Is AT&T (T) Stock a Buy?

 

AT&T reported earnings today and although they beat expectations, the stock is trading down over 2% so far. The company was light on revenues compared to 2019 but did report free cash flow for the year of $27.5 billion, slightly below the $29 billion reported in 2019.

 

However, on a promising note to some, the company did put their cash flow to good use.

For starters, they reduced their debt maturities over the next 5 years by about 50% and lowered their weighted average interest rate on debt to only 4%.

 

On the conference call, CEO John Stankey articulated three priorities for the year.

 

First, they are looking to grow their direct customer relationships, second, to transform their operations to be more effective and efficient, and third, and most importantly, to use their free cash flow after dividends to pay down debt.

 

On the negative side, the company did not increase their dividend as some had hoped, but did commit to maintaining it.

 

Since I have had several requests from channel subscribers to cover AT&T, I thought this would be the appropriate time. Consequently, this video will focus on AT&T by the numbers with the primary focus on current valuation and future potential.

 

 

To me, the bottom line is a very attractive and well covered 7% current dividend yield that is very high considering today’s low interest rates despite not growing this year. Additionally, since the great recession, AT&T has only grown their dividend at an average rate of 2.1% per annum.

 

Therefore, income-oriented investors are not really losing too much. With all this said, low valuation not only mitigates much of the risk, but also positions buy-and-hold investors with significant capital appreciation potential mid-term.

 

Continue reading …

 

Notable Analyst Upgrades and Downgrades for Week of January 25, 2021

 

Upgrades:

 

Wells Fargo & Company (NYSE:WFC) was upgraded by stock analysts at Credit Suisse Group from a "neutral" rating to an "outperform" rating in a research report issued to clients and investors on Monday, Briefing.com reports. The firm currently has a $40.00 target price on the financial services provider's stock, up from their prior target price of $35.00. Credit Suisse Group's price target points to a potential upside of 25.39% from the company's current price.

A number of other research firms have also recently weighed in on WFC. Jefferies Financial Group upgraded shares of Wells Fargo & Company from a "hold" rating to a "buy" rating and upped their price target for the company from $26.00 to $38.00 in a research note on Thursday, January 7th. Royal Bank of Canada upgraded shares of Wells Fargo & Company from an "underperform" rating to a "sector perform" rating and upped their price target for the company from $25.00 to $31.00 in a research note on Monday, November 30th. BMO Capital Markets dropped their price target on shares of Wells Fargo & Company from $35.00 to $31.00 and set a "market perform" rating on the stock in a research note on Friday, October 16th. Piper Sandler upped their price target on shares of Wells Fargo & Company from $25.00 to $32.00 and gave the company a "neutral" rating in a research note on Monday, December 21st. Finally, Keefe, Bruyette & Woods upped their price target on shares of Wells Fargo & Company from $36.00 to $38.00 and gave the company an "outperform" rating in a research note on Monday, January 18th. One equities research analyst has rated the stock with a sell rating, ten have given a hold rating and sixteen have assigned a buy rating to the company's stock. Wells Fargo & Company currently has a consensus rating of "Buy" and a consensus target price of $33.58. Read more …

 

Bank of America (NYSE:BAC) was upgraded by equities researchers at Atlantic Securities from a “neutral” rating to an “overweight” rating in a research report issued on Tuesday, Briefing.com reports. The firm presently has a $40.00 price target on the financial services provider’s stock. Atlantic Securities’ target price suggests a potential upside of 28.37% from the company’s previous close.

Other analysts have also issued reports about the stock. Wolfe Research upgraded shares of Bank of America from a “peer perform” rating to an “outperform” rating and raised their price objective for the company from $27.00 to $36.00 in a research note on Tuesday, January 5th. JPMorgan Chase & Co. raised their price objective on shares of Bank of America from $26.00 to $27.50 and gave the company an “overweight” rating in a research note on Tuesday, October 6th. Piper Sandler raised their price objective on shares of Bank of America from $28.00 to $36.00 and gave the company an “overweight” rating in a research note on Monday, January 11th. Smith Barney Citigroup upgraded shares of Bank of America from a “neutral” rating to a “buy” rating in a research note on Monday, January 11th. Finally, UBS Group set a $30.00 price objective on shares of Bank of America and gave the company a “neutral” rating in a research note on Tuesday, January 19th. Two investment analysts have rated the stock with a sell rating, six have given a hold rating and sixteen have given a buy rating to the stock. Bank of America presently has an average rating of “Buy” and an average price target of $33.13. Read more …

 

Dollar General (NYSE:DG) was upgraded by analysts at Loop Capital from a "hold" rating to a "buy" rating in a report released on Tuesday, Briefing.com reports. The brokerage presently has a $260.00 price target on the stock. Loop Capital's target price indicates a potential upside of 25.87% from the stock's previous close.

A number of other research analysts have also commented on the company. Raymond James upped their target price on Dollar General from $235.00 to $250.00 and gave the company a "strong-buy" rating in a research note on Friday, December 4th. Morgan Stanley increased their price objective on Dollar General from $240.00 to $245.00 and gave the stock an "overweight" rating in a research note on Monday, December 7th. Citigroup Inc. 3% Minimum Coupon Principal Protected Based Upon Russell increased their price objective on Dollar General from $235.00 to $250.00 in a research note on Friday, December 4th. BMO Capital Markets increased their price objective on Dollar General from $223.00 to $240.00 in a research note on Friday, December 4th. Finally, Barclays increased their price objective on Dollar General from $220.00 to $245.00 and gave the stock an "overweight" rating in a research note on Friday, December 4th. Four analysts have rated the stock with a hold rating, seventeen have given a buy rating and two have given a strong buy rating to the company. The stock currently has an average rating of "Buy" and an average price target of $226.58. Read more …

 

 

Dominion Energy (NYSE:D) was upgraded by stock analysts at Wells Fargo & Company from an “equal weight” rating to an “overweight” rating in a report issued on Tuesday, Briefing.com reports. The brokerage presently has a $83.00 price objective on the utilities provider’s stock. Wells Fargo & Company‘s price objective would suggest a potential upside of 12.83% from the company’s current price.

