PANL - 9 January Mighty Divvy Nifty 50 Dogs To Buy Now

Summary

• Mid-December, on a whim, I queried YCharts for U.S. dividend stocks yielding greater than 3.5% annually and pegged “attractive” in their Y-ratings (ranging from “not-rated” to “avoid”, “neutral”, or “attractive”.).
• My query resulted in this list of New Divvy Nifty 51 stocks; of which, 45 measure up to the dogcatcher ideal of promising dividend payouts, from $1k invested, greater than their single-share prices.
• How’re they doin’ now? Those 45 top-dividend stocks for January ranged from 3.74% to 22.23% in annual yield and ranged from 2.80% to 46.43% in one-year price-target-upsides per brokers as of 1/17/23.
• Top-ten Mighty Divvy Nifty 50 stocks boasted net gains from 11.29% to 53.00% as of 1/17/23 YCharts data.
• $5k invested in the lowest-priced five of ten top-yield Mighty Divvy Nifty 50 dogs in January 2023 showed 9.02% less net gain than from $5k invested in all ten. Big (higher-priced) stocks took a near one-length lead on this mighty divvy nifty 51 pack in January.

Foreword

This article is based on YCharts Y-Ratings. The Y-Rating is a summary score that takes into account our 3 key indicators: Value Score, Fundamental Score, and Valuation from Historical Multiples

At a glance, it will give a sense of both the value and the current strength of the stock.

The Y-Rating

Importance: High

Historical Predictive Power: Moderate

How it relates to returns: See individual components - Value Score, Fundamental Score, and Valuation from Historical Multiples.

What it is: A single summary score that takes into account our 3 key indicators: Value Score, Fundamental Score, and Valuation from Historical Multiples.

How to use it: At a glance, it will give you a sense of the safety and return possibility of the stock.

Watch out for: It will often miss stocks with a huge potential for gains because big gains are correlated with high risk. Also, it sometimes misses the decline of industries that were profitable for long periods of time.

Detailed Calculation: Once we have the Value Score, the Fundamental Score and the Valuation from Historical Multiples, YCharts calculates a final score.

To receive an overall "Attractive" rating, a stock must:

• Receive a Value Score of 9 or 10
• Receive a Fundamental Score of 7 or higher
• Have a Historical Value greater than its current price

To receive an overall "Avoid" rating, a stock only needs to have "Weak" fundamentals - a Fundamental Score of 4 or lower.

YCharts rates all other companies "Neutral," since based on their testing there is no strong quantitatively-backed reason to believe they will underperform or outperform the market significantly as part of a portfolio.

- YCharts

Combine the top rating of "attractive" with annual dividend yields over 3.5% and you get this list of Mighty Divvy Nifty 50 stocks of which 45 measure up to delivering dividend payouts for $1k invested greater than the single share price of the stock.

The Mighty Divvy Nifty 50

(Alphabetically by Ticker Symbol)

Any collection of stocks is more clearly understood when subjected to yield-based (dog catcher) analysis, this collection of Mighty Divvy Nifty 50 stocks is perfect for the dogcatcher process. Below are January 17, 2023, data for 51 dividend stocks plus parsed by YCharts.

The prices of 45 of these January 51 stocks (listed by yield) made the possibility of owning productive dividend shares from this collection more viable for first-time investors.

All 45 live up to the idea of having their annual dividends (from a $1K investment) exceed their single share prices. Many investors see this condition as "look closer to maybe buy" opportunity.

Which of the 45 are 'safer' dividend dogs? To find the answer find my 'Safer' August Dividend Dogcatcher follow-up market piece about these Mighty Divvy Nifty 50 in the Seeking Alpha Marketplace appearing on or about January 25. To get there, simply click on the link in the last bullet point at the top of this article.

Actionable Conclusions (1-10): Analysts Estimated 11.29% To 53.00% Net Gains For Top Ten Mighty Divvy Nifty 50 Stocks To January 2024

Five of ten top new divvy nifty 50 stocks by yield were also among the top ten gainers for the coming year based on analyst 1-year target prices. (They are tinted gray in the chart below). Thus, the yield-based forecast for these January dogs, as graded by Wall St. Wizards, was 50% accurate.

