10 Dividend Stocks to Buy According to Nicholas Bagnall’s Te Ahumairangi Investment Management

Published November 3, 2021 at 7:02 am EDT Updated August 19, 2026 at 5:37 am EDT

In this article, we discuss the 10 dividend stocks to buy according to Nicholas Bagnall’s Te Ahumairangi Investment Management.

Nicholas Bagnall founded Te Ahumairangi Investment Management in 2019. The investment advisory and asset management firm operates out of Wellington, New Zealand, with over $765 million in managed 13F securities. The top 10 holdings comprise 27.56% of the portfolio, with investments concentrated in utilities and telecommunications, information technology, healthcare, finance, consumer discretionary, and communications sectors. The largest holding in Te Ahumairangi Investment Management’s 13F portfolio at the end of Q2 is Apple Inc. (NASDAQ:AAPL). Bagnall’s investment firm owns 292,048 shares in Apple Inc., valued at $39.99 million, representing 5.22% of the investment portfolio.

Nicholas Bagnall is especially interested in dividend investing, as evident by his portfolio, which is dominated by dividend stocks. Dividend investing is a profitable and exciting investment practice for novice and professional investors alike. Dividend stocks are often known to outperform markets, and they serve as a passive income source for investors.

Photo by Sharon McCutcheon on Unsplash

Our Methodology

With this context in mind, let’s discuss 10 dividend stocks to buy according to Nicholas Bagnall’s Te Ahumairangi Investment Management. We chose high yield stocks. The stocks are ranked according to their dividend yield. We have also mentioned the value of each holding in Bagnall’s 13F portfolio, as well as the number of hedge fund holders.

Why should we pay attention to hedge fund sentiment while choosing stocks? Insider Monkey’s research was able to identify in advance a select group of hedge fund holdings that outperformed the S&P 500 ETFs by more than 86 percentage points since March 2017. Between March 2017 and July 2021, our monthly newsletter’s stock picks returned 186.1%, vs. 100.1% for the S&P 500 ETF (SPY). Our stock picks outperformed the market by more than 86 percentage points (see the details here). That’s why we believe hedge fund sentiment is an extremely useful indicator that investors should pay attention to. You can subscribe to our free newsletter on our homepage to receive our stories in your inbox.

Dividend Stocks to Buy According to Nicholas Bagnall’s Te Ahumairangi Investment Management

10. LyondellBasell Industries N.V. (NYSE:LYB)

LyondellBasell Industries N.V. (NYSE:LYB) is a Dutch company with headquarters in the US and offices in London, and it is the biggest licensor of polyethylene and polypropylene technologies.

At the end of June, 41 hedge funds tracked by Insider Monkey were bullish on LyondellBasell Industries N.V., down from 47 in the previous quarter.

On October 12, Mizuho analyst Christopher Parkinson set a price target of $125 on LyondellBasell Industries N.V., keeping a Buy rating on the stock.

LyondellBasell Industries N.V. is a smart dividend stock to invest in according to Bagnall, much like Apple Inc., Verizon Communications Inc. (NYSE:VZ), International Business Machines Corporation (NYSE:IBM) and Exxon Mobil Corporation (NYSE:XOM).

9. Verizon Communications Inc. (NYSE:VZ)

Verizon Communications Inc. is the third largest holding in Te Ahumairangi Investment Management’s Q2 portfolio, with the investment firm owning 453,003 shares in the company, worth $25.38 million.

At the end of Q2, 63 hedge funds were long Verizon Communications Inc., down from 69 in Q1.

Cowen analyst Colby Synesael kept an Outperform rating on Verizon Communications Inc. on October 21, raising the price target to $71 from $68.

Miller/Howard Investments mentioned Verizon Communications Inc. in their Q1 2021 investor letter. Here is what they said:

“We sold Verizon (VZ) based on concerns over how much they might spend in ongoing spectrum auctions. Management may legitimately view spending billions of dollars to expand their spectrum holdings as necessary, but we believe the payoff will be slow and will make it challenging to grow the dividend at a good pace.”

8. AbbVie Inc. (NYSE:ABBV)

The next dividend stock to purchase according to Nicholas Bagnall’s Te Ahumairangi Investment Management is AbbVie Inc. (NYSE:ABBV), an American biopharmaceutical company offering innovative medicines, clinical trials, and exploring the realm of medicine via in-depth research. The company has several approved medicines and products, 75% of which are originally formulated by AbbVie Inc..

82 hedge funds were long AbbVie Inc. at the end of Q2, up from 72 in the previous quarter.

7. International Business Machines Corporation (NYSE:IBM)

International Business Machines Corporation is an American multinational tech mega-corporation based in New York, specializing in computer hardware, software, hosting, and consulting services. International Business Machines Corporation is a major research organization as well, holding a record number of patents on its inventions.

Te Ahumairangi Investment Management owns 63,281 shares in International Business Machines Corporation, amounting to $9.27 million, representing 1.21% of the firm’s 13F portfolio at the end of Q2.

6. TC Energy Corporation (NASDAQ:TRP)

TC Energy Corporation (NASDAQ:TRP) is a North American energy corporation, based in Canada. The company provides energy infrastructure across Canada, the US, and Mexico.

Te Ahumairangi Investment Management owns stakes worth $1.73 million in TC Energy Corporation as of the end of June.

