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Hide Out in These 3 Dividend Stocks in 2022

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  • (1:00) - Finding High Paying Dividend Stocks To Benefit Your Portfolio
  • (5:45) - Breaking Down The Stock Screener: Stocks To Keep On Your Radar
  • (22:10) - Episode Roundup:  WMT, SQN, PBR, EPR
  •                 Podcast@Zacks.com

 

Welcome to Episode #324 of the Zacks Market Edge Podcast.

Every week, host and Zacks stock strategist, Tracey Ryniec, will be joined by guests to discuss the hottest investing topics in stocks, bonds and ETFs and how it impacts your life.

This week, Tracey is going solo to talk where you can hide out amidst 2022’s stock market volatility. Is there anywhere?

Energy used to be the go-to “safe” sector but those stocks have sold off big over the last 6 weeks. Even stocks known to be “defensive” like Walmart might not be in 2022.

Screening for Growth Stocks with High Dividends

Tracey ran a screen that looked for increasing earnings growth, a Zacks Rank of #1 (Strong Buy), #2 (Buy) or #3 (Hold) and a dividend yielding over 5%.

It’s a tough combination but it yielded 36 stocks.

Stripping out the #3 (Hold) stocks, left just 7 stocks with the highest Zacks Ranks. Just 2 stocks were Zacks Rank #1s, with growth and with a dividend over 5%.

That’s an exclusive club.

Hiding Out in Dividend Stocks

1.       Sociedad Quimica y Minera de Chile (SQM - Free Report)

Sociedad Quimica y Minera is a Chilean chemical company whose products include fertilizers, iodine, and lithium. Sociedad Quimica y Minera is the largest lithium producer in the world after tripling production over the last 3 years.

Shares have soared in 2022, up 87%, but are still cheap with a forward P/E of just 8.9 as earnings are on the rise. It’s a Zacks Rank #1 (Strong Buy).

Sociedad Quimica y Minera is paying a big dividend. Zacks says it’s yielding 9.7% but it varies each quarter.

Sociedad Quimica y Minera reports earnings on Aug 17. Is it time to get in?

2.       Petrobras (PBR - Free Report)

Petrobras is a large Brazilian oil company. It’s also a Zacks Rank #1 (Strong Buy) as earnings are expected to be up this year.

Petrobras shares are up just 13.6% year-to-date on fears about government pressures to keep gasoline prices down. But that makes them dirt cheap, with a forward P/E of just 2.5.

It is paying an incredible dividend thanks to rising energy prices with Zacks saying the yield is 24.9%. Yes, 24.9%.

But like SQM above, it may vary each quarter.

Is Petrobras a risk you should take?

3.       EPR Properties (EPR - Free Report)

EPR Properties is a REIT which owns 355 properties in 44 states and Canada specializing in experiences and connections. That means golf entertainment complexes, casinos, e-gaming, concert venues and climbing gyms.

Shares are up 10% year-to-date and are cheap with a forward P/E of just 11.

EPR Properties is expected to see earnings growth of 46% in 2022 as the economy reopens from the COVID restrictions and people want to travel and be out of their homes. It’s a Zacks Rank #2 (Buy).

EPR pays a monthly dividend which is expected to be $3.30 per share annualized which is a yield of 6.4%.

Should you consider a REIT like EPR Properties for the income?

What Else Should You Know About Hiding Out in Dividend Stocks?

Tune into this week’s podcast to find out.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Petroleo Brasileiro S.A.- Petrobras (PBR) - free report >>

Sociedad Quimica y Minera S.A. (SQM) - free report >>

EPR Properties (EPR) - free report >>

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