Dividend Investing Ideas Center
Have you ever wished for the safety of bonds, but the return potential...
Alejandro Barreto Nov 28, 2018
Dividend.com has added a consumer products firm to the Best Dividend Stocks List and removed a real estate investment trust from the list.
Safety is the name of the game these days for investors as volatility continues to rise and the recession is looming. To that end, investors have been abandoning growth stocks and focusing on classic dividend plays. That includes our latest Best Dividend Stocks List pick in the consumer sector. Our pick is one of the largest distributors of nuts, bolts and other needed parts for the automotive and industrial sectors. Its strength lies within its wide moat, i.e. its huge distribution network.
But our new pick isn’t a no-growth play either.
Rising automotive demand across the world for its core products has allowed our firm to expand overseas. Revenues continue to rise for its core products in the European Union, Canada and Mexico. Meanwhile, high-tech offerings have only boosted margins and cash flows further. The Republican tax plan has also helped its bottom line and free cash flow growth, leading to healthy dividend growth over the last few decades. All of this has only strengthened our new pick’s appeal in the current market environment.
To summarize, here are five reasons why you should own this stock: