In this article, we take a look at the top 10 dividend stocks to buy according to Bernard Horn’s Polaris Capital.
Bernard Horn founded Polaris Capital in 1995 and currently serves as its President and Portfolio Manager. A graduate of Northeastern University, Bernard Horn previously worked as an investment officer at MDT Advisers, Inc. From 1990 to 1992, he worked at Freedom Capital Management as a vice president and portfolio manager. He also went on to found and become principal at Horn & Company.
At Boston-based Polaris Capital, Bernard Horn manages approximately $3.13 billion in assets from a diverse client base. The fund focuses primarily on stocks in the Financial, Healthcare, Services, Consumer Goods, and Other industries. Polaris Capital has one of the longest international equity track records of any firm in operation and is continuously managed by the same individuals. Horn’s investment philosophy combines a quantitative global valuation model and investment technology with a traditional fundamental research model.
Bernard Horn holds a Master’s degree in management from the Alfred P. Sloan School of Management at M.I.T and has a proven track record of 30+ years in the investment world.
10 Dividend Stocks to Buy According to Bernard Horn’s Polaris Capital
Among Horn’s most notable positions are Microsoft Corporation (NASDAQ: MSFT), Intel Corporation (NASDAQ: INTC), and JPMorgan Chase & Co. (NYSE: JPM).
Based on the Q3 13F holdings, here is a list of top 10 dividend stocks that Bernard Horn’s Polaris Capital is buying.
Dividend Stocks to Buy According to Bernard Horn’s Polaris Capital
10. Marathon Petroleum Corporation (NYSE:MPC)
Polaris Capital’s Stake Value: $74.83 million
Percentage of Polaris Capital’s 13F portfolio: 2.38%
Total Number of Hedge Fund Holders: 43
Dividend Yield: 3.78%
Starting off this list is Marathon Petroleum Corporation (NYSE: MPC), a company that deals in the refining, marketing, and retailing of petroleum products in the United States. The company operates through its two segments: Refining & Marketing, and Midstream.
On November 15, research firm Wells Fargo kept its ‘Overweight’ rating on the company stock, raising the price target to $87 from $73. Analyst Roger Read noted that the US oil refining industry could enjoy growth in 2022, similar to what is seen with oil and gas this year.
The firm posted an EPS of $0.73 for Q3 2021, beating estimates by $0.03. Quarterly revenue stood at $32.61 billion, which beat analysts’ forecasts by $10.44 billion.
Out of the 867 hedge funds tracked by Insider Monkey as of the third quarter of 2021, 43 hedge funds reported owning stakes worth $2.68 billion in Marathon Petroleum Corporation (NYSE: MPC), as compared to $2.61 billion in positions held by 48 hedge funds a quarter earlier.
In addition to Microsoft Corporation (NASDAQ: MSFT), Intel Corporation (NASDAQ: INTC), and JPMorgan Chase & Co. (NYSE: JPM), Marathon Petroleum Corporation (NYSE: MPC) is a top stock on the radar of investors.
9. Novartis AG (NYSE:NVS)
Polaris Capital’s Stake Value: $41,000
Percentage of Polaris Capital’s 13F portfolio: 0.001%
Total Number of Hedge Fund Holders: 22
Dividend Yield: 3.91%
According to the regulatory filings for Q3 2021, Bernard Horn reported owning 500 shares in Novartis AG (NYSE: NVS), a company engaged in the development, manufacturing, and marketing of healthcare products.
Novartis AG (NYSE: NVS) reported an EPS of $1.71 for the third quarter of 2021, beating estimates by $0.05. The company posted $13.03 billion in revenue for the quarter, exceeding analysts’ forecasts by $14.29 million,
By end of September, 22 hedge funds reported holdings positions in Novartis AG (NYSE: NVS) worth $1.43 billion, as compared to the previous quarter where the same number of hedge funds held $1.79 billion worth of positions in the company.
8. F.N.B. Corporation (NYSE:FNB)
Polaris Capital’s Stake Value: $1.72 million
Percentage of Polaris Capital’s 13F portfolio: 0.05%
Total Number of Hedge Fund Holders: 19
Dividend Yield: 3.99%
Then there’s F.N.B. Corporation (NYSE: FNB), a Pittsburgh-based financial services company that operates through its segments: Community Banking, Wealth Management, Insurance, and Other. According to 13F filings for Q3 2021, Bernard Horn reported owning 148,480 shares in the company, valued at $1.72 million.
As of Q3 2021, 19 hedge funds reported owning shares in F.N.B. Corporation (NYSE: FNB). The total value of these holdings was $112.77 million. This shows investors are loading up on the company stock, as only 16 hedge funds held $55.89 million worth of positions in the previous quarter.
F.N.B. Corporation (NYSE: FNB) released its Q3 earnings on 18th October 2021 and reported earnings per share of $0.34, which beat consensus estimates by $0.05.
7. People’s United Financial, Inc. (NASDAQ:PBCT)
Polaris Capital’s Stake Value: $1.54 million
Percentage of Polaris Capital’s 13F portfolio: 0.04%
Total Number of Hedge Fund Holders: 19
Dividend Yield: 4.10%
Ranking 7th on our list of top dividend stocks to buy according to Bernard Horn is People’s United Financial, Inc. (NASDAQ: PBCT), a banking and financial holding company that deals in the provision of banking and wealth management services to consumers, businesses, and municipal entities.
As of the end of September, People’s United Financial, Inc. (NASDAQ: PBCT) reported an EPS of $0.33 for the third quarter, beating estimates by $0.01.
As of the third quarter of 2021, 19 hedge funds out of 867 tracked by Insider Monkey reported owning stakes worth $222.65 million in People’s United Financial, Inc. (NASDAQ: PBCT). This shows an improvement from last quarter, where $219.17 million worth of positions were held by 24 hedge funds.
6. Amcor plc (NYSE:AMCR)
Polaris Capital’s Stake Value: $153.93 million
Percentage of Polaris Capital’s 13F portfolio: 4.9%
Total Number of Hedge Fund Holders: 19
Dividend Yield: 4.16%
Amcor plc (NYSE: AMCR) is a Swiss company that deals in the production and provision of packaging materials for food, beverage, pharmaceutical, medical and various personal and home-care needs.
In the third quarter of 2021, 19 hedge funds out of 867 tracked by Insider Monkey held positions in the packaging manufacturer. The total value of these holdings stood at $214.11 million. In contrast, 16 hedge funds held $212.57 worth of positions in the company a quarter earlier.
The company posted an EPS of $0.18 for Q3 2021, which was in line with consensus estimates. Quarterly revenue stood at $3.42 billion, which was above analysts’ forecasts by $143.99 million.
Along with Microsoft Corporation (NASDAQ: MSFT), Intel Corporation (NASDAQ: INTC), and JPMorgan Chase & Co. (NYSE: JPM), Amcor plc (NYSE: AMCR) is a leading stock for investment today.
5. ALLETE, Inc. (NYSE:ALE)
Polaris Capital’s Stake Value: $42.84 million
Percentage of 13F portfolio: 1.36%
Total Number of Hedge Fund Holders: 12
Dividend Yield: 4.19%
Up next we have ALLETE, Inc. (NYSE: ALE), a Minnesota-based energy company that provides electricity, water, and natural gas utility services to customers in Wisconsin and Minnesota. As of the end of September, Bernard Horn’s Polaris Capital owns 719,758 shares in the energy company valued at $42.84 million.
ALLETE, Inc. (NYSE: ALE) posted an EPS of $0.53 for the third quarter of 2021, missing estimates by -$0.18. The energy firm posted quarterly revenue of $345.40 million, beating analysts’ forecasts by $45.20 million.
In the third quarter of 2021, 12 hedge funds out of 867 tracked by Insider Monkey held shares worth $70.78 million in ALLETE, Inc. (NYSE: ALE). This shows a slight downward trend, as 10 hedge funds held shares worth $73.02 million in the energy firm a quarter earlier.
4. AbbVie Inc. (NYSE:ABBV)
Polaris Capital’s Stake Value: $52.32 million
Percentage of Polaris Capital’s 13F portfolio: 1.66%
Total Number of Hedge Fund Holders: 81
Dividend Yield: 4.84%
Then we have AbbVie Inc. (NYSE: ABBV), a research-based pharmaceutical company that develops, manufactures, and sells pharmaceutical products around the world. As reported by the end of September, Bernard Horn owns 485,115 shares in AbbVie Inc. (NYSE: ABBV), at a value of $52.32 million which represents a 1.66% slice of his overall portfolio.
