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Dividend Stocks To Buy Ahead Of The Brexit Vote Thursday

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Many investors know that screening is a very powerful way to find the best stocks, but creating your own screens can be difficult and time consuming. However, with Zacks Premium Screens, finding the best stocks is just a few clicks away.

To show just how easy it can be, I have used one of Zacks Premium Screens, named the “Dividends with Style” screen. Though they are already implemented for you, the parameters of this screen is that the stocks must be a Zacks Rank #2 (Buy) stock or better, have a dividend yield of 4% or higher, have Style Scores for Value, Growth, and Momentum that are C’s or better, and have an average trading volume of at least 100,000.

I picked this screen for the time being because many people have fears of uncertainty and volatility as of late, especially with the “Brexit” vote on Thursday, where the British people will be voting on whether or not to remain in the European Union. Dividend stocks tend to be the investment of choice those wanting to invest in stocks through times of possible volatility, as their dividend payments provide income and some downside protection.

Below are three of the stocks the “Dividends with Style” Premium Screen produced, which all have top Zacks Ranks, dividend payments over 4%, and solid Style Scores that make them good choices for potential investment.:

BG Staffing Inc. (BGSF - Free Report)

BG Staffing Inc. operates as a temporary staffing company in the U.S. BGSF operates in 3 segments: Commercial, Multifamily, and Professional staffing. Its Commercial segment provides temporary workers for skilled and unskilled positions primarily to distribution and logistics customers. Its Multifamily segment offers front office and maintenance personnel to the multifamily housing industry on a temporary basis. And finally, its Professional segment provides skilled IT professionals, as well as IT customer, financial, and accounting related support personnel.

BGSF has several key attributes behind it that make it a strong investment option right now, even during times of uncertainty. The company is a Zacks Rank #1 (Strong Buy), and offers a substantial dividend yield of 6.49%. BGSF also has an A for its Value, Growth, and Momentum Style Scores.

Behind its A Value score is a low PE ratio of 9.45, a price to sales ratio of .45, and a solid above industry average earnings yield of 10.72%. In terms of its growth opportunities, the company has a sales to assets ratio of 2.91, projected sales growth of 19.43% for the current year, and projected EPS growth of 123.29%. The company and its stock has been on a roll lately too, with an A Momentum Score backed up by a 52-week price change of 34.04%, and EPS estimates for the current year increasing 56.73% over the last month.

Braskem SA (BAK - Free Report)

Together with its subsidiaries, Braskem SA produces and sells thermoplastic resins. Headquartered in Brazil, the company is the largest petrochemical operation in Latin America. In addition to its top Zacks Rank, BAK operates in an industry also highly ranked by Zacks; coming in at 51st out of 265, BAK’s industry falls in the top 19% of all industries.

For its Style Scores, BAK holds A’s for both Value and Growth, and a B for Momentum. The stock offers value to investors with a dividend yield of 5.94%, a miniscule PE ratio of 4.88, and an earnings yield of 20.84%. In regards to growth, the company operates with a solid net margin of 6.94%, and has a return on equity figure of 235.24%.

BAK has also been on a roll over the last year, gaining more than 25% in the last 52-weeks. Analysts’ EPS estimates for the current year have also soared 25% in the quarter, pushing the year’s EPS estimate from 1.85 60 days ago to the current figure of 2.32.

Enbridge Inc. (ENB - Free Report)

Enbridge Inc. operates as an energy transportation and distribution company in the U.S. and Canada. ENB operates the world’s largest crude oil and liquids pipeline, and is headquartered in Canada. Enbridge is currently a Zacks Rank #1 (Strong Buy) stock, and holds A’s for both its Growth and Momentum Style Score. ENB offers a stock with momentum behind it and continued growth potential moving forward, as well as a dividend yield of just over 4%.

Enbridge has solid growth opportunities looking ahead, with current year projected sales growth of 10.29%, projected EPS growth of 8.69%, and a return on equity figure of 11.54%. Behind ENB’s A Momentum Score is a 12-week price change of almost 9%, and current year EPS estimates increasing nearly 12%, pushing the estimate from 1.61 60 days ago to the current estimate of 1.79.

Bottom Line

As the three stocks above show, the capabilities of the Zacks Premium Screens offer top stock investment options with just a few clicks. The screens are already made for investors, all they have to do is choose the screen they wish to use, whether it be for top-ranked, growth dividend stocks like these, or for stocks that the multitude of other screens can help investors find.

To use more than 45 predefined screens strategically created to find the best stocks — and access even more proven tools and resources — start your free 30-day trial to Zacks Premium.


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Enbridge Inc (ENB) - free report >>

Braskem S.A. (BAK) - free report >>

BGSF, Inc. (BGSF) - free report >>