11 High Dividend Stocks Picked By Billionaire Gabelli

In this article, we discuss 11 high-dividend stocks picked by billionaire Gabelli.

Mario Gabelli initially rose to prominence through his successful bets on media and telecom stocks during the 1980s. He founded his value-oriented hedge fund GAMCO Investors in 1977, which follows the modified value strategy of Benjamin Graham and Warren Buffett. His investment strategy of picking undervalued stocks worked wonders for him during the economic downturn of the 1970s. According to Gabelli, value investing revolves around long-term bets and requires consistency from investors during bear markets. Gabelli is currently serving as the Chairman and Chief Executive Officer of the firm and has a real-time net worth of $1.7 billion, as of November.

Along with value investing, GAMCO also invests in ESG-centric and growth securities. The Gabelli Global Growth Fund was established in 1994 and has delivered an 8.64% return since then, with its 10-year return coming in at 9.66%. Similarly, the Gabelli Value 25 Fund delivered a 9.04% return since its inception in 1994 and its 10-year return stood at 6.33%.

Mario Gabelli’s dividend investments are also worth mentioning. His hedge fund widely invests in companies with long histories of dividend growth. The Gabelli Dividend Growth Fund seeks long-term investments in the common stocks of dividend-paying companies. The fund was founded in 1999 and returned 5.83% since then. In the past five years, the fund’s returns came in at 6.19%.

As of the close of Q3 2022, GAMCO Investors’ 13F portfolio had a value of roughly $8.5 billion, compared with $9.1 billion in the previous quarter. The hedge fund had major investments in the services, industrial goods, and consumer goods sectors. During the quarter, the firm increased its position in Berkshire Hathaway Inc. (NYSE:BRK-B), Microsoft Corporation (NASDAQ:MSFT), and Alphabet Inc. (NASDAQ:GOOG). In this article, we will discuss high-dividend stocks by Gabelli.

Our Methodology:

For this list, we selected high-dividend stocks from GAMCO Investors’ 13F portfolio, as of Q3 2022. The dividend stocks mentioned below have yields above 3%, as of November 21.

High Dividend Stocks Picked By Billionaire Gabelli

11. JPMorgan Chase & Co. (NYSE:JPM)

Dividend Yield as of November 21: 3.00%

GAMCO Investors’ Stake Value: $40,479,000

JPMorgan Chase & Co. is a New York-based multinational investment bank and financial services holding company. GAMCO Investors started building its position in the company during the third quarter of 2012, with shares worth roughly $60 million. At the end of Q3 2022, the hedge fund owned 387,355 JPM shares, worth over $40.4 million. The company represented 0.47% of billionaire Gabelli’s portfolio.

In addition to Berkshire Hathaway Inc., Microsoft Corporation, and Alphabet Inc., JPMorgan Chase & Co. is another prominent holding of GAMCO Investors in Q3.

JPMorgan Chase & Co. has been paying regular dividends to shareholders for a long time and also maintains a seven-year streak of dividend growth. The company pays a quarterly dividend of $1.00 per share and has a dividend yield of 3.00%, as of November 21.

JPMorgan Chase & Co. impressed Street analysts with its latest quarterly earnings and its growing net income. Both Citigroup and BMO Capital raised their price targets on the stock in October to $135 and $158, respectively.

At the end of Q3 2022, 110 hedge funds in Insider Monkey’s database owned stakes in JPMorgan Chase & Co., up from 104 in the previous quarter. These stakes have a total value of over $6.4 billion.

10. Comcast Corporation (NASDAQ:CMCSA)

Dividend Yield as of November 21: 3.13%

GAMCO Investors’ Stake Value: $30,125,000

Comcast Corporation (NASDAQ:CMCSA) is an American multinational telecommunications company. On October 27, the company declared a quarterly dividend of $0.27 per share, in line with its previous dividend. It has been raising its dividends consistently for the past 14 years, which places it as one of the best dividend stocks in billionaire Gabelli’s portfolio. As of November 21, the stock has a dividend yield of 3.13%.

During Q3 2022, GAMCO Investors reduced its position in Comcast Corporation by 5%. The hedge fund owned over 1 million shares in the company at the end of the quarter, worth over $30 million. The company represented 0.35% of the firm’s portfolio.

