10 Best Dividend Stocks Owned by Billionaires

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Value stocks that pay rising and reliable dividends might not be sexy, but if they're good enough for two of the wealthiest people on the planet, you might want to take a look, too.

Bill Gates is the richest person in the world, with a net worth of $86 billion, according to Forbes. Warren Buffett, arguably the greatest investor of all time, has a net worth of $76 billion. In addition to a friendship and commitment to charitable causes, Microsoft (symbol MSFT (opens in new tab)) co-founder Gates and Berkshire Hathaway (BRK.B (opens in new tab)) chairman Buffett share an affinity for relying on big, solid dividend stocks as the foundation of a buy-and-hold portfolio.

We sifted through the respective holdings of Gates and Buffett looking for dividend stocks with a promising combination of value, yield and dividend growth. Keep in mind that these are not simply the stocks with the highest yields. After all, there's more to long-term dividend investing than that. Notes Harvey Malovich, co-founder of dividend-tracking website Longrundata.com, of our 10 stock picks: "While some of their yields are low, it's their dividend growth rates that make them shine."

Data is as of April 14, 2017, unless otherwise indicated. Click on symbol links for current share prices and more.

(Stocks are listed in alphabetical order. Dividend yield is calculated based on the last four quarterly dividend payments. Analyst stock ratings are per Zacks (opens in new tab). Ten-year annualized dividend growth rates supplied by Longrundata.com (opens in new tab). The average dividend growth rate for qualifying stocks in the Dow Jones industrial average is 11.1%. Gates's holdings were identified with the help of S&P Global Market Intelligence and through regulatory filings, and represent stocks held by the Bill & Melinda Gates Foundation Trust as well as by Gates's personal wealth management firm, Cascade Investment. Buffett's holdings represent the shares owned by Berkshire, as determined by regulatory filings, annual reports and other public disclosures.)

Dan Burrows
Senior Investing Writer, Kiplinger.com

Dan Burrows is Kiplinger's senior investing writer, having joined the august publication full time in 2016.

A long-time financial journalist, Dan is a veteran of SmartMoney, MarketWatch, CBS MoneyWatch, InvestorPlace and DailyFinance. He has written for The Wall Street Journal, Bloomberg, Consumer Reports, Senior Executive and Boston magazine, and his stories have appeared in the New York Daily News, the San Jose Mercury News and Investor's Business Daily, among other publications. As a senior writer at AOL's DailyFinance, Dan reported market news from the floor of the New York Stock Exchange and hosted a weekly video segment on equities.

Once upon a time – before his days as a financial reporter and assistant financial editor at legendary fashion trade paper Women's Wear Daily – Dan worked for Spy magazine, scribbled away at Time Inc. and contributed to Maxim magazine back when lad mags were a thing. He's also written for Esquire magazine's Dubious Achievements Awards.

In his current role at Kiplinger, Dan writes about equities, fixed income, currencies, commodities, funds, macroeconomics and more.

Dan holds a bachelor's degree from Oberlin College and a master's degree from Columbia University.

Disclosure: Dan does not trade stocks or other securities. Rather, he dollar-cost averages into cheap funds and index funds and holds them forever in tax-advantaged accounts.