5 Best COVID Stocks To Buy According To Hedge Funds

In this article, we discuss 5 best COVID stocks to buy according to hedge funds. If you want to see more stocks in this selection, check out 11 Best COVID Stocks To Buy According To Hedge Funds. 

5. Johnson & Johnson (NYSE:JNJ)

Number of Hedge Fund Holders: 85

Johnson & Johnson (NYSE:JNJ)’s COVID-19 vaccine was one of the four universal vaccine candidates approved by the World Health Organization. Johnson & Johnson (NYSE:JNJ) is one of the best COVID stocks to invest in. On November 18, Johnson & Johnson (NYSE:JNJ) declared a $1.13 per share quarterly dividend, in line with previous. The dividend is payable on December 6, to shareholders of record on November 22. The company has increased its dividend in each of the last 60 years, making it a reliable dividend king. 

On November 17, Credit Suisse analyst Trung Huynh assumed coverage of Johnson & Johnson (NYSE:JNJ) with a Neutral rating and a $170 price target. The analyst sees value in the company’s consumer separation. This should result in an improved valuation for the rest of the businesses, but it could also pressure Johnson & Johnson (NYSE:JNJ)’s new dividend. He believes the $60 billion in pharma revenue guidance by 2025 is “likely not derisked enough.”

According to Insider Monkey’s data, Johnson & Johnson (NYSE:JNJ) was part of 85 hedge fund portfolios at the end of Q3 2022, compared to 83 funds in the last quarter. Ken Fisher’s Fisher Asset Management is the biggest stakeholder of the company, with nearly 6 million shares worth $967.2 million. 

Distillate Capital Partners LLC shared its outlook on Johnson & Johnson (NYSE:JNJ) in its Q2 2022 investor letter. Here’s what the firm said:

“Johnson & Johnson was among the 2 largest trims at around 1% each. Each stock was up 1% in the quarter compared to the 16% price decline for the S&P 500 and the positions were reduced as the valuations became somewhat less appealing, though still attractive enough to warrant inclusion.”