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2023 Bill Gates Portfolio Stock List | All 70 Stock Investments Now


Updated on November 29th, 2023 by Nikolaos Sismanis

Bill Gates is the sixth-richest person in the world, behind only Bernard Arnault, Elon Musk, Jeff Bezos, Larry Ellison, and Warren Buffet. His net worth of ~$ 106 billion is a massive amount of money. Not surprisingly, the Bill & Melinda Gates Foundation has a huge investment portfolio of nearly $39 billion, according to a recent 13F filing.

That kind of wealth is something the vast majority of us can only dream of. However, there is one similarity between the everyday investor and the wealthiest person on the planet.

We’re all looking for good stocks to buy and hold for the long term. That is why it is useful to review the stock holdings of the Bill & Melinda Gates Foundation.

You can download our full list of all 70 Gates Foundation stocks (along with important metrics like dividend yields and price-to-earnings ratios) by clicking on the link below:

 

Note: 13F filing performance is different than fund performance. See how we calculate 13F filing performance here.

The Bill & Melinda Gates Foundation owns several highly profitable companies with sustainable competitive advantages. Many of the stocks also pay dividends to shareholders and grow their dividend payouts over time.

This article will discuss the top 22 stocks held by the Bill & Melinda Gates Foundation.

Table of Contents

You can skip to the analysis for each of the Gates Foundation’s top 22 stock holdings, with the table of contents below. Stocks are listed in order of the portfolio’s largest positions to smallest positions.

  1. Microsoft (MSFT)
  2. Berkshire Hathaway (BRK.B)
  3. Canadian National Railway (CNI)
  4. Waste Management (WM)
  5. Caterpillar Inc. (CAT)
  6. Deere & Company (DE)
  7. Ecolab (ECL)
  8. Coca-Cola FEMSA, S.A.B. de C.V. (KOF)
  9. Walmart (WMT)
  10. FedEx Corp. (FDX)
  11. Waste Connections (WCN)
  12. Schrodinger, Inc. (SDGR)
  13. Coupang, Inc. (CPNG)
  14. Crown Castle International (CCI)
  15. United Parcel Service, Inc. (UPS)
  16. Anheuser-Busch InBev SA/NV (BUD)
  17. Madison Square Garden Sports Corp. (MSGS)
  18. Kraft Heinz (KHC)
  19. Danaher Corporation (DHR)
  20. Hormel Foods (HRL)
  21. Carvana Co. (CVNA)
  22. On Holding AG (ONON)

You can also watch video analysis of Gates’ stock holdings below:


#1—Microsoft (MSFT)

Dividend Yield: 0.8%

Percentage of Bill Gates’ Portfolio: 34.6%

Microsoft Corporation, founded in 1975 and headquartered in Redmond, WA, develops, manufactures, and sells both software and hardware to businesses and consumers. Microsoft is a mega-cap stock with a market capitalization of $2.8 trillion.

Its offerings include operating systems, business software, software development tools, video games and gaming hardware, and cloud services.

On October 13 th, 2023, Microsoft acquired Activision Blizzard, a leader in video game content, for $68.7 billion.

In late October, Microsoft reported (10/24/23) financial results for the first quarter of fiscal 2024 (its fiscal year ends June 30th). The company accelerated its performance and grew its revenue by 13% over last year’s quarter. Growth came from Intelligent Cloud and Productivity & Business Processes, which grew 19% and 13%, respectively. Sales of Azure, Microsoft’s high-growth cloud platform, grew 29%.

As a result, earnings-per-share grew 27%, from $2.35 to $2.99, and exceeded the analysts’ consensus by $0.34.

 

Click here to download our most recent Sure Analysis report on Microsoft (preview of page 1 of 3 shown below):

#2—Berkshire Hathaway (BRK)

Dividend Yield: N/A (Berkshire Hathaway does not currently pay a dividend)

Percentage of Bill Gates’ Portfolio: 19.0%

Berkshire Hathaway stock is the third-largest individual holding of the Gates Foundation’s investment portfolio, and it is easy to see why. It’s safe to say the money is in good hands. Berkshire, under the stewardship of Warren Buffett, grew from a struggling textile manufacturer into one of the largest conglomerates in the world.

Today, Berkshire is a global giant. It owns and operates dozens of businesses, with a hand in nearly every major industry, including insurance, railroads, energy, finance, manufacturing, and retailing. It has a market capitalization of almost $790 billion.

