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The Zacks Analyst Blog Highlights: Norbord, Oxford Square, Oasis, VimpelCom and AT&T

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For Immediate Release

Chicago, IL –September 12, 2018 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Norbord Inc. , Oxford Square Capital Corp. (OXSQ - Free Report) , Oasis Midstream Partners LP , VimpelCom Ltd. (VEON - Free Report) and AT&T Inc. (T - Free Report) .

Here are highlights from Monday’s Analyst Blog:

5 Value Stocks with High Dividend Yields to Buy Now

The start of September has been scary for Wall Street, with all the major indices down in the initial week driven by a steep sell-off in the tech sector and Trump’s new tariff threat. In fact, the Nasdaq Composite Index logged its worst start to September since 2008.

Donald Trump threatened to impose tariffs on $267 billion worth of goods, in addition to the proposed 25% duty to be levied on $200 billion of Chinese goods. The move will escalate trade tensions between the United States and China. Additionally, Bloomberg News reports that the United States and Canada will likely end this week with a no trade deal.

Further, the prospect of faster-than-expected rates hike following the upbeat job data for August also took a toll on stocks. If these weren’t enough, the seasonal phenomenon resulted in the decline. September is historically a weak month for the stock market and even worse in the mid-term election years.

However, economic fundamentals remain sound and are expected to keep the positive momentum alive albeit at a slower pace. The raft of upbeat data shows that the economy is piping hot, given that the American economy is witnessing the fastest pace of growth in nearly four years with a nearly two-decade low unemployment rate of 3.9% and an 18-year high consumer confidence. Historic tax cuts, higher government spending and deregulation are fueling growth.

In such a scenario, investors are looking for products that provide stability and safety in a rocky market. Nothing seems a better strategy than picking a combination of value stocks with higher dividend yields in this kind of an environment.

Inside the Strategy

Value stocks have strong fundamentals — earnings, dividends, book value and cash flow — that trade below their intrinsic value and are undervalued by the market. These seek to capitalize on inefficiencies in the market and have the potential to deliver higher returns with lower volatility compared with growth and blend counterparts. Additionally, value stocks are less susceptible to trending markets and their dividend payments serve as safety in times of market turbulence.

Further, honing in on high dividend yields within this space lead to extra income. This is because high-dividend paying securities are the major sources of consistent income for investors, creating wealth when returns from the equity market are at risk.

As a result, we have presented five excellent stocks having a Zacks Rank #1 (Strong Buy) or 2 (Buy), a Value Score of A, double-digit earnings growth for this year, dividend yield of more than 5% and a top-ranked Zacks Industry within the top 40%, with the help of the Zacks Stock Screener. Any of these could be compelling choices in the current stock market.

Norbord Inc.– Dividend Yield: 36.23%

The producer of wood-based panels operates primarily in the United States, Europe and Canada. The stock has an expected earnings growth rate of 26.95% for this year and belongs to a top-ranked Zacks industry (top 7%). It sports a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.

Oxford Square Capital Corp.– Dividend Yield: 10.93%

This business development company principally invests in syndicated bank loans and debt and equity tranches of CLO vehicles. The stock has an estimated earnings growth rate of 13.33% for this year and has a Zacks Rank #2. Further, it falls under the top-ranked Zacks Industry (top 38%).

Oasis Midstream Partners LP– Dividend Yield: 7.34%

The master limited partnership company owns, develops, operate and acquire a diversified portfolio of midstream assets primarily in North America. It has an expected earnings growth rate of 316.28% for this year. Oasis Midstream Partners carries a Zacks Rank #2 and falls under a top-ranked Zacks industry (top 34%).

VimpelCom Ltd. – Dividend Yield: 6.64%

It is engaged in telecommunication and digital services providing customers with voice, fixed broadband, data and digital services. With a Zacks Rank #2, it has an expected earnings growth rate of 166.67% for this year. The stock falls under a top-ranked Zacks industry (top 15%).

AT&T Inc. – Dividend Yield: 6.23%

It provides communication, entertainment and Internet services to consumers and businesses around the world. In the United States, AT&T is the largest pay-TV provider and owns the second largest wireless network. The stock has an expected earnings growth rate of 16.07% for this year and belongs to a top-ranked Zacks industry (top 16%). It has a Zacks Rank #2.

Bottom Line

These stocks will likely outperform amid market uncertainty. As such, investors shouldn’t forget the value space and should take a closer look at a few of the attractive value products with a high dividend tilt for excellent exposure and some outperformance in the near term.

5 Medical Stocks to Buy Now

Zacks names 5 companies poised to ride a medical breakthrough that is targeting cures for leukemia, AIDS, muscular dystrophy, hemophilia, and other conditions. New products in this field are already generating substantial revenue and even more wondrous treatments are in the pipeline. Early investors could realize exceptional profits.

Click here to see the 5 stocks >>

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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.


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AT&T Inc. (T) - free report >>

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