Stocks that offer big dividend yields are often backed by businesses that are going through rough patches and experiencing significant downturns in their earnings or growth outlooks. Big payouts can be necessary to keep investors happy when share prices are stagnating or slipping, and while many companies won't recover from a slowdown phase, some beaten-down, high-yield stocks will actually bounce back thanks to re-energized growth engines.
History shows that comebacks aren't easy, but if a stock's at the right price, it's worth hitching a ride for regular income generation and taking advantage of comeback potential that's not reflected in a company's valuation. Within that mold, here's why I think that IBM (NYSE:IBM) and Hanesbrands (NYSE:HBI) are stocks that have gotten too cheap to ignore.
Source: Motley Fool
Related Articles:
- 10 Fun Facts That You Might Not Know About Microsoft
- 5 Dividend Stocks To Beat The Wall Street Giants
- A Disciplined Approach To Dividend Growth Stocks
- 3 Low Beta, Higher Yielding Dividend Stocks For The Next Downturn
- 6 High-Yield REITs With Growing Dividends
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
Not all utility stocks are cut from the same cloth. There have been some dividend blow-ups in the sector, as a few have become over-leverage...
-
There are some dividend aristocrats which have not only maintained but increased their dividends for over half a century. Having survived ev...
-
Every investor needs a security blanket -- that piece of the portfolio that needs no attention and doesn't keep you up at night. Busines...
-
Showing resilience during a tough week was a group of stocks that has not been heard from much in the past two years. A group that has been ...
-
Just like stocks can be expensive, REITs can also be a bit pricey. But rather than use a price-to-earnings ratio, the best way to look at RE...
-
This REIT continues to make a strong value proposition for investors that value income stability in a volatile market. It convinces in terms...
-
Studies have shown that there is no single best season or month to trade stocks -- take that, January Effect! That said, there are some soli...
-
You have good reason to be nervous. Anyone who had just seen their retirement account take a big haircut would lose sleep. The question is, ...
-
In today’s market, high-yield stocks are usually not the safest bets. I mean, if a company is solid and offers a yield much higher than its ...
-
Most dividend stocks pay on a quarterly or even semi-annual basis. And while that may not seem like a problem, for many retirees used to a m...
0 comments
Post a Comment
Post a Comment