5 Best Dividend Stocks to Buy According to Bernard Horn’s Polaris Capital Management

3. AbbVie Inc. (NYSE:ABBV)

Dividend Yield as of June 29: 3.66%
Polaris Capital Management’s Stake Value: $74,800,000

On June 23, AbbVie Inc. (NYSE:ABBV) declared a quarterly dividend of $1.41 per share, consistent with its previous dividend. The dividend king has raised its payouts for consecutive 50 years, including its years as Abbott’s subsidiary before 2013. Moreover, since 2013, AbbVie Inc. (NYSE:ABBV) has increased its dividend by 250%. The stock’s dividend yield stood at 3.66%, as of the close of June 29.

Polaris Capital initiated its position in AbbVie Inc. (NYSE:ABBV) during the second quarter of 2020, purchasing shares worth nearly $9 million. At the end of Q1 2022, the hedge fund owned stakes worth $74.8 million in the company, which constituted 2.68% of its 13F portfolio.

At the end of March 2022, AbbVie Inc. (NYSE:ABBV) has been a part of 76 hedge fund portfolios, as tracked by Insider Monkey. These stakes hold a consolidated value of over $3.6 billion. Ken Griffin, Ric Dillon, and Israel Englander were some of the company’s prominent shareholders in Q1.

Miller Howard Investments mentioned AbbVie Inc. (NYSE:ABBV) in its Q3 2021 investor letter. Here is what the firm has to say:

“While optimistic about a recovery, we continue to balance our cyclical holdings with dividend-payers in stable, less economically-sensitive industries. We hold three pharmaceutical companies, (which includes) AbbVie (ABBV). All three have strong cash flows and balance sheets, making their high dividends reasonably safe. The investment controversy surrounding these pharma companies is whether they can develop or acquire new products to replace their current blockbuster drugs. The low valuations on these stocks reflects what we believe to be undue pessimism by investors on the prospects for new drugs.”