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Check Out Bill Gates' Top-Yielding Stocks

These are the highest-dividend-paying stocks owned by America's richest man.

Many investors aren't aware that the stock portfolio of Bill Gates, America's wealthiest man, is a matter of public record. Gates invests in the stock market through a trading vehicle called

Cascade Investment Group


Stockpickr decided to sort through Cascade's stockholdings and extract the

stocks with the highest yields

. These are the stocks that pay dividends to Gates.

One of the high-yielding stocks that Gates owns is

PNM Resources

(PNM) - Get Report

, a company that generates and distributes electricity and natural gas in New Mexico and Texas. Just over two weeks ago, Jefferies & Co. upgraded the stock from hold to buy. The stock, which has a price-to-earnings (P/E) ratio of 14 and a P/E-to-growth (PEG) ratio of 1.7, pays a generous yield of 3.8%.

PNM was recently added to the portfolio of

Lord Abbett Small-Cap Value Y

(LRSYX), which is rated five stars by Morningstar. This fund, which invests at least 80% of its net assets in equity securities of small companies in the Russell 2000, has generated an average annual return of 18% over the last three years. The fund also owns


(NX) - Get Report

, a vehicle and building products company that offers a yield of 1.2%, and

Black Hills

(BKH) - Get Report

, an electric utility that serves South Dakota, Wyoming and Montana, yielding 3.1%.

Another high-yield stock Gates owns is

Otter Tail

(OTTR) - Get Report

, a Minnesota-based electric utility that also delves into such diverse businesses as manufacturing polyvinyl chloride and polyethylene pipes, wind towers, diagnostic medical equipment, patient-monitoring equipment and dehydrated potato products. The stock offers a P/E of 21, a PEG of 4.2 and a yield of 3.2%.

Otter Tail is also featured in


, an interesting portfolio on Stockpickr that also contains

MDU Resources Group

(MDU) - Get Report

, which yields 2.1%, and

Applied Materials

(AMAT) - Get Report

TheStreet Recommends

, which yields 1.2%.

Republic Services

(RSG) - Get Report

is another Gates dividend stock. The company is in the non-hazardous solid waste collection and disposal services business. Its earnings call is scheduled for Nov. 6. The stock offers a P/E of 23, a PEG of 2 and a yield of 2%.

Republic appears in Stockpickr's

Insider Purchases and Buybacks XV

, a recent portfolio that lists stocks with significant insider purchases or stock buyback programs. The portfolio also includes

Janus Capital Group




(GSK) - Get Report

, both of which are dividend-paying stocks.

To see all of the highest-yield stocks owned by America's wealthiest man, check out the

Top-Yielding Bill Gates Stocks

, which includes two stocks with yields north of 5%.

And for all of Gates' stocks, check out the

Cascade Investment

portfolio at

At the time of publication, Altucher and/or his fund had no positions in stocks mentioned, although positions may change at any time.

James Altucher is president of Stockpickr LLC, a wholly owned subsidiary of and part of its network of Web properties, and a managing partner at Formula Capital, an alternative asset management firm that runs a fund of hedge funds. He is also a weekly columnist for

The Financial Times

and the author of

Trade Like a Hedge Fund


Trade Like Warren Buffett



. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Altucher appreciates your feedback;

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