Category Monthly Dividend

Updated on March 26th, 2025 by Bob Ciura
Spreadsheet data updated daily

The Dividend Aristocrats are a select group of 69 S&P 500 stocks with 25+ years of consecutive dividend increases.

The requirements to be a Dividend Aristocrat are:

• Be in the S&P 500
• Have 25+ consecutive years of dividend increases
• Meet certain minimum size & liquidity requirements

There are currently 69 Dividend Aristocrats.

You can download an Excel spreadsheet of all 69 Dividend Aristocrats (with metrics that matter such as dividend yields and price-to-earnings ratios) by clicking the link below:

 

Disclaimer: Sure Dividend is not affiliated with S&P Global in any way. S&P Global owns and maintains The Dividend Aristocrats Index. The information in this article and downloadable spreadsheet is based on Sure Dividend’s own review, summary, and analysis of the S&P 500 Dividend Aristocrats ETF (NOBL) and other sources, and is meant to help individual investors better understand this ETF and the index upon which it is based. None of the information in this article or spreadsheet is official data from S&P Global. Consult S&P Global for official information.

However, even Dividend Aristocrats can fall from grace. For example, Walgreens Boots Alliance (WBA) was removed from the Dividend Aristocrats list in 2024.

The company slashed its dividend due to a pronounced business downturn in the brick-and-mortar pharmacy retail industry, amid elevated competitive threats from online pharmacies.

This was after Walgreens Boots Alliance had maintained a 40+ year streak of consecutive dividend increases.

While dividend cuts from Dividend Aristocrats are unexpected, they have happened–and could happen again. To be clear, the following 3 Dividend Aristocrats are not currently in jeopardy of cutting their dividends.

Their dividend payouts are supported with sufficient underlying earnings (for now). If their earnings remain stable or continue to grow, they have at least a decent change of continuing their dividend growth.

But, the 3 Dividend Aristocrats below are facing fundamental challenges to varying degrees, which potentially threatens their dividend payouts.

This article will provide a detailed analysis on the three Dividend Aristocrats most in danger of a future dividend cut.

Table of Contents

Red Flag Dividend Aristocrat For 2025: Albemarle Corporation (ALB)

• Dividend Risk Score: B
• Dividend Yield: 2.1%

Albemarle is the largest producer of lithium and second largest producer of bromine in the world. The two products account for nearly two-thirds of annual sales. Albemarle produces lithium from its salt brine deposits in the U.S. and Chile.

The company has two joint ventures in Australia that also produce lithium. Albemarle’s Chile assets offer a very low-cost source of lithium. The company operates in nearly 100 countries.

Albemarle, like any commodity producer, is beholden to the underlying commodity price for growth and profitability. Unfortunately, the steep drop in lithium prices has caused a massive decline in Albemarle’s financial performance in recent quarters.

On February 12th, 2025, Albemarle announced fourth quarter and full year results. For the quarter, revenue fell 48% to $1.23 billion and was $110 million less than expected.

Source: Investor Presentation

Adjusted earnings-per-share of -$1.09 compared very unfavorably to $1.85 in the prior year and was $0.42 below estimates.

For the year, revenue declined 44% to $5.4 billion while adjusted earnings-per-share was -$2.34.

Results were impacted by asset write-offs and weaker average prices for lithium. For the quarter, revenue for Energy Storage was down 63.2% to $616.8 million.

This segment was impact by weaker volumes (-10%) and lower prices (-53%). Revenues for Specialties were lower by 2.0% to $332.9 million as volume (+3%) was offset by a decrease in pricing (-5%).

Results are not expected to meaningfully improve in 2025. Albemarle expects 2025 full-year revenue in a range of $4.9 billion to $5.2 billion. The company is expected to produce earnings-per-share of -$0.80 in 2025.

Continued declines in sales, along with net losses, could threaten Albemarle’s dividend payout. This is especially true if lithium prices continue to drop.

Click here to download our most recent Sure Analysis report on ALB (preview of page 1 of 3 shown below):

Red Flag Dividend Aristocrat For 2025: Amcor plc (AMCR)

• Dividend Risk Score: F
• Dividend Yield: 5.0%

Amcor plc is one of the world’s most prominent designers and manufacturers of packaging for food, pharmaceutical, medical, and other consumer products. The company emphasizes making responsible packaging that is lightweight, recyclable, and reusable.

Today, the Amcor plc, which trades on the NYSE, was formed in June 2019 with the merger between two packaging companies, U.S-based Bemis Co. Inc. and Australia-based Amcor Ltd. Amcor plc’s current headquarters is in Bristol, U.K.

The current dividend yield is attractive compared to the broader market, but the payout ratio is high at nearly 70% expected for 2025.

As a packaging manufacturer, Amcor is particularly exposed to the global economy. It would be difficult for the company to maintain its dividend in a steep recession as a result. AMCR stock receives our lowest Dividend Risk Score of ‘F’.

Click here to download our most recent Sure Analysis report on AMCR (preview of page 1 of 3 shown below):

Red Flag Dividend Aristocrat For 2025: Franklin Resources (BEN)

• Dividend Risk Score: C
• Dividend Yield: 6.1%

Franklin Resources is an investment management company. It was founded in 1947. Today, Franklin Resources manages the Franklin and Templeton families of mutual funds.

On January 31st, 2025, Franklin Resources reported net income of $163.6 million, or $0.29 per diluted share, for the first fiscal quarter ending December 31, 2024.

This marked a significant improvement from the previous quarter’s net loss of $84.7 million, though EPS remained lower than the $251.3 million net income recorded in the same quarter last year.

Source: Investor presentation

The past few years have been difficult for Franklin Resources. Franklin Resources was slow to adapt to the changing environment in the asset management industry.

The explosive growth in exchange-traded funds and indexing investing surprised traditional mutual funds.

ETFs have become very popular with investors due in large part to their lower fees than traditional mutual funds. In response, the asset management industry has had to cut fees and commissions or risk losing client assets.

Earnings-per-share are expected to decline in 2025 as a result. The company still maintains a manageable payout ratio of 51% expected for 2025, but if EPS continues to decline, the dividend payout could be in danger down the road.

Click here to download our most recent Sure Analysis report on BEN (preview of page 1 of 3 shown below):

Final Thoughts

The Dividend Aristocrats are among the best dividend growth stocks in the market.

And while most Dividend Aristocrats will continue to raise their dividends each year, there could be some that end up cutting their payouts.

While it is rare, investors have seen multiple Dividend Aristocrats cut their dividends over the past several years, including Walgreens Boots Alliance, 3M Company (MMM), V.F. Corp. (VFC), and AT&T Inc. (T).

While the three Dividend Aristocrats presented here have been successful raising their dividends each year to this point, they all face varying levels of challenges to their underlying businesses.

For this reason, income investors should view the 3 red flag Dividend Aristocrats in this article cautiously going forward.

Additional Reading

Additionally, the following Sure Dividend databases contain the most reliable dividend growers in our investment universe:

If you’re looking for stocks with unique dividend characteristics, consider the following Sure Dividend databases:

Published on March 26th, 2025 by Bob Ciura

The goal of rational investors is to maximize total return under a given set of constraints.

The three components of expected return are:

• Earnings-per-share growth
• Dividend payments
• Expansion/contraction of the valuation multiple

At Sure Dividend, we believe high-quality dividend growth companies represent the best stocks to buy-and-hold for the long run.

This is why we recommend stocks that have established track records of paying dividends, and raising their dividends over time.

