Louis Navellier's High-Dividend Stock Picks

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Includes: ABB, AGNC, BCE, CAT, COP, CVX, DE, DPS, EFA, HSY, IEF, IYR, KO, MCD, MRO, RAI, ROK, SPY, WMT, XLB, XLI, XLP, XLU, XLV, XOM
by: Insider Monkey

Navellier & Associates was founded in 1980 by Louis G. Navellier. Based in Reno, Nevada, the firm focuses on growth investments. Navellier is the editor of four investment newsletters, Blue Chip Growth, Emerging Growth, Global Growth and Quantum Growth. Louis Navellier also authored a Business Week best seller, The Little Book That Makes You Rich.

In a previous study, we showed that the average return of high dividend-yielding stocks was 13.04% between 1927 and 2009. Many defensive investors love high dividend yielding stocks and consider them as alternatives to 10-year Treasury bonds especially in loose monetary environments.

According to 13F filings, Navellier & Associates had at least 272 securities with a total value of $2.6 billion as of March 31. We compiled Navellier's high-dividend stock picks that were at least $1 million at the end of March. We required a minimum dividend yield of 2% and yields were obtained from Finviz. Here are Navellier's favorite high dividend stock picks.

Stock

Market
Cap

P/E

Dividend Yield

Return (52- week)

American Capital Agency Corp. (NASDAQ:AGNC)

5.0

4.1

19.2%

29.0%

Reynolds American (NYSE:RAI)

19.8

14.8

6.2%

28.2%

BCE Inc. (NYSE:BCE)

29.8

16.2

5.6%

31.3%

Utilities Select Sector Spdr F (NYSEARCA:XLU)

3.8

N/A

4.2%

7.7%

ConocoPhillips (NYSE:COP)

90.7

8.3

4.0%

24.4%

Ishares Trust Dow Jones U.S. R (NYSEARCA:IYR)

2.8

N/A

3.8%

12.6%

Materials Select Sector Spdr F (NYSEARCA:XLB)

2.4

N/A

3.8%

14.2%

Dr Pepper Snapple Group Inc. (NYSE:DPS)

8.1

15.9

3.4%

4.5%

Chevron Corp. (NYSE:CVX)

192.0

8.4

3.3%

28.0%

Ishares Trust Msci Eafe Index (NYSEARCA:EFA)

35.0

0.0

3.2%

7.4%

Chipotle Mexican Grill Inc (NYSE:ABB)

50.5

16.6

3.1%

18.3%

Wal-Mart Stores Inc. (NYSE:WMT)

172.8

11.6

2.9%

1.3%

Mcdonald's Corp. (NYSE:MCD)

89.8

17.5

2.8%

24.1%

Consumer Staples Select Sector (NYSEARCA:XLP)

3.2

N/A

2.8%

13.4%

Coca-Cola Co. (NYSE:KO)

154.2

12.6

2.8%

24.0%

Ishares Trust Lehman 7-10 Year (NYSEARCA:IEF)

3.3

N/A

2.8%

7.8%

Rockwell Automation Inc. (NYSE:ROK)

9.3

15.1

2.6%

28.8%

Exxon Mobil Corp. (NYSE:XOM)

350.1

9.5

2.6%

23.1%

Hershey Foods Corp. (NYSE:HSY)

12.6

21.2

2.5%

23.7%

Marathon Oil Corp. (NYSE:MRO)

19.0

7.6

2.3%

37.4%

Deere & Co. (NYSE:DE)

31.5

12.9

2.2%

17.6%

Industrial Select Sector Spdr (NYSEARCA:XLI)

3.1

N/A

2.1%

8.9%

Standard & Poor's Depositary R (NYSEARCA:SPY)

79.6

N/A

2.1%

11.3%

Caterpillar Inc. (NYSE:CAT)

58.0

14.8

2.1%

34.5%

Health Care Select Sector Spdr (NYSEARCA:XLV)

3.1

N/A

2.0%

10.9%

Click to enlarge

American Capital Agency Corp. is a real estate investment trust (REIT). AGNC recently traded at $29.11 and has a 19.24% dividend yield. AGNC gained 28.98% during the past 12 months. The stock has a market cap of $5 billion and P/E ratio of 4.14. Navellier had $1 million invested in AGNC shares. Brian Jackelow’s SAB Capital also had more than $130 Million in AGNC at the end of March. AGNC was Jackelow’s largest position (see SAB Capital’s top three stock picks here). Jim Simons also had $10 Million in AGNC.

Reynolds American Inc. is a large U.S. tobacco company operating worldwide. RAI recently traded at $34.03 and has a 6.23% dividend yield. RAI gained 28.22% during the past 12 months. The stock has a market cap of $19.8 billion and P/E ratio of 14.8. Navellier had $31 million invested in RAI shares. Simons, David Winters and Cliff Asness are other prominent RAI investors (check out Simons’ top stock picks).

BCE Inc. is a telecommunications company providing telephone and Internet services primarily in Canada. In the past five years, BCE increased its dividend payments 7.49% on average. BCE recently traded at $38.28 and has a 5.56% dividend yield. BCE gained 31.32% during the past 12 months. The stock has a market cap of $29.8 billion and P/E ratio of 16.15. Navellier had $43 million invested in BCE shares.

Utilities Select Sector Spdr F recently traded at $31.7 and has a 4.18% dividend yield. XLU gained 7.68% during the past 12 months. The stock has a market cap of $3.8 billion. Navellier had $17 million invested in XLU shares.

ConocoPhillips recently traded at $66.05 and has a 4% dividend yield. COP gained 24.41% during the past 12 months. The stock has a market cap of $90.7 billion and P/E ratio of 8.32. Navellier had $38 million invested in COP shares. Warren Buffett also had $2.3 billion invested in COP shares. Fourteen hedge funds had COP among their top 10 holdings. Hedge funds collectively own 1% of COP’s outstanding shares. First Eagle and D.E. Shaw had large holdings in COP at the end of March.

iShares Trust Dow Jones U.S. R recently traded at $54.69 and has a 3.83% dividend yield. IYR gained 12.55% during the past 12 months. The stock has a market cap of $2.8 billion. Navellier had $14 million invested in IYR shares.

Materials Select Sector Spdr F recently traded at $34.44 and has a 3.77% dividend yield. XLB gained 14.19% during the past 12 months. The stock has a market cap of $2.4 billion. Navellier had $16 million invested in XLB shares.

Dr Pepper Snapple Group Inc. is a US company providing non-alcoholic beverages worldwide. DPS raised its dividend per share from 25 cents to 32 cents this year, having a 1-Year Dividend Growth of 28.00%. DPS recently traded at $37.43 and has a 3.42% dividend yield. DPS gained 4.52% during the past 12 months. The stock has a market cap of $8.1 billion and P/E ratio of 15.86. Navellier had $49 million invested in DPS shares. Navellier and Asness hold the two largest DPS positions among 300+ fund managers we are tracking.

Disclosure: I am long COP, SPY.