Berkshire can be thought of in five parts: wholly-owned insurance subsidiaries like GEICO, General Re, and Berkshire Reinsurance; wholly-owned non-insurance subsidiaries like Dairy Queen, BNSF Railway, Duracell, Fruit of the Loom, NetJets, Precision Cast Parts, and See’s Candies; shared control businesses like Kraft Heinz (KHC) and Pilot Flying J; marketable publicly-traded securities including significant stakes in companies like American Express (AXP), Apple (AAPL), Bank of America (BAC), Coca-Cola (KO) and Wells Fargo (WFC); and finally the company’s massive cash position.

In Berkshire’s annual letters to shareholders, Buffett typically evaluates the company’s performance in terms of book value. Book value is an accounting metric that measures a company’s assets minus its liabilities. The resulting difference is a company’s book value. This is a proxy for the intrinsic value of a firm, which Buffett believes to be the most important financial metric.

Berkshire doesn’t pay a dividend to shareholders. Buffett and his partner Charlie Munger have always contended that they can create wealth at a higher rate than the dividend would provide to shareholders.

While Berkshire stock may not be attractive for investors who want dividend income, there are few companies that have a track record nearly as great as Berkshire’s.

#3—Canadian National Railway (CNI)

Dividend Yield: 2.1%

Percentage of Bill Gates’ Portfolio: 14.9%

Canadian National Railway is the only transcontinental railroad in North America. It has a network of approximately 20,000 route miles and connects three coasts: the Atlantic, the Pacific, and the Gulf of Mexico. It handles over $200 billion worth of goods annually and carries over 300 million tons of cargo.

On January 24th, 2023, Canadian National Railway increased its dividend by 3.1% for the March 31st, 2023 payment date.

On October 24th, 2023, Canadian National Railway reported third-quarter results for September 30th, 2023. For the quarter, revenue fell 12.5% to $2.9 billion, which was $50 million less than expected.

Adjusted earnings per share of $1.23 compared unfavorably to $1.57 in the prior year and was $0.02 below estimates.

For the quarter, Canadian National Railway’s operating ratio was higher by 480 basis points to 62.0%. Revenue ton-miles (RTM) decreased 5.0%. Revenue results amongst individual product categories were mostly down for the year, though grain and fertilizers (+16%) and automotive (+14%) remained strong. Intermodal (-34%) was the worst performer, but Forest Products (-15%) and Petroleum and Chemicals (-11%) were both down double-digits. Car velocity and terminal dwell both fell by 1%, and train length declined by 3% while fuel efficiency improved by 1%.

Finally, the company increased its share repurchase authorization from $500 million to $4.5 billion, or 6.5% of its current market capitalization.

Canadian National Railway continues to project adjusted earnings per share, which will be flat to slightly negative for the year, down from a prior outlook of up mid-single-digit percentage.

Click here to download our most recent Sure Analysis report on Canadian National Railway (preview of page 1 of 3 shown below):

#4—Waste Management (WM)

Dividend Yield: 1.6%

Percentage of Bill Gates’ Portfolio: 14.4%

Waste Management is the embodiment of a company with a wide economic “moat”, a term popularized by Warren Buffett to describe a strong competitive advantage that protects a company from the full ravages of market competition. Waste Management operates in waste removal and recycling services. This is a highly concentrated industry, with only a few companies controlling the majority of the market.

Source: 2023 Investor Day Presentation

On October 24th, 2023, Waste Management reported third quarter 2023 results for the period ending September 30th, 2023.

For the quarter, the company generated revenue of $5.2 billion, a 2.4% increase compared to Q3 2022. Adjusted net income equaled $664 million or $1.63 per share compared to $645 million or $1.56 per share in Q3 2022.

Total company volumes rose by 0.5% in Q3 compared to an increase of 1.0% in the same prior year period. During the quarter, Waste Management repurchased $370 million of common stock. The company also returned $283 million to shareholders in the form of cash dividends.

Waste Management expects 2023 free cash flow of $1.825 billion to $1.925 billion.

Click here to download our most recent Sure Analysis report on Waste Management (preview of page 1 of 3 shown below):

#5—Caterpillar (CAT)

Dividend Yield: 2.1%

Percentage of Bill Gates’ Portfolio: 4.3%

Caterpillar is the global leader in heavy machinery. It has a strong brand with a dominant industry position. Caterpillar manufactures and markets heavy machinery, mostly for the construction and mining sectors.

