25 Most Popular U.S. Stocks at DSR

Looking at the 25 most popular U.S. stocks among members of DSR Pro is not only fun but it can reveal opportunities we have overlooked. Last week, we covered the top 5. If you missed it, read it here. This article provides the investment thesis for the stocks that are the 6^th to 10^th most popular, and list those in the 11^th to 25^th positions along with their respective sectors.

I pulled the most popular stocks from the DSR database based of the number of times they appear across the 2,289 DSR PRO members’ portfolios, not by looking at individual portfolios. This is strictly based on how frequently each stock appears in the database, not on the value invested (which I don’t know).

Blackrock (BLK)

6^th place – 419 members

Unfortunately, it’s been another rough year for the world’s largest asset manager (including ETFs!). BLK is by far my favorite U.S. financial stock. BLK has recently made a big comeback, but it’s still lagging the S&P 500. The company is the largest ETF creator and sponsor in North America and enjoys strong economies of scale and organic growth from this segment. Its platform Aladdin is growing fast as portfolio managers are using it to improve their portfolios and reduce their risk. BLK now offers a yield above 3% and trades at a PE around 20.

Discover even more great dividend growth stocks. Download our Rock Stars list, updated monthly!

Home Depot (HD)

7^th place – 362 members

I added Home Depot to my portfolio earlier in 2023. The company has recently shown signs of stock price weakness, a rarity since 2022. HD is the world’s largest home improvement retailer with more than $150B in sales. HD has built a strong relationship with PRO builders as it can make everything they need when they need it. One of the key elements in its success has been double-digit growth in the online segment over the past 5 years. Its website is among the largest platforms in the world.

Broadcom (AVGO)

8^th place (new) – 322 members

Broadcom is a rare tech stock I love but I don’t own (and it has been on quite a ride this year!). The stock surged more than 75% in 2023 as it is seen as a key player in artificial intelligence expansion. The company also enjoys a sticky business with its RF filters segment. Broadcom is known for its aggressive and successful growth by acquisition strategy.

3M Corp (MMM)

9^th place (down from 4^th) – 320 members

The perfect example of a well-diversified business that has one common goal for all its business segments: innovation. The Company operates through four segments: Safety and Industrial, Transportation and Electronics, Health Care, and Consumer. It is expected to spin-off its Health Care business in 2024. Nearly 50% of the company’s revenue comes from outside the Americas with the safety and industrial segment constituting a plurality of net sales. Unfortunately, 3M has faced a lot of challenges over the past few years including costly lawsuits, inflation and lack of growth. There are a lot of problems to fix before 3M gets some love from the market.

Discover even more great dividend growth stocks. Download our Rock Stars list, updated monthly!

Lockheed Martin (LMT)

10^th place (down from 8^th) – 304 members

Lockheed Martin has been a regular candidate for our buy list and favorite stock picks newsletter editions. LMT has done well recently. Unfortunate events are driving the stock hype. Lockheed’s largest segment is aeronautics, which is dominated by the massive F-35 program. It creates a great barrier to entry for any competitors. While I like the stock, I always keep an eye on its pension plan contribution which is counted in the billions.

Position 15^th to 25^th

I do own a few stocks in this list too!

Amazon, Starbucks, Texas Instruments, Air Products & Chemicals along with Costco are part of one of my portfolios. I also own Disney, but I feel it’s about to change. While the latest quarter was quite strong, I’m running out of patience with the absence of dividends. They have until the end of the year to reinstate it.

Note that Amazon and Alphabet don’t pay dividends, but they are still among the most held stocks at DSR Pro!

Final Thought

While it’s always fun to feed your curiosity, never let a list like this replace your investment process. It won’t do much good to just pile up others’ ideas in your portfolio without the conviction that they fit with your strategy. I see this list as a good group of stocks to start a research project. But that’s definitely just the beginning. There is a lot more digging required before pulling the trigger…

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