Warren Buffett, Ray Dalio's Hedge Funds Are Selling Top-Ranking Dividend King
Portfolio Pulse from Surbhi Jain
Hedge fund billionaires, including Warren Buffett and Ray Dalio, have been selling shares of Johnson & Johnson (JNJ) in the third quarter, as revealed by recent 13F filings. JNJ, a dividend king and Fortune’s World's Most Admired Company in 2023, has seen a decrease in hedge fund holdings. Buffett's Berkshire Hathaway (BRK) fully exited its position, while Dalio's Bridgewater Associates and other firms like Lazard Asset Management and Alliancebernstein reduced their stakes. Challenges such as upcoming patent expiration and litigation issues may be influencing these decisions.
November 17, 2023 | 12:58 pm
News sentiment analysis
Sort by:
Descending
NEGATIVE IMPACT
Berkshire Hathaway has completely exited its position in Johnson & Johnson, indicating a potential lack of confidence in the stock's short-term performance.
The complete divestiture of JNJ by Berkshire Hathaway, especially given Buffett's reputation for long-term value investing, could be interpreted as a negative signal for JNJ's short-term prospects, potentially impacting BRK's investment strategy.
CONFIDENCE 80
IMPORTANCE 75
RELEVANCE 80
NEGATIVE IMPACT
Johnson & Johnson has seen a significant sell-off from hedge funds in Q3, with a decrease in top 10 holdings and an increase in closed positions. Challenges such as patent expirations and litigation may be driving the sell-off.
The sell-off by prominent investors like Buffett and Dalio, along with the reduction in holdings by other hedge funds, suggests a bearish outlook for JNJ in the short term. The upcoming patent expiration and litigation issues are likely contributing to the negative sentiment.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100