Highlights
Medtronic, Inc. (MDT) – up 5%
Merck (MRK) – up 5%
Enbridge Energy Partners L.P. (EEP) – up 3%
Herbalife Ltd. (HLF) – up 3%
Western Digital (WDC) – up 2%

Lowlights
ARM Holdings plc (ARMH) – down 5%
Best Buy (BBY) – down 4%
Intuit Inc. (INTU) – down 3%
Freeport McMoran (FCX) – down 3%
Valero Energy Corporation (VLO) – down 2%

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

Some of the early movers today were cruise operator Carnival Corp (CCL), whose shares fell after it cut its fiscal year outlook, and electronics retailer Best Buy (BBY), after its first quarter earnings report disappointed investors. In contrast, shares of Home Depot (HD), Dicks Sporting Goods (DKS), and Medtronic (MDT) closed higher after they released first quarter earnings.

Analysts’ upgrades of health benefits company Aetna (AET) and toy maker Hasbro (HAS) sent their shares higher, while Wall Street analysts’ downgrades of exchange operator CME Group (CME), investment management firm Franklin Resources (BEN), and financial services firm Comerica Inc. (CMA) sent those shares into negative territory.

Don’t Press the Issue

Here’s a snapshot of what is happening at the moment: stock prices keep going up and up despite questionable fundamentals, even as we are seeing bits and pieces of better economic data pop up over recent months. Some will point to the Fed’s loose monetary policy as a reason for the market surge, while others will comment on the irrational behavior of traders pushing shares up. However, the current market rally could very well be based on a combination of the two. For long-term investors, patience continues to be a necessary virtue. It has been frustrating for most trying to find an attractive entry point to increase positions in their holdings. Unfortunately, it doesn’t seem like that will change much in the coming weeks.

As we continue on through the week, heading towards Memorial Day Weekend, a slowdown in trading volume could easily set the stage for sideways market action, or dare I say, a smidgen of profit-taking. But again, investors have been there on every downtick to scoop up shares. The only major catalyst that might decide where the markets end up this week is tomorrow’s Fed minutes release and Ben Bernanke’s testimony to Congress. But, if history is any indication, this may result in not much of a reaction from the markets.

Next week, as May closes, fund managers might begin to prop up their holdings as “window dressing” for their end of the month reports, which could provide the fuel to push stocks even further. This can be disheartening for those looking for a pullback to put some fresh money to work. Just keep your eyes on your long-term goals and try not to get caught up in these short- to mid-term nuances. Don’t press the issue or feel the need to buy just to buy.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

(AXP)

The firm has reiterated a “Neutral” rating on AXP, and has raised the company’s price target from $70 to $76. This price target suggests that the stock will remain at at its current price of $75.21.

Analyst Ryan Nash noted, “we recently hosted a meeting with American Express President Ed Gilligan. While the macro backdrop remains challenging from a growth perspective, AXP is managing for both the near and longer term by containing expenses and selectively investing in growth initiatives. We walked away feeling confident that spending trends are fairly stable (7% YoY in 1Q13) in most areas (premium, small business), as the wealth effect from higher markets and home price appreciation could be helping its premium customers and drags on overall performance (corporate travel, Europe) are fairly stable. Additionally, early indicators from fee-based initiatives (Bluebird, Loyalty Partner) are exceeding expectations and could have long runways, while further GNS partnerships (domestically and internationally) could be on the come.”

American Express shares were up 82 cents, or 1.10% during Tuesday afternoon trading. The stock is up 31% YTD.

The Bottom Line
Shares of American Express Company (AXP) have a 1.2% yield, based on Tuesday afternoon’s price of $75.26.

American Express Company (AXP) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

(HAS)

The firm has initiated coverage of HAS with an “Overweight” rating and $55 price target. This price target suggests a 12% increase from the stock’s current price of $48.38.

An analyst from the firm noted, “we are initiating coverage of HAS with an Overweight rating and a $55 price target. based on 17x FY14E EPS. We see Hasbro as an attractive long-term holding (12 months or longer) particularly for growth and yield-focused investors. Through cost realignment and strategic partnerships, the evolution of the business model provides a compelling case for accelerating profitability in the double digit range on relatively stable revenues.”

Hasbro shares were up 75 cents, or 1.57% during Tuesday morning trading. The stock is up 35% YTD.

The Bottom Line
Shares of Hasbro, Inc. (HAS) have a 3.30% yield, based on Tuesday morning’s price of $48.54.

Hasbro, Inc. (HAS) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

(WAG)

The firm has downgraded WAG from an “Outperform” to a “Market Perform,” and has reaffirmed a $45 price target on the company. This price target suggests a -10% decline from the stock’s current price of $49.84.

An analyst from the firm commented, “we continue to believe WAG is well positioned to execute on its global growth strategy and will successfully integrate and leverage its acquisition of Alliance Boots. We continue to believe management will effectively grow its operating income from $3.5 billion in FY/12 to more than $8.5‐9.0 billion over the next three to four years, however, we would prefer to wait for a better entry point before contributing new capital.”

Walgreen shares were mostly flat during Tuesday morning trading. The stock is up 34% YTD.

The Bottom Line
Shares of Walgreen Company (WAG) have a 2.21% yield, based on Tuesday morning’s price of $49.84.

Walgreen Company (WAG) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

(CMA)

The analysts downgraded CMA from “Buy” to “Neutral” and sees shares reaching $42.00. This price target suggests a 6% upside to Monday’s closing price of $39.75.

