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5 Best Buffett Dividend Stocks

These are the 5 highest-yielding stocks in the Berkshire portfolio

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Johnson & Johnson

JohnsonJohnsonLogo e1282585796958 5 Best Buffett Dividend StocksIndustry: Consumer Health
Berkshire
Shares: 29 million shares
Yield:
3.9%
Returns
: -6% 1-year return vs. a flat Dow,
-2% 5-year return vs. -11% for Dow

Johnson & Johnson (NYSE:JNJ) is one of the biggest holdings in the entire Berkshire Hathaway portfolio. While many other health care stocks are in the lineup, the 29 million shares of J&J add up to a position of roughly $1.8 billion dollars. Unlike GSK, however, J&J is a health care company focused on consumers and drug stores as much as doctors and hospitals. That’s because J&J is behind big brands including Tylenol and Band-Aids, just to name a few polestars of its consumer health division. Reliable sales from these products adds up to a healthy yield of 3.9% at current valuations. Dividends have been paid since 1944, and a dividend increase announced just a few weeks ago proves Johnson & Johnson cares about keeping income-oriented investors happy.

However, FYI: Buffett sold some of his position in J&J in the latest filing. At its peak, this position was 62 million shares strong in the Berkshire portfolio, but is now less than half of that.


Article printed from InvestorPlace Media, http://investorplace.com/2012/06/5-best-buffett-dividend-stocks-ge-sny-jnj-gsk-gci/.

©2014 InvestorPlace Media, LLC

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