5 Stocks For Passive Income In 2022

In this article, we discuss 5 stocks for passive income in 2022. If you want our detailed analysis of these stocks, go directly to 10 Stocks For Passive Income In 2022. 

5. Verizon Communications Inc. (NYSE:VZ)

Dividend Yield as of February 18: 4.78%

Number of Hedge Fund Holders: 57

Verizon Communications Inc. (NYSE:VZ) is an American multinational telecommunications conglomerate, offering multiple products and services including cable television, landline, broadband, digital television, internet, and telematics. Verizon Communications Inc. (NYSE:VZ)’s dividend yield on February 18 came in at 4.78%, making it a reliable stock for passive income in 2022. 

On January 25, Verizon Communications Inc. (NYSE:VZ) reported its Q4 earnings. The company announced an EPS of $1.31, beating estimates by $0.03. Verizon Communications Inc. (NYSE:VZ)’s revenue came in at $34.07 billion, outperforming estimates by $30.57 million. 

Verizon Communications Inc. (NYSE:VZ) on December 2 declared a $0.64 per share quarterly dividend, in line with previous. The dividend was paid on February 1, for shareholders of record on January 10. 

Deutsche Bank analyst Bryan Kraft raised the price target on Verizon Communications Inc. (NYSE:VZ) to $59 from $57 and kept a Hold rating on the shares on January 26. The analyst sees about 8% upside in the stock over the next 12 months, with the target increasing on higher free cash flow estimates, notwithstanding the reduction to his 2022 estimate due to a pull forward in capex from 2023, increased working capital usage, and rising cash taxes.

Among the hedge funds tracked by Insider Monkey in the third quarter, 57 funds were bullish on Verizon Communications Inc. (NYSE:VZ), as compared to 63 funds in the quarter prior. Berkshire Hathaway is the biggest Verizon Communications Inc. (NYSE:VZ) stakeholder as of Q3 2021, owning 158.8 million shares of the company, worth $8.5 billion.

Here is what Weitz Investment Management Hickory Fund has to say about Verizon Communications Inc. (NYSE:VZ) in its Q4 2021 investor letter:

“After several quarters of pandemic-induced outsized growth, new broadband connection growth has slowed for U.S. cable operators. This slower growth has coincided with a renewed push by competitors like Verizon and AT&T to offer high-speed data (either via wireless connections or by building new fiber-optic networks).”