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S&P 500   3,850.19 (-0.04%)
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QQQ   325.39 (+0.50%)
AAPL   136.11 (+3.09%)
MSFT   225.77 (+0.64%)
FB   272.10 (+1.73%)
GOOGL   1,901.81 (+1.16%)
AMZN   3,319.39 (+1.72%)
TSLA   845.61 (-0.57%)
NVDA   543.35 (+1.63%)
BABA   259.48 (-2.26%)
CGC   33.54 (-0.27%)
GE   11.15 (-2.11%)
MU   83.37 (-0.16%)
AMD   90.13 (+1.55%)
NIO   57.82 (+0.19%)
T   28.83 (-0.45%)
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ACB   11.13 (-3.55%)
BA   207.29 (-1.97%)
DIS   171.71 (-1.11%)
NFLX   571.62 (-2.51%)
GILD   66.68 (-1.93%)
S&P 500   3,850.19 (-0.04%)
DOW   31,155.62 (-0.11%)
QQQ   325.39 (+0.50%)
AAPL   136.11 (+3.09%)
MSFT   225.77 (+0.64%)
FB   272.10 (+1.73%)
GOOGL   1,901.81 (+1.16%)
AMZN   3,319.39 (+1.72%)
TSLA   845.61 (-0.57%)
NVDA   543.35 (+1.63%)
BABA   259.48 (-2.26%)
CGC   33.54 (-0.27%)
GE   11.15 (-2.11%)
MU   83.37 (-0.16%)
AMD   90.13 (+1.55%)
NIO   57.82 (+0.19%)
T   28.83 (-0.45%)
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QQQ   325.39 (+0.50%)
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MSFT   225.77 (+0.64%)
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GOOGL   1,901.81 (+1.16%)
AMZN   3,319.39 (+1.72%)
TSLA   845.61 (-0.57%)
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BABA   259.48 (-2.26%)
CGC   33.54 (-0.27%)
GE   11.15 (-2.11%)
MU   83.37 (-0.16%)
AMD   90.13 (+1.55%)
NIO   57.82 (+0.19%)
T   28.83 (-0.45%)
F   11.56 (+6.45%)
ACB   11.13 (-3.55%)
BA   207.29 (-1.97%)
DIS   171.71 (-1.11%)
NFLX   571.62 (-2.51%)
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3 Smart Dividend Stocks to Buy Now

Friday, June 19, 2020 | Sean Sechler
3 Smart Dividend Stocks to Buy Now

There’s no such thing as guaranteed gains the stock market, but investing in a strong dividend-paying company offers relative safety and nice income regardless of market volatility. That’s why many investors are focused on finding the best dividend stocks in the market, particularly in the era of the global pandemic. Although growth stocks have been red hot since the market bottomed out back in March, that doesn’t mean you should ignore the opportunity that dividend-paying stocks have to offer.

With interest rates at historic lows and bond-yields heading down quickly, the payouts from dividend stocks are becoming more and more appealing with every passing day. However, in this market, it’s important to dive deep into a company’s financials and business model prior to investing since many businesses will have cash flow issues in the near-term that could put their dividends at risk. That’s why we’ve compiled a list of 3 smart dividend stocks to buy now to save you some of the hard work.

Johnson & Johnson (NYSE:JNJ)

If you are looking for a company in the healthcare industry that is a dividend king, meaning that they have increased their dividend payout for at least 50 consecutive years, you need to take a look at Johnson & Johnson. This is a company that researches and develops products in the healthcare field, which is an area that will always see extensive demand worldwide. You are likely familiar with Johnson & Johnson’s famous brands like Listerine, Aveeno, Neutrogena, Band-Aid, and Tylenol. The opportunity to own a company with so many established products should not be overlooked, and you have to like the solid dividend yield of 2.80%.