Other research analysts also recently issued reports about the company. Bank of America raised Dominion Energy from a “neutral” rating to a “buy” rating and reduced their price objective for the company from $88.00 to $83.00 in a research note on Wednesday, December 16th. TheStreet downgraded Dominion Energy from a “b” rating to a “c+” rating in a research note on Tuesday, December 22nd. Zacks Investment Research downgraded Dominion Energy from a “buy” rating to a “hold” rating and set a $84.00 price objective for the company. in a research note on Thursday, October 29th. Credit Suisse Group raised Dominion Energy from a “neutral” rating to an “outperform” rating and set a $83.00 target price for the company in a research note on Thursday, December 17th. Finally, Evercore ISI raised Dominion Energy from an “in-line” rating to an “outperform” rating in a research note on Thursday, January 21st. Seven equities research analysts have rated the stock with a hold rating and twelve have assigned a buy rating to the company. The stock currently has a consensus rating of “Buy” and a consensus target price of $83.58. Read more …

 

Dividend Aristocrats: International Business Machines

 

For the 2021 Dividend Aristocrats In Focus series, first up is International Business Machines (IBM). Last year, IBM raised its dividend for the 25th year in a row, making it one of the newest members of the Dividend Aristocrats.

 

IBM has struggled through a prolonged turnaround effort in the past few years. The company has invested heavily in new areas such as artificial intelligence, data, and cloud services while attempting to divest slow-growth legacy businesses. These efforts have had mixed results, as the company is still having difficulty returning to growth.

 

However, IBM has continued to raise its dividend each year. With a high dividend yield above 5% and consistent dividend increases each year, IBM stock could be viewed favorably by income investors.

 

Business Overview

 

IBM is a global information technology company that provides integrated enterprise solutions for software, hardware, and services. In the services business, IBM is the world’s largest IT provider with 5.5% market share. In software, IBM’s software business is mostly middleware, which is the software layer that connects applications and devices to each other.

 

In hardware, IBM sells the z15 mainframes, storage, and the Power-based servers. The company has five business segments: Cloud & Cognitive Software, Global Business Services, Global Technology Services, Systems, and Global Financing.

 

 

On January 21st, IBM reported fourth-quarter and full-year financial results. For the fourth quarter, revenue of $20.4 billion declined 6% year-over-year, or 8% adjusting divested businesses and currency fluctuations.

 

Continue reading …

 

Northrop Grumman Offers Tremendous Value

 

The stock has struggled over the last year, but looks to be very undervalued

 

While the S&P 500 has railed almost 16% over the last year, the aerospace and defense sector has struggled. One of the worst performers in the group is Northrop Grumman Corp. (NYSE:NOC), which is down by more than 20% over the last 12 months.

 

There is a lot to like about Northrop Grumman, including higher defense spending, a record backlog for the company and nearly two decades of dividend growth. These are some of the reasons I have been so bullish on the stock. While the recent stock performance has been very weak, shares now trade at a price that offers the potential for tremendous gains.

 

Company background and historical performance

 

Northrop Grumman is one of the largest aerospace and defense contractors in the country. The company is comprised of four reportable business segments, including Aeronautics Systems, which provides manned and unmanned aircraft and UAVs, Mission Systems, which produces radars, sensors and surveillance and targeting systems, Defense Systems, which provides sustainment and modernization services and tactical weapons, and Space Systems, which manufactures missile defense and space systems.

 

Northrop Grumman has a market capitalization of almost $50 billion and generated revenue of nearly $34 billion in 2019. The company had a record backlog of $81.3 billion at the end of the most recent quarter.

 

As you can see from the 30-year chart above, Northrop Grumman generally had steady revenue growth until early in the last decade. This is a largely a result of the company spinning off of its ship building business, Huntington Ingalls Industries Inc. (NYSE:HII), in 2011. As such, revenue is down slightly from 2010 through 2019. Revenue has grown at a rate of 7.5% over the last half-decade.

 

 

Despite this loss of revenue from its shipbuilding business, the decline in profits wasn't that steep. In fact, the company's net profits grew with a compound annual growth rate of 7.5% over the last decade. Removing the ship building business helped for an improvement in profit margin, which grew from 5% in 2010 to 10.7% in 2019.

 

As a result, Northrop Grumman ranks higher than many of its peers in terms of profitability.

 

Continue reading …

 

B&G Foods, Inc. Serves Up 6.7% Yield During COVID-19

 

B&G Foods Stock Has Paid Out a Dividend Every Quarter Since 2004

 

 

Stocks are trading at record territory, meaning it’s difficult to find undervalued stocks with great near- and long-term growth potential. At the same time, rock-bottom interest rates mean investors aren’t making anything off their fixed-income assets.

 

The Federal Reserve has kept interest rates artificially low since the Great Recession. It has done so to make borrowing cheap, which is supposed to juice the economy. It has been great news for businesses, but not for average American investors who socked money away in the hopes of supplementing their salaries or pensions with passive income.

 

Even with a $1.0-million nest egg, you’d take home less in interest than you would if you worked at a fast-food restaurant.

 

Because of the coronavirus and ongoing economic challenges, things are not going to change anytime soon. In fact, Jerome Powell, the chairman of the Federal Reserve, said he has no plans to raise interest rates anytime soon. Some on Wall Street don’t expect interest rates to inch up until at least 2023.

 

Investors looking for high yields should look at the sectors that have actually done well during the pandemic. One is consumer staples.

 

While the coronavirus was first reported in China in December 2019, it wasn’t until March 2020 that the rest of the world was forced into partial or full lockdown. That meant most people were, begrudgingly, following stay-at-home orders, and were only allowed to venture out into the sunlight for essential items from pharmacies or grocery stores.

