Omnichannel Retailer With 40+ Years of Dividend Growth Reaffirms Its Position on Best Dividend Stocks List
Aaron Levitt Jul 08, 2020
There’s a simple equation during times of crisis: the big get bigger. Thanks to their large size, larger firms are able to feast on smaller rivals, grow their market share, and navigate troubled waters with ease. And that’s just what our Best Dividend Stock List Pick in the retail sector has been able to do during the pandemic.
Already one of the largest retailers on the planet, our pick has continued to grow its size and market share during this tremulous time. Thanks to its continued investments in omnichannel retailing, our pick has been winning as consumers look toward online and ‘click and collect’ shopping. Attracted by the ability to drive up to a store to collect essentials and other items, online/omnichannel sales surged significantly during the first quarter of this year. Clearly, shoppers are being attracted to our pick’s offering during the pandemic.
The best part is these sales could stick and grow further as the economy continues to be dicey.
As a low-cost leader, our pick has long been a winner during recessions and other economic downturns. Now with the convenience of omnichannel engrained in consumers’ heads, our pick will continue to pull away from the competition as consumers look to save money and have an easy shopping experience.
For investors, it all means growing earnings, bigger cash flows, and continuation of buybacks/dividend increases. In the end, our pick has the goods to get even bigger and better through the pandemic.
To summarize, here are five reasons why you should own this stock:
- It is one of the largest retailers in the world with over 11,500 stores.
- Its huge moat and recession-resistant nature allows it to pull in over $500 billion in sales!
- New tech upgrades and focus on omnichannel operations has our pick courting the customers of the future.
- It increased its dividend for well over 40 consecutive years and has conducted massive buyback programs from its cash flows.
- It has a healthy payout ratio of 43% and growing yield of 1.86%.
Our Best Dividend Stocks List has 20 of the highest-rated stocks by our proprietary Dividend.com Rating system. Go Premium to find out the entire list.
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