Top Performing Stocks with Generous Dividends in This Year
Ready for some investment insights? Here's a lowdown on the top three dividend stocks that have thrived in 2022's chaotic market, and whether they've got what it takes to keep shining till the end of the year.
Investors are as jittery as ever with a looming recession, issues with Russia, supply chain dramas, surging gas prices, and more. But despite the carnage on Wall Street, there's a group of stocks that's holding strong – the dividend champions.
While flashy tech stocks from last year have taken a beating, these solid dividend stocks have managed to maintain their value and even grow. Here are the three standout performers that have caught our eye:
BAE Systems (YTD +45% / 3.5% dividend yield)
The first one belongs to the defense sector, which isn't exactly a surprise considering the geopolitical turmoil brewing worldwide. BAE Systems, based in the UK, has profited from the surging demand for defense spending, thanks to the Russia-Ukraine tensions. And if history is any indication, it's likely that the air defense division will continue to rake in the moolah. Governments might opt to invest in military and infrastructure to cushion the economic blow of a potential recession.
Tenaris (YTD +62% / 3.1% dividend yield)
Next up, we've got Tenaris, a pipeline and steel pipe producer. The energy sector has been on a roll this year, with oil prices peaking near $120/barrel in June and the European energy crisis creating a keen demand for pipeline infrastructure. Plus, with the U.S. shale revival and surging LNG exports, Tenaris has had a field day. But, as with all good things, there's a catch. A global recession or production hikes from OPEC+ could significantly impact oil prices and Tenaris' fortunes.
Meier Tobler (YTD +66% / 4.1% dividend yield)
Climbing to the top spot is the lesser-known Swiss company, Meier Tobler. After tumbling in 2018, the stock has seen a comeback and is aiming for new highs. Meier Tobler specializes in manufacturing heating and climate technology, which plays a crucial role in energy-efficient renovation. This makes it a prime candidate for the green transformation boom of the coming years. But on the flip side, Meier Tobler could falter if the European demand for industrial products weakens due to soaring energy costs.
So there you have it – our top picks for the rest of 2022. Just remember, before diving headfirst into any investment, make sure to double-check the latest financials and macroeconomic trends. The market is a roller coaster, and these predictions are only as good as the data available at the time of writing. Happy investing!
- In the tumultuous market of 2022, dividend stocks have proven resilient, with BAE Systems, a defense sector company, being one such example, yielding 3.5% and increasing by 45%.
- Amidst the chaos, Tenaris, a pipeline and steel pipe producer within the energy sector, has flourished, with a 62% year-to-date gain and a 3.1% dividend yield, thanks to surging oil prices and the European energy crisis.
- The Swiss company, Meier Tobler, leading the pack with a 66% year-to-date growth and a 4.1% dividend yield, specializes in manufacturing heating and climate technology, making it a significant player in the green transformation boom of the coming years.
- Investors, especially those in personal-finance and the technology industry, should consider these top performers for the remainder of 2022, but should carefully review the latest financials and macroeconomic trends before making any investment decisions, as the market can be unpredictable.
- The defense sector, due to geopolitical turmoil, and the energy sector, driven by surging oil prices and the European energy crisis, have been especially strong dividend performers in 2022.
- It's crucial to remember that while these predictions are based on current data, the market is dynamic, and the fortunes of these stocks could change due to factors like a looming recession, issues with Russia, supply chain dramas, or surging gas prices.