With this stock, you are getting shares of a company that is financially healthy with room for significant growth. Perhaps the most exciting thing to note about Johnson & Johnson is that they are working hard on a COVID-19 vaccine that will be in human trials as soon as July. If the vaccine works, the company is well-positioned to manufacture millions of doses and help end the global pandemic for good. Even if the vaccine narrative doesn’t pan out for this stock, you will still have ownership of one of the best dividend-paying stocks of all time.

AT&T (NYSE:T)

Sometimes, boring is a good quality to look for when it comes to dividend stocks. If you can find a company like AT&T that has steady cash flows and an established customer base, it’s absolutely worth a look. Although you shouldn’t expect a ton of accelerated growth with this stock, the fact that this company is a leader in telecommunications, media, and technology services worldwide and currently offers a 6.89% dividend yield absolutely makes it worth buying now.

In today’s uncertain economy, buying a dividend stock with a history of increasing its payout for decades makes a lot of sense. That’s exactly what you are getting with AT&T, one of the dividend aristocrats in the S&P 500. There are also some intriguing aspects of owning AT&T to keep in mind as well such as the rise of 5G networks and the new rollout of its streaming platform HBO Max. Consider AT&T a buy at this point that will help you lock in a very strong dividend yield.

Coca-Cola Company (NYSE:KO)

Buying dividend stocks during a recession means that you want defensive plays so that their products will have a relatively stable demand regardless of what the economy is doing. That’s exactly what you get with the Coca-Cola Company, one of the most iconic brands in the world. The multinational beverage corporation offers a solid 3.51% dividend yield and is another member of the esteemed dividend aristocrat club.

Believe it or not, this is the stock on our list with the most near-term risk, since a large portion of their revenue comes from restaurants. We don’t really know when the restaurant industry will get back to normal as the global pandemic continues making an impact, so keep in mind that Coca Cola’s sales figures will be affected. With that said, the strong history of dividend growth and increasing net income that Coca-Cola offers makes it a fairly safe bet in an uncertain market. Although the stock is down on the year, Coca-Cola has a strong balance sheet and enough free cash flow to withstand whatever comes its way.

Dividend Darlings

Each one of these stocks should be considered a smart buy for dividend investors at this point, especially since they all have such a reliable history of increasing their payouts. If the market takes another downturn, remember that the dividend yields for these stocks will go up and offer an even more enticing entry point for savvy investors.

 

Companies Mentioned in This Article

CompanyMarketRank™Current PricePrice ChangeDividend YieldP/E RatioConsensus RatingConsensus Price Target
Johnson & Johnson (JNJ)2.3$160.90-0.9%2.51%25.30Buy$166.69
The Coca-Cola (KO)2.4$48.92+0.5%3.35%25.48Buy$54.53
AT&T (T)2.7$28.83-0.4%7.21%18.97Hold$32.33
Compare These Stocks  Add These Stocks to My Watchlist 


12 Marijuana Stocks to Buy Now

There are now more than 50 publicly-traded companies operating in the cannabis industry. Most of these companies aren't directly growing and selling marijuana themselves, but they do stand to benefit greatly as more states legalize the sale and possession of marijuana. Some of these marijuana stocks are media companies. Others are privately studying the medical uses of marijuana. Yet others are providing tools and software for marijuana growers. As more cannabis companies file IPOs and enter the stock market, it will become increasingly difficult for investors to identify which marijuana stocks will truly benefit from the cannabis boom.

Our subscribers have begun digging through these companies, checking out their financials, business models and long-term growth prospects. They know that some "marijuana stocks" are just empty shell companies that deserve to be penny stocks, but they also recognize there are some legitimate and growing companies that truly stand to benefit from the green rush. As a group, they have added 10 different cannabis stocks to their watchlists and are actively investing in them. More than 1,400 MarketBeat subscribers are now following our top-trending cannabis company.

This slide show lists the 12 pot stocks that MarketBeat subscribers are have added to their watchlists and are actively monitoring.

View the "12 Marijuana Stocks to Buy Now".

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