Needless to say, most investors are not sad to see the first quarter in the rearview mirror. Two huge legs down in the major indices give investors a big hit as volatility spiked. The Nasdaq just had the worst month since January of 2016, as the Facebook data breach threw a wrench into the crowded FANG trade and investors sold en masse.
The good news for investors is that first-quarter earnings should be outstanding and the economy is in very good shape. So good in fact that last Thursday’s unemployment report showed the lowest number of filings since 1973. Clearly things are much better than in years past, and with huge cash repatriations, companies will be buying back shares as well.
We screened our 24/7 Wall St. research database for reasonably priced stocks that paid at least a 4% dividend and found eight that look like great buys for growth and income portfolios.
This stock has bounced off the lows but is still down from highs printed in January. AT&T Inc. (NYSE: T) is the world’s largest provider of pay TV, with TV customers in the United States and 11 Latin American countries. In the United States, the AT&T wireless network has the nation’s self-described strongest 4G LTE signal and most reliable 4G LTE. The company also helps businesses worldwide serve their customers better with mobility and highly secure cloud solutions.
With its shares trading at a very cheap 12.8 times estimated 2018 earnings, the company continues to expand its user base, and strong product introductions from smartphone vendors have not only driven traffic but increased device financing plans.
AT&T shareholders are paid rich 5.61% dividend. The Wall Street consensus price target for the communications giant is $40.71. The shares closed trading last Thursday at $35.65. The 52-week trading range for the stock is $32.55 to $42.70.
Altria Group Inc. (NYSE: MO) is a top mega-cap consumer discretionary stock to buy on Wall Street, and the company’s Marlboro brand remains one of the most recognizable in the world. Many Wall Street analysts concede that the stock has solid downside support owing to the generous dividend yield, which remains at a huge premium in relation to the 10-year Treasury rate.
Altria investors receive a hefty 4.5% dividend. The posted consensus estimate is $77.46, and the stock closed Thursday at $62.32 a share. The 52-week trading range is $59.65 to $77.79.
Duke Energy Corp. (NYSE: DUK) is one of the leading U.S. utility companies, given its stable earnings base, as a significant portion of the company’s earnings is derived from regulated operations. Also, the company has delivered a healthy financial performance in the past and remains an attractive option for income-seeking investors.
Duke shareholders are paid an outstanding 4.6% dividend. The consensus price target of $82.07 compares with the most recent share price of $77.47. The 52-week trading range is $72.93 to $91.80.