 

 

That was positive news for recession-proof consumer staple companies. After all, people still have to eat, color their hair, and clean their homes. If anything, self-quarantining meant they were doing it more than ever. People were isolated, spending less money on discretionary items, and cooking more at home.

 

One consumer staple company that has done well during the pandemic is B&G Foods, Inc. (NYSE:BGS). You might not recognize the name, but chances are good you’ve been acquainted with their products during the lockdown.

 

Continue reading …

 

Automatic Data Processing Inc: 46 Years of Dividend Increases & Still Going Strong

 

A Dividend Growth Stock You Likely Haven’t Considered

 With so much hype around soaring tech stocks, Automatic Data Processing Inc. (NASDAQ:ADP) is not a name that gets mentioned often in the financial media. In fact, it doesn’t even get as much attention as the “boring” consumer staples stocks, because the latter are known to be recession-proof and have actually been hot commodities during the COVID-19 pandemic.

 

Still, if you’re an income investor and don’t know about ADP stock, now would be a good time to give it a serious look. Automatic Data Processing recently boosted its payout to shareholders, which is quite an impressive feat, given what’s been going on in the world over the past year.

 

On November 11, 2020, the company’s board of directors declared a quarterly cash dividend of $0.93 per share, which marked a 2.2% increase from Automatic Data Processing stock’s previous quarterly payout. The increased dividend was paid on January 1, 2021 to shareholders of record as of December 11, 2020.

 

Note that the announcement marked the company’s 46th consecutive annual dividend hike.

 

What’s more impressive is that Automatic Data Processing comes from an industry that’s not exactly known to be recession-proof: payroll processing. When the economy is in the doldrums and companies are laying off workers—like what was happening last April—you’d expect Automatic Data Processing’s business to be seriously impacted.

 

But that was not the case. In the fourth quarter of the company’s fiscal year 2020, which ended June 30, 2020, its revenue totaled $3.4 billion. The amount represented a three-percent decline year-over-year and a two-percent decline on an organic constant-currency basis.

 

 

The company’s fourth-quarter adjusted earnings came in at $1.14 per diluted share, which was unchanged from what it earned in the year-ago period.

 

Continue reading …

 

Notable Analyst Upgrades and Downgrades for Week of January 18, 2021

 

Upgrades:

 

Digital Realty Trust (NYSE:DLR) was upgraded by research analysts at Raymond James from an “outperform” rating to a “strong-buy” rating in a research report issued on Tuesday, Anlyst Ratings reports. The firm currently has a $175.00 target price on the real estate investment trust’s stock. Raymond James’ target price suggests a potential upside of 26.86% from the company’s current price.

Several other research firms have also commented on DLR. Morgan Stanley raised their price objective on shares of Digital Realty Trust from $141.00 to $148.00 and gave the company an “equal weight” rating in a research note on Tuesday, September 29th. Edward Jones upgraded shares of Digital Realty Trust from a “hold” rating to a “buy” rating in a report on Friday, December 18th. Credit Suisse Group increased their target price on shares of Digital Realty Trust from $173.00 to $179.00 and gave the stock an “outperform” rating in a report on Friday, October 30th. TD Securities upgraded shares of Digital Realty Trust from a “hold” rating to a “buy” rating and set a $170.00 target price on the stock in a report on Friday, December 18th. Finally, TheStreet lowered shares of Digital Realty Trust from a “b-” rating to a “c+” rating in a report on Tuesday, December 1st. Five research analysts have rated the stock with a hold rating, sixteen have issued a buy rating and one has given a strong buy rating to the company’s stock. Digital Realty Trust has a consensus rating of “Buy” and an average target price of $160.40. Read more …

 

Illinois Tool Works (NYSE:ITW) was upgraded by The Goldman Sachs Group from a "sell" rating to a "neutral" rating in a research note issued on Tuesday, The Fly reports.

Other equities analysts have also issued research reports about the stock. Bank of America raised shares of Illinois Tool Works from an "underperform" rating to a "neutral" rating and boosted their price target for the company from $175.00 to $212.00 in a report on Thursday, October 29th. Credit Suisse Group raised shares of Illinois Tool Works from a "neutral" rating to an "outperform" rating and boosted their price target for the company from $209.00 to $235.00 in a report on Tuesday, January 12th. BMO Capital Markets boosted their price target on shares of Illinois Tool Works from $205.00 to $225.00 in a report on Monday, October 26th. Wells Fargo & Company boosted their price target on shares of Illinois Tool Works from $220.00 to $225.00 and gave the company an "overweight" rating in a report on Monday, October 26th. Finally, Barclays boosted their price target on shares of Illinois Tool Works from $200.00 to $207.00 and gave the company an "equal weight" rating in a report on Tuesday, January 5th. Two equities research analysts have rated the stock with a sell rating, thirteen have assigned a hold rating and four have issued a buy rating to the company. Illinois Tool Works has a consensus rating of "Hold" and an average price target of $195.24. Read more …

 

Emerson Electric (NYSE:EMR) was upgraded by The Goldman Sachs Group from a “neutral” rating to a “buy” rating in a note issued to investors on Tuesday, Analyst Ratings Network reports. The firm presently has a $97.00 target price on the industrial products company’s stock, up from their prior target price of $89.00. The Goldman Sachs Group’s target price indicates a potential upside of 15.77% from the company’s previous close.