The company operates in three primary segments: Construction Industries, Resource Industries, and Energy & Transportation, along with ancillary financing and related services through its Financial Products segment.

Source: Latest Investor Day Presentation

On October 31st, 2023, Caterpillar reported its Q3 results for the period ending September 30th, 2023. For the quarter, the company generated revenues of $16.8 billion, a 12% increase compared to the $15.0 billion posted in the third quarter of 2022.

Construction Industries, Resource Industries, and Energy & Transportation posted growth of 12%, 9%, and 11%, respectively. These increases were primarily due to favorable price realization and higher sales volume. The increase in sales volume was driven by higher sales of equipment to end users, partially offset by the impact of changes in dealer inventories and lower services sales volume.

Caterpillar’s adjusted operating profit margin was 20.5%, compared to 16.2% last year. Margin expansion combined with revenue growth resulted in adjusted earnings-per-share landing at $5.52 against $3.95 in the comparable period last year. A lower share count also boosted the result.

Caterpillar returned $1.0 billion to shareholders through dividends and share repurchases during the quarter, ending with $6.5 billion of enterprise cash.

Click here to download our most recent Sure Analysis report on Caterpillar (preview of page 1 of 3 shown below):

#6—Deere & Company (DE)

Dividend Yield: 1.5%

Percentage of Bill Gates’ Portfolio: 3.5%

Deere & Company is the largest manufacturer of farm equipment in the world. The company also makes equipment used in construction, forestry & turf care, produces engines, and provides financial solutions to its customers. Deere was founded in 1837.

Source: Investor Fact Book

In late November, Deere reported (11/22/23) financial results for the fourth quarter of fiscal 2023. Sales slipped -1% over the prior year’s quarter as the benefit from strong demand for farm and construction equipment was offset by a decrease in the sales of the Production & Precision Ag and Small Ag & Turf segments.

Deere grew its earnings-per-share 11%, from $7.44 to $8.26, and beat the analysts’ consensus by $0.85. However, the quarter marked a sharp deceleration over the previous quarters.

Due to this deceleration and its expectation for volume sales to revert to mid-cycle levels, Deere provided lackluster guidance for the new fiscal year, expecting earnings of $7.75-$8.25 billion.

Click here to download our most recent Sure Analysis report on Deere (preview of page 1 of 3 shown below):

#7—Ecolab (ECL)

Dividend Yield: 1.1%

Percentage of Bill Gates’ Portfolio: 2.3%

Ecolab was created in 1923 when its founder Merritt J. Osborn invented a new cleaning product called “Absorbit”. This product cleaned carpets without the need for businesses to shut down operations to conduct carpet cleaning. Osborn created a company revolving around the product called Economics Laboratory, or Ecolab.

Source: Investor Presentation

In late October, Ecolab reported (10/31/23) financial results for the third quarter of fiscal 2023. Organic sales grew 7% over the prior year’s quarter, mostly thanks to double-digit growth in the Institutional segment.

Thanks to strong price hikes and slightly lower costs of products, adjusted earnings-per-share grew 18%, from $1.30 to $1.54, and exceeded the analysts’ consensus by $0.02. Moreover, thanks to robust pricing and positive sales momentum, management provided guidance for a 17%-24% growth of earnings-per-share in the fourth quarter.

Given the bright outlook provided by management, we have raised our forecast for annual earnings-per-share from $4.90 to $5.20. Management also provided a rosy outlook for 2024, expecting at least mid-teens growth of adjusted earnings-per-share.

Click here to download our most recent Sure Analysis report on Ecolab (preview of page 1 of 3 shown below):

#8—Coca-Cola FEMSA SAB (KOF)

Dividend Yield: 3.9%

Percentage of Bill Gates’ Portfolio: 1.3%

Coca-Cola FEMSA produces, markets, and distributes Coca-Cola (KO) beverages. It offers a full line of sparkling and still beverages. It sells its products through distribution centers and retailers in Mexico, Guatemala, Nicaragua, Costa Rica, Panama, Colombia, Venezuela, Brazil, Argentina, and the Philippines.

Coca-Cola FEMSA is the largest franchise bottler in the world. The stock is an interesting way to gain exposure to two very attractive emerging markets: Latin America and South Asia.

