In 2022, investors will be concerned about several issues: Inflation has risen to its highest possible level in 40 years, and it is predicted to grow further. The Federal Reserve expects to raise interest rates seven times this year. Long-term investors wonder whether this is an opportunity or a warning sign as tech companies have reversed quickly and forcefully. The Russian invasion of Ukraine and following sanctions have thrown the world economy into yet another tangle.
What are the options for long-term investors? For one, directing more of one’s funds into high-quality dividend stocks has shown to be a successful approach in both good and bad times. They can provide a steady income stream, are less volatile, and provide investors with a haven as we wait for the financial winds to shift. No matter the market circumstances, a consistent income stream is always good news for investors.
That being said, let’s take a look at three buy-rated stocks that are performing well and are paying dividends to their shareholders, making for great portfolio choices:
Lockheed Martin Corp (LMT)
Lockheed Martin Corp (LMT) is a multinational aerospace, defense, information security, and technology company. In March 1995, it was founded by the combination of Lockheed Corporation and Martin Marietta. Its headquarters are in North Bethesda, Maryland. Since the outbreak of hostilities in Ukraine, LMT has been on many investors’ radars. The battle has electrified NATO members, to which LMT belongs, and many of them are expected to raise defense spending soon.
LMT, in general, has done very well financially, especially given the volatility during the pandemic. It most recently beat Wall Street experts’ EPS and revenue projections by 1.38% and 0.41%, respectively. LMT’s year-over-year numbers are also impressive, showing revenue growth of 4.89% and 17.08% EPS growth. The current fiscal quarter shows us $15.6 billion in sales, at $6.22 per share until reporting earnings again. LMT currently has a dividend yield of 2.54%, with a quarterly payout of $2.80 per share. LMT has a consensus 12-month price target of 465.00, with a high of 521.00 and a low of 372.00 among the analysts issuing annual price forecasts. The median estimate is up 5.54% from the most recent price, and the consensus is to buy and hold stock in LMT.
Apple Inc (AAPL)
Apple (AAPL) needs no introduction. It’s frequently stated that there’s never been a poor moment to buy AAPL as a long-term investor. This has been the case for the past ten years. AAPL is a classic example of a buy-and-hold investment. AAPL isn’t traditionally considered a dividend stock, but when you examine the overall capital returned to shareholders, maybe it should be. Its dividend payout has slowly increased for the last nine years, and cash flow trends indicate that these yearly increases will continue. The investor’s effective yield will climb in tandem with the dividend if they buy and hold.
AAPL has a dividend yield of 0.52%, with a 22 cents per share quarterly payout. The tech giant has had no problem beating analysts’ estimates on their earnings reports; Most recently, AAPL beat quarterly EPS projections by 11.17% and revenue expectations by 4.56%. Until AAPL reports again in May, its current quarter shows us $94.4 billion in sales, at $1.44 per share. AAPL’s year-over-year numbers indicate revenue growth of 11.22% and EPS growth of 25%. The median price target for AAPL among analysts that provide 12-month predictions is 192.00, with a high of 215.00 and a low of 127.00. The median estimate is up 13.70% from current pricing, and AAPL comes with a well-earned buy rating.
Target Corp (TGT)
Target Corp (TGT) is a retailer that owns and operates general goods shops. It sells perishables, dry groceries, dairy, and frozen foods, among other things. George Draper Dayton created the corporation in 1902, and it is headquartered in Minneapolis, Minnesota. Target might be the solution for investors searching for one of the most reliable dividend performers of all time. For the past 50 years, management has boosted the yearly dividend.
TGT‘s performance has also been outstanding, implying that its dividend hike streak would likely continue. Long-term dividend investors should continue to profit from management’s efforts to position the firm for success. TGT currently has a dividend yield of 1.62%, with a quarterly payout of 90 cents per share. TGT most recently crushed experts’ quarterly EPS projections by 12.26%. Year-over-year numbers are all in the green, showing 9.38% in revenue growth, and 17.95% in EPS growth. Until TGT reports again, we can see $24.4 billion in sales at $3.07 per share. TGT has a consensus price target of 280.00 among analysts that provide 12-month price estimates, with a high of 365.00 and a low of 230.00. The forecast is up 25.71%, and TGT’s buy rating is as solid as possible.