Blue-chip stocks are established, financially strong, and consistently profitable publicly traded companies.

Their strength makes them appealing investments for comparatively safe, reliable dividends and capital appreciation versus less established stocks.

This research report has the following resources to help you invest in blue chip stocks:

 

This list contains important metrics, including: dividend yields, payout ratios, dividend growth rates, 52-week highs and lows, betas, and more.

There are currently more than 500 securities in our blue chip stocks list.

Even better, investors can maximize their portfolio return by purchasing quality dividend stocks when they are undervalued.

This article discusses the 10 best dividend stocks in the Sure Analysis Research Database currently trading within 10% of their 52-week lows.

The list excludes REITs, MLPs, and BDCs. The stocks are arranged by annual expected returns, in ascending order.

Table of Contents

The table of contents below allows for easy navigation.

Beaten Down Dividend Stock #10: Nordson Corp. (NDSN)

• Expected Total Return: 14.5%

Nordson was founded in 1954 in Amherst, Ohio by brothers Eric and Evan Nord, but the company can trace its roots back to 1909 with the U.S. Automatic Company.

Today the company has operations in over 35 countries and engineers, manufactures, and markets products used for dispensing adhesives, coatings, sealants, biomaterials, plastics, and other materials, with applications ranging from diapers and straws to cell phones and aerospace.

Source: Investor Presentation

On December 11th, 2024, Nordson reported fourth quarter results for the period ending October 31st, 2024. For the quarter, the company reported sales of $744 million, 4% higher compared to $719 million in Q4 2023, which was driven by a positive acquisition impact, and offset by organic decrease of 3%.

Industrial Precision saw sales decrease by 3%, while the Medical and Fluid Solutions and Advanced Technology Solutions segments had sales increases of 19% and 5%, respectively.

The company generated adjusted earnings per share of $2.78, a 3% increase compared to the same prior year period.

Click here to download our most recent Sure Analysis report on NDSN (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #9: Sysco Corp. (SYY)

• Expected Total Return: 14.7%

Sysco Corporation is the largest wholesale food distributor in the United States. The company serves 600,000 locations with food delivery, including restaurants, hospitals, schools, hotels, and other facilities.

Source: Investor Presentation

On January 28th, 2025, Sysco reported second-quarter results for Fiscal Year (FY)2025. The company reported a 4.5% increase in sales for the second quarter of fiscal year 2025, reaching $20.2 billion.

U.S. Foodservice volume grew by 1.4%, while gross profit rose 3.9% to $3.7 billion. Operating income increased 1.7% to $712 million, with adjusted operating income growing 5.1% to $783 million. Earnings per share (EPS) remained at $0.82, while adjusted EPS grew 4.5% to $0.93.

The company reaffirmed its full-year guidance, projecting sales growth of 4%-5% and adjusted EPS growth of 6%-7%.

Click here to download our most recent Sure Analysis report on SYY (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #8: Archer Daniels Midland (ADM)

• Expected Total Return: 14.9%

Archer-Daniels-Midland is the largest publicly traded farmland product company in the United States. Archer-Daniels-Midland’s businesses include processing cereal grains, oilseeds, and agricultural storage and transportation.

Archer-Daniels-Midland reported its third-quarter results for Fiscal Year (FY) 2024 on November 18th, 2024.

The company reported adjusted net earnings of $530 million and adjusted EPS of $1.09, both down from the prior year due to a $461 million non-cash charge related to its Wilmar equity investment.

Consolidated cash flows year-to-date reached $2.34 billion, reflecting strong operations despite market challenges.

Click here to download our most recent Sure Analysis report on ADM (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #7: Agilent Technologies (A)

• Expected Total Return: 14.9%

Agilent Technologies, Inc. (A) offers instruments, software, and services to life sciences, diagnostics, and applied chemicals markets. It is a global company with operations in the Americas (which accounted for 40% of FY 2024 revenue), Asia Pacific (33%), and Europe (27%).

The company is separated into three segments: Life Sciences & Diagnostics Markets Group (LDG), Agilent CrossLab Group (ACG), and Applied Markets Group (AMG). ACG makes up nearly half of its total revenue (42%), with LDG (38%) and AMG (20%) making up the remainder.

Its end markets are primarily Chemicals and Advanced Materials, and Pharma, with Diagnostics and Clinical, Environmental & Forensics, Food, and Academia & Govt making up the remainder. Agilent has a market capitalization of $35 billion.

On February 26th, 2025, Agilent reported first quarter 2025 results for the period ending January 31st, 2024. For the quarter, the company generated net revenue of $1.68 billion, which was 1.4% higher year-over-year.

Adjusted net income equaled $377 million or $1.31 per share, a 2% increase compared to Q1 2024. The company’s LDG and ACG segments saw revenue increases of 4% and 1% year-over-year, respectively, while AMG declined 4%.

Click here to download our most recent Sure Analysis report on Agilent (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #6: PPG Industries (PPG)

• Expected Total Return: 15.2%

PPG Industries is the world’s largest paints and coatings company. Its only competitors of similar size are Sherwin-Williams and Dutch paint company Akzo Nobel.

PPG Industries was founded in 1883 as a manufacturer and distributor of glass (its name stands for Pittsburgh Plate Glass) and today has approximately 3,500 technical employees located in more than 70 countries at 100 locations.

On January 31st, 2025, PPG Industries announced fourth quarter and full year results for the period ending December 31st, 2024. For the quarter, revenue declined 4.6% to $3.73 billion and missed estimates by $241 million.

Adjusted net income of $375 million, or $1.61 per share, compared favorably to adjusted net income of $372 million, or $1.56 per share, in the prior year. Adjusted earnings-per-share was $0.02 below expectations.

For the year, revenue from continuing operations decreased 2% to $15.8 billion while adjusted earnings-per-share totaled $7.87.

PPG Industries repurchased ~$750 million worth of shares during 2024 and has $2.8 billion, or ~10.3% of its current market capitalization, remaining on its share repurchase authorization. The company expects to repurchase ~$400 million worth of shares in Q1 2025.

For 2025, the company expects adjusted earnings-per-share in a range of $7.75 to $8.05.

Click here to download our most recent Sure Analysis report on PPG (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #5: United Parcel Service (UPS)

• Expected Total Return: 15.3%

United Parcel Service is a logistics and package delivery company that offers services including transportation, distribution, ground freight, ocean freight, insurance, and financing.

Its operations are split into three segments: US Domestic Package, International Package, and Supply Chain & Freight.

On January 30th, 2025, UPS reported fourth quarter 2024 results for the period ending December 31st, 2024. For the quarter, the company generated revenue of $25.3 billion, a 1.5% year-over-year increase.

Source: Investor Presentation

The U.S. Domestic segment (making up 68% of sales) saw a 2.2% revenue increase, with International also posting a 6.9% revenue increase, while Supply Chain Solutions saw a 9.1% decrease. Adjusted net income equaled $2.75 per share, up 11.3% year-over-year.

The company announced it is reducing its largest customer’s volume by over 50% by H2 2026, insourced 100% of its UPS SurePost product, and is redesigning its end-to-end process to deliver $1 billion in savings.

Click here to download our most recent Sure Analysis report on UPS (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #4: Pfizer Inc. (PFE)

• Expected Total Return: 15.9%

Pfizer Inc. is a global pharmaceutical company focusing on prescription drugs and vaccines. Pfizer formed the GSK Consumer Healthcare Joint Venture in 2019 with GlaxoSmithKline plc, which includes its over-the-counter business.