#9—Walmart Inc. (WMT)

Dividend Yield: 1.5%

Percentage of Bill Gates’ Portfolio: 1.2%

Walmart is another great example of a company with durable competitive advantages. It is the largest retailer in the U.S., with annual revenue above $600 billion. The company came to dominate the retail industry by keeping a laser-like focus on reducing costs everywhere, particularly in the supply chain and distribution.

Consumers tend to scale down to discount retail when times are tight, which is why Walmart continued to grow, even during the Great Recession. As a result, Walmart is arguably the most recession-resistant stock in the Gates Foundation’s portfolio.

This allows Walmart the ability to raise its dividend each year like clockwork, even during recessions. Walmart has raised its dividend for over 40 years in a row.

Walmart posted third-quarter earnings on November 16th, 2023, and results were better than expected on both the top and bottom lines. Adjusted earnings-per-share came to $1.53, which was a penny ahead of estimates.

Revenue was up 5.2% year-over-year to $160.8 billion and was $2.26 billion better than expected. US comparable sales were up 4.9% year-over-year, which was 150bps better than expected. Transactions rose 3.4%, while aWalmart’s average ticket rose 1.5%. Ecommerce contribution to comparable sales was down 300bps.

Gross margins were up fractionally, rising 32bps. Consolidated operating expenses as a percentage of sales rose 37bps, offsetting the rise in gross margins. Operating income was up 3% year-over-year on an adjusted basis.

Walmart ended the quarter with net cash of $12.2 billion and total debt of $55.4 billion. Free cash flow was $4.3 billion, up from $3.6 billion a year ago.

Click here to download our most recent Sure Analysis report on Walmart (preview of page 1 of 3 shown below):


#10—FedEx (FDX)

Dividend Yield: 2.0%

Percentage of Bill Gates’ Portfolio: 0.9%

FedEx Corp. is a transportation and shipping company. The company offers a variety of services, including transportation, e-commerce, and business services. It operates four core segments: FedEx Express, FedEx Ground, FedEx Freight, and FedEx Services.

On September 20th, 2023, FedEx reported its fiscal Q1 results for the period ending August 31st, 2023. For the quarter, revenues fell 6.7% to $21.7 billion against the prior-year period. Specifically, FedEx Express’ revenues fell 9% due to lower fuel surcharges, lower volume, and unfavorable service mix.

FedEx Freight revenue also fell 16%, primarily due to lower shipments and fuel surcharges, partially offset by base yield improvement. Results were offset by higher revenues in FedEx Ground. That said, operating income improved by 25% to $1.49 billion. This was due to the execution of the DRIVE program and FedEx’s continued focus on revenue quality.

Source: Investor Presentation

The DRIVE program includes initiatives such as structural flight takedowns, aligning staffing with volume levels, increasing line haul and sort efficiency, temporarily parking aircraft, and other cost-cutting measures.

Thus, adjusted EPS rose by 32.2% to $4.55. For fiscal 2024, management expects adjusted EPS to be between $17.00 and $18.50. This compares to adjusted EPS of $16.50 to $18.50 previously.

Click here to download our most recent Sure Analysis report on FedEx (preview of page 1 of 3 shown below):

#11—Waste Connections (WCN)

Dividend Yield: 0.9%

Percentage of Bill Gates’ Portfolio: 0.7%

Waste Connections is a waste collection, transfer, disposal, and resource recovery business in the U.S. and Canada. It offers various recycling services, including solid waste as well as fluids used in the oil and gas drilling industry, helping to increase the sustainability of those sectors.

The company was founded in 1997 and is based in Canada, with $7.2 billion in annual revenue and a market cap of $34.4 billion.

Source: Investor presentation

As we can see, Waste Connections has set robust targets for fiscal 2023, as it is looking to increase its own sustainability, as well as those of its customers.

Waste Connections has boosted its dividend for 14 consecutive years, but the strong performance of the stock means the yield is low at just 0.7%. However, we see strong dividend growth prospects for the stock in the years to come.

#12—Schrodinger Inc. (SDGR)

Dividend Yield: N/A

Percentage of Bill Gates’ Portfolio: 0.5%

Schrodinger, Inc. is a healthcare technology company. It operates a computational platform that aims to accelerate drug delivery, both for external clients and the company’s own internal drug programs. Schrodinger conducted its initial public offering in February 2020. The stock currently has a market capitalization of about $ 2.3 billion.

Schrodinger has exciting growth potential due to the success of its drug delivery platform and its large and diversified customer base.

