Are you looking for ways to maximize your income as an investor? With the Federal Reserve considering lower interest rates in the near future, it may be the perfect time to explore dividend-paying stocks as an additional income stream.
At Extreme Investor Network, we understand the importance of diversifying income sources, especially in a changing economic landscape. Lower interest rates could make traditional fixed-income assets less appealing, leading investors to seek out companies with a strong track record of dividend payments.
According to Scott Chronert, Head of U.S. equity strategy at Citi Research, the gradual shift towards a less restrictive rate policy by the Fed may prompt more companies to initiate dividend payouts. In fact, S&P 500 dividends are expected to grow by 6.5% in 2024, demonstrating the appeal of dividend-paying stocks in today’s market.
But how do you choose the right dividend-paying stocks to invest in? Our team at Extreme Investor Network has done the research for you. We’ve identified stocks in the S&P 500 with the potential to grow their dividend payouts this year. These stocks meet specific criteria, including being buy-rated by Citi Research, having a history of strong dividend growth, and offering a reasonable dividend yield.
One standout stock on our list is Visa, a credit card company with a dividend yield of 0.7%. Analysts are bullish on Visa, with an average price target suggesting a 13% upside. The company recently reported better-than-expected earnings for its second fiscal quarter, leading to a positive price reaction in the market.
Another promising stock to consider is Mastercard, which currently has a dividend yield of 0.6%. Analysts forecast a 12% upside for Mastercard, citing growth opportunities in international markets. With TD Cowen recently initiating coverage at a buy rating, now could be a great time to add Mastercard to your portfolio.
Lastly, semiconductor firm Lam Research also offers potential for growth, with a dividend yield of 0.9%. Over half of analysts covering the stock rate Lam a buy or strong buy, with a potential upside of nearly 6%. With the company recently posting impressive earnings and revenue beats, Lam Research is a stock to watch in the current market environment.
At Extreme Investor Network, we are dedicated to providing you with valuable insights and recommendations to help you make informed investment decisions. Stay ahead of the curve and explore the world of dividend-paying stocks to enhance your income potential. Join us on the journey to extreme investing success.