Estimated dividends from $1,000 invested in each of the highest-yielding nifty 50 stocks, added to the median of aggregate one-year target prices from analysts (as reported by YCharts), generated the following results. (Note: one-year target prices by lone analysts were not included.) Ten probable profit-generating trades projected for January 2024, were:

Evolution Petroleum ( EPM ) was projected to net $530.03 based on the median of target price estimates from 2 analysts, plus annual dividend, less broker fees. The Beta number showed this estimate subject to risk/volatility 4% greater than the market as a whole.

Sociedad Química y Minera de Chile S.A. ( SQM ) was projected to net $423.76, based on dividends, plus the median of target price estimates from 16 analysts, less broker fees. The Beta number showed this estimate subject to risk/volatility 10% under the market as a whole.

Coterra Energy ( CTRA ) was projected to net $374.80, based on the median of estimates from 24 analysts, plus dividends, less broker fees. The Beta number showed this estimate subject to risk/volatility 75% less than the market as a whole.

Pangaea Logistics Solutions ( PANL ) was projected to net $315.25, based on dividends, plus the median of target price estimates from 3 analysts, less broker fees. The Beta number showed this estimate subject to risk/volatility 43% less than the market as a whole.

Gerdau SA ( GGB ) was projected to net $303.97, based on the median of target estimates from 6 analysts, plus dividends, less broker fees. The Beta number showed this estimate subject to risk/volatility 57% greater than the market as a whole.

Pioneer Natural Resources Co ( PXD ) was projected to net $272.18, based on dividends, plus the median of target price estimates from 32 analysts, less broker fees. The Beta number showed this estimate subject to risk/volatility 41% greater than the market as a whole.

PT Bukit Asam Tbk ( TBNGY ) was projected to net $212.30, based on dividends, alone, less broker fees. A Beta number was not available for TBNGY.

Embotelladora Andina ( AKO.B ) was projected to net $200.52 based on the median of target price estimates from 5 analysts, plus annual dividend, less broker fees. The Beta number showed this estimate subject to risk/volatility 53% less than the market as a whole.

Magellan Midstream Partners ( MMP ) was projected to net $135.13, based on dividends, plus the median of target price estimates from 15 analysts, less broker fees. The Beta number showed this estimate subject to risk/volatility 6% under the market as a whole.

Fidus Investment ( FDUS ) was projected to net $112.89, based on dividends, plus the median of target price estimates from 6 analysts, less broker fees. The Beta number showed this estimate subject to risk/volatility 52% over the market as a whole.

The average net gain in dividend and price was estimated at 28.80% on $10k invested as $1k in each of these ten stocks. These gain estimates were subject to average risk/volatility 4% under the market as a whole.

The Dividend Dogs Rule

Stocks earned the "dog" moniker by exhibiting three traits: (1) paying reliable, repeating dividends, (2) their prices fell to where (3) yield (dividend/price) grew higher than their peers. Thus, the highest yielding stocks in any collection became known as "dogs." More precisely, these are, in fact, best called, "underdogs".

50 New Divi Nifty 50 Stocks Per January Analyst Targets

50 New Divi Nifty 50 Stocks Per January Yield Data

Actionable Conclusions (11-20): Ten Top Mighty Divvy Nifty 50 By Yield

Top ten January Mighty Divvy Nifty 50 stocks by yield represented four of eleven Morningstar sectors. The first place was held by one of six energy representatives in the top ten, PT Bukit Asam Tbk [1].

The other five energy members placed fourth, fifth, sixth, eighth, and tenth: PT Adaro Energy Indonesia Tbk ( ADOOY ) [4]; China Shenhua ( CSUAY ) [5]; Dorchester Minerals ( DMLP ) [6]; Pioneer Natural Resources [8]; Coterra Energy [10].

Then, second and third places went to two consumer defensive members, BrasilAgro - Companhia Brasileira de Propriedades Agrícolas ( LND ) [2] and Embotelladora Andina SA [3].

One basic materials company placed seventh, Gerdau [7]. Then, finally, a lone financial services representative placed ninth, China CITIC Bank ( CHCJY ) [9], to complete the top ten Mighty Divvy Nifty 50 pack for January.

Actionable Conclusions: (21-30) Ten Top Mighty Divvy Nifty 50 Stocks Showed 3.58%-47.14% Upsides While (31) One Down-sider Fell 0.74% To January 2024.