Schrodinger has a long runway of growth because of the high degree of value that its products and services provide to customers. Designing drugs is extremely difficult, is complex, lengthy, capital-intensive, and prone to high failure rates. This means many customers will continue to outsource this work to Schrodinger.

#13—Coupang, Inc. (CPNG)

Dividend Yield: N/A

Percentage of Bill Gates’ Portfolio: 0.3%

Coupang is an e-commerce platform through its mobile apps and websites, primarily in South Korea. It sells various products and services in the categories of home goods, apparel, beauty products, fresh food and groceries, sporting goods, electronics, consumables, and more.

The company has gained immense popularity nationwide due to its focus on fast and reliable delivery services. Coupang has built an extensive logistics network, including its own delivery fleet and warehouses, to ensure quick and efficient delivery to its customers. It has pioneered the concept of “rocket delivery,” promising next-day or even same-day delivery for a vast majority of its products.

Coupang has also invested heavily in technology and innovation to enhance its customer experience. Its mobile app and website provide a seamless and user-friendly interface, making it convenient for customers to browse and purchase products. The company has also implemented various features such as customer reviews, personalized recommendations, and easy returns, further enhancing its overall shopping experience.

#14—Crown Castle International (CCI)

Dividend Yield: 5.9%

Percentage of Bill Gates’ Portfolio: 0.3%

Crown Castle International is structured as a real estate investment trust or REIT. You can see our full REIT list here.

Crown Castle owns cell phone towers with small cells where larger towers are not feasible and fiber connections for data transmission. The trust owns, operates, and leases more than 40,000 cell towers and 85,000 route miles of fiber across every major US market, helping it to support data infrastructure across the country.

Source: Investor Presentation

Crown Castle posted third-quarter earnings on October 18th, 2023, and results were worse than expected on both the top and bottom lines. The REIT posted funds-from-operations of $1.77, which missed estimates by three cents.

Revenue was down about 5% year-over-year to $1.67 billion, which missed estimates by $20 million. Guidance for revenue and FFO were also below consensus once again, as weakness continues for Crown Castle. Site rental revenue was $1.58 billion, down from $1.73 billion in Q2 but flat to the year-ago period.

Adjusted EBITDA came to $1.05 billion, which was slightly short of the consensus. It was also down from the year-ago period and sharply down from $1.19 billion in Q2.

Guidance was reduced slightly, and we’ve cut our estimate again, this time to $7.40 per share. The REIT cut revenue guidance as well as EBITDA, and we continue to see weakness on the horizon as Crown Castle struggles to generate both revenue and margins.

Click here to download our most recent Sure Analysis report on Crown Castle International (preview of page 1 of 3 shown below):

#15—United Parcel Service (UPS)

Dividend Yield: 4.3%

Percentage of Bill Gates’ Portfolio: 0.3%

United Parcel Service is a logistics and package delivery company that offers services, including transportation, distribution, ground freight, ocean freight, insurance, and financing. Its operations are split into three segments: U.S. Domestic Package, International Package, and Supply Chain & Freight.

The company’s continued growth in the face of potential global economic headwinds is due largely to its competitive advantages. UPS is the largest logistics/package delivery company in the U.S.

It operates in a near duopoly, as its only major competitor to date is FedEx. To be sure, Amazon (AMZN) is expanding its own logistics business, but it still remains a customer of UPS as well.

On October 26th, 2023, UPS reported third quarter 2023 results for the period ending September 30th, 2023. For the quarter, the company generated revenue of $21.1 billion, a 12.8% year-over-year decrease. The U.S. Domestic segment (making up 65% of sales) saw an 11.1% revenue decrease, with International also posting an 11% revenue decrease, and Supply Chain Solutions seeing a 21% decrease. Adjusted net income equaled $1.57 per share, down 48% year-over-year.

Source: Investor Presentation

UPS now expects revenue of about $91.8 billion (down from $93.0 billion previously), along with a consolidated adjusted operating margin of 11.1% (down from 11.8% previously).

Additionally, leadership expects capex of $5.3 billion, as well as $5.4 billion in dividend payments and $2.25 billion (compared to 3.0 billion before) in share repurchases.