For Q3 2021, the company reported an EPS of $3.33, beating estimates by $0.11.
As of the third quarter of 2021, 81 hedge funds reported owning shares in AbbVie Inc. (NYSE: ABBV), with a combined value of $4.14 billion.
On November 24, research firm Truist maintained its ‘Buy’ rating on the company stock, raising the price target to $135 from $118. The firm’s analyst Robyn Karnauskas noted that the FDA’s labeling discussion for RA was one of the catalysts for the company’s growth in 2021.
3. United Insurance Holdings Corp. (NASDAQ:UIHC)
Polaris Capital’s Stake Value: $720,000
Percentage of Polaris Capital’s 13F portfolio: 0.02%
Total Number of Hedge Fund Holders: 9
Dividend Yield: 5.49%
United Insurance Holdings Corp. (NASDAQ: UIHC) is a Florida-based insurance company that provides residential, personal, commercial property, and casualty insurance services in the United States.
Out of the 867 hedge funds in Insider Monkey’s database, 9 hedge funds reported owning shares in United Insurance Holdings Corp. (NASDAQ: UIHC) by end of September. The total value of these holdings stood at $5.72 million.
As of the third quarter of 2021, the insurance company reported an EPS of -$0.36, which missed consensus estimates by $0.03. Quarterly revenue stood at $162.74 million, which fell below analysts’ forecasts by $11.63 million.
2. The Williams Companies, Inc. (NYSE:WMB)
Polaris Capital’s Stake Value: $51.75 million
Percentage of Polaris Capital’s 13F portfolio: 1.64%
Total Number of Hedge Fund Holders: 40
Dividend Yield: 5.81%
According to the regulatory filings for the third quarter, Bernard Horn reported owning 1,995,200 shares in The Williams Companies, Inc. (NYSE: WMB), with a combined value of $51.75 million, which represents 1.64% of his overall portfolio.
The Williams Companies, Inc. (NYSE: WMB) is an energy infrastructure company that deals in the exploration, production, transportation, sale and processing of natural gas and petroleum products. With operations primarily based in the United States, the company reported a dividend yield of 5.81% over the last quarter.
Investment firm Longleaf Partners Fund mentioned The Williams Companies, Inc. (NYSE: WMB) in its Q2 2021 investor letter. Here’s what the fund said:
“Williams (14%, 0.51%), the natural gas pipeline operator, was also a positive contributor. The value grew slowly but steadily thanks to continued cash flow growth at Williams’s main Transco pipeline, as well as good volume trends (up 11% YOY) in its Northeast assets. The stock traded up with gas price strength as the quarter went on. We believe that management is open to more transactions to grow and simplify value per share, and as industry conditions improve, this becomes more likely.”
1. Hercules Capital, Inc. (NYSE:HTGC)
Polaris Capital’s Stake Value: $1.76 million
Percentage of Polaris Capital’s 13F portfolio: 0.05%
Total Number of Hedge Fund Holders: 12
Dividend Yield: 7.97%
Number one on Bernard Horn’s list of top dividend stocks to buy is Hercules Capital, Inc. (NYSE: HTGC), a business development company that offers venture debt, growth capital, and senior secured loans to a range of growing companies in the United States. As reported by regulatory filings for the third quarter, Bernard Horn’s Polaris Capital owns 105,998 shares in the company, valued at $1.76 million.
The company reported earnings per share of $0.33 for the third quarter, which beat estimates by $0.01.
As of the third quarter of 2021, 12 hedge funds out of 867 tracked by Insider Monkey reported owning shares worth $35.91 million in Hercules Capital, Inc. (NYSE: HTGC). In comparison, 16 hedge funds held shares worth $57.72 million in the company a quarter earlier.
You can also take a peek at 10 Best Stocks To Buy and Hold For 5 Years and Billionaire Daniel Sundheim’s Top 10 Picks.
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Disclosure: None. 10 Dividend Stocks to Buy According to Bernard Horn’s Polaris Capital is originally published on Insider Monkey.
