buffett div stocks

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Text Text Warren Buffett’s 10 Highest-Paying Dividend Stocks

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Page 1: Buffett div stocks

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Warren Buffett’s 10 Highest-Paying Dividend

Stocks

Page 2: Buffett div stocks

Warren Buffett’s Dividend Stocks• Of the 54 stocks currently in Berkshire Hathaway’s portfolio,

30 pay dividends, with yields ranging from 0.77% to 4.98%.• There are specific things to look for when evaluating a

dividend stock as a long-term investment, such as• Steady record of profitability and growth• Shareholder-friendly management• A low payout ratio – indicating a sustainable dividend• Strong record of dividend growth

• So, here are Berkshire’s 10 highest-paying dividend stocks, to give you a good idea of what types of stocks attract the best

long-term investor in the world.

Page 3: Buffett div stocks

10. General Electric (NYSE: GE)

• GE has a diverse revenue stream, with operations in:– Aircraft engines– Power generation– Oil and gas production

equipment– Household appliances– Medical imaging

Dividend yield: 3.04%

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Page 4: Buffett div stocks

9. United Parcel Service (NYSE: UPS)

• The shipping industry is and will continue to be a beneficiary of the trend toward online shopping.

• And, the industry has high barriers to entry, which Buffett loves

Dividend yield: 3.07%

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Page 5: Buffett div stocks

8. Coca-Cola (NYSE: KO)

• A longtime Berkshire holding, Coca-Cola has one of the world’s most valuable brand names and a great distribution network.

• Coca-Cola has increased its dividend for 53 consecutive years.

Dividend yield: 3.09%

Page 6: Buffett div stocks

7. Suncor Energy (NYSE: SU)

• Suncor is one of Canada’s largest oil companies, with operations in production, refining, and marketing.

• Despite the drop in oil prices, Suncor’s operating cost of less than $20 per barrel should help it get through the tough times.

Dividend yield: 3.14%

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Page 7: Buffett div stocks

6. Procter & Gamble (NYSE: PG)

• Procter & Gamble’s strength is its size and impressive portfolio of brand names, including Pantene, Gillette, Crest, Tide, and Pampers, just to name a few.

• The company has an impressive 59 year streak of dividend increases.

Dividend yield: 3.26%

Photo: Mike Mozart

Page 8: Buffett div stocks

5. International Business Machines (NYSE: IBM)

• Buffett loves IBM for its strong balance sheet and great management team.

• IBM is currently shifting its focus to cloud computing, data analytics, and user engagement, which is growing fast.

Dividend yield: 3.64%

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Page 9: Buffett div stocks

4. Sanofi SA (NYSE: SNY)

• One of the world’s largest pharmaceutical companies, Sanofi has a large portfolio of drugs, and has one of the strongest R&D organizations in the business.

Dividend yield: 3.95%

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Page 10: Buffett div stocks

3. Verizon (NYSE: VZ)

• Verizon’s appeal is centered around its size and brand name.

• The company sells a product that’s pretty much a necessity, and Verizon has a large and loyal customer base.

Dividend yield: 4.25%

Photo: Mike Mozart

Page 11: Buffett div stocks

2. General Motors (NYSE: GM)

• GM has $20.3 billion in cash and just $8.8 billion in debt – the type of financial flexibility Buffett loves.

• And, the company is producing record profit margins, thanks to the popularity of its SUVs and trucks.

Dividend yield: 4.90%

Photo: Nick Ares

Page 12: Buffett div stocks

1. AT&T (NYSE: T)

• Berkshire acquired its AT&T stake when the company bought DirecTV.

• So, it shares similar competitive advantages with Verizon, with the added diversity DirecTV brings to the table.

Dividend yield: 4.96%

Photo: Mike Mozart