Click here to download our most recent Sure Analysis report on UPS (preview of page 1 of 3 shown below):

#16—Anheuser-Busch InBev SA/NV (BUD)

Dividend Yield: 1.3%

Percentage of Bill Gates’ Portfolio: 0.2%

Anheuser-Busch InBev is a multinational beverage and brewing company headquartered in Leuven, Belgium. It is one of the largest and most prominent beer companies in the world. The company was formed through a series of mergers and acquisitions, including the merger of Anheuser-Busch and InBev in 2008.

Today, AB InBev produces, markets, and sells over 500 different beer brands around the world. The company has seven of the top ten beer brands and 18 brands with over $1B in sales. Major global brands include Budweiser, Stella Artois, and Corona. Large regional brands include Aguila, Hoegaarden, Skol, and Brahma.

AB InBev reported Q3 2023 results on October 31st, 2023. Revenue rose 5.0% to $15,574M from $15,091M as total volumes fell (-3.4%) and revenue per hl was up 9.0%. Total volumes fell (-3.4%), with own beer volumes down (-4.0%), and non-beer volumes grew +1.4%. Volumes were up in the Middle Americas (+1.7%) and Asia Pacific (+0.2%) but declined in EMEA (-1.5%), South America (-2.2%), and North America (-17.1%).

Outside of their home markets, the four global brands performed well, with combined revenues increasing 15.1%. Normalized earnings per share increased to $0.73 from $0.71 in comparable periods, while underlying EPS rose to $0.86 from $0.84 (accounting for adjustments).

Currently, the firm is facing difficulties from a customer boycott of its Bud Light brand in the United States in response to a marketing campaign. Volumes declined dramatically but have stabilized. Bud Light was the number one brand in the United States but was passed by Modelo. As a result, total market share, revenue, and EBITDA are now lower.

AB InBev’s premiumization strategy is led by its four global brands. Premium brands continue to grow and are more profitable per hl. A second focus is Beyond Beer, which is the intersection of beer, spirits, and wine. The category is growing at 45% CAGR and will be a $58B market by 2024. Beyond Beer is more profitable per hl than beer.

Click here to download our most recent Sure Analysis report on BUD (preview of page 1 of 3 shown below):

#17—Madison Square Garden Sports Corp. (MSGS)

Dividend Yield: N/A

Percentage of Bill Gates’ Portfolio: 0.2%

Madison Square Garden Sports Corp. is a diversified sports company. It owns multiple sports franchises, including the New York Knicks and the New York Rangers. It also owns development league teams such as the Hartford Wolf Pack and the Westchester Knicks of the NBA G League. It also owns e-sports properties, including Knicks Gaming, and a controlling interest in Counter Logic Gaming (CLG).

#18—Kraft Heinz (KHC)

Dividend Yield: 4.6%

Percentage of Bill Gates’ Portfolio: 0.2%

KraftHeinz is a processed food and beverages company that owns a product portfolio that includes food products such as condiments, sauces, cheese & dairy, frozen & chilled meals, and infant diet & nutrition. The company was created in 2015 in a merger between Kraft Food Group and H. J. Heinz Company, orchestrated by Berkshire Hathaway and 3G Capital.

The Kraft-Heinz Company reported its third-quarter earnings results on November 1. The company reported that its revenues totaled $6.6 billion during the quarter, which was up 1% compared to the revenues that Kraft-Heinz generated during the previous year’s period. This was slightly worse than what the analyst community had expected. Kraft-Heinz’s organic sales were up by 2%.

Organic sales growth was primarily possible thanks to price increases. Forex headwinds and portfolio changes due to divestments that Kraft-Heinz made over the last year were responsible for reported revenue being up slightly less than its organic sales, however.

Kraft-Heinz generated earnings-per-share of $0.72 during the third quarter, which easily beat the consensus estimate. Earnings-per-share were up 14% versus the previous year’s quarter, thanks to Kraft-Heinz’s revenue growth and improving margins during the period.

Kraft-Heinz’s management stated that they see organic net sales rising at a 4%-6% rate in 2023, while management is forecasting earnings-per-share to come in between $2.91 and $2.99 for the current year.

Click here to download our most recent Sure Analysis report on Kraft-Heinz (preview of page 1 of 3 shown below):

#19—Danaher Corporation (DHR)

Dividend Yield: 0.5%

Percentage of Bill Gates’ Portfolio: 0.2%

Danaher Corporation is active in the healthcare industry and designs, manufactures, and markets professional, medical, industrial, and commercial products and services. The company operates through three main segments: Life & Bio Sciences (38% of annual revenue – end of 2022), Diagnostics (35% of annual revenue), and Environmental & Applied Solutions (15% of annual revenue). The company made 14 acquisitions in 2021 for a total of $11.0 billion, including the Aldevron acquisition of $9.6 billion.