Pfizer owns 32% of the JV, but is exiting the company, now known as Haleon. Pfizer spun off its Upjohn segment and merged it with Mylan forming Viatris for its off patent, branded and generic medicines in 2020.

Pfizer’s top products are Eliquis, Ibrance, Prevnar family, Vyndaqel family, Abrysvo, Xeljanz, and Comirnaty.

Source: Investor Presentation

Pfizer’s current product line is expected to produce top line and bottom-line growth because of significant R&D and acquisitions.

Pfizer reported solid Q4 2024 results on February 4th, 2025. Company-wide revenue grew 21% operationally and adjusted diluted earnings per share climbed to $0.63 versus $0.10 on a year-over-year basis because of stabilizing COVID-19 related sales, growing revenue from the existing portfolio, and lower expenses.

Global Biopharmaceuticals sales gained 22% to $17,413M from $14,186M led by gains in Primary Care (+27%), Specialty Care (+12%), and Oncology (+27%). Pfizer Centerone saw 11% lower sales to $325M, while Ignite revenue was $26M.

Of the top selling drugs, sales increased for Eliquis (+14%), Prevnar (-4%), Plaxlovid (flat), Cominraty (-37%), Vyndaqel/ Vyndamax (+61%), Ibrance (-2%), and Xtandi (+24).

Click here to download our most recent Sure Analysis report on PFE (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #3: PepsiCo Inc. (PEP)

• Expected Total Return: 16.3%

PepsiCo is a global food and beverage company. Its products include Pepsi, Mountain Dew, Frito-Lay chips, Gatorade, Tropicana orange juice and Quaker foods.

Its business is split roughly 60-40 in terms of food and beverage revenue. It is also balanced geographically between the U.S. and the rest of the world.

Source: Investor Presentation

On February 4th, 2025, PepsiCo announced that it would increase its annualized dividend by 5.0% to $5.69 starting with the payment that was made in June 2025, extending the company’s dividend growth streak to 53 consecutive years.

That same day, PepsiCo announced fourth quarter and full year results for the period ending December 31st, 2025. For the quarter, revenue decreased 0.3% to $27.8 billion, which was $110 million below estimates.

Adjusted earnings-per-share of $1.96 compared favorably to $1.78 the prior year and was $0.02 better than excepted.

For the year, revenue grew 0.4% to $91.9 billion while adjusted earnings-per-share of $8.16 compared to $7.62 in 2023. Currency exchange reduced revenue by 2% and earnings-per-share by 4%.

Click here to download our most recent Sure Analysis report on PEP (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #2: Estee Lauder Cos. (EL)

• Expected Total Return: 16.9%

Estee Lauder is one of the world’s largest cosmetics and beauty care companies. It competes primarily in the upscale and prestige portion of the market. Sales break down as follows: Skin care makes up 52% of sales, makeup constitutes 28%, fragrance is another 16%, and hair care is the other 4%.

Leading brands include the namesake Estee Lauder along with Clinique, Aveda, M.A.C., and Origins among others. Estee Lauder is a truly international firm, operating in more than 150 countries.

Generally, revenues are split almost equally in thirds between the Asia-Pacific, Europe Middle East & Africa, and the Americas segments though Asia-Pacific is underperforming at the moment.

Estee Lauder has historically shown strong and consistent growth, with top-line revenues growing from $11.0 billion in 2014 to $17.7 billion in 2022. The firm’s strong branding and distribution network makes Estee Lauder a dominant competitor in most markets.

The company reported its Q2 2025 results on February 4th, 2025. Adjusted earnings-per-share of 62 cents fell from the $0.88 for the same period of last year, but greatly exceeded expectations of just 32 cents. Revenues of $4.0 billion decreased 6% year-over-year but beat expectations.

Click here to download our most recent Sure Analysis report on EL (preview of page 1 of 3 shown below):

Beaten Down Dividend Stock #1: Eversource Energy (ES)

• Expected Total Return: 19.7%

Eversource Energy is a diversified holding company with subsidiaries that provide regulated electric, gas, and water distribution service in the Northeast U.S.

FactSet, Erie Indemnity, and Eversource Energy are the three new Dividend Aristocrats for 2025.

The company’s utilities serve more than 4 million customers after acquiring NStar’s Massachusetts utilities in 2012, Aquarion in 2017, and Columbia Gas in 2020.

Eversource has delivered steady growth to shareholders for many years.

Source: Investor Presentation

On February 11th, 2025, Eversource Energy released its fourth-quarter and full-year 2024 results. For the quarter, the company reported net earnings of $72.5 million, a significant improvement from a net loss of $(1,288.5) million in the same quarter of last year, which reflected the impact of the company’s exit from offshore wind investments.

The company reported earnings per share of $0.20, compared with a loss per share of $(3.68) in the prior year. For the full year 2024, Eversource reported GAAP earnings of $811.7 million, or $2.27 per share, compared with a full-year 2023 loss of $(442.2) million, or $(1.26) per share.

On a non-GAAP recurring basis, the company earned $1,634.0 million, or $4.57 per share, representing a 5.3% increase from 2023.

Click here to download our most recent Sure Analysis report on ES (preview of page 1 of 3 shown below):

Other Blue Chip Stock Resources

The resources below will give you a better understanding of dividend growth investing:

Soft-drink and beer makers stand to benefit as Americans consume less booze. 

That’s the take of analysts at Morgan Stanley, who late Tuesday published a report discussing possible outcomes as alcohol seems out of favor at the moment–a trend Investopedia has covered lately. The drivers, in short, include an increasingly health-conscious consumer, but also economic pressures that could be short-term. 

“With alcohol per capita consumption likely to decline, we see the zero-alcohol segment as ripe for strong growth,” Morgan Stanley wrote. “We believe that beer is better positioned than spirits in this regard. We similarly see higher growth for soft drinks, aided by stronger pricing power, and with innovation to better satisfy the ‘good for you’ criteria increasingly demanded by the younger consumer.”

Companies are making decisions informed by the same trends. PepsiCo (PEP) earlier this month agreed to buy prebiotic soda brand Poppi for $1.65 billion. Reed’s, a company known for ginger ales that trades over the counter, on a recent conference call discussed a new “multifunctional” line of sodas made with ingredients like organic ginger and mushroom extracts and comparably low calorie counts. 

“These beverages cater to the rising demand for health conscious, functional refreshment options and position us at the forefront of the evolving beverage market,” Reed’s CEO Norman Snyder said on the call, a transcript of which was made available by AlphaSense. Snyder added that “the early response from retailers has been overwhelmingly positive, reinforced by their expansion of shelf space dedicated to the functional and better-for-you beverage category.”

Among Morgan Stanley’s recommendations: Buy Coca-Cola (KO), avoid Brown-Forman (BF.B). They’re also positive on several European and Asian companies known for their beer offerings. 

“We believe that, in developed markets spirits growth will slow, as consumers shift towards lower/non-alcoholic options,” the analysts wrote. “For the beer market, we see this as an opportunity.”

U.S. stock futures are little changed after three consecutive winning sessions for indexes; copper futures soar on a report that U.S. import tariffs on the metal could come sooner than expected; Dollar Tree (DLTR) shares are rising in premarket trading as the discount retailer moves to sell off its Family Dollar brand; GameStop (GME) stock is soaring on the company’s plans to add bitcoin to its investment strategy; and Tesla (TSLA) shares are dipping after rising for five straight sessions.  Here’s what investors need to know today.

