Top Wall Street analysts are bullish on these dividend stocks | Wilnesh News

In volatile markets, investors can turn to dividend-paying stocks, which can provide income and help cushion a portfolio during tough times.

Given the sheer number of dividend-paying companies, picking the right stocks can be a daunting task. To do this, investors can follow the advice of Wall Street experts who perform thorough analyzes of a company’s earnings growth potential and dividend history.

Here are three attractive dividend stocksaccording to Wall Street’s Top Professionals TipRanks is a platform that ranks analysts based on their past performance.

This week’s first dividend picks are tech giants International Business Machines Corporation (International Business Machines Corporation), the company reported mixed first-quarter results. The company’s earnings beat expectations while revenue fell short of expectations amid an uncertain macro backdrop. In addition, IBM also announced the acquisition of cloud software manufacturer HashiCorp for US$6.4 billion.

IBM paid $1.5 billion in dividends in the first quarter. The company generated $1.9 billion in free cash flow in the first quarter of 2024 and expects to achieve about $12 billion in free cash flow for the full year. IBM’s yield is about 4%.

Recently, Evercore analysts Amit Dayanani Reiterate a buy rating on IBM stock with a price target of $215. The analyst is optimistic about the company’s growth leverage and expects the company to benefit from a variety of tailwinds, including accelerating growth in generating artificial intelligence and consulting revenue.

“IBM sounds confident in their ability to see consulting revenue accelerate in the second half, building on 2% growth in the first quarter,” Daryanani said.

While the advisory business in the first quarter of 2024 was hurt by the impact of macro challenges on discretionary spending, analysts noted that there are a number of catalysts that suggest growth will accelerate going forward. These catalysts include generative AI growth, backlog conversion, and M&A contributions from previously announced deals in the second half of 2024. Daryanani is also optimistic about the continued growth of the mainframe business.

Daryanani ranks No. 243 among more than 8,800 analysts tracked by TipRanks. His ratings were profitable 59% of the time, with an average return of 13.2%. (look IBM stock buyback on prompt ranking)

We turn to toy manufacturers Hasbro (have). In April, the company reported better-than-expected first-quarter earnings as it turned a profit. The value of dividends paid by Hasbro $97.2 million Season 1, 2024.

JPMorgan analysts after meeting with Hasbro management at JPMorgan’s 52nd Annual TMC Conference Christopher Hofers Upgraded HAS stock to buy from hold, while raising the price target to $74 from $61.

The analyst said he expects Hasbro to be above consensus because Wall Street is underestimating the company’s cost efficiency efforts and digital gaming prospects, both of which should be felt in the second half of 2024 and the first half of 2025. .

Despite the shortened holiday season, Horvers is optimistic about the industry’s growth in 2024 due to the resurgence of low fares and short replacement cycle product categories.

The analyst said: “HAS is better positioned for 2H24 given Transformers’ shift from Q2 to Q3 and early gains from improved sales (novelty and process improvements under new management). good.

Hofers is ranked No. 769 among more than 8,800 analysts tracked by TipRanks. His rating success rate is 60%, with an average return of 7.2%. (look Hasbro Technical Analysis on prompt ranking)

Finally, let’s look at the big box retailers Target (TGT). In the first quarter of 2024, Target paid $508 million Pay dividends to shareholders. TGT offers a 2.8% dividend yield.

Baird analysts comment on Target’s first-quarter results Peter Benedict The company’s earnings per share were slightly below analysts’ expectations as higher operating expenses offset gross margin growth.

Benedict believes the post-earnings sell-off in TGT stock seems overdone due to lower-than-expected earnings and the price cut announced by the company. He believes that incremental investment in value and affordability through low prices has always been part of Target’s strategy for fiscal 2024.

Benedict specifically believes that management’s goal of returning to positive comparable sales growth appears achievable in the fiscal second quarter, as year-over-year comparisons are easier.

The analyst also believes that the company “will continue to plan carefully given the value-focused consumer environment.”

Overall, Benedict thinks the risk/reward profile of TGT stock looks compelling. The analyst reiterated a buy rating on Target with a price target of $190.

Benedict ranks No. 77 among more than 8,800 analysts tracked by TipRanks. His ratings were profitable 68% of the time, with an average return of 15.1%. (look Targeted Insider Trading Activity on prompt ranking)