Bill Gates' 3 Best Yielding Dividend Growth Stock Bets

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May 30, 2013
Bill Gates is a self-made billionaire and started to manage his investments by himself.

He created the Bill & Melinda Gates Foundation Trust which has assets of USD18.1 billion under management. The money is distributed on 26 stocks. Bill’s approach is similar to the investment philosophy of Warren Buffett but he has his own investment style and invested money into different stock holdings.

Within the recent quarter, Gates' foundation bought no new stocks. Today I will show you the latest 20 stock picks and the biggest positions of the trust. Gates is a great believer of Warren Buffett and he holds around USD8.4 billion in Berkshire Hathaway shares. Additional billion-dollar stakes are Coca-Cola and Coca-Cola FEMSA.

Of his 20 latest transactions, 16 are unique, and 12 of them pay dividends.

These are his best yielding and most recent dividend stock buys:



The Procter & Gamble (PG) has a market capitalization of $216.25 billion. The company employs 126,000 people, generates revenue of $83.680 billion and has a net income of $9.317 billion. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $19.124 billion. The EBITDA margin is 22.85 percent (the operating margin is 15.88 percent and the net profit margin 11.13 percent).

Financial Analysis: The total debt represents 22.52 percent of the company’s assets and the total debt in relation to the equity amounts to 46.94 percent. Due to the financial situation, a return on equity of 13.86 percent was realized. Twelve trailing months earnings per share reached a value of $3.97. Last fiscal year, the company paid $2.14 in the form of dividends to shareholders. Bill Gates increased the position with impact to his portfolio of 0.56 percent.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 19.88, the P/S ratio is 2.58 and the P/B ratio is finally 3.48. The dividend yield amounts to 3.05 percent and the beta ratio has a value of 0.47.

Coca-Cola (KO) has a market capitalization of $184.39 billion. The company employs 150,900 people, generates revenue of $48.017 billion and has a net income of $9.086 billion. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $12.934 billion. The EBITDA margin is 26.94 percent (the operating margin is 22.45 percent and the net profit margin 18.92 percent).

Financial Analysis: The total debt represents 37.84 percent of the company’s assets and the total debt in relation to the equity amounts to 99.45 percent. Due to the financial situation, a return on equity of 28.00 percent was realized. Twelve trailing months earnings per share reached a value of $1.91. Last fiscal year, the company paid $1.02 in the form of dividends to shareholders. Bill Gates increased the position with impact to his portfolio of 2.28 percent.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 21.71, the P/S ratio is 3.84 and the P/B ratio is finally 5.64. The dividend yield amounts to 2.71 percent and the beta ratio has a value of 0.52.

Wal-Mart Stores (WMT) has a market capitalization of $252.63 billion. The company employs 2,200,000 people, generates revenue of $469.162 billion and has a net income of $17.756 billion. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $36.302 billion. The EBITDA margin is 7.74 percent (the operating margin is 5.93 percent and the net profit margin 3.78 percent).

Financial Analysis: The total debt represents 26.65 percent of the company’s assets and the total debt in relation to the equity amounts to 70.91 percent. Due to the financial situation, a return on equity of 23.02 percent was realized. Twelve trailing months earnings per share reached a value of $5.07. Last fiscal year, the company paid $1.59 in the form of dividends to shareholders. Bill Gates increased the position with impact to his portfolio of 0.2 percent.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 15.04, the P/S ratio is 0.53 and the P/B ratio is finally 3.31. The dividend yield amounts to 2.47 percent and the beta ratio has a value of 0.34.

Take a closer look at the full list of Bill Gates' best yielding dividend stock holdings. The average P/E ratio amounts to 17.56 and forward P/E ratio is 18.02. The dividend yield has a value of 1.95 percent. Price to book ratio is 2.76 and price to sales ratio 1.35. The operating margin amounts to 9.14 percent and the beta ratio is 1.17. Stocks from the list have an average debt to equity ratio of 0.83.

Related stock ticker symbols:

PG, WSH, KO, ALV, WMT, CSX, CMCSA, EXPD, TM, COST, SIG, GCH, CX, AN, BRK-B, ORBK

Selected Articles:

· David Einhorn’s Best Yielding Dividend Stock Buys For Q1/2013

· George Soros’s Biggest Dividend Stock Buys As Of Q1/2013

· Warren Buffett’s Latest Buys and Sells | Berkshire Hathaway Q1/2013 Fund Portfolio

· 100 Most Bought Stocks By Investment Gurus

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Bill & Melinda Gates Foundation Trust and their highest yielding dividend stock buys originally published at "long-term-investments.blogspot.com."