I have been building my portfolio this year and it is doing quite well. Currently my focus is diversifying my portfolio. I have some nice performers in my portfolio like $BESI (-1.29%) , $ABN (-0.22%) , $EVO (-1.82%) , $VLK (-0.78%) . A few others are still underperforming for now but are known stable companies like $ALV (+0.64%) and $TTE (+1.51%) . My focus now is also a bit towards US stocks due to dollar diversification since I am mainly invested in Europe, Switserland and Scandinavia. I am always looking for companies with strong balance sheets, low debt ratio's compared to their peers, growth, dividend and maybe undervalued. One great example is $EVO (-1.82%) which I expect to launch🚀 in the coming year.
I'm looking at three dividend stocks right now: $PFE (-0.53%), $AEP (-1.42%) and $ENEL (-1.45%). They each have different profiles, and I'm trying to figure out which could be the most attractive at this point.
$PFE (-0.53%) seems undervalued. The stock is still well below its pre-COVID levels, the balance sheet is strong, and the dividend is over 5 percent. The real question is whether the company can return to solid growth with its pipeline.
$AEP (-1.42%) is a US utility with stable cash flow, a solid dividend track record, and relatively low debt. It doesn’t move fast, but it offers a good level of reliability and income, especially if rates come down.
$ENEL (-1.45%) is more of a question mark. The dividend is growing by nearly 9 percent a year and paid in multiple installments, which I like. But the stock is already up over 20 percent this year. Debt is quite high, and revenue growth is limited. I like the exposure to renewables, but I'm not sure if this is the right entry point.
- What do you think of these names?
- Any clear favourites? Or red flags?
Also curious: what are your expectations for the USD-EUR exchange rate in the second half of the year? I'm considering the FX angle too, since two of these names are US-listed.
#DividendInvesting
#Pfizer
#AEP
#Enel
#StockIdeas
#USD
#InvestingEurope