1. US Stock Futures Little Changed After Indexes Rise for Third Straight Session

U.S. stock futures are little changed after indexes rose for a third straight session Tuesday. Nasdaq and S&P 500 futures are essentially flat after gaining 0.5% and 0.2%, respectively, in the prior session. Dow Jones Industrial Average futures also are little changed after moving fractionally higher yesterday. Bitcoin (BTCUSD) is slightly higher to trade at over $88,000. Yields on the 10-year Treasury note and gold and oil futures are rising. 

2. Copper Futures Surge on Report of US Tariffs Coming Sooner Than Expected

Copper futures have surged to a record high in New York trading on a report that U.S. import tariffs on the metal are seen coming within several weeks, months earlier than the deadline for a decision. Bloomberg reported that a decision on copper tariffs from the Commerce Department could come earlier than the deadline originally laid out by President Donald Trump. Copper on New York’s Comex hit a record $5.374 a pound earlier and recently was trading at around $5.277 per pound.

3. Dollar Tree Stock Jumps on Deal to Sell Family Dollar

Shares of Dollar Tree (DLTR) are rising about 3% in premarket trading after the discount retailer announced a deal to sell its Family Dollar brand to a pair of private-equity firms for $1 billion. The move comes after Dollar Tree last March announced plans to close roughly 1,000 underperforming stores, and in June said it was launching a review of whether it should sell or spin off the Family Dollar brand. Dollar Tree shares had lost roughly 47% of their value over the last 12 months entering Wednesday.

4. GameStop Stock Pops on Plans to Add Bitcoin to Investment Strategy

GameStop (GME) shares are soaring 16% in premarket trading after the video-game retailer updated its corporate investment policy to include bitcoin. GameStop also reported fiscal fourth-quarter results, which saw revenue fall 28% year-over-year to $1.28 billion. Shares of GameStop had been nearly 20% lower this year entering Wednesday.

5. Tesla Stock Dips After Adding 28% Over Past 5 Sessions

Tesla (TSLA) stock is dipping less than 1% in premarket trading after the Magnificent 7 member’s shares extended their winning streak to five sessions yesterday following nearly two months of declines. The latest gains come after an all-hands meeting last week in which CEO Elon Musk urged employees to hold their shares, arguing that Wall Street doesn’t fully understand the company’s value based on its self-driving technology and robotics products. The stock has gained 28% during its winning streak but is still down nearly 40% from its December peak.

Carvana (CVNA) shares surged Tuesday following an upgrade from Morgan Stanley, extending the stock’s winning streak to five consecutive sessions.

Analysts at the investment bank said that recent selling in the shares provides an opportunity for investors to gain exposure to a leader in auto retail and fleet fulfillment, adding that the company has the potential to become the Amazon (AMZN) of auto retail.

Carvana shares, which rose nearly 4% to close near $222 on Tuesday, have gained 33% during their five-day rally. The stock is still down 24% from its record high set last month, but it remains 150% higher than its year-ago level, boosted by the company’s improved profitability and efforts to reduce costs.

Below, we break down the technicals on Carvana’s chart and identify crucial price levels worth watching out for.

Trading Range Signals Potential Consolidation

Since setting their late-November peak, Carvana shares have oscillated within a trading range, potentially consolidating before the stock’s next move higher.

More recently, buyers emerged just below the 200-day moving average, with the price closing back above the closely followed indicator last Friday. In another win for the bulls, recent buying has coincided with the relative strength index (RSI) reclaiming the 50 threshold, signaling improving positive price momentum.

Let’s apply technical analysis to identify crucial overhead areas on Carvana’s chart that investors may be eyeing and also locate key support levels worth monitoring during pullbacks.

Crucial Overhead Areas to Watch

The first crucial overhead area to watch sits around $265. The shares could encounter selling pressure in this region near last year’s prominent November swing high and a brief period of consolidation that preceded the stock’s record high.

If Carvana shares rally into blue sky territory, investors can forecast an upside target by using the measuring principle, a technique that analyzes chart patterns to predict future price movements.

When applying the analysis to Carvana’s chart, we calculate the distance of the trading range in points and add that amount to the pattern’s upper trendline. For instance, we add $100 to $265, which projects an upside target in the stock of $365, about 65% above Tuesday’s closing price.

Key Support Levels Worth Monitoring

During pullbacks, investors should keep track of the $165 level. This area on the chart may provide support near recent lows and a minor retracement that formed on the chart in late September last year. A breakdown below this level raises the possibility of a double top in the stock.

Finally, selling below the trading range’s lower trendline could see Carvana shares retrace to around $130. Investors may look for buying opportunities in this location near a trendline that links a series of peaks and troughs on the chart between May and September last year.

The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our warranty and liability disclaimer for more info.

As of the date this article was written, the author does not own any of the above securities.

A stock market correction, mixed messages on the future of economic policy from the White House, and a plunge in consumer confidence have driven individual investor sentiment and expectations to their lowest levels in years.

According to our recent survey of individual investors, 61% of respondents are either “worried” or “somewhat worried” about recent market events, with over 40% expecting another significant drop of 10% or more for the S&P 500 in the next three months. One-third of respondents are responding to recent market events by investing less in the stock market and 26% are investing more in money market funds. 

While the fear is real, our readers report they still own their favorite stocks, including popular names like Nvidia (NVDA), Apple (AAPL), Amazon (AMZN), and Microsoft (MSFT). Retail investors have pumped close to $70 billion into U.S. equities and exchange-traded funds so far this year, according to VandaTrack data cited by the Financial Times. That’s way above their monthly average, even as the S&P 500 fell into a correction, and some of the largest stocks lost trillions of dollars in value.

Tariff Uncertainty and Recession Fears Top Worries

Tariffs and reciprocal tariffs against the U.S. lead the long list of investor worries, with nearly three-quarters of respondents listing them as their top concern. The lack of clear and consistent economic and foreign policy from the White House permeates investors’ concerns, as worries about a potential recession, inflation, U.S. relations with China, and weaker corporate profits round out the top five, according to the survey. While the president, the Treasury secretary and even the Federal Reserve have suggested any impact from tariffs could be transient, and create a one-time price adjustment, many investors fear the worst. Three-quarters of respondents now think there is at least a 50/50 chance of a recession in the next 12 months. 

Trust in Government and the Stock Market Plunges

At the heart of investors’ concerns about the safety of their investments is their trust in the current administration. Half of respondents expect the policies enacted and proposed by the Trump administration will hurt their investments over the next four years, while just 25% believe they will benefit. Nearly half, or 48%, say they trust the stock market less under the current administration, and just 37% believe the stock market will deliver returns of 5% or better over the next four years. That’s a drop of twenty percentage points from our survey results in February.

Where Are Fearful Investors Retreating?

Investors seeking safety or diversification amid the recent selloff found it in money market funds, where 26% of respondents say they have been investing more, followed by ETFs, stocks outside the U.S., and Certificates of Deposit.

Looking out over the next four years, one-third of respondents favor U.S. stocks as the asset with the best potential, followed by stocks outside the U.S., gold, private equity, and cryptocurrencies. 

What Would You Do With an Extra $10,000?

If our readers had an extra $10,000 on hand, individual stocks still remain their top investment choice, followed by ETFs. But enthusiasm for both has waned since February, while money market funds and CDs have gained in popularity as yields have remained strong. 

Paying down debt also climbed the list of what some readers would do with an extra $10,000, which may be another sign that individuals and households are feeling the burden of rising costs of living. 

Investopedia Readers’ Favorite Stocks

Individual investors remain fairly consistent with their equity portfolio holdings. Nvidia remains the most widely held stock among respondents, with over 40% indicating they still hold the chipmaker’s stock, which has fallen nearly 20% from its recent all-time high. Apple, Microsoft, Amazon, and Alphabet (GOOGL), round out the top five, which has been pretty consistent for several years. Tesla (TSLA) is no longer among their top ten as shares of the automaker have declined 40% from recent highs. 

Nvidia or Die!

Not only is Nvidia our readers’ top holding, it’s also the stock they would buy and hold for the next ten years. Warren Buffett’s Berkshire Hathaway (BRK.A, BRK.B), is their second choice, proving that diversification and value investing are still alive and well today. It’s also the stock readers would buy today and hold long-term. 

Updated on March 25th, 2025 by Bob Ciura

Stocks with low P/E ratios can offer attractive returns if their valuation multiples expand.

And when a low P/E stock also has a high dividend yield, investors get ‘paid to wait’ for the valuation multiple to increase.

We define a high-yield stock as one with a current dividend yield of 5% or higher.

The free high dividend stocks list spreadsheet below has our full list of individual securities (stocks, REITs, MLPs, etc.) with with 5%+ dividend yields.

You can download a free copy by clicking on the link below:

 

In this research report, we discuss the prospects of 20 undervalued high dividend stocks, which are currently trading at P/E ratios under 10 and are offering dividend yields above 5.0%.

International stocks were excluded from this report.

We have ranked the stocks by P/E ratio, from lowest to highest. For REITs, we use P/FFO in place of the P/E ratio. And for MLPs, we use P/DCF (which is distributable cash flows).

These are comparable metrics similar to earnings for common stocks.

These 20 dividend stocks have not been screened for dividend safety. Instead, these are the 20 most undervalued stocks in the Sure Analysis Research Database with high dividend yields.

Table of Contents

Keep reading to see analysis on these 20 undervalued high dividend stocks.

Undervalued High Dividend Stock #1: Shutterstock, Inc. (SSTK) – P/E ratio of 4.0

Shutterstock sells high-quality creative content for brands, digital media and marketing companies through its global creative platform.

Its platform hosts the most extensive and diverse collection of high-quality 3D models, videos, music, photographs, vectors and illustrations for licensing. The company reported $935 million in revenues last year.

On January 7th, 2025, Shutterstock announced it entered a merger agreement with Getty Images through a merger of equals. The combined company will retain the name Getty Images Holdings, Inc and trade on the NYSE under ticker GETY.

Getty Images shareholders will own roughly 54.6% of the entity and Shutterstock shareholders will own the remaining 45.3%. Shareholders of SSTK will receive $28.84870 of cash, or 9.17 shares of Getty Images plus $9.50 in cash per share.

The combined company would have revenue between $1,979 million and $1,993 million, 46% of it being subscription revenue. About $175 million of annual cost savings is forecast by the third year, with most of this expected after 1 to 2 years.

On January 27th, 2025, Shutterstock announced a $0.33 quarterly dividend, a 10% increase over the prior year.

On February 25th, 2025, Shutterstock published its fourth quarter results for the period ending December 31, 2024. While quarterly revenue grew by a solid 15% year-on-year, it missed analyst estimates by nearly $4 million.

Adjusted EPS of $0.67 decreased by 7%, and also missed analyst estimates by $0.18.

Click here to download our most recent Sure Analysis report on SSTK (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #2: ARMOUR Residential REIT (ARR) – P/E ratio of 4.4

ARMOUR Residential invests in residential mortgage-backed securities that include U.S. Government-sponsored entities (GSE) such as Fannie Mae and Freddie Mac.

It also includes Ginnie Mae, the Government National Mortgage Administration’s issued or guaranteed securities backed by fixed-rate, hybrid adjustable-rate, and adjustable-rate home loans.

Unsecured notes and bonds issued by the GSE and the US Treasury, money market instruments, and non-GSE or government agency-backed securities are examples of other types of investments.

Source: Investor presentation

On October 23, 2024, ARMOUR Residential REIT announced its unaudited third-quarter 2024 financial results, reporting a GAAP net income available to common stockholders of $62.9 million, or $1.21 per common share. The company generated a net interest income of $1.8 million and distributable earnings of $52.0 million, equivalent to $1.00 per common share.

ARMOUR achieved an average interest income of 4.89% on interest-earning assets and an interest cost of 5.51% on average interest-bearing liabilities. The economic net interest spread stood at 2.00%, calculated from an economic interest income of 4.44% minus an economic interest expense of 2.44%.

During the quarter, ARMOUR raised $129.4 million by issuing 6,413,735 shares of common stock through an at-the-market offering program and paid common stock dividends of $0.72 per share for Q3.

Click here to download our most recent Sure Analysis report on ARMOUR Residential REIT Inc (ARR) (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #3: AGNC Investment Corporation (AGNC) – P/E ratio of 4.5

American Capital Agency Corp is a mortgage real estate investment trust that invests primarily in agency mortgage–backed securities (or MBS) on a leveraged basis.

The firm’s asset portfolio is comprised of residential mortgage pass–through securities, collateralized mortgage obligations (or CMO), and non–agency MBS. Many of these are guaranteed by government–sponsored enterprises.

Source: Investor Presentation

AGNC Investment Corp. reported strong financial results for the third quarter ended September 30, 2024. The company achieved a comprehensive income of $0.63 per common share, driven by a net income of $0.39 and other comprehensive income of $0.24 from marked-to-market investments.

Net spread and dollar roll income contributed $0.43 per share. The tangible net book value increased by $0.42 per share to $8.82, reflecting a 5.0% growth from the previous quarter.

AGNC declared dividends of $0.36 per share, resulting in a 9.3% economic return on tangible common equity, which includes both dividends and the increase in net book value.

Click here to download our most recent Sure Analysis report on AGNC Investment Corp (AGNC) (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #4: NewtekOne Inc. (NEWT) – P/E ratio of 5.4

Newtek Business Services Corp. was a business development company (BDC) specializing in providing financial and business services to the small- and medium-sized business market in the United States.

What makes NewTek a unique company is that a good portion of its income is derived from subsidiaries that provide a wide array of business services to its large client base.

The company also gets a significant amount of its income from being an issuer of SBA (Small Business Administration loans), which only very few BDCs are licensed to do. This is not your typical BDC that only generates income from interest rate spreads, but also from a much wider range of small business services.

On February 26th, 2025, Newtek released its Q4 and full-year results for the period ending December 31st, 2024. For the quarter, Newtek reported net income of $18.3 million, or diluted earnings per share (EPS) of $0.69, representing a 62.8% increase over the prior year. Net interest income increased to $11.3 million, up 36.1% from Q4 2023.

Its total assets reached $2.1 billion, marking a 50% rise year-over-year, with loans held for investment growing 23% to $991.4 million.

Newtek’s net interest margin was 2.80%, a slight increase from the prior year.

Additionally, the company’s Alternative Loan Program loan closings skyrocketed by 199% to $91.4 million. Newtek also achieved significant improvements in return on tangible common equity (ROTCE) and return on average assets (ROAA), reaching 31.8% and 4.1%.

Click here to download our most recent Sure Analysis report on NEWT (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #5: Western Union Company (WU) – P/E ratio of 5.8

The Western Union Company is the world leader in the business of domestic and international money transfers. The company has a network of approximately 550,000 agents globally and operates in more than 200 countries.