A D.A. Davidson analyst commented, “While modest improvements in loan growth (ex-mortgage warehouse), low credit costs, expense control, and ongoing return of capital to shareholders via buybacks and dividends are positives as we look through 2013, we view the low interest rate environment as a headwind for EPS growth and think the stock is unlikely to gain a larger premium to TBV until there is greater visibility on rising interest rates. Given our overall positive view on the company we would reconsider our rating in the event of a pullback in price. Our $42 price target represents a 10% premium to estimated 2014 TBV of $37.43 and 1.25x most recent quarter TBV of $33.87, an appropriate discount to the average TBV multiple of 1.5x for peer banks in the $30-$100 billion asset range given CMA’s lower level of profitability.”

Comerica shares were up 8 cents, or +0.20%, during Tuesday morning trading. The stock is up +31.25% year-to-date.

The Bottom Line
Shares of Comerica Incorporated (CMA) have a dividend yield of 1.71% based on Tuesday’s intraday trading price of $39.88 and the company’s annualized dividend payout of 68 cents per share.

Comerica Incorporated (CMA) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.3 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

(VOD)

The Newbury, England-based company said its full year earnings was £429 million, or 87 pence per share, versus £6.957 billion, or 13.65 pence per share, earned a year earlier. On an adjusted basis, earnings per share was recorded at 15.65 pence.

The 94% decline earnings was drive by a £7.7 billion impairment charge record to offset the gain on the acquisition of CWW.

Before taxes, profit was £3.255 billion down from £9.549 billion in 2012.

The company’s annual revenues dipped as well, coming in 4.2% lower to £44.45 billion. Group service revenue fell 4.5% to £40.94 billion.

However, a bright spot for Vodafone was the service revenue gained from Verizon Wireless, a partnership with Verizon Communications (VZ). Verizon Wireless service revenue grew 8.1% versus last year. Vodafone’s share of profits from the joint venture was £6.4 billion, up 30.5% compared to the earlier year.

Last week, Verizon Wireless said that it was going to pay a $7 billion dividend to its parents. Out of that $7 billion, Vodafone will get $3.19 billion, or £2.1 billion. Rather than return that to shareholders, Vodafone will retain it and utilize it to fund its business.

For fiscal 2014, Vodafone expects to see operating profit between £12.0 billion and £12.8 billion. Adjusted operating profit for fiscal 2013 was £11.96 billion.

Vodafone shares were up 6 cents, or +0.18%, during morning trading on Tuesday. The stock is up +19.73% year-to-date.

The Bottom Line
Shares of Vodafone (VOD) have a dividend yield of 3.39% based on Tuesday’s intraday trading price of $30.10 and the company’s annualized dividend payout of $1.02 per share.

Vodafone Group plc (VOD) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

(TJX)

The Framingham, MA based company reported first earnings earnings of $452.89 million, or 62 cents per share, up from $419.2 million, or 55 cents per share a year ago. On average, Wall Street analysts expected to see earnings of 62 cents per share.

Revenue rose to $6.19 billion, from $5.8 billion last year, and came in above analysts estimate of $6.16 billion.

Carol Meyrowitz, CEO of TJX commented, “we are very pleased with our first quarter results, especially as they were achieved over the highest year-over-year comparisons for quarterly comp sales and EPS growth of this year. Consolidated comparable store sales increased 2% over an 8% reported increase last year and earnings per share grew 13% over last year’s adjusted 41% increase. We believe the flexibility of our business model allowed us to achieve this growth despite the unfavorable weather patterns across most of our regions for much of the quarter. Flowing the right merchandise at the right time continued to be key to strong merchandise margins. The second quarter is off to a strong start and we are in an excellent position to buy into the enormous opportunities for quality merchandise that we are seeing in the marketplace. Longer term, we remain very confident in our continued ability to grow sales and profitability as we are well on the road to being a $40 billion-plus company!”

Looking forward, the company expects to see earnings for the second quarter of 2014 to be between 61 cents and 63 cents per share, which would fall below analysts estimate of 64 cents per share.

For the company’s fiscal year ending February 1, 2014 the company has narrowed its valuation range to $2.70 to $2.78 per share. Analysts expect to see earnings of $2.82 per share. The company previously reported that it expected earnings between $2.66 and $2.78 per share.

TJX Companies shares were down 50 cents, or -0.97% during Tuesday morning trading. The stock is 21% YTD.

The Bottom Line
Shares of The TJX Companies, Inc. (TJX) have a 1.14% yield, based on Tuesday morning’s price of $50.90.

The TJX Companies, Inc. (TJX) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

(MSFT)

The firm has reiterated a “Buy” rating on MSFT, and has raised the company’s price target from $33 to $40. This price target suggests a 12% increase from the stock’s current price of $35.15.

Analyst Brent Thill reported that he sees five drivers that will cause shares of MSFT to rise, “1) Potential for greater earnings visibility, 2) increased investor appreciation for its cloud momentum, 3) underappreciated core enterprise strength, 4) worst for PCs likely behind us with multiple catalysts for improvement, 5) money flow back into tech as investors anticipate the seasonal 2H ‘tech rally’ gravitating toward MSFT.”

Microsoft shares were mostly flat during Tuesday morning trading. The stock is up 32% YTD.

The Bottom Line
Shares of Microsoft Corporation (MSFT) have a 2.62% yield, based on Tuesday morning’s price of $35.13.

Microsoft Corporation (MSFT) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

(EV)

The analysts maintain a “Hold” rating on EV and see shares reaching $42. This new price target suggests a 5% downside to Monday’s closing price of $44.18.

Eaton Vance shares were up 16 cents, or +0.36%, during morning trading on Tuesday. The stock is up +39.06% year-to-date.

The Bottom Line
Shares of Eatong Vance (EV) have a dividend yield of 1.81% based on last night’s closing price of $44.18 and the company’s annualized dividend payout of 80 cents per share.

Eaton Vance Corp (EV) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.