Morningstar has endorsed these previously overlooked stocks.
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Undervalued Stocks with Boosted Dividends
Not all stocks are dancing the market's tune right now. Morningstar has unearthed a dozen of these unsung heroes that not only sport beefed-up dividends but have also been rising like the phoenix from the ashes. Let's dive into these dividend dreamers!
Stocks with a Dividend Resurgence
Ever wondered what the Morningstar crystal ball predicted for the stock market? In the right column of the Morningstar chart below, you'll find the absolute dividend yield of companies that have had a dividend boost. The column beside that reveals the percentage increase in their dividends. For instance, retail titan Macy's now boasts a juicy 5.21% dividend yield after a 5.01% rise in their dividend.
Department store champ Macy's takes center stage with a whopping 17.98% increase in their dividend, landing at a decent 2.20%. Though Dell Technologies' stock may have been on a bumpy ride due to market instability, this tech tycoon might soon form an intriguing double bottom at around 80 euros.
But which stocks are Morningstar's favorites?
Now, here's something exciting: The BÖRSE ONLINE Global Dividend Stars Index is another source for fascinating dividend stocks!
Undervalued Stocks with Big Time Dividend Boosts
To put it simply, Morningstar is smitten with all 12 of these undervalued stocks from the table above. For instance, the gurus see an 82% potential upside for Macy's, pushing its fair value to a whopping $25.
Morningstar also has high hopes for Dell Technologies, which made headlines with its 17.98% dividend surge to a grand 2.20%. Their stock analysts anticipate a 34% increase, taking Dell's fair value to a cool $121.
On the buy list? SBA Communications, a company that has managed to buck the market's downtrend recently. SBA recently increased its dividend by a meaty 13.27% to a dazzling 2.00% dividend yield. Despite its impressive uptrend, analysts foresee a potential of about 19% to a mind-blowing $265.
And if you're still hungry for more, check out:
- Sell Signal for MSCI World - Should investors dump the ETF now?
or:
- Microsoft and Apple: Stocks before further disappointment or a surprising turnaround?
Stay tuned for more investing insights!
Additional Dividend Titans
Got your eyes peeled for more dividend powerhouses? Here are some more options:
- Brown-Forman (BF.B) is recognized for its steady dividend hikes[4].
- Chevron (CVX) and Realty Income (O) are also on the dividend radar[4].
- UGI, WEC Energy Group, and Altria Group: Top dogs in the Q1 2025 dividend game[5]
These stocks might not all be undervalued, but they're certainly heavyweights in the dividend arena. Happy hunting!
- Investors might find interest in SBA Communications, a company that has recently increased its dividend by 13.27% and is projected to have a potential increase of about 19%, according to Morningstar.
- Apart from the undervalued stocks mentioned, other dividend titans include Brown-Forman, Chevron, Realty Income, UGI, WEC Energy Group, and Altria Group, which are recognized for their steady dividend hikes or strong performance in the dividend arena.