In this article we discuss the 5 best tech and dividend stocks to buy according to billionaire Chase Coleman. If you want to read our detailed analysis of Coleman’s history and hedge fund performance, go directly to the 10 Best Tech and Dividend Stocks to Buy According to Billionaire Chase Coleman.
5. Apollo Global Management, Inc. (NYSE: APO)
Coleman’s Stake Value: $1,641,284,000
Percentage of Chase Coleman’s 13F Portfolio: 3.77%
Dividend Yield: 3.66%
Number of Hedge Fund Holders: 44
Apollo Global Management, Inc. (NYSE: APO) has returned more than 9% to investors over the past year. It was founded in 1990 and stands fifth on our list of 10 best tech and dividend stocks to buy according to billionaire Chase Coleman.
On May 4, the company announced a quarterly dividend of $0.50 per share, in line with the previous. On April 14, the stock was upgraded to ‘Outperform’ from ‘Perform’ by Oppenheimer, with a price target of $59.00.
Tiger Global Management LLC holds more than 34 million shares in the company, worth over $1.64 billion, representing 3.77% of their portfolio. At the end of the first quarter of 2021, 44 hedge funds in the database of Insider Monkey held stakes worth $2.36 billion in Apollo Global Management, Inc. (NYSE: APO), up from 30 the preceding quarter worth $2.05 billion.
“Blackstone & Apollo: Our alternative asset managers BX and APO were top detractors for the quarter as their results were affected by the COVID shutdowns, which have delayed the selling of assets and the realization of performance fees. Both companies (as well as our third alternative asset manager KKR) continue to generate consistently strong fee-related earnings (BX’s and APO’s fee-related earnings increased 28% and 9%, respectively, in the second quarter) and grow their assets under management (AUM) at impressive rates (BX’s and APO’s fee-generating AUM increased 12% and 45%, respectively, year over year).
While both face a temporary slowdown in investment realizations and near-term mark-to-market headwinds from the current crisis, most of their capital is long-dated or even permanent, most of their fees, which are high-margin and recurring, are not sensitive to the market, and both have billions of dollars of capital available to invest ($156 billion and $47 billion at the end of 2Q for Blackstone and Apollo, respectively). We continue to view BX and APO as two of the better risk-reward holdings in our portfolio, offering substantially better-than-average growth and cash flow fundamentals, and world class management teams, as well as dividend yields of 2.8% and 4.2%, respectively.”