House and Home House and Home

Billionaire Stanley Druckenmiller Is Piling Into a High-Yield Dividend Stock Trading for $0.82 on the Dollar -- and Warren Buffett Owns It, Too


Published on 2025-01-11 16:41:13 - MSN
  Print publication without navigation

  • Following billionaire investors can be a good idea. Many of these investors run large funds that manage billions in capital. They also have a lot of experience and professional training, and have been through plenty of market cycles.

The article from MSN Money discusses billionaire investor Stanley Druckenmiller's significant investment in a high-yield dividend stock, Occidental Petroleum (OXY), which is currently trading at a price-to-book ratio of 0.82, suggesting it's undervalued. Druckenmiller's firm, Duquesne Family Office, has increased its stake in Occidental, making it one of the largest holdings in his portfolio. Warren Buffett's Berkshire Hathaway also holds a substantial position in Occidental, with over 255 million shares, indicating his confidence in the company. The article highlights Occidental's strategic moves, including its acquisition of Anadarko Petroleum, which has positioned it well in the Permian Basin, one of the most productive oil fields in the U.S. Despite the high yield, the stock's low valuation could be attributed to concerns over its debt levels and the cyclical nature of the oil and gas industry. However, both Druckenmiller and Buffett's investments suggest they see long-term value in Occidental, potentially due to its operational efficiencies and the expected recovery in oil prices.

Read the Full MSN Article at:
[ https://www.msn.com/en-us/money/topstocks/billionaire-stanley-druckenmiller-is-piling-into-a-high-yield-dividend-stock-trading-for-0-82-on-the-dollar-and-warren-buffett-owns-it-too/ar-BB1rhO9n ]