Other research analysts also recently issued reports about the company. UBS Group upgraded Emerson Electric from a “neutral” rating to a “buy” rating and boosted their price target for the company from $69.00 to $100.00 in a report on Friday. JPMorgan Chase & Co. boosted their price target on Emerson Electric from $80.00 to $85.00 and gave the company an “overweight” rating in a report on Wednesday, October 7th. Cowen reiterated a “buy” rating on shares of Emerson Electric in a report on Sunday, October 4th. Stephens began coverage on Emerson Electric in a report on Thursday, October 15th. They issued an “overweight” rating for the company. Finally, Credit Suisse Group boosted their price objective on shares of Emerson Electric from $77.00 to $79.00 and gave the company an “outperform” rating in a research note on Wednesday, November 4th. Five research analysts have rated the stock with a hold rating and twelve have assigned a buy rating to the company’s stock. Emerson Electric presently has an average rating of “Buy” and an average price target of $76.31. Read more …

 

 

American Express (NYSE:AXP) was upgraded by stock analysts at JPMorgan Chase & Co. from an "underweight" rating to an "overweight" rating in a report issued on Tuesday, AnalystRatings.net reports. The firm presently has a $148.00 price target on the payment services company's stock. JPMorgan Chase & Co.'s price target would suggest a potential upside of 16.72% from the company's current price.

AXP has been the subject of several other research reports. DZ Bank cut shares of American Express from a "buy" rating to a "hold" rating and set a $128.00 target price for the company. in a research report on Wednesday, December 9th. 140166 cut shares of American Express from a "positive" rating to a "neutral" rating and set a $110.00 target price for the company. in a research report on Friday, October 9th. Barclays upgraded shares of American Express from an "equal weight" rating to a "positive" rating and upped their target price for the stock from $114.00 to $132.00 in a research report on Thursday, December 10th. They noted that the move was a valuation call. Bank of America cut shares of American Express from a "neutral" rating to an "underperform" rating and decreased their price objective for the company from $106.00 to $95.00 in a report on Wednesday, September 23rd. Finally, Zacks Investment Research cut shares of American Express from a "hold" rating to a "sell" rating and set a $126.00 price objective for the company. in a report on Wednesday, November 25th. Three investment analysts have rated the stock with a sell rating, twelve have given a hold rating and twelve have assigned a buy rating to the company. The stock presently has a consensus rating of "Hold" and an average target price of $117.46. Read more …

 

9 Best Utility Stocks to Buy for 2021

 

Utility stocks: They're steady, they're dependable, they deliver income. That's the case with most of these top 2021 picks ... but a couple break the mold.

 

 

Utility stocks aren't exactly the most glamorous energy-related investment on Wall Street.

 

If you want dynamic energy stocks, solar energy and hydrogen fuel cell picks offer a ton more growth potential. Or if you want deep value investments, struggling Big Oil giants that are trading at a fraction of their value from a few years ago could be aggressive plays that pay off.

 

But utilities do offer one thing few other energy-related stocks can offer: unrivaled stability. After all, electricity is as much a necessity as food and water for the typical household in the 21st century. Furthermore, the highly regulated nature of the sector and lack of competition in most geographies adds a layer of predictability that you simply won't find in disruptive industries such as Big Oil or alternative energy.

 

 

Here are nine of the best utility stocks for 2021 if you're seeking stability and generous dividends to provide a stable backbone for your portfolio. While they probably will never make you a millionaire overnight, they are far less aggressive and will allow you to sleep soundly regardless of Wall Street volatility in the New Year.

 

Continue reading …

 

21 Best Retirement Stocks for an Income-Rich 2021

 

The ideal retirement stocks will help investors generate a sizable and reliable income stream. These 21 dividend payers make the grade.

 

 

Investors in retirement must figure out how to generate enough income without a job while also making sure they don't outlive their income stream. Naturally, then, the best retirement stocks to buy in 2021 (or any other year) to accomplish those objectives are ones that pay dividends.

 

Regular dividends lessen an investor's dependence on the market's fickle price swings because it reduces or eliminates the need to sell shares to generate income. Regardless of whether the market rises or falls in 2021, a portfolio of high-quality companies can provide you with predictable, growing dividend income.

 

And in today's low-interest-rate environment, dividend stocks can generate much higher income than many fixed-income instruments. Better still, many dividend-paying stocks grow their payouts, which preserves those dividends' purchasing power. And dividend stocks, like other equities, also provide meaningful long-term price appreciation potential.

 

Research firm Simply Safe Dividends published an in-depth guide about living on dividends in retirement here. However, a key component to this strategy is finding the best retirement stocks that can deliver safe dividends and grow in value over time.

 

 

To that end, here are the 21 best retirement stocks to buy in 2021. The 21 stocks on this list appear to have safe dividends based on their ability to generate cash, yield between 3% and 7%, and have solid potential to continue growing their payouts in the long term.

 

Continue reading …

 

PPL Stock Has Paid Quarterly Dividends for 300 Consecutive Quarters

 

PPL Stock Has Paid Quarterly Dividends for 300 Consecutive Quarters

 

The Great Recession and the coronavirus pandemic are two recent events that allowed the Federal Reserve and other central banks around the world to step in and unleash unprecedented fiscal and monetary policies.

 

Artificially lowering interest rates to essentially zero makes it cheap to borrow money and juice the economy—or at least that’s the premise. Helping fuel the economy comes at a cost though: low interest rates have decimated retirement portfolios.

 

The fact is, interest rates have been kept artificially low since 2008, which means the Fed has effectively removed the “income” from fixed-income assets like Treasuries, bonds, and certificates of deposit (CDs). That’s terrible news for anyone who was looking for their fixed-income investments to help see them through retirement.

 

In December 2020, the Fed maintained its target for the federal funds rate at a range of zero percent to 0.25%. Right now, the 10-year Treasury rate is just 1.15%. So if you have $1.0 million in your retirement savings account, you’ll earn a princely $15,000 annually. The average bank savings rate is even lower, at 0.9%.

 

With today’s rock-bottom interest rates pummeling portfolios, where are investors to turn? One of the best places for income-starved investors to look is utility stocks. That includes companies that provide electricity, natural gas, and water to residential, industrial, commercial, and government customers.

 

Money might be tight in an economic downturn, but people still need to heat their homes and keep their lights on. And with the pandemic, self-quarantined Americans are basking in the glow of their TVs and computer screens. And there’s no fear that the government will cut its spending on utilities.

