In this article, we will take a look at the 12 Best Dividend Stocks to Invest In According to Jim Simons’ Renaissance Technologies.
The momentum in chip stocks is fading as focus in the equity market shifts to hyperscalers and cyclical plays that have lagged for the better part of the year. According to Morgan Stanley chief equity strategist Michael Wilson, the focus is slowly shifting to hyperscalers backed by strong core businesses.
JPMorgan strategist Mislav Matejka has echoed similar sentiments, insisting that AI is not the only story in town. The sentiment comes as the broader equity market remains under pressure after bouncing from the March implosion to record highs. The PHLX Semiconductor Index (SOX) is down nearly 14%, signaling a potential rotation from semiconductor plays.
Amid the heightened volatility in the equity market and uncertainty over monetary policy, dividend stocks are proving to be a popular choice for investors seeking income and higher portfolio returns. Dividend-paying stocks that combine a healthy balance sheet and hefty yields can provide a cushion against market downturns similar to the one in play at current record highs.
Renaissance Technologies is one of the most tracked hedge funds on Wall Street as it diversifies its portfolio and also invests in stocks with an impressive track record of dividend payments. Founded by Jim Simons, the hedge fund specializes in systematic trading and uses quantitative models to identify strong investment opportunities well-positioned to generate passive income.
With that in mind, let’s take a look at some of the best dividend stocks to invest in according to Jim Simons’ Renaissance Technologies.
Jim Simons of Renaissance Technologies
Our Methodology
We chose prominent dividend stocks from Renaissance Technologies’ 13F Q1 2026 portfolio. We specifically selected stocks with dividend yields of over 3% as of July 6, 2026. These companies not only offer high dividends but also have consistent track records of paying dividends. These stocks are also popular among elite hedge funds in Q1 2026. Finally, the stocks are ranked according to the value of Renaissance Technologies’ stake in them.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research shows we can outperform the market by imitating the top stock picks of the best hedge funds. Insider Monkey’s quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 599.2% since May 2014, beating its benchmark by 372 percentage points (see more details here).
Best Dividend Stocks to Invest In According to Jim Simons’ Renaissance Technologies
12. Honeywell International Inc. (NASDAQ:HON)
Dividend Yield: 4.14%
Number of Hedge Fund Holders: 75
Renaissance Technologies Equity Stake: $84.83 Million
Honeywell International Inc. (NASDAQ:HON) is one of the best dividend stocks to invest in, according to Jim Simons’ Renaissance Technologies. On July 7, JPMorgan’s Chigusa Katoku cut Honeywell International Inc. (NASDAQ:HON)’s price target to $250 from $260 while keeping an Overweight rating, citing the Aerospace spin and updated Technologies guidance, and noted upside to 2026 EPS with a credible path for shares to re‑rate to sector multiples if Honeywell delivers on its mid‑term plan.
On July 2, Honeywell International Inc. (NASDAQ:HON) received a boost following the completion of the 7.01 MW DC/5 MW AC ground-mount community solar project, SB-14. Developed in upstate New York, the project has reached commercial operation.
The project was developed and constructed as part of a $41 million engineering, procurement, and construction agreement by PowerBank Corporation. It is built on an industrial brownfield owned by Honeywell and regulated by the New York State Department of Environmental Conservation.
Honeywell is one of the top dividend stocks according to Jim Simons’ Renaissance Technologies, with a yield of 4.14%.
Honeywell International Inc. (NASDAQ:HON) is a multinational conglomerate that invents and manufactures technologies for aerospace, building control, and industrial automation. It operates mission-critical systems across data centers, hospitals, and energy grids to drive efficiency and autonomy.
11. Rio Tinto PLC ADR (NYSE:RIO)
Dividend Yield: 4.26%
Number of Hedge Fund Holders: 40
Renaissance Technologies Equity Stake: $90.09 Million
Rio Tinto plc ADR (NYSE: RIO) is one of the best dividend stocks to invest in, according to Jim Simons’ Renaissance Technologies. On June 30, Rio Tinto plc ADR (NYSE: RIO) and the government of Mongolia reached an agreement to adjust the interest rate on the shareholder loan for the Oyu Tolgoi Project. They have also agreed to review the appropriateness of the rate.
The adjusted rate reflects an assertive forward-looking assessment of Oyu Tolgoi’s risk profile as the project matures. The company and the government have also agreed to work together to resolve matters relating to the Entrée mine lease areas.
Oyu Tolgoi is the company’s flagship project in Mongolia, known for significant copper and gold deposits. The government of Mongolia owns a 34% stake in the project, with Rio Tinto owning the remaining 66%. The project remains on track to deliver an average of 500ktpa2 of copper from 2028 to 2036.
Rio Tinto plc is one of the best dividend stocks in Jim Simon’s portfolio, yielding 4.26%.
Rio Tinto PLC ADR (NYSE:RIO) is a leading global mining and materials company that explores for, mines, and processes essential minerals and metals. Its core products include iron ore, aluminum, copper, and lithium, which are foundational materials for global infrastructure, manufacturing, and the energy transition.
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