Each of the four bank stocks highlighted in today’s article is growing earnings, pays a decent dividend (up to 6.39%), has a price/earnings ratio significantly lower than that of the broader market, and is currently trading below book value. For these four bank stocks with a combination of features that make them attractive right now, CLICK HERE.
Michael Burry – the man who made a fortune by betting against the housing bubble in the 2000s (as depicted in the movie The Big Short) – now sees a bubble forming in passive funds (which he claims have a “dirty secret”). The author of today’s article, however, is a big fan of actively managed closed-end funds (CEFs), stating that they can actually be a powerful tool in a market downturn. He highlights one particular CEF with an impressive 8.5% dividend yield to consider. For more, CLICK HERE.
With interest rates expected to continue falling – and the possibility of negative interest rates making their way to the U.S. – where can investors look for income? The author of today’s article declares that “Companies with high and stable dividends are a good place to look” – and identifies several stocks offering higher yields than the overall market and the benchmark 10-year Treasury (and yields which should be sustainable based on the companies’ sound balance sheets and track record of dividend increases). For more, CLICK HERE.
While the rise of e-commerce giants such as Amazon has certainly brought about the demise of many brick-and-mortar retailers (with many more victims undoubtedly to come), retail isn’t dead across the board. In fact, as the author of today’s article observes, some areas of retail, such as in-store apparel, are flourishing – and that creates an opportunity in “a special niche in brick-and-mortar retail”. What may be “the best way to invest in retail” – offering sizable and safe dividends? CLICK HERE.
How can you go about getting safer, higher income? Consider high dividend stocks that hit the yield sweet spot, which one fund researcher cited in today’s article suggests is “higher than the market average — but not so high that it climbs into higher-yield, higher-risk territory…about 3% to 4.5%.” He proceeds to highlight a number of mutual funds and ETFs worth considering that focus on stocks in this high dividend, low risk “intermediate zone”. For more, CLICK HERE.
Which companies are positioned to be able to keep raising their dividends by 10% (or more) for the next five years (or longer) even if the economy takes a turn for the worse? Today’s article identifies 10 companies that are likely to achieve this feat, with the author noting that “For a company to safely raise its dividend for five more years, it has to have tolerable payout ratios of dividends to total earnings. Such companies also have to be able to grow their income ahead, and they must not be under unmanageable debt loads or too much regulatory scrutiny.” For more, CLICK HERE.
In a year that, at one point, was expected to see multiple interest rate increases, any rate increases for 2019 now appear to be off the table – and the possibility of an interest rate cut is on the table. The author of today’s article notes that “With lower interest rates, that means dividend-paying stocks are more valuable. But investors shouldn’t chase after any stock with a generous yield” – and he proceeds to highlight three safe, blue-chip dividend stocks that are also likely to increase their dividends in the coming weeks. For more, CLICK HERE.
The importance attributed to dividends has changed over time, with the author of today’s article noting that “In the past, dividends were the only reason investors placed their money in equities. Now, dividends play a much smaller role, for better or worse, in the overall stock market.” One of the biggest factors behind the shrinking importance of dividends? The increase in stock buybacks, as corporations found another way to return money to shareholders. But it’s not the only factor. For more – including what this shift means for dividend strategies – CLICK HERE.
In the low interest rate environment of the last 10 years, have dividend stocks become a cult of sorts for income-hungry investors who have been unable to rely on bonds? That’s the argument made by the author of today’s article, who asserts that, today, “if you own companies that pay dividends then you are a “serious” investor, while if dividends are not a centerpiece of your investment strategy you are a heretic…” More importantly, he warns that there is danger associated with this cult of dividends and treating dividend-paying stocks as bond substitutes. For more, CLICK HERE.
While, as today’s article notes, “The only way for a stock to increase its dividend for 25 or more consecutive years is for it to have a strong and durable competitive advantage”, that doesn’t mean that all 57 stocks that currently make up the S&P 500 Dividend Aristocrat Index are good buys today. The authors single out ten stocks from the index that they assess to be the top Dividend Aristocrats today based on expected future total returns. For more, CLICK HERE.