 

 

Utility stocks might be boring, but because the rates the companies charge are either regulated or contractually guaranteed, they bring in steady revenue. Thanks to this reliable, low-risk income stream, utility stocks are able to pay out high dividends.

 

To investors, one of the best utility companies out there is PPL Corp (NYSE:PPL). Continue reading …

 

The 7 Top Dividend Stocks for 2021

 

Some of the top stocks for 2021 will compensate investors with steady dividends 

 

Last year was a tale of two halves for dividend equities. Owing to the novel coronavirus pandemic, the first half of 2020 was chock full of payout cuts and suspensions by S&P 500 member firms, but dividends rebounded mightily in the second half of the year, indicating that many of the top stocks for 2021 are dividend payers.

 

The fourth-quarter trajectory of S&P 500 payouts indicates that the darkest clouds of the coronavirus cuts have passed. And dividend investors could be in for better things this year.

 

“Indicated dividend net changes (increases less decreases) for U.S. domestic common stocks increased $9.5 billion during Q4 2020, compared to a decline of $2.3 billion in Q3 2020, and a gain of $10.6 billion in Q4 2019,” noted the S&P Dow Jones Indices. “For Q4 2020, aggregate increases amounted to $13.9 billion, up 64.2% from the $8.4 billion increase of Q3 2020 and up 15.7%, from Q4 2019’s $12.0 billion. Aggregate dividend cuts decreased 59.8% to $4.3 billion from Q3 2020’s $10.8 billion in cuts, and was up 221% from the $1.3 billion in cuts for Q4 2019.”

 

 

Adding to the case for dividends in 2021 are recent dividend futures data, which, as Goldman Sachs notes, implies those contracts could bring cuts. But the bank says that’s a case of mispricing and that dividends should rise this year.

 

With that opportunity ahead, here are some of the top dividend stocks to consider for 2021:

 

Continue reading …

 

Notable Analyst Upgrades and Downgrades for Week of January 11, 2021 (Part 2)

 

Upgrades:

 

Intel (NASDAQ:INTC) was upgraded by equities research analysts at BMO Capital Markets from a “market perform” rating to an “outperform” rating in a note issued to investors on Thursday, Briefing.com reports. The brokerage presently has a $70.00 price target on the chip maker’s stock, up from their previous price target of $50.00. BMO Capital Markets’ target price would indicate a potential upside of 22.91% from the stock’s current price.

A number of other equities analysts have also recently issued reports on INTC. Deutsche Bank Aktiengesellschaft cut their target price on shares of Intel from $60.00 to $55.00 and set a “hold” rating on the stock in a report on Friday, October 23rd. The Goldman Sachs Group raised their target price on shares of Intel from $38.00 to $42.00 and gave the stock a “sell” rating in a report on Monday, December 14th. Bank of America cut shares of Intel to a “sell” rating and set a $45.00 target price on the stock. in a report on Tuesday, December 15th. Smith Barney Citigroup cut their target price on shares of Intel from $53.00 to $50.00 in a report on Friday, October 23rd. Finally, Royal Bank of Canada set a $40.00 target price on shares of Intel and gave the stock a “sell” rating in a report on Wednesday. Eleven research analysts have rated the stock with a sell rating, sixteen have assigned a hold rating and eighteen have assigned a buy rating to the company. The company currently has an average rating of “Hold” and an average price target of $59.62. Read more …

 

Chevron (NYSE:CVX) was upgraded by investment analysts at HSBC to a “buy” rating in a report issued on Thursday, TipRanks reports. The brokerage currently has a $105.00 price target on the oil and gas company’s stock. HSBC’s price objective suggests a potential upside of 12.60% from the company’s current price.

Other equities analysts also recently issued research reports about the stock. Wells Fargo & Company downgraded shares of Chevron from an “overweight” rating to an “equal weight” rating and set a $105.00 price target for the company. in a research note on Tuesday, December 15th. MKM Partners began coverage on shares of Chevron in a research note on Thursday, September 24th. They issued a “buy” rating and a $121.00 price objective for the company. Scotia Howard Weill cut shares of Chevron from a “buy” rating to a “sector perform” rating and set a $121.00 target price for the company. in a report on Thursday, September 24th. BidaskClub raised shares of Chevron from a “strong sell” rating to a “sell” rating in a report on Saturday, January 9th. Finally, Royal Bank of Canada reissued a “sector perform” rating and set a $95.00 price target on shares of Chevron in a report on Tuesday, November 17th. One equities research analyst has rated the stock with a sell rating, ten have assigned a hold rating and eighteen have issued a buy rating to the company’s stock. Chevron presently has a consensus rating of “Buy” and a consensus target price of $103.00. Read more …

 

Crown Castle International (NYSE:CCI) was upgraded by analysts at Smith Barney Citigroup from a "neutral" rating to a "buy" rating in a report issued on Thursday, The Fly reports.

Several other analysts also recently weighed in on CCI. Citigroup Inc. 3% Minimum Coupon Principal Protected Based Upon Russell upgraded shares of Crown Castle International from a "neutral" rating to a "buy" rating and set a $170.00 target price for the company in a report on Thursday. Deutsche Bank Aktiengesellschaft raised shares of Crown Castle International from a "hold" rating to a "buy" rating and boosted their price target for the company from $177.00 to $180.00 in a research report on Friday, December 11th. Wells Fargo & Company boosted their price target on shares of Crown Castle International from $170.00 to $175.00 and gave the company an "equal weight" rating in a research report on Wednesday, September 16th. Credit Suisse Group reduced their price target on shares of Crown Castle International from $148.00 to $146.00 and set a "neutral" rating for the company in a research report on Friday, October 23rd. Finally, Raymond James raised shares of Crown Castle International from a "market perform" rating to an "outperform" rating and set a $172.00 price target for the company in a research report on Monday, October 26th. Five equities research analysts have rated the stock with a hold rating and nine have issued a buy rating to the company's stock. Crown Castle International has a consensus rating of "Buy" and an average target price of $174.82. Read more …

 

 

UBS Group (NYSE:UBS) was upgraded by Berenberg Bank from a “hold” rating to a “buy” rating in a note issued to investors on Friday, Briefing.com reports.

