15 Ideal Exceptional Dividend Dogs Ready To Buy In March

Stock Market


Foreword

This article is based on eight Kiplinger investing articles, aimed at finding the Best Buy, U.S. Infrastructure, Value, Growth, Small-Cap, High-Q Dividend, Housing, and Cash Flow stocks.

The 21 Best Stocks to Buy for the Rest of 2021

“Call it a comeback. Many of the best stocks to buy for the rest of this year remain heavily tied to economic recovery prospects.”

by: Charles Lewis Sizemore, CFA

August 6, 2021

14 Best Infrastructure Stocks for America’s Big Building Spend

“These 14 infrastructure stocks represent several themes that could enjoy a boost should the roughly $1 trillion Bipartisan Infrastructure Investment and Jobs Act become law.”

by: Charles Lewis Sizemore, CFA

August 10, 2021

The 16 Best Value Stocks for the Rest of 2021

“Value stocks have been en vogue this year. These names could see upside as the U.S. economy continues to recover from the COVID-19 pandemic.”

by: Lisa Springer

June 15, 2021

10 Dividend Growth Stocks You Can Count On

“What should investors prioritize in dividend growth stocks? A history of aggressive payout expansion, and the ability to generate enough cash to keep the hikes coming.”

by: Andrew Packer

May 3, 2021

6 Small-Cap Dividend Stocks to Buy Now

“Small-cap stocks aren’t generally seen as income-building investments, but the names on this list offer hefty payouts for shareholders.”

by: Louis Navellier

August 13, 2021

10 High-Quality Stocks With Dividend Yields of 4% or More

“There’s no shortage of stocks with dividends these days, but not all of them are worth chasing. Here’s a list of top-rated, high-yielding names to consider.”

by: Dan Burrows

July 12, 2021

12 Housing Stocks to Ride the Red-Hot Market

“The U.S. has a housing shortage and a love affair with home improvement, both of which could create tailwinds for this group of housing stocks.”

by: Will Ashworth

June 8, 2021

10 Free Cash Flow Gushers for Dividends, Buybacks and More

“Excess free cash flow can often be used to generate long-term value for companies. Here are 10 FCF stocks that could be poised for growth.”

by: Will Ashworth

May 24, 2021

Any collection of stocks is more clearly understood when subjected to yield-based (dog catcher) analysis, this collection of Kiplinger Exceptional Dogs is perfect for the dogcatcher process. Below are the March 11 data for 76 dividend stocks plus 10 “No-Pays” parsed by YCharts.

The prices of 15 of these 76 Kiplinger Exceptional Dividends (listed by yield) made the possibility of owning productive dividend shares from this collection more viable for first-time investors.

Those 15 Dogcatcher ideal stocks for March are: Vale S.A. (VALE); Enterprise Products Partners L.P. (EPD); Altria Group, Inc. (MO); Gaming and Leisure Properties, Inc. (GLPI); Kinder Morgan, Inc. (KMI); Medical Properties Trust, Inc. (MPW); Williams Companies, Inc. (WMB); Rent-A-Center, Inc. (RCII); National Retail Properties, Inc. (NNN); M.D.C. Holdings, Inc. (MDC); Unum Group (UNM); Franklin Resources, Inc. (BEN); Huntington Bancshares Incorporated (HBAN); Flowers Foods, Inc. (FLO); Retail Opportunity Investments Corp. (ROIC).

All fifteen live up to the ideal of having their annual dividends from a $1K investment exceed their single share prices. Many investors see this condition as “look closer to maybe buy” opportunity.

Actionable Conclusions (1-10): Analysts Estimated 21.05% To 93.68% Net Gains For Ten Exceptional Dividend Stocks To March 2023

Four of ten top exceptional dividend stocks by yield were also among the top ten gainers for the coming year based on analyst 1-year target prices. (They are tinted gray in the chart below). Thus, the yield-based forecast for these March dogs, as graded by Wall St. Wizards, was 40% accurate.

KEDS (1A) GAINERS MAR 11, 22-2

YCharts

Estimated dividends from $1000 invested in each of the highest yielding exceptional stocks, added to the median of aggregate one-year target prices from analysts (as reported by YCharts), generated the following results. Note: one-year target prices by lone analysts were not included. Ten probable profit-generating trades projected to March 2023 were:

Rent-A-Center, Inc. was projected to net $936.79, based on the median of target estimates from eight analysts, plus dividends, less broker fees. The Beta number showed this estimate subject to risk/volatility 68% greater than the market as a whole.

M.D.C. Holdings, Inc. was projected to net $457.85, based on dividends, plus the median of target price estimates from five analysts, less broker fees. The Beta number showed this estimate subject to risk/volatility 46% over the market as a whole.

