ELV - Focusing On Growth In High-Quality Dividend Growth: Comparing UPS And Home Depot

2024-06-17 15:37:41 ET

Summary

• For dividend growth investing, is growth more important than valuation?
• 49 stocks are valued based on Historical and Future Fair Valuations as well as analyst estimates.
• 49 stocks are further evaluated based on past dividend growth and future projected growth as well as yield.
• Salesforce and Bristol Myers Squibb appear to be very attractive from a Historical Fair Value and Future Fair Value perspective, as well as having potential based on analyst estimates.
• UPS also appears to be attractively valued with excellent growth prospects, while Home Depot is rated a hold based on valuation, but with excellent growth prospects.

Introduction and Background

I am a high-quality dividend growth investor first, but have a strong lean toward value, as anyone who has read my previous articles knows. For many months now, it has been difficult to find high-quality, dividend-growth stocks trading at a deep discount.

With that in mind, instead of my normal, high-quality trading near 52-week lows focus, I thought I'd dig a little deeper into the growth part of high-quality dividend growth to see if there are any obvious opportunities that might not be deep value plays, but that still offer strong investment potential longer-term. Maybe we'll uncover some value along the way as well....

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