Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Billionaire Leon Cooperman’s Dividend Picks Include Kinder Morgan

Page 1 of 2

Six to seven weeks after the end of each fiscal quarter, hedge funds are required to file 13Fs with the SEC. These filings disclose many of their long equity positions in U.S. stocks, with the most recent round of filings doing so for the end of December. Even with the inherent delay in these filings, the information included in them can still be useful to investors; we have found that the most popular small cap stocks among hedge funds outperform the S&P 500 by an average of 18 percentage points per year (learn more about our small cap strategy). We can also narrow our focus to filings from top investors to see what they are thinking about different groups of stocks. Here are five stocks that billionaire Leon Cooperman’s Omega Advisors had over $100 million invested in and which pay a dividend yield of at least 4% according to current prices and recent dividend payments (or see the full list of Cooperman’s stock picks):


One of the fund’s five largest holdings by market value was Kinder Morgan Inc (NYSE:KMI), which pays a dividend yield of just over 4%. Omega owned 5 million shares of Kinder Morgan at the end of 2012. Bain Capital’s Brookside Capital had a similarly sized position in the pipeline company, which transports natural gas and refined petroleum products among other liquids and gases. The market has been bidding up the company’s earnings multiples, and Kinder Morgan actually trades at 26 times consensus earnings for 2014. Kinder Morgan acquired El Paso last year to grow its pipeline business.

Cooperman also owned a little over 5 million shares of Atlas Pipeline Partners, L.P. (NYSE:APL), a midstream natural gas company which owns pipelines and processing plants. Atlas pays a yield of 7% going by recent dividend payments from the company. We would note that the stock has a high beta, at 2.1, but has fallen 11% in the last year against a rising market. Revenue has also been about flat. Balyasny Asset Management, a $2 billion hedge fund managed by Dimitry Balyasny, initiated a position of 1.1 million shares between October and December (find Balyasny’s favorite stocks).

Here are three more stocks Omega owned which pay high yields:

Page 1 of 2

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!