About 90% of agents are outside of the US. Western Union operates two business segments, Consumer-to-Consumer (C2C) and Other (bill payments in the US and Argentina).

Western Union reported mixed Q4 2024 results on February 4th, 2025. Revenue increased 1% and diluted GAAP earnings per share increased to $1.14 in the quarter, compared to $0.35 in the prior year on higher revenue and a $0.75 tax benefit on reorganizing the international operations.

Revenue rose, despite challenges in Iraq on higher Banded Digital transactions and Consumer Services volumes.

CMT revenue fell 4% year-over-year even with 3% higher transaction volumes. Branded Digital Money Transfer CMT revenues increased 7% as transactions rose 13%. Digital revenue is now 25% of total CMT revenue and 32% of transactions.

Consumer Services revenue rose 56% on new products and expansion of retail foreign exchange offerings. The firm launched a media network business, expanded retail foreign exchange, and grew retail money orders.

Click here to download our most recent Sure Analysis report on WU (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #6: AES Corp. (AES) – P/E ratio of 5.8

The AES (Applied Energy Services) Corporation was founded in 1981 as an energy consulting company. It now has businesses in 14 countries and a portfolio of approximately 160 generation facilities.

AES produces power through various fuel types, such as gas, renewables, coal, and oil/diesel. The company has more than 36,000 Gross MW in operation.

Source: Investor Presentation

The company is actively engaged in developing and acquiring new energy projects.

It currently has a backlog of 12.7 GW of renewables. AES expects to complete the majority of these projects through 2027.

AES Corporation reported fourth quarter results on February 28th, 2025, for the period ending December 31, 2024. Adjusted EPS decreased 26% to $0.54 for Q4 2024, but this still beat analyst estimates by $0.19.

For the full year, AES’ adjusted EPS rose 22% to $2.14 from $1.76 in 2023. The company constructed and acquired 3 GW of renewable energy in 2024, as well as constructed a 670 MW combined cycle gas plant in Panama.

Leadership initiated its 2025 guidance, expecting adjusted EPS of $2.10 to $2.26 for the full fiscal year.

Additionally, the company reaffirms its expectation it can grow EPS on average 7% to 9% through 2025 from a base year of 2020. It also expects annual EPS growth of 7% to 9% from 2023 through 2027.

Click here to download our most recent Sure Analysis report on AES (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #7: Ellington Credit Co. (EARN) – P/E ratio of 5.9

Ellington Credit Co. acquires, invests in, and manages residential mortgage and real estate related assets. Ellington focuses primarily on residential mortgage-backed securities, specifically those backed by a U.S. Government agency or U.S. government–sponsored enterprise.

Agency MBS are created and backed by government agencies or enterprises, while non-agency MBS are not guaranteed by the government.

On March 12th, 2025, Ellington Residential reported its fourth quarter results for the period ending December 31, 2024. The company generated a net loss of $(2.0) million, or $(0.07) per share.

Ellington achieved adjusted distributable earnings of $7.8 million in the quarter, leading to adjusted earnings of $0.27 per share, which covered the dividend paid in the period.

Ellington’s net interest margin was 5.07% overall. At quarter end, Ellington had $31.8 million of cash and cash equivalents, and $79 million of other unencumbered assets.

Click here to download our most recent Sure Analysis report on EARN (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #8: Sunoco LP (SUN) – P/E ratio of 6.2

Sunoco is a master limited partnership that distributes a range of fuel products (wholesale and retail) and that is active in some adjacent industries such as pipelines.

The wholesale unit purchases fuel products from refiners and sells those products to both its own and independently owned dealers.

Source: Investor Presentation

Sunoco reported its fourth quarter earnings results in February. The company reported that its revenues totaled $5.3 billion during the quarter, which was 7% less than the revenues that Sunoco generated during the previous year’s quarter.

Fuel prices are mostly a flow through item for Sunoco, since Sunoco’s costs decline as well when fuel prices decline. Revenue changes thus do not necessarily impact profits to a large degree.

Sunoco reported that its adjusted EBITDA was up 86% year over year, improving to $439 million during the quarter. Distributable cash flows totaled $261 million during the quarter, which was higher compared to the previous year’s quarter, and which equated to DCF of $2.19 per share.

Click here to download our most recent Sure Analysis report on SUN (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #9: Macy’s Inc. (M) – P/E ratio of 6.4

Macy’s is a department store company that operates brick and mortar stores, as well as online stores under the Macy’s, Bloomingdale’s, and Bluemercury brands.

Macy’s reported its fourth quarter earnings results on March 6. The company reported that its revenues totaled $7.77 billion during the quarter, which was above what the analyst community forecasted, with the consensus estimate being beaten by $13 million. Macy’s revenues were down by 4% versus the previous year’s quarter.

Macy’s generated earnings-per-share of $1.80 during the fourth quarter, which represents a weaker result compared to the previous year’s period. Results faded in 2023 and 2024, relative to the two strong years we saw in 2021 and 2022.

For 2025, earnings-per-share are now forecasted to be between $2.05 and $2.25 according to management’s current guidance, which indicates that the company’s earnings-per-share will likely continue to pull back this year on the back of weaker consumer sentiment that hurts Macy’s business outlook.

Click here to download our most recent Sure Analysis report on M (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #10: Virtus Investment Partners (VRTS) – P/E ratio of 6.4

Virtus Investment Partners, Inc. is a distinctive partnership of boutique investment managers, singularly committed to the long-term success of individual and institutional investors.

The firm offers a diverse range of investment strategies across asset classes, including equity, fixed income, multi-asset, as well as alternative investments.

These strategies are available in multiple product forms, such as open-end mutual funds, closed-end funds, ETFs, retail separate accounts, and institutional accounts.

Virtus operates through a multi-manager model, partnering with affiliated managers and select unaffiliated sub-advisers, each maintaining distinct investment philosophies and processes.

This structure allows Virtus to offer clients access to specialized expertise and a broad array of solutions tailored to meet various financial objectives.

On January 31st, 2025, Virtus reported its Q4 and full-year results for the period ending December 31st, 2024. Total AUM fell by 5% sequentially to $175.0 billion due to net outflows in institutional accounts and U.S. retail funds, and negative market performance, partially offset by inflows in ETFs, global funds, and retail separate accounts.

Net outflows of ($4.8) billion worsened from ($1.7) billion in Q3, primarily due to a $3.3 billion lower-fee partial redemption of an institutional mandate.

However, adjusted EPS rose 8% to $7.50, driven by higher investment management fees and a soft increase in operating expenses. For FY2025, we expect adjusted EPS of $26.81.

Click here to download our most recent Sure Analysis report on VRTS (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #11: Horizon Technology Finance (HRZN) – P/E ratio of 7.0

Horizon Technology Finance Corp. is a BDC that provides venture capital to small and medium–sized companies in the technology, life sciences, and healthcare–IT sectors.

The company has generated attractive risk–adjusted returns through directly originated senior secured loans and additional capital appreciation through warrants.

Source: Investor Presentation

On March 4th, 2025, Horizon released its Q4 and full-year results for the period ending December 31st, 2024. For the quarter, total investment income fell 16.7% year-over-year to $23.5 million, primarily due to lower interest income on investments from the debt investment portfolio.

More specifically, the company’s dollar-weighted annualized yield on average debt investments in Q4 of 2024 and Q4 of 2023 was 14.9% and 16.8%, respectively.

Net investment income per share (IIS) fell to $0.27, down from $0.45 compared to Q4-2023. Net asset value (NAV) per share landed at $8.43, down from $9.06 sequentially.

