Billionaires Just Love These Stocks That Pay High Taxes

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#2 DowDuPont – 22% tax rate in the past five reported quarters

With the merger complete, shareholders of DowDuPont Inc (NYSE:DWDP) can look forward to reaping the benefits from the recent tax overhaul. Among them are 17 billionaire fund managers followed by Insider Monkey who held DowDuPont shares at the end of September. Among them, the largest position was held by Larry Robbins’ Glenview Capital, which reported ownership of 16.2 million shares in its latest quarterly filing. Billionaire Dan Loeb is also betting big on DowDuPont Inc (NYSE:DWDP) with his fund, Third Point, reportedly holding a little over 15 million shares.

DowDuPont Inc (NYSE:DWDP) is schedules to deliver its first quarterly report on Thursday, with analysts looking for $0.66 in earnings per share and revenues of $19.5 billion. They recommend the stock mainly as a Buy and have placed an average price target of $79.94, which represents an upside potential of 12%.

Third Point

#1 Visa – 29% tax rate in the past five reported quarters

Number one in this top is Visa Inc (NYSE:V), with 19 billionaires tracked by Insider Monkey holding the stock in their equity portfolios. The most notable of them all is Warren Buffett. Berkshire Hathaway holds 10.5 million shares according to its latest 13F filing. Not far behind is Andreas Halvorsen’s Viking Global, which held 10.2 million shares, up 30% from the previous quarter. This position is also the third largest in the fund’s equity portfolio.

According to the Nilson Report, the volume of credit card transactions is expected to increase by 54% by 2020 and by 2025 the worldwide volume is projected to reach $55 trillion per year, with Visa Inc (NYSE:V) being one of the few companies that is very well positioned to profit from these developments.

Disclosure: none.

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