A number of other equities analysts have also commented on UBS. Deutsche Bank Aktiengesellschaft restated a “hold” rating on shares of UBS Group in a research note on Monday, December 7th. Credit Suisse Group restated a “buy” rating on shares of UBS Group in a research note on Wednesday, October 21st. The Goldman Sachs Group downgraded UBS Group from a “buy” rating to a “neutral” rating in a report on Wednesday, November 18th. Morgan Stanley reaffirmed an “equal weight” rating on shares of UBS Group in a report on Tuesday, November 24th. Finally, Bank of America reaffirmed a “buy” rating on shares of UBS Group in a report on Friday, November 27th. One research analyst has rated the stock with a sell rating, seven have given a hold rating and eight have given a buy rating to the company’s stock. The company presently has a consensus rating of “Hold” and an average price target of $16.00. Read more …

 

Notable Analyst Upgrades and Downgrades for Week of January 11, 2021 (Part 1)

 

Upgrades:

 

Walgreens Boots Alliance (NASDAQ:WBA) was upgraded by analysts at Robert W. Baird from a “neutral” rating to an “outperform” rating in a report issued on Monday, Anlyst Ratings reports. The firm currently has a $55.00 price objective on the pharmacy operator’s stock, up from their previous price objective of $41.00. Robert W. Baird’s price target would indicate a potential upside of 21.65% from the company’s previous close.

A number of other equities analysts have also weighed in on WBA. Credit Suisse Group initiated coverage on Walgreens Boots Alliance in a research note on Thursday. They set a “neutral” rating and a $42.00 price objective on the stock. Truist Financial boosted their price objective on Walgreens Boots Alliance from $40.00 to $44.00 in a research note on Tuesday, January 5th. Citigroup lowered their price objective on Walgreens Boots Alliance from $43.00 to $40.00 and set a “neutral” rating on the stock in a research note on Friday, October 16th. BidaskClub downgraded Walgreens Boots Alliance from a “hold” rating to a “sell” rating in a research report on Friday, December 18th. Finally, The Goldman Sachs Group reduced their target price on Walgreens Boots Alliance from $37.00 to $33.00 and set a “sell” rating on the stock in a research report on Tuesday, October 6th. Four investment analysts have rated the stock with a sell rating, fourteen have assigned a hold rating and two have given a buy rating to the company’s stock. The company currently has an average rating of “Hold” and a consensus target price of $43.65. Read more …

 

Exxon Mobil (NYSE:XOM) was upgraded by Morgan Stanley from an "equal weight" rating to an "overweight" rating in a research report issued on Monday, Briefing.com reports. The brokerage presently has a $57.00 price objective on the oil and gas company's stock, up from their previous price objective of $49.00. Morgan Stanley's price target points to a potential upside of 25.38% from the stock's current price.

XOM has been the subject of a number of other research reports. Credit Suisse Group decreased their price target on shares of Exxon Mobil from $47.00 to $37.00 and set a "neutral" rating for the company in a research note on Monday, November 2nd. Truist Financial boosted their price target on shares of Exxon Mobil from $39.00 to $45.00 in a research note on Friday, December 18th. ValuEngine upgraded shares of Exxon Mobil from a "hold" rating to a "buy" rating in a research note on Tuesday, December 1st. Scotiabank upgraded shares of Exxon Mobil from a "sector underperform" rating to a "sector perform" rating and set a $45.00 price target for the company in a research note on Wednesday, September 23rd. Finally, Raymond James restated a "sell" rating on shares of Exxon Mobil in a research note on Friday, September 18th. Four investment analysts have rated the stock with a sell rating, nineteen have given a hold rating, seven have given a buy rating and one has issued a strong buy rating to the stock. The company has an average rating of "Hold" and a consensus target price of $48.30. Read more …

 

Bank of America (NYSE:BAC) was upgraded by equities research analysts at Smith Barney Citigroup from a “neutral” rating to a “buy” rating in a research note issued to investors on Monday, The Fly reports.

A number of other analysts also recently commented on the stock. Morgan Stanley downgraded shares of Bank of America from an “overweight” rating to an “underweight” rating in a report on Monday, November 30th. Barclays upped their price target on Bank of America from $33.00 to $39.00 and gave the stock an “overweight” rating in a report on Monday, January 4th. Piper Sandler boosted their price objective on shares of Bank of America from $28.00 to $36.00 and gave the stock an “overweight” rating in a research report on Monday. Credit Suisse Group raised their target price on shares of Bank of America from $31.00 to $36.00 and gave the company an “outperform” rating in a report on Friday, December 11th. Finally, Royal Bank of Canada set a $28.00 price target on shares of Bank of America and gave the company a “buy” rating in a report on Wednesday, October 14th. Two equities research analysts have rated the stock with a sell rating, nine have issued a hold rating and fifteen have given a buy rating to the company’s stock. Bank of America currently has a consensus rating of “Buy” and a consensus price target of $31.31. Read more …

 

 

The Bank of New York Mellon (NYSE:BK) was upgraded by investment analysts at Smith Barney Citigroup from a "neutral" rating to a "buy" rating in a research note issued on Monday, The Fly reports. The brokerage presently has a $57.00 price target on the bank's stock, up from their previous price target of $44.00. Smith Barney Citigroup's price objective suggests a potential upside of 26.78% from the company's previous close.