In October, Cowen maintained an Outperform rating on Comcast Corporation with a $49 price target, as the company is focusing on more strategies to enhance its Mobile Business Services and margins.

Comcast Corporation was a part of 73 hedge fund portfolios in Q3 2022, down from 75 in the previous quarter, as per Insider Monkey’s data. The stakes owned by these hedge funds have a total value of roughly $4 billion.

ClearBridge Investments mentioned Comcast Corporation in its Q3 2022 investor letter. Here is what the firm has to say:

“The Strategy was not completely insulated to macro headwinds and some companies saw tough comparisons after strong pull forwards in demand during the COVID-19 pandemic. Media companies including Comcast Corporation (NASDAQ:CMCSA) were hurt by both factors in the quarter.

After extremely strong broadband growth during the early days of the pandemic, Comcast is now experiencing slowing to negative growth in its broadband business due to new competition and less consumer moving activity along with headwinds on the programming side, where advertising budgets have been more stressed.”

9. Northern Trust Corporation (NYSE:NTRS)

Dividend Yield as of November 21: 3.25%

GAMCO Investors’ Stake Value: $21,741,000

Northern Trust Corporation (NYSE:NTRS) is a Chicago-based financial services company that is also one of the largest banking institutions in the world. In November, Deutsche Bank lifted its price target on the stock to $93 with a Hold rating on the shares, presenting a positive stance on asset managers and exchanges.

GAMCO Investors opened its position in Northern Trust Corporation during the third quarter of 2012, purchasing shares worth over $85.3 million. At the end of Q3 2022, the hedge fund owned NTRS stakes worth over $21.7 million. The company made up 0.25% of billionaire Gabelli’s portfolio.

Northern Trust Corporation currently pays a quarterly dividend of $0.75 per share, raising it by 7% in July. This was the company’s first dividend hike since 2019. As of November 21, the stock has a dividend yield of 3.25%.

The number of hedge funds tracked by Insider Monkey owning stakes in Northern Trust Corporation grew to 32 in Q3 2022, from 29 in the previous quarter. These stakes have a total value of $388.6 million.

8. International Flavors & Fragrances Inc. (NYSE:IFF)

Dividend Yield as of November 21: 3.30%

GAMCO Investors’ Stake Value: $27,675,000

International Flavors & Fragrances Inc. is an American company that produces cosmetic actives and fragrances. At the end of Q3 2022, GAMCO Investors owned 304,692 shares in the company, worth over $27.6 million. The hedge fund reduced its position in the company by 2% during the quarter. The company represented 0.32% of billionaire Gabelli’s portfolio.

International Flavors & Fragrances Inc. declared a 2.5% hike in its quarterly dividend in August this year. This was the company’s 19th consecutive year of dividend growth. The company’s shares boast a yield of 3.30%, as of November 21.

Following the company’s Q3 earnings and its performance in the first nine months of the year, Deutsche Bank maintained a Buy rating on International Flavors & Fragrances Inc. in November with a $110 price target.

International Flavors & Fragrances Inc. experienced a spike in hedge fund positions in Q3 2022, as 41 hedge funds in Insider Monkey’s database owned stakes in the company, compared with 34 in the previous quarter. These stakes are collectively worth roughly $2.3 billion.

7. The Bank of New York Mellon Corporation (NYSE:BK)

Dividend Yield as of November 21: 3.32%

GAMCO Investors’ Stake Value: $78,201,000

The Bank of New York Mellon Corporation (NYSE:BK) is a provider of investment management and investment services, headquartered in New York, US. At the end of Q3 2022, the company remained popular among elite funds, as 50 hedge funds in Insider Monkey’s database held investments in the company, up from 38 in the preceding quarter. These stakes have a total value of over $3.28 billion.

Deutsche Bank gave a positive stance on asset managers and exchanges in its November investors’ note and mentioned that alternative managers are best positioned for upside in this current market. Given this, the firm lifted its price target on The Bank of New York Mellon Corporation to $44 with a Hold rating on the shares.

The Bank of New York Mellon Corporation has been making consecutive dividend payments for the past 21 years. It currently pays a quarterly dividend of $0.37 per share and has a dividend yield of 3.32%, as recorded on November 21.

At the end of Q3 2022, GAMCO Investors owned over 2 million shares in The Bank of New York Mellon Corporation, valued at over $78.2 million. The company represented 0.92% of billionaire Gabelli’s portfolio.

6. State Street Corporation (NYSE:STT)

Dividend Yield as of November 21: 3.33%

GAMCO Investors’ Stake Value: $53,319,000

State Street Corporation (NYSE:STT) is a Boston-based financial service and bank holding company that provides investment management and trading services to investors. The company has been a part of GAMCO Investors since the third quarter of 2012 when the hedge fund invested over $50.7 million in the company. At the end of Q3 2022, the firm’s STT stake amounted to over $53.3 million, which made up 0.62% of its 13F portfolio. The company is another prominent stock in billionaire Gabelli’s portfolio alongside Berkshire Hathaway Inc., Microsoft Corporation, and Alphabet Inc..

In October, Deutsche Bank raised its price target on State Street Corporation to $77 with a Hold rating on the shares, highlighting the company’s performance in the asset management sector.

State Street Corporation pays a quarterly dividend of $0.63 per share with a dividend yield of 3.33%, as of November 21. The company has been paying regular dividends to shareholders for the past 24 years and also holds a 12-year track record of dividend growth.

At the end of September 2022, 38 hedge funds tracked by Insider Monkey owned stakes in State Street Corporation, with a total value of over $801 million.

5. Southwest Gas Holdings, Inc. (NYSE:SWX)

Dividend Yield as of November 21: 3.71%
GAMCO Investors’ Stake Value: $48,949,000

Southwest Gas Holdings, Inc. (NYSE:SWX) is a Nevada-based natural gas holding company that provides services to over 2 million residential, commercial, and industrial customers. During Q3 2022, GAMCO Investors increased its position in the company by 3%, which takes its total SWX stake to roughly $49 million. The company represented 0.57% of billionaire Gabelli’s portfolio.

On November 17, Southwest Gas Holdings, Inc. announced a quarterly dividend of $0.62 per share, which fell in line with its previous dividend. The company has been paying regular dividends to shareholders since its IPO in 1956 and has raised its dividends consistently for the past 15 years. As of November 21, the stock has a dividend yield of 3.71%.

In November, Wells Fargo maintained an Equal Weight rating on Southwest Gas Holdings, Inc., highlighting the company’s performance in the current inflationary environment.

As of the close of the September quarter, 22 hedge funds in Insider Monkey’s database reported owning stakes in Southwest Gas Holdings, Inc., compared with 30 in the previous quarter. These stakes are collectively valued at over $734.8 million.

4. The PNC Financial Services Group, Inc. (NYSE:PNC)

Dividend Yield as of November 21: 3.72%
GAMCO Investors’ Stake Value: $27,626,000

The PNC Financial Services Group, Inc. (NYSE:PNC) is an American bank holding and financial services company that provides services related to loans and credit cards. In October, JPMorgan maintained an Overweight rating on the stock with a $171.5 price target, presenting a positive stance on large-cap bank stocks. The firm also appreciated the company’s strong fundamentals.

The PNC Financial Services Group, Inc. has been paying regular dividends to shareholders for the past 30 years and has also raised its payouts consecutively for 12 years. It currently offers a quarterly dividend of $1.50 per share and has a dividend yield of 3.72%, as of November 21.

GAMCO Investors has been investing in The PNC Financial Services Group, Inc. for over a decade now. At the end of Q3 2022, the hedge fund owned a PNC stake worth over $27.6 million. The company represented 0.32% of billionaire Gabelli’s portfolio.

At the end of Q3 2022, 43 hedge funds tracked by Insider Monkey owned stakes in The PNC Financial Services Group, Inc., up from 42 in the preceding quarter. The collective value of these stakes is over $615.7 million.

3. Hyster-Yale Materials Handling, Inc. (NYSE:HY)

Dividend Yield as of November 21: 4.15%
GAMCO Investors’ Stake Value: $22,867,000

Hyster-Yale Materials Handling, Inc. (NYSE:HY) is an Ohio-based company that designs and manufactures utility and standard life trucks and other specialized materials. On November 15, the company declared a quarterly dividend of $0.3225 per share, in line with its previous dividend. The company has been raising its dividends consistently for the past eight years. The stock’s dividend yield on November 21 came in at 4.15%.

In October, Sidoti upgraded Hyster-Yale Materials Handling, Inc. to Buy with a $36 price target.

GAMCO Investors opened its position in Hyster-Yale Materials Handling, Inc. during the third quarter of 2019, with shares worth $224,000. During Q3 2022, the hedge fund increased its position in the company by 6% and now owns stakes worth over $22.8 million. The company constituted 0.26% of billionaire Gabelli’s portfolio.

As of the close of Q3 2022, 8 hedge funds tracked by Insider Monkey owned investments in Hyster-Yale Materials Handling, Inc., compared with 9 in the previous quarter. The collective value of these stakes is roughly $37.5 million.

Diamond Hill Capital mentioned Hyster-Yale Materials Handling, Inc. in its Q4 2021 investor letter. Here is what the firm has to say:

“Lift truck manufacturer Hyster-Yale’s pandemic-related operational malaise has been exacerbated by supply chain disruptions. Additionally, the management’s turnaround strategy has experienced delays. With little visibility into when the company may move past these issues and how long it may take for a strategic turnaround to gain traction, we decided to exit the holding to upgrade capital into higher conviction names.”

2. Newmont Corporation (NYSE:NEM)

Dividend Yield as of November 21: 4.87%
GAMCO Investors’ Stake Value: $24,478,000

Newmont Corporation (NYSE:NEM) is a Colorado-based gold mining company. In November, Barclays maintained an Equal Weight rating on the stock with a $55 price target, following the company’s strong quarterly earnings.

On October 27, Newmont Corporation declared a quarterly dividend of $0.55 per share, which fell in line with its previous quarterly dividend. The company has raised its payouts consistently for the past two years. The stock’s dividend yield came in at 4.87%, as of November 21.

At the end of Q3 2022, GAMCO Investors owned 582,404 shares in Newmont Corporation, worth over $24.4 million. The company reduced its stake in the company by 1% during the quarter. The company represented 0.28% of billionaire Gabelli’s portfolio.

At the end of Q3 2022, 53 hedge funds in Insider Monkey’s database owned stakes in Newmont Corporation, compared with 56 in the previous quarter. These stakes have a collective value of over $1.03 billion.

First Eagle Investments mentioned Newmont Corporation in its Q2 2022 investor letter. Here is what the firm said:

“Shares of Colorado-based Newmont, the largest gold miner in the world, experienced weakness in the quarter as falling gold bullion prices and cost inflation hurt miners in general. More idiosyncratically, the company reported slightly disappointing earnings and production results for its most recent quarter due to pandemic-related disruptions, ongoing supply-chain constraints, and labor shortages.

It also warned that operating costs for 2022 were likely to come in at the upper end of previous guidance. We remain constructive on the stock, which offers steady production anchored in good jurisdictions, a good pipeline of organic projects, a strong balance sheet, and proven management.”

1. Telephone and Data Systems, Inc. (NYSE:TDS)

Dividend Yield as of November 21: 6.92%
GAMCO Investors’ Stake Value: $23,442,000

Telephone and Data Systems, Inc. (NYSE:TDS) is a Chicago-based telecommunications service company that mainly provides wireless services and products. The company has been raising its dividends consistently for the past 47 years, falling into the category of Dividend Aristocrats. In the past five years, it has raised its dividends at a CAGR of 3.22%. The company currently pays a quarterly dividend of $01.8 per share and has a dividend yield of 6.92%, as of November 21.

At the end of Q3 2022, GAMCO Investors owned over 1.6 million shares in Telephone and Data Systems, Inc., with a total value of over $23.4 million. The company accounted for 0.27% of billionaire Gabelli’s portfolio.

In November, JPMorgan upgraded Telephone and Data Systems, Inc. to Neutral with a $14 price target, post the company’s Q3 results.

Telephone and Data Systems, Inc. was a part of 13 hedge fund public portfolios at the end of Q3 2022, as per Insider Monkey’s data. The stakes owned by these hedge funds have a total value of roughly $46.3 million.

You can also take a look at Warren Buffett’s Top 10 Dividend Stock Picks and Bill Gates’ Top 10 Dividend Stocks

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This article is originally published at Insider Monkey.