On October 24th, 2023, Danaher Corporation released its third quarter fiscal 2023 results for the period ending September 30th, 2023.

For the quarter, the company reported revenue of $6.9 billion, which represents a 10.5% decrease compared with revenue of $7.66 billion in the same quarter of 2022. This decline is mainly due to a decrease in the sale of COVID-related products in the Diagnostics segment and weak demand in the Life Sciences segment.

In the third quarter, Danaher’s cost of sales decreased 6.7% to $2.87 billion. Gross profit of $4 billion fell 12.7%. The margin in the quarter was 58.2%, compared with 59.8% in the year-ago quarter. Reported quarterly earnings per diluted share equaled $2.02 which represents a 21% decrease compared to $2.56 for the same period last year.

For the fourth quarter of 2023, Danaher expects adjusted base business core revenues to decline in mid-single digits. The company expects a mid-single-digit decline in the metric for FY2023, compared with the mid-single-digit growth expected earlier. Management is cautious about providing specific guidance for 2024 until they see how Q4 plays out, and they indicated that inventory dynamics and the situation in China will likely impact the outlook for 2024

Click here to download our most recent Sure Analysis report on Danaher (preview of page 1 of 3 shown below):

#20—Hormel Foods (HRL)

Dividend Yield: 3.5%

Percentage of Bill Gates’ Portfolio: 0.2%

Hormel Foods was founded in 1891. Since that time, the company has grown into a juggernaut in the food products industry with nearly $10 billion in annual revenue.

Hormel has kept with its core competency as a processor of meat products for well over a hundred years but has also grown into other business lines through acquisitions.

Hormel has a large portfolio of category-leading brands. Just a few of its top brands include Skippy, SPAM, Applegate, Justin’s, and more than 30 others.

In addition, Hormel is a member of the Dividend Kings, having increased its dividend for 57 consecutive years.

Hormel posted third-quarter earnings on August 31st, 2023, and results were weaker than expected on both the top and bottom lines. Adjusted earnings-per-share came to 40 cents, which missed estimates by a penny. Revenue fell 2.3% year-over-year to $2.96 billion, which missed consensus by $90 million.

Retail segment volume was up 1%, while net sales fell 2%, and segment profit was down 7%. Foodservice volume was up 2%, while net sales fell 3%, but segment profit rose 14%. The international segment saw volume decline 10%, while net sales fell 6%, and segment profit was cut in half.

The company said volume growth was driven by stronger results from turkey, broad demand for food service products, and strength in SPAM, Black Label, Planters, and pepperoni. Some of this was offset by supply chain disruptions in the company’s international segment. We now see $1.65 in earnings-per-share for this year after weaker-than-expected Q3 earnings.

Click here to download our most recent Sure Analysis report on Hormel (preview of page 1 of 3 shown below):

#21—Carvana Co. (CVNA)

Dividend Yield: N/A

Percentage of Bill Gates’ Portfolio: 0.04%

Carvana is an e-commerce platform for buying and selling used cars in the United States. The company’s platform allows customers to research, inspect, obtain financing for, and purchase vehicles from their desktop or mobile devices.

#22—On Holding AG (ON)

Dividend Yield: N/A

Percentage of Bill Gates’ Portfolio: 0.03%

On Holding is based in Switzerland, and it develops and distributes sports products worldwide. It offers its products through independent retailers and distributors, online, and stores.

On has quickly gained popularity among athletes and running enthusiasts worldwide for its commitment to delivering exceptional comfort, performance, and style. The company has experienced rapid growth since its inception and has established a strong presence in the global sports market.

The product portfolio of On includes a wide range of running shoes tailored for different terrains, such as road running, trail running, and all-terrain running. They have also expanded their offerings to include apparel and accessories like jackets, shirts, shorts, socks, and backpacks, which complement their footwear line.

Additional Resources

See the articles below for analysis on other major investment firms/asset managers/gurus:

If you are interested in finding more high-quality dividend growth stocks suitable for long-term investment, the following Sure Dividend databases will be useful:

The major domestic stock market indices are another solid resource for finding investment ideas. Sure Dividend compiles the following stock market databases and updates them monthly:

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