7 Dividend Stocks to Buy to Kick Off the New Year

Dividend Stocks

Yes, it is that time of the year again. When the calendar flips, everyone ponders what lies ahead, and resolutions for self-improvement are made; Often, to be broken later. Additionally, it is also a great time to re-examine your portfolio and consider adding in some new, income-oriented names — including dividend stocks.

While stocks overall are blasting to new highs, valuations are looking extended and things look vulnerable to a pullback. The catalyst will likely come when the Federal Reserve returns to a tightening bias, perhaps around March. When that happens, dividend stocks will provide a modicum of protection for equity investors when the volatility returns.

With that in mind, take a look at these seven names to consider as we begin the new decade.

Dividend Stocks to Buy: Macy’s (M)

Dividend Stocks to Buy in 2020: Macy's (M)

Source: Chart courtesy of StockCharts.com

Dividend Yield: 9.1%

It’s no secret that department stores are facing severe headwinds. However, retailers like Macy’s (NYSE:M) are aggressively looking to revamp their value proposition to customers. This includes a new, second-hand thrift partnership with thredUP that provides lower cost options to bargain hunters searching for a deal.

The company pays a dividend yield of 9.1%, and is enjoying a share price challenge of recent highs near the $17 per share level. The company will next report earnings results on Feb. 25 before the bell, and analysts are looking for earnings of $1.86 per share on revenues of around $8.3 billion.

Duke Energy (DUK)

Dividend Stocks to Buy: Duke Energy (DUK)

Source: Chart courtesy of StockCharts.com

Dividend Yield: 4.2%

Duke Energy (NYSE:DUK) shares are pushing above their 50-day moving average, continuing a steady rise along its 200-day moving average that’s been in play since the summer of 2018. The stock pays a 4.2% dividend yield, and has enjoyed recent analyst upgrades from Goldman Sachs and Barclays. Watch for a return to the prior high near $96-$97, which would be worth a gain of roughly 7% from here.

The company will next report results on Feb. 13 before the bell, and analysts are looking for earnings of 89 cents per share on revenues of around $6.6 billion.

Chemours Company (CC)

Dividend Stocks to Buy: Chemours Company (CC)

Source: Chart courtesy of StockCharts.com

Dividend Yield: 5.5%

Shares of the The Chemours Company (NYSE:CC) are rounding higher off of a six-month trading range, and look ready for a push above their 200-day moving average for the first time since last April. The chemical company is behind familiar products like Teflon and Freon, and pays a 5.5% dividend yield.

It will next report results on Feb. 13 after the close, and analysts are looking for earnings of 46 cents per share on revenues of $1.4 billion.

Ford (F)

Dividend Stocks to Buy: Ford (F)

Source: Chart courtesy of StockCharts.com

Dividend Yield: 6.4%

Shares of Ford (NYSE:F) are consolidating above their 200-day moving average as of late. The company looks ready for a rally to prior highs near $10.20, which would be worth a gain of roughly 10% from here. Ford has been in the news recently for its Mustang Mach-E First Edition electric vehicle, with reservations full. This seems like a  sign that the company could take some electric vehicle market share away from Tesla.

The company will next report results on Feb. 4 after the close, and analysts are looking for earnings of 17 cents per share on revenues of $36.7 billion. Shares pay a 6.4% dividend yield.

Exxon Mobil (XOM)

Dividend Stocks to Buy: Exxon Mobil (XOM)

Source: Chart courtesy of StockCharts.com

Dividend Yield: 4.9%

Exxon Mobil (NYSE:XOM) shares are rising up and out of a six-month consolidation pattern with a run towards its 200-day moving average. Oil prices have been on the move lately, with West Texas Intermediate rising from a low of $51-$52 per share to return to push towards $62 amid the rise of renewed tensions in the Middle East.

The company pays a 4.9% dividend yield and will next report results on Jan. 31 before the bell. Analysts are looking for earnings of 73 cents per share on revenues of $63.6 billion.

General Motors (GM)

Dividend Stocks to Buy: General Motors (GM)

Source: Chart courtesy of StockCharts.com

Dividend Yield: 4.1%

Shares of General Motors (NYSE:GM) are rising back up and over their 200-day moving average, and look ready to test the upper end of a three-year trading range. In early December, the company announced plans to mass-produce battery cells for electric vehicles in collaboration with LG Chem. Together, the companies intend to invest a total of $2.3 billion by 2023 to establish a new battery factory in northeast Ohio.

The company will next report results on Feb. 5 before the bell, and analysts are looking for earnings of seven cents per share on revenues of $30.8 billion. The company pays a 4.1% dividend yield.

Kohl’s (KSS)

Dividend Stocks to Buy: Kohl's (KSS)

Source: Chart courtesy of StockCharts.com

Dividend Yield: 5.5%

Kohl’s (NYSE:KSS) shares are in the midst of a sideways consolidation range going back to May, but look ready for an attempt to push up and over its 200-day moving average. That would open the door to a test of prior highs near $78, which would be worth a gain of roughly 60% from here.

The company pays a 5.5% dividend yield and will next report results on May 3 before the bell. Analysts are looking for earnings of $1.97 per share on revenues of $6.6 billion.

As of this writing, William Roth did not hold a position in any of the aforementioned securities.

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