To quantify top-dog rankings, analyst median price target estimates provided a "market sentiment" gauge of upside potential. Added to the simple high-yield metrics, the median of analysts target price estimates, became another tool to dig out bargains.

Analysts Forecast A 9.02% Disadvantage For 5 Highest Yield, Lowest Priced, of 10 Mighty Divvy Nifty 50 Stocks To January 17, 2024

Ten-top Mighty Divvy Nifty 50 stocks were culled by yield for this update. Yield (dividend/price) results provided by YCharts did the ranking.

As noted above, Ten-top New Divvy Nifty 50 stocks screened 1/17/22, showing the highest dividend yields, represented four of eleven in the Morningstar sector scheme.

Actionable Conclusions: Analysts Predicted 5 Lowest-Priced Of The Top-Ten Highest-Yield Mighty Nifty 50 2023 Dividend Stocks (32) Delivering 17.83% Vs. (33) 19.59% Net Gains by All Ten Come January 2024

$5,000 invested as $1k in each of the five lowest-priced stocks in the top ten Mighty Divvy Nifty 50 kennel by yield were predicted by analyst 1-year targets to deliver 9.02% less gain than $5,000 invested as $.5k in all ten. The eighth lowest-priced selection, Coterra Energy showed the best analyst-estimated net gain of 37.48%.

The five lowest-priced top-yield Mighty Divvy Nifty 50 Dogs as of January 17 were: PT Bukit Asam Tbk; BrasilAgro - Companhia Brasileira de Propriedades Agrícolas; Gerdau SA; China CITIC Bank Corp Ltd; PT Adaro Energy Indonesia Tbk with prices ranging from $5.23 to $10.06.

Five higher-priced Mighty Divvy Nifty 50 dogs as of January 17 were: China Shenhua Energy; Embotelladora Andina; Coterra Energy; Dorchester Minerals; Pioneer Natural Resources, whose prices ranged from $12.68 to $237.90.

The distinction between five low-priced dividend dogs and the general field of ten reflected Michael B. O'Higgins' "basic method" for beating the Dow. The scale of projected gains based on analyst targets added a unique element of "market sentiment" gauging upside potential. It provided a here-and-now equivalent of waiting a year to find out what might happen in the market. Caution is advised since analysts are historically only 20% to 85% accurate on the direction of change and just 0% to 15% accurate on the degree of change.

The net gain/loss estimates above did not factor in any foreign or domestic tax problems resulting from distributions. Consult your tax advisor regarding the source and consequences of "dividends" from any investment.

Afterword

This article features 51 Mighty Divvy Nifty 50 Stocks with all but six paying dogcatcher-ideal dividends. The article focuses on the top 30. Thus, nearly half the original list of companies is neglected. Therefore, below is the complete list of 50 stocks grouped alphabetically by ticker symbol.

If somehow you missed the suggestion of which stocks are ripe for picking at the start of this article, here is a reprise of the list at the end:

The prices of 45 of these New Divvy Nifty 50 (listed by yield) made the possibility of owning productive dividend shares from this collection more viable for first-time investors.

45 New Divvy Nifty 50 Ideal Stocks for January by Yield

All 45 live up to the idea of having their annual dividends from a $1K investment exceed their single share prices. Many investors see this condition as "look closer to maybe buy" opportunity.

Which of the 45 are 'safer' dividend dogs? To find the answer find my 'Safer' December Dividend Dogcatcher follow-up market piece for these New Divvy Nifty 50 Stocks from 2022 in the Seeking Alpha Marketplace appearing on or about January 25.

See How Far Nine of Ten Top Mighty Divvy Nifty 50 Stocks Must Jump To Cease Being Fair Priced Dogs

Since all but one top ten New Divvy Nifty 50 shares are now priced less than the annual dividends paid out from a $1K investment, the dollar and percentage difference between the recent and break-even pricing are shown in the top chart above. Recent prices are detailed in the middle chart; with the break-even pricing of all ten top dogs showing in the bottom chart.

It would take upside market pressure to 552%, for all ten highest-yield New Divvy Nifty 50 stocks, to become break-even with their annual yield (from $1K invested) no longer meeting or exceeding their single share prices. These dogs have plenty of room to run.

Stocks listed above were suggested only as possible reference points for your purchase or sale research process. These were not recommendations.

For further details see: