David Einhorn’s Three Favorite Dividend Stocks

#2 General Motors Company (NYSE:GM)

Number of Hedge Fund Holders (as of June 30): 104
Total Value of Hedge Fund Holdings (as of June 30): $5.78 billion
Hedge Fund Holdings as Percent of Float (as of June 30): 10.90%

Greenlight Capital increased its General Motors Company (NYSE:GM) position by 55% to 14.65 million shares in the second quarter, as the company has largely moved on from its recall problems. General Motors Company (NYSE:GM) is a much healthier company than it was a decade ago, with less legacy pension costs. Shares fell by 8.8% in the third quarter due to the weaker broader market.

Even though it shed some of its costs, General Motors is still the leading automotive company in the United States, with 17% market share in the U.S. automobile and truck market. General Motors is also doing well internationally, as it gets around 40% of its revenue from overseas. The connected and autonomous car offers further growth opportunities in the future.

With a dividend yield of 4.07% and a forward P/E of 6.8, General Motors’ shares are attractive. Besides Greenlight, the company also counts several other elite investment firms as major holders, including Warren Buffett‘s Berkshire Hathaway and David Tepper’s Appaloosa Management LP.