividend yield is 7.23%.
And there you have it — the 10 best dividend stocks to buy according to David Tepper. We strongly suggest for all readers do their own due diligence when buying any dividend stocks. The above mentioned are the opinions of an individual and they should be researched before making a purchase.
We also advise for you to check out our other blogs for more investing advice.