Finding cheap dividend stocks that are actually buy-worthy is tough. On the one hand, you’re looking for significant dividend yield. On the other hand, you’d also like to invest in a business that’s still growing. And on the third hand, you don’t want to overpay. On top of all that, macroeconomic risks are a constant concern, primarily with interest rates possibly going up. Today, I’m looking at seven cheap dividend stocks to buy now. I’m defining a cheap dividend stock as one that trades at a discount to free cash flow value, and I’m only looking at companies with sound businesses that yield 4% or more.
AT&T Inc.’s (T) pending acquisition of Time Warner Inc (TWX) is progressing. FCC Chairman Ajit Pai said he doesn’t see a role for his agency in the review process of the takeover. Although Cheniere Energy Partners LP (CQP) shares already rallied around 7% in the past month, CQP is still an inexpensive stock. Its forward P/E is sitting around 13 on a dividend that’s more than 5%. Teva Pharmaceutical (TEVA) Industries Ltd increased its market share in the generic drugs world by acquiring the Actavis generics business from Allergan (AGN) last year. Seagate Technology (STX) yields more than 5% and trades at around 10 times forward earnings estimates. Moreover, this generous yield is plenty covered by the strong business. Kohl’s Corporation (KSS) fell by more than 25% from yearly highs after issuing a lower earnings forecast. Valero Energy Corporation (VLO) is among the best cheap dividend stocks in the energy sector — despite the fact that it’s trading around its 52-week highs. Macy’s Inc. (M) is the last of our cheap dividend stocks to buy now, and it looks beaten-up enough to deserve a look.
Source: Kiplinger
Related Articles:
- Managing Risk With Dividend Stocks
- If Only I Had Known About These Dividend Stocks...
- 13 Dividend Stocks and 3 ETFs To Balance Your Asset Allocation
- 4 Communications Services Stocks With Increasing Dividends
- 5 Stocks With Room To Grow Their Dividend
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
The fact is that there are many interesting high-yielding companies that have good long-term prospects. Besides, as the markets get more vol...
-
A common measure of dividend sustainability is the payout ratio, the percent of earnings that are paid out to shareholders. Unfortunately, e...
-
Part of the joy of investing is seeing your good investments continue to grow, years after your initial purchase. Aside from the financial s...
-
Good income investments often come with strong dividend yields, delivering income that's higher than an investor could find at a bank or...
-
A lot changes when you shift from working to retirement, including how you invest. Most investors switch from building a nest egg to living ...
-
Last month we wrote about the top four companies in our model portfolio in the article 4 Dividend Dominators for 2021 - Companies With More ...
-
Both of the listed stocks are often discussed on the Reddit page, and for very different reasons. The former pays a frequent special dividen...
-
Interest rates remain very low and given the ongoing economic impact from COVID-19, they will likely stay very low. This low-rate environmen...
-
When it comes to dividend stocks, investors can fall into the trap of focusing on dividend yield over all else. That can be a dangerous stra...
-
Safety and tranquility are both important aspects of investing for retirement. Yes, we want stocks with meaningful upside. We also -- howeve...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.