5 Dividend Stocks to Buy According to Richard Hamm’s Bristol Gate Capital

4. Microchip Technology Incorporated (NASDAQ:MCHP)

Number of Hedge Fund Holders: 42
Dividend Yield as of May 27: 1.58%
Bristol Gate Capital’s Stake Value: $87,558,000

Microchip Technology Incorporated (NASDAQ:MCHP) is an American company that manufactures microcontrollers and integrated circuits. The company was the latest addition to Bristol Gate Capital’s portfolio. The hedge fund initiated its position in the company with roughly 1.2 million shares, worth over $87.5 million. Microchip Technology Incorporated (NASDAQ:MCHP) represented 4.29% of the hedge fund’s Q1 2022 portfolio.

In May, Microchip Technology Incorporated (NASDAQ:MCHP) raised its quarterly dividend by 9% to $0.276 per share. The company maintains a 19-year track record of consistent dividend growth. As of May 27, the stock’s dividend yield was recorded at 1.58%.

In its May investors’ note, BMO Capital appreciated the strong business fundamentals of Microchip Technology Incorporated (NASDAQ:MCHP) and set an $85 price target on the stock, with an Outperform rating on the shares. The firm’s analyst also appreciated the company’s strong fiscal Q4 2022 earnings.

At the end of Q1 2022, the number of hedge funds tracked by Insider Monkey owning stakes in Microchip Technology Incorporated (NASDAQ:MCHP) declined to 42, from 48 in the previous quarter. The consolidated value of these stakes stood at over $993.2 million. Among these hedge funds, Platinum Asset Management was the largest shareholder of the company in Q1 2022, with shares worth over $305.5 million.