Anheuser-Busch InBev NV (ADR) (BUD), Becton, Dickinson and Co. (BDX), Wells Fargo & Co (WFC), McGraw Hill Financial Inc (MHFI): Billionaire Richard Chilton’s Q1 Bullish Bets

Becton, Dickinson and Company

Becton, Dickinson and Co. (NYSE:BDX) was another stock in which Chilton increased his share ownership. Chilton’s Becton, Dickinson and Co. (NYSE:BDX) share count grew by 636% to nearly 480,000 shares in the previous quarter. This medical supplies and devices company is an S&P Dividend Aristocrat boasting some 41 years of consecutive annual dividend increases. The company’s stock currently yields 2.0% on a payout ratio of 34% of its current-year EPS estimate.

Becton, Dickinson and Co. (NYSE:BDX) is experiencing strong growth in its Medical and Diagnostics segments. Its investments in emerging markets have resulted in robust sales growth. While the overall currency-neutral sales grew 4.7% in the company’s fiscal second quarter ended March 31, emerging market sales advanced 13%, with China sales rising as much as 30% year-over-year. The company is continuing to grow through new initiatives, including the recent entry into the generic injectable pharmaceutical market and the acquisition of Cato Software Solutions, a Vienna, Austria-based medication safety solutions software maker.

We like the fact that Becton, Dickinson and Co. (NYSE:BDX) has continued to expand its margin and has been delivering better-than-expected EPS lately. In fact, as of 2013, Becton, Dickinson and Co. (NYSE:BDX) expects to return to double digit adjusted EPS growth, with projected EPS excluding the adverse impact of the Medical Device Tax expected to grow by between 11.0% and 11.5% from the prior year. Unlike in previous years, this EPS boost will be less driven by share repurchases, which are expected to amount to $500 million this year, about a third compared to the amount of share buybacks in each of the previous two years. Aside from the strong growth momentum, the stock is also attractive based on valuation. It is trading at 17.5x 2013 earnings and 16.0x 2014 earnings.