Click here to download our most recent Sure Analysis report on HRZN (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #12: Energy Transfer LP (ET) – P/E ratio of 7.0

Energy Transfer owns and operates one of the largest and most diversified portfolios of energy assets in the United States.

Operations include natural gas transportation and storage along with crude oil, natural gas liquids, refined product transportation, and storage totaling 83,000 miles of pipelines.

Energy Transfer operates with a primarily fee-based model, which somewhat mitigates the sensitivity of the MLP to commodity prices.

In mid-February, Energy Transfer reported (2/11/25) financial results for the fourth quarter of fiscal 2024. The MLP continued to grow its volumes in all the segments. As a result, adjusted EBITDA grew 8% over the prior year’s quarter.

Energy Transfer maintained a healthy distribution coverage ratio of 1.8 and raised the quarterly distribution by 0.8%, on top of the distribution hikes in each of the twelve previous quarters.

Thanks to strong growth in the demand for its networks, Energy Transfer provided positive guidance for 2025, expecting adjusted EBITDA $16.1 to $16.5 billion. This guidance implies 5% growth at the mid-point.

Click here to download our most recent Sure Analysis report on ET (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #13: Ford Motor Company (F) – P/E ratio of 7.2

Ford Motor Company was first incorporated in 1903 and in the past 120 years, it has become one of the world’s largest automakers. It operates a large financing business as well as its core manufacturing division, which produces a popular assortment of cars, trucks, and SUVs.

Ford posted fourth quarter and full-year earnings on February 5th, 2025, and results were better than expected. Adjusted earnings-per-share came to 39 cents, which was seven cents ahead of estimates.

Revenue was up almost 5% year-over-year for the quarter to $48.2 billion, which also beat estimates by $5.37 billion. The fourth quarter was the highest revenue total the company has ever produced.

Ford Blue increased 4.2% to $27.3 billion in revenue for the fourth quarter, beating estimates of $25.9 billion. Model e revenue was down 13% year-over-year to $1.4 billion, $400 million less than expected.

Ford Pro revenue was up 5.3% to $16.2 billion, beating estimates for $15.6 billion.

For this year, Ford expects full-year adjusted EBIT of $7 to $8.5 billion, and for adjusted free cash flow of $3.5 billion to $4.5 billion, with capex of $8 to $9.5 billion.

Click here to download our most recent Sure Analysis report on Ford (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #14: Canandaigua National Corporation (CNND) – P/E ratio of 7.2

Canandaigua National Corporation (CNC) is the parent company of The Canandaigua National Bank & Trust Company (CNB) and Canandaigua National Trust Company of Florida (CNTF).

The company offers a wide range of financial services, including banking, lending, mortgage services, trust, investment management, and insurance.

With 23 branches across its service areas, CNC is focus on serving local communities by providing personalized financial solutions to individuals, businesses, and municipalities. CNC emphasizes community banking, focusing on reinvesting in the local economy through a diverse lending portfolio.

Moving forward, we expect CNC’s EPS to grow at a CAGR of 5%. Note that the company has increased its dividend every year since 2002, marking 22 years of consecutive annual dividend increases.

Click here to download our most recent Sure Analysis report on CNND (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #15: Midland States Bancorp (MSBI) – P/E ratio of 7.2

Midland States Bancorp (MSBI) is the holding company of Midland States Bank, a community bank that was founded in 1881 and is headquartered in Effingham, Illinois.

It operates 53 branches in Illinois and Missouri and provides a wide range of banking products and services to individuals, businesses, municipalities and other entities. Midland States Bancorp has total assets of $7.5 billion.

In late January, Midland States Bancorp reported (1/23/25) results for the fourth quarter of fiscal 2024. Its net interest margin expand sequentially from 3.10% to 3.19% and its net interest income grew 2%.

However, the bank incurred massive charge-offs on loans ($103 million) and provisions for loan losses ($93.5 million).

As a result, it switched from earnings-per-share of $0.74 to an excessive loss per share of -$2.52, missing the analysts’ consensus by $3.19.

Midland States Bancorp has acquired seven smaller banks since 2009. As a result, it grew its asset base by 12% per year on average over the last nine years.

It had also grown its earnings-per-share by 6.9% per year on average during 2015-2023 but it incurred a loss in 2024 due to massive loan charge-offs and high deposit costs, which resulted from high interest rates.

Click here to download our most recent Sure Analysis report on MSBI (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #16: Plains All American LP (PAA) – P/E ratio of 7.6

Plains All American Pipeline, L.P. is a midstream energy infrastructure provider. The company owns an extensive network of pipeline transportation, terminaling, storage, and gathering assets in key crude oil and natural gas liquids-producing basins at major market hubs in the United States and Canada.

Source: Investor Presentation

On February 7th, 2025, Plains All American posted its Q4 and full-year results for the period ending December 31st, 2024.

For the quarter, revenues came in at $12.4 billion, down 2.3% compared to last year. Adjusted EBITDA from crude oil increased by 1% year-over-year, primarily due to higher tariff volumes on its pipelines, tariff escalations and contributions from acquisitions.

Adjusted EBITDA from NGL declined 9% year-over-year results primarily due to lower weighted average frac spreads in the fourth quarter of 2024.

Click here to download our most recent Sure Analysis report on PAA (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #17: Peoples Financial Services (PFIS) – P/E ratio of 7.8

Peoples Financial Services (PFIS) is the holding company of Peoples Security Bank and Trust Company, a community bank that was founded in 1905 and is headquartered in Scranton, Pennsylvania.

It operates 44 branches in Pennsylvania and provides various banking products and services to consumers, municipalities and businesses.

On July 1st, 2024, Peoples Financial Services completed its acquisition of FNCB Bancorp in an all-stock deal. As per the terms of the deal, the shareholders of FNCB now own ~29% of the combined entity.

Thanks to the merger, the bank grew its total assets from $3.7 billion to $5.5 billion and thus it became the 5th largest community bank in Pennsylvania.

In early February, Peoples Financial Services reported (2/6/24) financial results for the fourth quarter of fiscal 2024. Loans and deposits grew 40% and 28%, respectively, over the prior year’s quarter, thanks to the acquisition of FNCB Bancorp.

Net interest margin expanded impressively, from 2.30% in the prior year’s quarter to 3.25% thanks to the much higher net interest margin of the acquired bank.

Click here to download our most recent Sure Analysis report on PFIS (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #18: Prospect Capital (PSEC) – P/E ratio of 7.9

Prospect Capital Corporation is a Business Development Company, or BDC, that provides private debt and private equity to middle–market companies in the U.S.

The company focuses on direct lending to owner–operated companies, as well as sponsor–backed transactions. Prospect invests primarily in first and second lien senior loans and mezzanine debt, with occasional equity investments. 

Source: Investor Presentation

Prospect posted second quarter earnings on February 10th, 2025, and results were somewhat weak. Net investment income per-share acme to 20 cents, while total investment income fell from $211 million to $185 million year-over-year.

NII per-share fell from 21 cents in Q1, and 24 cents from the year-ago period. Total interest income was $169 million for the quarter, down from $185 million in the prior quarter, and $195 million a year ago. It also missed estimates by about $2 million.

Click here to download our most recent Sure Analysis report on PSEC (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #19: Delek Logistics Partners LP (DLK) – P/E ratio of 7.9

Delek Logistics Partners, LP is a publicly traded master limited partnership (MLP) headquartered in Brentwood, Tennessee.

Established in 2012 by Delek US Holdings, Inc. (NYSE: DK), Delek Logistics owns and operates a network of midstream energy infrastructure assets.

These assets include approximately 850 miles of crude oil and refined product transportation pipelines and a 700-mile crude oil gathering system, primarily located in the southeastern United States and west Texas.

The company’s operations are integral to Delek US’s refining activities, particularly supporting refineries in Tyler, Texas, and El Dorado, Arkansas.

Delek Logistics provides services such as gathering, transporting, and storing crude oil, as well as marketing, distributing, and storing refined products for both Delek US and third-party customers.

On February 25, 2025, Delek Logistics Partners (DKL) reported its financial results for the fourth quarter of 2024. The company achieved an adjusted EBITDA of approximately $107.2 million, an increase from $100.9 million in the same period of the previous year.

Distributable cash flow was $69.5 million, with a coverage ratio of approximately 1.2 times. The Gathering and Processing segment saw an adjusted EBITDA of $66 million, up from $53.3 million in Q4 2023, primarily due to higher throughput from Permian Basin assets and contributions from the H2O Midstream acquisition.

Click here to download our most recent Sure Analysis report on DKL (preview of page 1 of 3 shown below):

Undervalued High Dividend Stock #20: Hooker Furnishings Corporation (HOFT) – P/E ratio of 7.9

Hooker Furnishings is a designer, marketer and importer of casegoods (wooden and metal furniture), leather furniture, fabric-upholstered furniture, lighting, accessories and home décor for residential, hospitality and contract markets.

The company also domestically manufactures premium residential custom leather and fabric-upholstered furniture.

Hooker Furnishings is the largest supplier of casegoods and upholstery in the U.S. and has access to more than 75% of all retail furniture distribution.

Source: Investor Presentation

In early December, Hooker Furnishings reported (12/5/24) financial results for the third quarter of fiscal 2025. Net sales decreased -11% over the prior year’s quarter due to sustained headwinds in the housing market and loss of sales due to the bankruptcy of a customer.

The combination of high interest rates and high home prices have been exerting pressure on the business of Home Furnishings over the last two years.

As a result, the company switched from earnings-per-share of $0.65 to a loss per share of -$0.39 and missed the analysts’ consensus by a massive $0.67.

Click here to download our most recent Sure Analysis report on HOFT (preview of page 1 of 3 shown below):

Final Thoughts

All the above stocks are trading at remarkably cheap valuation levels due to some business headwinds. Some of them have been hurt by high inflation or the latest economic slowdown whereas others are facing their own specific issues.

Moreover, all the above stocks are offering dividend yields above 5%. As a result, they make it much easier for investors to wait patiently for the business headwinds to subside.

If you are interested in finding high-quality dividend growth stocks and/or other high-yield securities and income securities, the following Sure Dividend resources will be useful:

High-Yield Individual Security Research

Other Sure Dividend Resources

Wynn Resorts (WYNN) shares gained Tuesday as the hotel and casino operator’s largest shareholder, billionaire Tilman Fertitta, expanded his stake in the company.

A securities filing showed Fertitta purchased 16,500 shares of Wynn on March 21 and March 24, with a price range of $80.99 to $84.93 per share, totaling approximately $1.38 million.

In addition, Hospitality Headquarters, part of Fertitta’s Fertitta Entertainment conglomerate, bought 1.68 million shares for $85.73 each on March 24, valued at about $143.3 million, in a share option transaction.

Fertitta Owns Several Golden Nugget Casinos, NBA’s Houston Rockets

Fertitta, whose wide-ranging investments under the Fertitta Entertainment umbrella include several Golden Nugget casinos, reportedly became Wynn’s top shareholder last November, when he increased his ownership to 9.9%. Fertitta also owns Landry’s, Del Frisco’s, and several other restaurants, as well as the National Basketball Association’s (NBA) Houston Rockets. 

Shares of Wynn Resorts pared earlier gains and were up 2% in recent trading. They have lost about 13% of their value over the past year.

Shell (SHEL) said it is planning to grow its upstream and integrated gas business by 1% annually through 2030,  a month after rival  BP (BP) announced it would invest more in oil and gas in a pivot away from its low-carbon strategy.

Shell said the increase in its upstream and integrated gas business would allow it to sustain its “1.4 million barrels per day of liquids production to 2030 with increasingly lower carbon intensity.” The London-based company also said it wants to expand liquefied natural gas (LNG) sales by between 4% and 5% yearly through to 2030.

Shell also raised the potential of selling its chemical assets as part of its efforts to improve returns. The company said it would explore “strategic and partnership opportunities” for its U.S. chemicals operations and look into “high-grading and selective closures in Europe.”

‘‘We want to become the world’s leading integrated gas and LNG business and the most customer-focused energy marketer and trader, while sustaining a material level of liquids production,” CEO Wael Sawan said. 

Shell’s U.S.-listed shares are gaining more than 1.5% in premarket trading Tuesday and have risen almost 7% in the past 12 months through Monday.

MicroStrategy (MSTR) shares jumped more than 10% on Monday, adding to recent gains following the stock’s recent correction.

Shares in the company, which is the world’s largest corporate holder of bitcoin, received a boost after a regulatory filing on Monday revealed that the software firm had purchased an additional 6,911 bitcoins between March 17 and March 23, takings its holding to over 500,000 BTC. MicroStrategy’s accumulation of the digital currency, which began in 2020, has shown no signs of slowing.

Shares of MicroStrategy, which does business under the name Strategy, have gained 16% since the start of the year as of Monday’s close and have more than doubled over the past 12 months as investors turn to the stock as a leveraged Bitcoin bet. The stock rose 10.4% to $335.72 on Monday as the price of bitcoin moved higher.

Below, we break down the technicals on MicroStrategy’s chart and point out major price levels worth watching out for.

Buyers Emerge at 200-Day Moving Average

After retracing to the closely watched 200-day moving average, MicroStrategy shares traded sideways for several weeks before finding renewed buying interest.

More recently, the stock closed above the 50-day MA on Monday, potentially setting the stage for a continuation of the stock’s longer-term uptrend.

Meanwhile, the relative strength index (RSI) flashes a reading above 50 to signal bullish price momentum, but also sits below overbought levels, providing the stock with ample room to test higher prices.

Let’s apply technical analysis to identify major overhead areas on MicroStrategy’s chart that investors may be monitoring and also point out support levels worth watching during possible pullbacks in the stock.

Major Overhead Areas to Monitor

The first overhead area to eye sits around $383. The shares could run into selling pressure at this level near a series of peaks and troughs that formed on the chart between mid-November and late January.

Buying above this level could put the wheels in motion for a rally to the $543 area. Investors who accumulated shares during the stock’s retracement may look to lock in profits near the all-time high (ATH) set in November last year.

Investors can project an overhead target above the ATH by using the bars pattern tool. This works by extracting the stock’s trending move from September to November last year and repositioning it at the 200-day MA, the same indicator the prior move higher started from. This analysis forecasts a target of around $870 and indicates a new trend higher may last until late May if price action rhymes.

Key Support Levels Worth Watching

During pullbacks, investors should initially watch the $232 level, a location on the chart where the shares may encounter support near the early-November profit-taking low and recent troughs in February and March.

Finally, a more significant drop could see MicroStrategy shares revisit lower support around $180. Investors may seek buying opportunities at this level near a horizontal line that links multiple prominent peaks on the chart between March and July last year.

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As of the date this article was written, the author does not own any of the above securities.