Published on 31 Mar 2024 on Insider Monkey via Yahoo Finance
12 Oversold Dividend Stocks To Buy Now
In this article, we discuss 12 oversold dividend stocks to buy now. You can skip our detailed analysis of dividend stocks and their previous performance, and go directly to read 5 Oversold Dividend Stocks To Buy Now.
The S&P 500 is consistently recording gains this year, having risen for four months in a row. According to Bank of America’s chief global strategist Michael Hartnett, the remarkable returns achieved by the S&P 500 over a short time period have been rare and only occurred ten times since the 1930s. He further said that these returns materialized either during the aftermath of the recession, like the ones in 2009 and 2020, or at the onset of a bubble, similar to the situation experienced in 1999. That said, Apple Inc. (NASDAQ:AAPL), which played a significant role in driving the market rally in 2023, has entered the oversold territory this year. The stock is down by 7.63% year-to-date, facing pressures due to concerns over iPhone sales in China and a fine from the European Union, as reported by Bloomberg.
Investors are trying to navigate this directionless market, seeking to maximize their returns by making informed decisions. Over the years, dividend stocks have served as a safeguard against market downturns, making them an appealing option in the current environment. When considering investments in dividend stocks, combining dividend yields with dividend growth can be a good strategy. In our article titled 25 Things Every Dividend Investor Should Know, we referred to data from S&P Dow Jones Indices, which analyzed the performance of the S&P 500 High Yield Dividend Aristocrats. The index tracks the performance of high-yield dividend companies within the S&P 500 Composite 1500 with at least 20 consecutive years of dividend growth. The report revealed that between December 31, 1999, and March 31, 2022, the index outperformed its benchmark index by 140 basis points per month. During this period, the index also surpassed the S&P 500 High Dividend Index by 49 basis points per month.