15 Great Dividend Stocks to Own Should the Surging Stock Market Plunge This Summer

With the Fed likely to keep raising rates, investors may want to come back to these golden dividend companies.

Though the labor market continues to improve, certain measures are beginning to show that inflation is slowing, moving away from the Federal Reserve's 2% target and not toward it. This could be a sign that the U.S. economy is getting weaker, despite having an unemployment rate of 4.3% in May, according to the U.S. Bureau of Labor Statistics.

But with the Fed looking like it's going to keep raising rates and certain sectors of the stock market looking a little shaky in recent days, investors may want to come back to a trade that's proved reliable in recent years — dividends.

“While many would expect high dividend strategies to lag in such an environment, the opposite has been the case,” RBC Capital Markets analysts led by Jonathan Golub wrote in a February 6 research note. “In fact, history shows that low volatility names – not high yielders – are actually the big underperformer as rates rise. Our work indicates that low volatility stocks have longer equity duration (more durable franchises), resulting in greater sensitivity to interest rates.”

That may lead to investors looking to eschew the broader market averages (the NASDAQ is up nearly 17%, while the S&P 500 is up nearly 8% since the start of the year, in search of income.

Large companies with plenty of international exposure, including companies like Apple (AAPL) , AT&T (T) , Pfizer (PFE) and others may decline less than the overall market or could hold up as volatility increases.

1. Apple

A company known for its iPhones, Apple is also a cash flow machine, generating enormous amounts of cash.

Since instituting its dividend and share repurchase program in 2012, Apple has raised its dividend every year, along with its share buyback program. It most recently raised its dividend by 10.5%, with a quarterly payout of 63 cents a share.

Apple has a 1.77% dividend yield, slightly below the 2.15% on the benchmark 10-year U.S. Treasury, but it also offers strong consumer adoption of its products and continuing innovation, like the recent HomePod speaker announced at its developer conference earlier this month.

 2. AT&T

AT&T is in the process of buying Time Warner (TWX) for $85.4 billion, but as a telecom, it provides stable free cash flow and a steady, high-yielding dividend that can offer protection against any market downturn.

At current prices, AT&T has a 5.03% yield, more than twice what the 10-year U.S. Treasury yields.

In addition, by adding Time Warner — and its brands, including HBO and Warner Bros. — AT&T may wind up adding additional protection to a recession, as content tends to outperform during market downturns.

Full story (and 13 more solid dividend stocks) at The Street

1 Comment

Buffett's #1 Investment

Revealed: Warren Buffett’s little-known $0.16 trade that could see gains of up to 183% in one day if action is taken quickly.
Enter your email address to receive this company’s name and ticker symbol for free. 

By submitting your email address, you give Profitable News and Morning Bullets permission to deliver the report or research you’re requesting to your email inbox. You can unsubscribe at any time. To review our privacy policy, click here: Privacy Policy | How it Works

The Next Dogecoin, still Trading for Less Than 50 cents.

Our top Altcoin could blow past the coveted 1,000% over the next 12 to 24 months, and it’s currently trading for less than 50 cents!
Enter your email address to receive this Coin’s name for free.

By submitting your email address, you give Profitable News and Morning Bullets permission to deliver the report or research you’re requesting to your email inbox. You can unsubscribe at any time. To review our privacy policy, click here: Privacy Policy | How it Works

Score Up To 614% Gains From Apple’s Auto Foray

Current estimates predict gains as high as 196%, 491%, or even 614% or more… All before the car even hits the road, giving early investors a chance at windfall gains.
Enter your email address to receive their supplier’ss name and ticker symbol for free.

By submitting your email address, you give Profitable News and Morning Bullets permission to deliver the report or research you’re requesting to your email inbox. You can unsubscribe at any time. To review our privacy policy, click here: Privacy Policy | How it Works

#1 Stock To Beat The Upcoming Inflation Crisis

Whether you’re interested in turning a profit, or simply protecting your retirement, it’s critical you pay attention, now.

By submitting your email address, you give Profitable News and Morning Bullets permission to deliver the report or research you’re requesting to your email inbox. You can unsubscribe at any time. To review our privacy policy, click here: Privacy Policy | How it Works

#1 Taas Stock of The Decade

Investing legend Whitney Tilson says there’s a huge new tech trend coming – and he’s revealing his #1 pick for free.
Enter your email address to receive this company’s name and ticker symbol for free.

By submitting your email address, you give Profitable News and Morning Bullets permission to deliver the report or research you’re requesting to your email inbox. You can unsubscribe at any time. To review our privacy policy, click here: Privacy Policy | How it Works

Forget TSLA Buy This Supplier

Elon Musk’s Next Big Bet Could Send This Tiny Supplier Soaring.
Enter your email address to receive this company’s name and ticker symbol for free.

By submitting your email address, you give Profitable News and Morning Bullets permission to deliver the report or research you’re requesting to your email inbox. You can unsubscribe at any time. To review our privacy policy, click here: Privacy Policy | How it Works

The "Nano Powder" Battery Tech
Set To Soar

Revolutionary “Nano-Powder” to set off 20,300% market surge, and our top pick stands to soar as a result.
Enter your email address to receive this company’s name and ticker symbol for free.

By submitting your email address, you give Profitable News and Morning Bullets permission to deliver the report or research you’re requesting to your email inbox. You can unsubscribe at any time. To review our privacy policy, click here: Privacy Policy | How it Works

#1 Tech Stock of This Generation

Set to disrupt global industries worth a total of $64
trillion, this tiny $2 stock could very soon shoot up 150%, 400% … even 900% or more!-
Enter your email address to receive this company’s name and ticker symbol for free.

By submitting your email address, you give Profitable News and Morning Bullets permission to deliver the report or research you’re requesting to your email inbox. You can unsubscribe at any time. To review our privacy policy, click here: Privacy Policy | How it Works

$25 Let's You Profit From
$2.1 Quadrillion Boom

Investors who get in now could see a windfall from the opening of a $2.1 Quadrillion Economy.
Enter your email address to gain access on how you can get in on this investment before it ignites the biggest financial event since the birth of the stock market.

By submitting your email address, you give Profitable News and Morning Bullets permission to deliver the report or research you’re requesting to your email inbox. You can unsubscribe at any time. To review our privacy policy, click here: Privacy Policy | How it Works

#1 Stock of The Decade

Investors who get in on this tiny $5 stock stand to transform every $500 invested into $1.5 million.
Enter your email address to receive this company’s name and ticker symbol for free.

By submitting your email address, you give Profitable News and Morning Bullets permission to deliver the report or research you’re requesting to your email inbox. You can unsubscribe at any time. To review our privacy policy, click here: Privacy Policy | How it Works