5. W. P. Carey Inc. (NYSE:WPC)

Te Ahumairangi Investment Management’s Stake Value: $5,093,000

Percentage of Te Ahumairangi Investment Management’s 13F Portfolio: 0.66%

Dividend Yield: 5.44%

Number of Hedge Fund Holders: 29

W. P. Carey Inc. (NYSE:WPC) is an REIT focused on corporate real estate, with a geographically diverse portfolio comprising 150 million square feet of rental space for a range of tenants and tenant industries. W. P. Carey Inc. owns 1,266 lease properties across 25 countries, with an occupancy rate of 98%. Offering a dividend yield of 5.44%, W. P. Carey Inc. is a top dividend stock according to Nicholas Bagnall’s Te Ahumairangi Investment Management.

Te Ahumairangi Investment Management owns 68,252 shares in W. P. Carey Inc., worth over $5 million, representing 0.66% of Bagnall’s 13F portfolio as of the end of June.

At the end of Q2, 29 hedge funds in Insider Monkey’s database reported owning stakes in W. P. Carey Inc., up from 23 in the first quarter.

4. Exxon Mobil Corporation (NYSE:XOM)

Te Ahumairangi Investment Management’s Stake Value: $3,833,000

Percentage of Te Ahumairangi Investment Management’s 13F Portfolio: 0.50%

Dividend Yield: 5.48%

Number of Hedge Fund Holders: 68

Exxon Mobil Corporation is an American multinational oil and gas corporation, headquartered in Texas. The company was created after Exxon and Mobil, descendants of John Rockefeller’s Standard Oil, merged in 1999 to form Exxon Mobil Corporation. It is one of the leading Big Oil companies, dealing in crude oil, oil products, natural gas, petrochemicals, and power generation. Exxon Mobil Corporation is traded as a S&P 100 Component, and is one of the best dividend stocks to buy according to Bagnall’s Q2 portfolio.

Te Ahumairangi Investment Management owns 60,764 shares in Exxon Mobil Corporation, valued at $3.83 million. Some of the firm’s largest stakeholders are The Vanguard Group, BlackRock, and the State Street Corporation.

Overall, 68 hedge funds were bullish on Exxon Mobil Corporation at the end of Q2, up from 65 in the first quarter.

On October 11, Lucas Herrmann, an analyst from Exane BNP Paribas, downgraded Exxon Mobil Corporation from Neutral to Underperform with a price target of $60.

3. Sabra Health Care REIT, Inc. (NASDAQ:SBRA)

Te Ahumairangi Investment Management’s Stake Value: $4,669,000

Percentage of Te Ahumairangi Investment Management’s 13F Portfolio: 0.61%

Dividend Yield: 7.86%

Number of Hedge Fund Holders: 14

Sabra Health Care REIT, Inc. (NASDAQ:SBRA) is a Canadian REIT offering rental and lease properties to facilitate medical institutions, healthcare centers, nursing homes, old age homes, and relevant spaces. The REIT has 41,836 units across 41 states in 3 Canadian provinces, and the United States. Offering a high dividend yield of 7.86%, Sabra Health Care REIT, Inc. is one of Bagnall’s top dividend stock picks.

Nicholas Bagnall’s Te Ahumairangi Investment Management 256,549 shares in Sabra Health Care REIT, Inc., worth $4.69 million. Schonfeld Strategic Advisors holds the largest stake in Sabra Health Care REIT, Inc., with 1.8 million shares valued at $33.1 million. Overall, 14 hedge funds were bullish on Sabra Health Care REIT, Inc. at the end of June.

2. AT&T Inc. (NYSE:T)

Te Ahumairangi Investment Management’s Stake Value: $12,954,000

Percentage of Te Ahumairangi Investment Management’s 13F Portfolio: 1.69%

Dividend Yield: 7.99%

Number of Hedge Fund Holders: 68

AT&T Inc. is a Texas-based multinational conglomerate holding company, which is the largest global telecommunications company, as well as the leading US mobile telephone services provider. AT&T Inc. is engaged in services like satellite television, internet, broadband, digital television, podcasts, radio, and the like. AT&T Inc. is traded as a S&P 100 Component. It is one of the top stock picks by Nicholas Bagnall’s Te Ahumairangi Investment Management for dividend investors, with a yield of 7.99%.

Nicholas Bagnall’s Te Ahumairangi Investment Management owns 450,094 shares in AT&T Inc., worth $12.95 million, making up 1.69% of Bagnall’s 13F portfolio.

Here is what Nelson Capital Management has to say about AT&T Inc. in its Q1 2021 investor letter:

“Nelson Capital stayed busy in the first quarter, making several adjustments within our core portfolio. In the communication services sector, we sold AT&T (tkr: T). Over the years, AT&T has made several poor acquisitions, especially in the content realm, leaving the company saddled with debt and unable to change directions.”

1. Rio Tinto Group (NYSE:RIO)

Te Ahumairangi Investment Management’s Stake Value: $7,724,000

Percentage of Te Ahumairangi Investment Management’s 13F Portfolio: 1.00%

Dividend Yield: 10.43%

Number of Hedge Fund Holders: 21

Rio Tinto Group (NYSE:RIO) is the highest yielding dividend stock picked by Nicholas Bagnall’s Te Ahumairangi Investment Management, with a yield of 10.43%. Rio Tinto Group is a multinational metals and mining corporation, second largest in the world. The company specializes in iron ore, copper, diamonds, gold, and uranium. Headquartered in London, Rio Tinto Group is traded as a FTSE 100 Index Component.

Te Ahumairangi Investment Management owns 92,072 shares in Rio Tinto Group, amounting to $7.72 million, accounting for 1% of Bagnall’s 13F portfolio at the end of Q2.

Billionaire Ken Fisher’s Fisher Asset Management is the leading stakeholder in Rio Tinto Group, with 12.92 million shares worth $1.08 billion. Overall, 21 hedge funds monitored by Insider Monkey were bullish on Rio Tinto Group at the end of the second quarter, down from 25 in Q1.

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