5 Magnificent Dividend Growth Stocks to Buy and Hold Forever

4. Lowe’s Companies Inc (NYSE:LOW)

Number of Hedge Fund Investors: 68

Lowe’s Companies Inc (NYSE:LOW) recently made it to the list of companies that have paid high dividend across time, published by Wells Fargo.

As of the end of the last quarter of 2023, 68 hedge funds had stakes in Lowe’s Companies Inc (NYSE:LOW). The biggest stakeholder of Lowe’s Companies Inc (NYSE:LOW) during this period was Eric W. Mandelblatt’s Soroban Capital Partners which owns a $451 million stake in Lowe’s Companies Inc (NYSE:LOW).

Pershing Square Holdings stated the following regarding Lowe’s Companies, Inc. (NYSE:LOW) in its fourth quarter 2023 investor letter:

“As discussed in the February Annual Investor Presentation, we exited our investment in Lowe’s Companies, Inc. (NYSE:LOW) after a highly successful, nearly six-year holding period, thereby freeing up capital for new opportunities. Lowe’s is a high-quality business with significant long-term earnings growth potential that has been successfully executing a multi-faceted business transformation in recent years.

We initiated the position in 2018 on the thesis that Lowe’s refreshed board of directors would hire a world-class management team capable of closing the substantial operational and financial performance gap that then-existed relative to its direct competitor, Home Depot. We viewed the operating discrepancies with Home Depot to be largely a byproduct of poor focus and suboptimal management which could be fixed with excellent new leadership and renewed focus on operational excellence…” (Click here to read the full text)