5 Blue Chip Stocks With Strong Buy And Dividend Hikes Expected This Week – 24/7 Wall St.
After years of low interest rates, many investors have turned to stocks not only for its growth potential, but also for solid and reliable dividends that help create a source of income. What this equates to is total return, which is one of the strongest investment strategies out there.
We like to remind our readers of the impact of total return on portfolios as it is one of the best ways to improve the odds of overall investment success. Again, the total return is the combined increase in value of a share plus dividends. For example, if you buy a stock for $ 20 that pays a 3% dividend and that increases to $ 22 in a year, your total return is 13%: 10% for the stock price increase and 3% for those paid Dividends.
Five top large-cap companies, which are Wall Street favorites, are expected to hike their dividends this week. So we reviewed our 24/7 Wall St. research universe and found that they were all rated Buy by some top analysts. While it’s always possible that not all of them will actually increase their dividends, analysts expect so, and the data is generally based on previous increases in the company’s dividend payouts.
However, it is important to remember that no single analyst report should be used in a buy or sell decision.
This top pharmaceutical and medical technology stock has very solid growth potential. Abbott Laboratories (NYSE: ABT) manufactures and sells healthcare products worldwide.
The established pharmaceutical products segment offers branded generics for the treatment of exocrine pancreatic insufficiency; Irritable bowel syndrome or bile duct spasm; intrahepatic cholestasis or depressive symptoms; gynecological disorders; Hormone replacement therapy; Dyslipidemia; Hypertension; Hypothyroidism; Meniere’s disease and vestibular dizziness; Pain, fever, and inflammation; Migraine; anti-infectious clarithromycin; Cardiovascular and metabolic products; and influenza vaccines as well as regulating the physiological rhythm of the large intestine.
The Diagnostic Products segment offers immunoassay and clinical chemistry systems; Assays for screening or diagnosis of cancer, heart disease, drug abuse, fertility, infectious diseases and therapeutic drug surveillance; Hematology systems and reagents; Diagnostic systems and cartridges; Instruments for automating the extraction, purification and preparation of DNA and RNA from samples and for the detection and measurement of infectious agents; genome based tests; IT and automation solutions; and a range of computer tools and professional services.
Shareholders currently receive a yield of 1.38%. The company is expected to increase its dividend from $ 0.45 to $ 0.54 per share.
Morgan Stanley has a target price of $ 146 on Abbott Laboratories’ stock. The consensus target is $ 115.53 and shares were trading at $ 132.40 early Monday.
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