Huntington Bancshares Incorporated was projected to net $384.00, based on the median of estimates from seventeen analysts, plus dividends, less broker fees. The Beta number showed this estimate subject to risk/volatility 22% greater than the market as a whole.

Best Buy Co., Inc. (BBY) was projected to net $299.00, based on dividends, plus median target price estimates from twenty-one analysts, less broker fees. The Beta number showed this estimate subject to risk/volatility 52% more than the market as a whole.

Medical Properties Trust, Inc. was projected to net $283.33, based on dividends, plus the median of target price estimates from fifteen analysts, less broker fees. The Beta number showed this estimate subject to risk/volatility 42% less than the market as a whole.

Gaming and Leisure Properties, Inc. was projected to net $252.27, based on dividends, plus the median of target price estimates from twenty-one analysts, less broker fees. The Beta number showed this estimate subject to risk/volatility 6% greater than the market as a whole.

Flowers Foods, Inc. was projected to net $249.33 based on the median of target price estimates from five analysts, plus annual dividend, less broker fees. The Beta number showed this estimate subject to risk/volatility 28% more than the market as a whole.

Franklin Resources, Inc. was projected to net $245.88, based on dividends, plus the median of target price estimates from eleven analysts, less broker fees. The Beta number showed this estimate subject to risk/volatility 15% over the market as a whole.

Sturm, Ruger & Company, Inc. (RGR) was projected to net $214.67, based on dividends, plus the median of target price estimates from two analysts, less broker fees. The Beta number showed this estimate subject to risk/volatility 58% under the market as a whole.

Realty Income Corporation (O) was projected to net $210.51, based on the median of target price estimates from eighteen analysts, plus annual dividend, less broker fees. The Beta number showed this estimate subject to risk/volatility 21% less than the market as a whole.

The average net gain in dividend and price was estimated at 35.34% on $10k invested as $1k in each of these ten stocks. These gain estimates were subject to average risk/volatility 2% over the market as a whole.

Dog 7

Open source dog art from dividenddogcatcher.com

The Dividend Dogs Rule

Stocks earned the “dog” moniker by exhibiting three traits: (1) paying reliable, repeating dividends, (2) their prices fell to where (3) yield (dividend/price) grew higher than their peers. Thus, the highest yielding stocks in any collection became known as “dogs.” More precisely, these are, in fact, best called, “underdogs”.

60 Kiplinger Exceptional Stocks Per March Analyst Targets

KEDS (3A) 1-60BYTARGETS MAR 11,23-23

Ycharts

60 Kiplinger Exceptional Dividend Stocks Per March Yield Data

KEDS (3B) 1-60BYYIELD MAR 11,23-23

YCharts

Actionable Conclusions (11-20): Ten Top Exceptional Stocks By Yield

Top ten March Kiplinger Exceptional Dividend stocks by yield represented five of eleven Morningstar sectors. The first place was held by the lone basic materials representative, Vale S.A. [1]. Second place, and two more, went to energy sector representatives, Enterprise Products Partners L.P. [2], followed by Kinder Morgan, Inc. [5], and Williams Companies [7].

Next, one consumer defensive representative placed third, Altria Group, Inc. [3]. Then, in fourth, sixth, and tenth places, were three real estate equities, Gaming and Leisure Properties, Inc. [4], Medical Properties Trust [6], and National Retail Properties, Inc. [10].

Finally, two industrials representatives found their way into the eighth and ninth positions on this list, Rent-A-Center, Inc. [8] and Sturm, Ruger & Company, Inc. [9], to complete the top ten exceptional dividend pack for March.

Actionable Conclusions: (21-30) Ten Top Exceptional Dividend Stocks Showed 15.76%-81.3% Upsides While (31) No Downsiders Fell For March 2023

KEDS (4) UP/DNSIDES MAR, 22-23

YCharts

To quantify top dog rankings, analyst median price target estimates provided a “market sentiment” gauge of upside potential. Added to the simple high-yield metrics, the median of analysts target price estimates became another tool to dig out bargains.

Analysts Forecast A 32.52% Advantage For 5 Highest Yield, Lowest Priced, of 10 Exceptional Dividend Stocks To March 11, 2023

Ten top Kiplinger Exceptional Dividend stocks were culled by yield for this update. Yield (dividend/price) results provided by YCharts did the ranking.

KEDS (5)10LIST MAR 11, 22-23

YCharts

As noted above, top ten Kiplinger exceptional stocks screened 3/11/22, showing the highest dividend yields, represented five of eleven in the Morningstar sector scheme.

Actionable Conclusions: Analysts Predicted 5 Lowest-Priced Of The Top Ten Highest-Yield Exceptional Dividend Stocks (32) Delivering 33.31% Vs. (33) 25.14% Net Gains by All Ten Come March 2023

KEDS (6) 10GAINS MAR 11, 22-23

YCharts

$5000 invested as $1k in each of the five lowest-priced stocks in the top ten Kiplinger Exceptional Dividend kennel by yield were predicted by analyst 1-year targets to deliver 32.52% more gain than $5,000 invested as $.5k in all ten. The fifth lowest-priced selection, Rent-A-Center, Inc., was projected to deliver the best net gain of 93.68%.

KEDS (7)10BYPRICE MAR 11, 22-23

YCharts

The five lowest-priced top-yield Kiplinger Exceptional Dividend Dogs as of March 11 were: Kinder Morgan, Inc.; Vale S.A.; Medical properties Trust, Inc.; Enterprise Products Partners L.P.; Rent-A-Center, Inc., with prices ranging from $18.10 to $25.92.

Five higher-priced Kiplinger exceptional dividend dogs as of January 3 were: Williams Companies, Inc.; National Retail Properties, Inc.; Gaming and Leisure Properties, Inc.; Altria Group, Inc.; Sturm Ruger & Company, Inc., whose prices ranged from $31.90 to $70.64.

The distinction between five low-priced dividend dogs and the general field of ten reflected Michael B. O’Higgins’ “basic method” for beating the Dow. The scale of projected gains based on analyst targets added a unique element of “market sentiment” gauging upside potential. It provided a here-and-now equivalent of waiting a year to find out what might happen in the market. Caution is advised since analysts are historically only 20% to 90% accurate on the direction of change and just 0% to 20% accurate on the degree of change.

The net gain/loss estimates above did not factor in any foreign or domestic tax problems resulting from distributions. Consult your tax advisor regarding the source and consequences of “dividends” from any investment.

Afterword

This article features 86 Kiplinger Exceptional Stocks and with all but ten paying dividends. The article focuses on the top 30 so nearly half the original list of companies is neglected. Therefore, below is the complete list of 86 stocks grouped by authors

KEDS (8) 86 BYAUT MAR 11, 22-23

Kiplinger/YCharts

If somehow you missed the suggestion of which stocks are ripe for picking at the start of this article, here is a reprise of the list at the end:

The prices of 15 of these 86 Kiplinger Exceptional Stocks for 2022 (listed by yield) made the possibility of owning productive dividend shares from this collection more viable for first-time investors. Those 15 Dogcatcher ideal stocks for March are: Vale S.A.; Enterprise Products Partners L.P.; Altria Group, Inc.; Gaming and Leisure Properties, Inc.; Kinder Morgan, Inc.; Medical Properties Trust, Inc.; Williams Companies, Inc.; Rent-A-Center, Inc.; National Retail Properties, Inc.; M.D.C. Holdings, Inc.; Unum Group; Franklin Resources, Inc.; Huntington Bancshares Incorporated; Flowers Foods, Inc.; Retail Opportunity Investments Corp.

All fifteen live up to the ideal of having their annual dividends from a $1K investment exceed their single share prices. Many investors see this condition as “look closer to maybe buy” opportunity.

How All Ten Top Kiplinger Exceptional Dividend Stocks Could Become Ideal Fair-Priced Dogs

KEDS (9) CURRENT vs FAIR PR KEDS MAR 11,22-23

YCharts

Since nine of the top ten Exceptional Dividend shares are now priced less than the annual dividends paid out from a $1K investment, the above charts compare those nine plus the one at current prices (top chart) with the fair pricing of all ten top dogs conforming to that ideal (middle chart). The dollar and percentage difference between the current and fair priced are shown in the bottom chart.

With renewed downside market pressure to 16.12%, it is possible for all ten highest-yield Kiplinger Exceptional Dividend stocks, to become fair-priced with their annual yield (from $1K invested), meeting or exceeding their single share prices. This pack got a big head start with nine of ten already fair priced.

Stocks listed above were suggested only as possible reference points for your purchase or sale research process. These were not recommendations.

Disclaimer: This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a solicitation, recommendation or endorsement to buy or sell any security. Prices and returns on equities in this article except as noted are listed without consideration of fees, commissions, taxes, penalties, or interest payable due to purchasing, holding, or selling same.

Graphs and charts were compiled by Rydlun & Co., LLC from data derived from www.indexarb.com; YCharts.com; finance.yahoo.com; analyst mean target price by Thomson/First Call in Yahoo Finance. Dog image: Open source dog art from dividenddogcatcher.com.

Female blue French Bulldog puppy in a handbag.

Tim Platt/DigitalVision via Getty Images



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