Why Does Wall Street Hate These 6%-13% Dividends?

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Why Does Wall Street Hate These 6%-13% Dividends?

What’s better than a big dividend?

A hated high yield.

Especially when the disgust comes from Wall Street analysts themselves. You know, the fanboys who follow the company for a living.

Analysts are paid to be bullish. Let’s face it, nobody wants to hear from a bear. Here’s how unusual is it for analysts to be down on a stock?

There are just two consensus Sell calls across the entire S&P 500. Two.

So, when one of the suits says a business is bad, we should take note, right?

Wrong.

Analysts tend to be trend followers. And as they say in the business, the trend is your friend until it ends.… Read more

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7 King-Sized Yields (up to 12.4%) That Wall Street Can’t Stand

When the Wall Street cheerleaders actually dislike a stock—well, that sure commands our contrarian attention.

Today we’ll cover one of my favorite traditions, which is fading the opinions of analysts. You know, the guys who typically slap a Buy rating on everything they see?

It sounds counterintuitive, but we don’t want Buy ratings on our stocks. Give us Holds and Sells and general apathy. Or, even better, disgust.

When every analyst rates a stock a Buy, it feels “safe” to purchase. But really, it’s anything but. With nobody left to upgrade, there is nothing to do but wait for the dreaded downgrade.… Read more

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Wall Street Hates These 7 High Yields. Should You?

Most vanilla investors like to buy stocks that are well-liked by Wall Street analysts.

This strategy, my contrarian friend, we know is a recipe for disaster.

Why? Well, firms that are already popular with stock jocks have nowhere to go but down. Discarded names, on the other hand, are where the action is because these are the next “analyst upgrade” candidates.

These prices have little downside and lots of upside!

It is difficult to find these out-of-favor plays because most analysts wear rose-colored glasses. They know how their bread gets buttered, and that’s with a bullish outlook.

Which is why a Sell rating is so darned interesting to us.… Read more

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23 Massive Dividends for 2023: 7% to 18.2%!

Ten percent dividends are no joke.

We’re talking $50,000 in annual payout income on $500K. Or $100,000 in yearly dividends on a million dollars.

This is serious cash flow. And best of all, we’re talking yields—which means, if we buy right, we can sit tight, collect these payouts and keep our nest egg intact.

Generous yields give us a big advantage over vanilla investors, who fawn over traditional blue chips (paying 2% to 3%). That’s not enough. It’s easy math.

Let’s reference the million-dollar portfolio again. If we invest in the “broader market,” the S&P 500 yields 1.5%. It’s proxy, the SPDR S&P 500 ETF Trust (SPY), pays a meager $15,000 in annual income.… Read more

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A Stock Dividend Portfolio with a P/E Under 9, Yield Nearly 7%

What if I told you that, in a market this expensive, there are nine dividend stocks with price-to-earnings (P/E) ratios under nine?

And that this low P/E ratio paid 6.9% per year in dividends?!

If I didn’t research and write it, I wouldn’t believe it myself. But in a minute I will share the details on this 9-pack, which yields 4.2% to 19.2%.

We’re unlikely to see these hidden gems touted on mainstream financial websites. With the S&P 500 in the stratosphere, these ground-level bargains are being overlooked. But we contrarians see these dirt-cheap dividend stocks that:

  1. Boast P/E ratios that average just 8.5.

… Read more

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