5 Best Dividend Stocks with Over 5% Yield According to Hedge Funds

In this article, we will be looking at the 5 best dividend stocks with over 5% yield according to hedge funds. To read our detailed analysis of dividend investing, you can go directly to see the 10 Best Dividend Stocks with Over 5% Yield According to Hedge Funds.

5. The Williams Companies, Inc. (NYSE: WMB)

Number of Hedge Fund Holders: 39
Dividend Yield: 6.7%

The Williams Companies, Inc. (NYSE: WMB) is also an energy infrastructure company, operating mainly in the US through its Transmission & Gulf of Mexico, Northeast G&P, and West segments. The company ranks 5th on our list of the best dividend stocks with over 5% yield according to hedge funds.

This May, Argus analyst Bill Selesky upgraded shares of The Williams Companies, Inc. (NYSE: WMB) from Hold to Buy. The analyst also placed a $30 price target on the stock.

In the second quarter of 2021, The Williams Companies, Inc. (NYSE: WMB) had an EPS of $0.27, missing estimates by $0.01. The company’s revenue was $2.28 billion, up 28.19% year over year and beating estimates by $215.23 million. The Williams Companies, Inc. (NYSE: WMB) has gained 9.97% in the past 6 months and 21.79% year to date.

By the end of the second quarter of 2021, 39 hedge funds out of the 873 tracked by Insider Monkey held stakes in The Williams Companies, Inc. (NYSE: WMB) worth roughly $551 million. This is compared to 34 hedge funds in the previous quarter with a total stake value of approximately $475 million.

Like Altria Group, Inc. (NYSE: MO), Exxon Mobil Corporation (NYSE: XOM), McDonald’s Corporation (NYSE: MCD), and The Coca-Cola Company (NYSE: KO), The Williams Companies, Inc. (NYSE: WMB) is a good stock to invest in

Longleaf Partners Fund, a Memphis-based fund under Southeastern Asset Management, mentioned The Williams Companies, Inc. (NYSE: WMB) in its second-quarter 2021 investor letter. Here’s what they said:

“Williams (14%, 0.50%), the natural gas pipeline operator, was also a positive contributor. The value grew slowly but steadily thanks to continued cash flow growth at Williams’s main Transco pipeline, as well as good volume trends (up 11% YOY) in its Northeast assets. The stock traded up with gas price strength as the quarter went on. We believe that management is open to more transactions to grow and simplify value per share, and as industry conditions improve, this becomes more likely.”