According to Pat Dorset, director of equity research at Morningstar, high-quality blue chips present the best opportunities now. He likes these 10, all of which offer above-average dividends.
|
Stock (Ticker) |
Dividend Yield |
P/E Ratio |
Why Now? |
|
3.4% |
14 |
Diversification – plus a few patents set to expire – equals good prospects for the drugmaker. | |
|
2.2% |
13 |
Unlike other financial firms, this plain-vanilla regional lender has a conservative balance sheet. | |
|
Diageo ADR |
4.7% |
14 |
As consumers worldwide resume spending, the owner of brands like Tanqueray and Smirnoff should profit |
|
2.5% |
11 |
Its sheer scale, plus great capital allocation skill, positions the energy giant well. | |
|
Novartis ADR |
3.5% |
15 |
Novartis has a top-tier new-drug pipeline plus a good record of returning cash to shareholders. |
|
4.3% |
20 |
This payroll company offers good pricing power and strong margins. | |
|
Philip Morris |
4.9% |
15 |
Growth is slowing, but Big Mo still has fat margins and a healthy dividend. |
|
6.7% |
N.A. |
This retail landlord offers a high yield combined with consistent, modest income growth. | |
|
5.5% |
16 |
An electricity producer and distributor, Southern Co. is a reliable juggernaut that’s positioned well for growth. | |
|
3.9% |
14 |
This strong food-products marketer and distributor delivers high returns on capital. |
Source: Morningstar
No related posts.