Other equities analysts have also issued research reports about the company. Barclays increased their target price on The Bank of New York Mellon from $54.00 to $59.00 and gave the company an "overweight" rating in a research note on Monday, January 4th. Bank of America cut The Bank of New York Mellon from a "neutral" rating to an "underperform" rating and reduced their target price for the stock from $42.00 to $39.00 in a report on Friday, November 20th. Morgan Stanley upgraded The Bank of New York Mellon from an "underweight" rating to an "equal weight" rating and set a $51.00 target price on the stock in a report on Monday, November 30th. Credit Suisse Group raised their target price on The Bank of New York Mellon from $44.00 to $48.00 and gave the stock an "outperform" rating in a report on Friday, December 11th. Finally, Citigroup Inc. 3% Minimum Coupon Principal Protected Based Upon Russell upgraded The Bank of New York Mellon from a "neutral" rating to a "buy" rating and raised their target price for the stock from $44.00 to $57.00 in a report on Monday. Three equities research analysts have rated the stock with a sell rating, nine have given a hold rating and ten have issued a buy rating to the company's stock. The Bank of New York Mellon currently has an average rating of "Hold" and an average target price of $47.18. Read more …

 

Is Bristol-Myers Squibb Stock A Buy?

 

Bristol-Myers Squibb Co (NYSE:BMY) a large American pharmaceutical giant. Its prescription drug portfolio includes treatments for a wide variety of ailments, including HIV, cancer, diabetes, cardiovascular disease, and psychiatric disorders.

 

It grew through a series of acquisitions over the years to be a prominent drug company, even before the pandemic.

 

You may buy its drugs, but is Bristol-Myers Squibb stock a Buy?

 

Although it has an impressive portfolio, the government’s Operation Warp Speed coronavirus vaccine program overlooked BMY.

 

Its CEO attached the company to OWS through auxiliary programs, but it didn’t receive the billion-dollar research grants its contemporaries did.

 

Still, it took it on the chin and continued pushing to involve itself in the accompanying research and development.

 

Bristol-Myers Squibb Is A Top 100 Company

 

Bristol-Myers Squibb was founded in 1887 and is a component of both the S&P 100 and S&P 500 indices. It was one of the first companies to focus on high-quality drugs with a high level of purity and pushed for many of the regulations we have today.

 

 

Over the years, it grew through a series of mergers and acquisitions of smaller companies involved in therapeutics, biosciences, and other related markets.

 

Today, it’s one of the 100 largest corporations in the United States, with over 30,000 employees. The company has a broad pipeline of pharmaceuticals and biologic products.

 

Continue reading …

 

Need Yield? Try These 5 Best BDCs for 2021

 

Business development companies (BDCs) are a small but high-yielding industry that effectively acts as private equity for the common man.

If you're looking for stable, high-yield income, business development company (BDC) stocks should be on your short list. BDCs are generally some of the highest-yielding equities available, and today is no exception.

 

BDCs are similar to their cousins, real estate investment trusts (REITs), in that both were creations of Congress to stimulate investment, and both benefit from preferential tax treatment. They pay no income taxes at the corporate level so long as they pay out at least 90% of their net income to their investors as dividends. This is why BDCs, along with REITs, tend to have such high dividend yields. They're legally mandated to pay out nearly every red cent.

 

BDCs are essentially private equity funds. The only real differences are that private equity funds tend to be opaque, have long lockups and are restricted to high-net-worth and institutional investors, whereas BDCs can be bought and sold like any other stock on the major indices.

 

Think of business development companies as private equity funds for the common man. BDCs make debt and equity investments primarily in established companies, though most focus on "middle market" companies that are often a little too small for the big boys in private equity. This is as close to "Main Street" as Wall Street gets.

 

 

 

And as with private equity managers, BDC executives are not passive portfolio managers. They will often take an active role in advising their portfolio companies.

 

While the stock market has been on fire for most of the past several months, many BDC stocks remained far below their pre-COVID prices, which is the sort of thing that will get your attention in an otherwise expensive market.

 

Continue reading …

 

The Top 10 Warren Buffett Stocks

 

Invest like the Oracle of Omaha with these stocks

 

Multitudes of investors want to invest like Warren Buffett. After all, Berkshire Hathaway (NYSE:BRK.A, NYSE:BRK.B) has generated a return since 1987 to date of 11,863.86% compared to the S&P 500 Index’s return of a mere 2,954.00%

 

But what are the stocks that have been the basis of the massive market outperformance? And what has made Buffett work so well over the long history of the company that he leads?

 

Warren Buffett is one of the greatest investors of all time. And he has the report card to prove it, as just noted above. There are plenty of stories of his early years as an entrepreneur peddling door to door and like me working at a local grocery.

 

He would go on to the financial markets as a broker, working his way up at a series of firms. The basis for his public investment fortune and renown began with a series of investment partnerships, with locals investing in him and his investment process.

 

There are many bases in his investment approach. Amongst the leaders are his drive to invest in or buy companies with intrinsic value that was above the market’s price. This is when the underlying net assets that can be broadly defined as book value are higher than the stock value.

 

There have been an are plenty of companies that fit the criteria. Stock screens can easily pick out stocks that are currently trading at discounts to book value. But there is more to his method. there’s also cash generation. Generating cash is vital for companies, but consistently generating lots of cash in an efficient and predicable manner is a core necessity for a successful company and stock.

 

 

Blending these two concepts together leaves us looking for reliably profitable companies trading at a discount to intrinsic value. Those make for ideal investments.

 

And this is arguably why Berkshire Hathaway has had the long-haul market outperformance.

 

Continue reading …

Top 3 Dividend Growth Stocks to Own Today

 

While dividend growth sounds like a stodgy, old-fashioned approach to investing, the truth is that most dividend growth strategies have kept up with the stock market’s advance over the past decade.

 

That’s because they have one huge advantage…

 

Dividends cannot be taken back while price gains can disappear in the blink of an eye.

 

Take a look at the S&P 500 Dividend Aristocrats – companies that have increased their dividends every year for the last 25 years consecutively – for example…

They’re up 178% over the last decade compared to 226% for the S&P 500.

 

But if you reinvested the dividends they paid out, you’d be looking at returns just north of 300%.

 

The idea of dividend growth stock investors may conjure up images of Grandpa shuffling out to the mailbox to see if his check from Big Boring Blue-Chip Incorporated has shown up yet.

