2 Cheap Dividend Aristocrats Using The GGM Model

Apr. 05, 2023 4:34 PM ETJNJ, KO25 Comments
Brett Ashcroft Green
7.93K Followers

Summary

  • JNJ and KO are two of my favorite current dividend plays yielding near 3%.
  • Both are dividend aristocrats/kings and on sale.
  • The Gordon Growth Model shows both as being undervalued with their exceptionally low betas.

A US Dollar symbol made of wood with leaves growing from it.

Richard Drury

Dividend growth

The dividend aristocrats are one of my favorite places to hunt for deals and portfolio income. Compound interest of both capital appreciation and a high dividend yield that grows over time is essential to a long-term portfolio

This article was written by

7.93K Followers
I'm a full time value investor and writer who enjoys using classical value ratios to pick my portfolio. My previous working background is in private credit and CRE mezzanine financing for a family office. I'm also a fluent Mandarin speaker in both business and court settings, previously serving as a court interpreter. I have spent a good chunk of my adult working life in China and Asia. I have worked with top CRE developers in the past including The Witkoff Group , Kushner Companies, Durst Organization and Fortress Investment Group.

Analyst’s Disclosure:I/we have a beneficial long position in the shares of KO, JNJ either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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SymbolLast Price% Chg
JNJ--
Johnson & Johnson
KO--
The Coca-Cola Company

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