In this article, we discuss 5 top dividend stocks to buy according to hedge funds. If you want to read our detailed analysis of dividend stocks and their performance, go directly to read Top 15 Dividend Stocks To Buy According To Hedge Funds.
5. UnitedHealth Group Incorporated (NYSE:UNH)
Number of Hedge Fund Holders: 110
UnitedHealth Group Incorporated (NYSE:UNH) is an American multinational healthcare and insurance company. In November, Morgan Stanley assumed its coverage on the stock with an Overweight rating and a $587 price target, calling the company the largest national insurer. The firm also appreciated the company’s market share in the insurance sector.
In the third quarter of 2022, reported an operating cash flow of $18.5 billion and its adjusted free cash flow stood at $8.8 billion. The company remained committed to its shareholder obligation in the first nine months of the year, returning $10.5 billion to shareholders through dividends and share repurchases. This places the company as one of the best dividend stocks on our list.
UnitedHealth Group Incorporated (NYSE:UNH) currently pays a quarterly dividend of $1.65 per share. The company has been paying regular dividends to shareholders since 1990. As of November 29, the stock has a dividend yield of 1.25%.
The number of hedge funds tracked by Insider Monkey owning stakes in UnitedHealth Group Incorporated (NYSE:UNH) jumped to 110 in Q3 2022, from 91 in the previous quarter. The stakes owned by these hedge funds have a total value of over $10.3 billion.
Aristotle Atlantic Partners, LLC mentioned UnitedHealth Group Incorporated (NYSE:UNH) in its Q3 2022 investor letter. Here is what the firm has to say:
“UnitedHealth Group Incorporated (NYSE:UNH) is a leading U.S. health insurer offering a variety of plans and services to group and individual customers nationwide. Its health benefits segment manages health maintenance organization, preferred provider organization and point-of-service plans, as well as Medicare, Medicaid, state-funded, and supplemental vision and dental options. In addition, UnitedHealth Group’s Optum health services units—OptumHealth, OptumInsight and OptumRx—provide wellness and care management programs, financial services, information technology solutions, and pharmacy benefit management services to individuals and the health care industry. We believe UnitedHealth Group is well-positioned as a leader in commercial and government insurance markets with a broad complimentary service offering through Optum Health. As one of the largest health care payers and providers, we believe the company has unique insights and scale to continue to evolve the health care delivery process and drive above industry profitability and growth. We believe UnitedHealth Group’s track record of financial strength and stability warrants a premium in share valuation.”