 

But the truth is, we can focus on dividend growth and still own some of the companies that are making the world better every day.

 

 

Here are my top three dividend growth stocks to own today. All of them yield at least double the average S&P 500 company.

 

Continue reading …

 

Notable Analyst Upgrades and Downgrades for Week of January 4, 2021 (Part 2)

 

Upgrades:

 

The Hershey (NYSE:HSY) was upgraded by analysts at Bank of America from a “neutral” rating to a “buy” rating in a report issued on Wednesday, Briefing.com reports. The firm currently has a $168.00 target price on the stock. Bank of America‘s price target would suggest a potential upside of 11.46% from the stock’s current price.

Several other brokerages also recently commented on HSY. Barclays restated a “hold” rating on shares of The Hershey in a research report on Sunday, November 8th. Deutsche Bank Aktiengesellschaft boosted their price objective on shares of The Hershey from $152.00 to $157.00 and gave the company a “hold” rating in a research report on Monday, November 9th. BidaskClub cut shares of The Hershey from a “sell” rating to a “strong sell” rating in a research note on Wednesday, December 23rd. Wells Fargo & Company reduced their price objective on shares of The Hershey from $155.00 to $149.00 and set an “equal weight” rating on the stock in a research note on Monday, November 9th. Finally, Zacks Investment Research cut shares of The Hershey from a “buy” rating to a “hold” rating and set a $148.00 price objective on the stock. in a research note on Friday, September 18th. Two analysts have rated the stock with a sell rating, eleven have given a hold rating and seven have assigned a buy rating to the company. The Hershey has a consensus rating of “Hold” and a consensus target price of $150.88. Read more …

 

Accenture (NYSE:ACN) was upgraded by equities researchers at Bank of America from an "underperform" rating to a "neutral" rating in a note issued to investors on Wednesday, Briefing.com reports. The firm currently has a $261.00 price target on the information technology services provider's stock. Bank of America's price target would suggest a potential upside of 1.19% from the company's previous close.

Several other brokerages have also recently weighed in on ACN. Citigroup Inc. 3% Minimum Coupon Principal Protected Based Upon Russell upped their target price on Accenture from $265.00 to $303.00 in a report on Friday, December 18th. BMO Capital Markets upped their price objective on shares of Accenture from $250.00 to $290.00 and gave the stock a "market perform" rating in a research note on Friday, December 18th. They noted that the move was a valuation call. Robert W. Baird increased their target price on shares of Accenture from $222.00 to $240.00 and gave the stock a "neutral" rating in a report on Tuesday, September 22nd. Morgan Stanley boosted their price target on shares of Accenture from $263.00 to $264.00 and gave the company an "overweight" rating in a report on Tuesday, December 15th. Finally, Citigroup increased their price objective on shares of Accenture from $247.00 to $269.00 and gave the company a "buy" rating in a research note on Sunday, September 20th. One investment analyst has rated the stock with a sell rating, nine have assigned a hold rating and fifteen have given a buy rating to the company. The company presently has an average rating of "Buy" and an average price target of $248.07. Read more …

 

Wells Fargo & Company (NYSE:WFC) was upgraded by equities research analysts at Jefferies Financial Group from a "hold" rating to a "buy" rating in a research report issued on Thursday, Briefing.com reports. The brokerage currently has a $38.00 price objective on the financial services provider's stock, up from their prior price objective of $26.00. Jefferies Financial Group's price objective indicates a potential upside of 16.24% from the company's previous close.

WFC has been the subject of several other research reports. DA Davidson raised Wells Fargo & Company from a "neutral" rating to a "buy" rating and raised their price target for the stock from $27.00 to $31.00 in a research report on Thursday, November 19th. Wolfe Research raised Wells Fargo & Company from a "peer perform" rating to an "outperform" rating and raised their price target for the stock from $31.00 to $34.00 in a research report on Monday, September 14th. Keefe, Bruyette & Woods raised Wells Fargo & Company from a "market perform" rating to an "outperform" rating and raised their price target for the stock from $28.00 to $36.00 in a research report on Monday, December 14th. Barclays raised their price target on Wells Fargo & Company from $33.00 to $36.00 and gave the stock an "equal weight" rating in a research report on Monday. Finally, Compass Point raised Wells Fargo & Company from a "neutral" rating to a "buy" rating and set a $27.00 price target for the company in a research report on Friday, November 6th. One equities research analyst has rated the stock with a sell rating, fourteen have given a hold rating and thirteen have assigned a buy rating to the company's stock. The stock presently has a consensus rating of "Hold" and an average price target of $32.06. Read more …

 

 

McDonald’s (NYSE:MCD) was upgraded by analysts at Oppenheimer from a “market perform” rating to an “outperform” rating in a report released on Thursday, Briefing.com reports. The firm currently has a $240.00 price target on the fast-food giant’s stock. Oppenheimer’s price objective would indicate a potential upside of 13.74% from the stock’s current price.

A number of other equities analysts also recently issued reports on the stock. Bank of America increased their price target on shares of McDonald’s from $220.00 to $250.00 and gave the stock a “buy” rating in a research note on Monday, October 5th. KeyCorp increased their price target on shares of McDonald’s from $225.00 to $235.00 and gave the stock an “overweight” rating in a research note on Tuesday, November 10th. Stephens downgraded shares of McDonald’s from an “overweight” rating to an “equal weight” rating and decreased their price target for the stock from $250.00 to $225.00 in a research note on Monday, December 7th. Smith Barney Citigroup started coverage on shares of McDonald’s in a research note on Monday. They issued a “neutral” rating and a $230.00 price target for the company. Finally, UBS Group raised shares of McDonald’s from a “neutral” rating to a “buy” rating and increased their price target for the stock from $230.00 to $240.00 in a research note on Monday, December 14th. Eight research analysts have rated the stock with a hold rating and twenty-four have given a buy rating to the stock. The stock currently has a consensus rating of “Buy” and an average target price of $231.03. Read more …