The marketplace for mosquito repellants – amongst others with Dabur India Ltd., Enesis Group, Godrej Shopper Merchandise Ltd., Diageo Plc
2 dividend stocks with a “strong buy” and a yield of at least 9%
The markets have shown two themes over the past few weeks, a combination of uncertainty and an uptrend. Day after day it is impossible to predict what will happen, but the movement on a larger scale has been upward. Looking ahead, we only know that current events will add to the uncertainty. The earnings season has started. When the listed companies in the market report their third quarter results, we will get a clearer idea of the nature of the economic recovery. The first quarter was a disaster, the second quarter was better than expected; While the third quarter is also expected to beat expectations, no one will be surprised if there are belly flops. So far, our first clue was the September job report, which fell short of forecast but still showed 661,000 new jobs in the last month. The big wild card is of course the national elections, which are only a few weeks away. President Trump is fighting for his political life and the democratic opposition is fighting to regain control of government levers. It’s an environment where investors are practically yelling to take protective measures on their portfolios. And it is possible; Even in an uncertain time, there are dividend stocks that promise reliable returns and risk reduction. Using the TipRanks database, we pulled two stocks with strong buy recommendations and high dividend yields. Wall Street analyst corps sees it as ripe for investment returns, while the dividend yield of 9% or better promises to ease today’s low-interest regime. Hoegh LNG Partners (HMLP) Hoegh operates floating gas services, including storage facilities and regasification units, which can function as LNG import terminals without onshore infrastructure. Late last summer, Hoegh announced a new CEO who will be part of a normal transition to lead the company. The notable aspect was that the transition occurred during the COVID outbreak – and that the company generated positive sales and profits during that time to avoid the heavy losses that plagued some of its competitors. Hoegh’s EPS has changed quarter-to-quarter for the past two years, but the second quarter numbers were in line with long-term averages and the third quarter outlook to be released next month is in the same constant range Dividend and HMLP supplies. The company has a 6-year history of dividend reliability and the payment of 44 cents per common share has been held steady through 2020. The annualized payment of $ 1.76 gives an impressively high return of 15.5%. That’s more than 7 times the average of dividend payers listed under S&P. B. Riley FBR’s Liam Burke counts himself as a fan. He writes: “Despite the short-term decline in global LNG consumption caused by the coronavirus, there is solid basic demand for LNG, which is expected to increase by more than 3 per year by 2030 % to 5%, which creates the conditions for constant demand for floating storage and gasification plants with high returns (FSRU) beyond the current contract terms. We continue to believe in the long-term strength of the LNG market and the underlying charters of HMLP, despite the inherent counterparty risks posed by a short-term decline in LNG consumption related to COVID-19. “Burke rates HMLP stock for a buy and its price target of $ 17 shows confidence in upside potential of 45.5%. (To see Burke’s track record, click here.) Overall, Wall Street recently awarded HMLP 3 buys and 1 hold for a strong buy consensus rating. The average price target is $ 13.67, which indicates an upward movement of 19% from the current trading level of $ 11.41. (See HMLP stock analysis on TipRanks) Hess Midstream Operations (HESM) Next on today’s list of dividend champions is Hess Midstream, a player in the U.S. oil and gas industry. Hess provides infrastructure services for the collection, processing, storage and transportation of crude oil and natural gas products in the Bakken Formation of North Dakota. Manufacturing companies have kept the product going despite the coronavirus, which is a cause of low oil prices – but it has also kept midstreamer demand. Hess has benefited from the continuing need for technical knowledge of the pipeline network, and the result has been that while much of the oil industry has been declining lately, Hess has seen only modest sales losses while profits have stayed in line with their 2-. Year recent history. The EPS for the second quarter was 29 cents; That was lower than in the first quarter, but higher than in the fourth quarter of 19. Hess has used its stable earnings to the advantage of shareholders and has increased the dividend quarterly for the past two years. The last payment sent in August was 44 cents per common share. This resulted in a return of 9.86% which is strong in every way. JPMorgan analyst Tarek Hamid said of Hess: “The unique pricing model that underpins core profitability remains unmatched and further helps remove (to some extent) the DAPL uncertainty overhang compared to peers. Long-term growth prospects could take the form of acquisitions at the asset level and possibly within a framework that is tied to Hess’ GOM position. However, management has taken a conservative approach to corporate M&A. HESM will burn cash this year even though our modeling is showing a flip to that end, JPMorgan rates HESM overweight (i.e. buy) along with a target price of $ 23 for FCF generation in FY21 due to lower capital intensity and higher year-over-year profitability . This number suggests a 40% upside for HESM stocks in the coming months. Overall, the consensus strong buy rating for this stock is supported by 4 buys and 1 hold. The shares sell for $ 16.46, and the average price target of $ 19.75 suggests upside potential of 20%. (See HESM stock analysis on TipRanks.) To find great ideas for trading dividend stocks at attractive valuations, visit TipRanks ‘Best Stocks to Buy, a newly launched tool that brings together all of TipRanks’ stock insights. Disclaimer: The opinions expressed in this article are solely those of the analysts presented. The content is intended to be used for informational purposes only. It is very important that you do your own analysis before making any investment.