Buy 1 Dog Of The Dow In May; See 4 More Play

Summary

• "The Dow® [adds a stock] if the company has an excellent reputation, demonstrates sustained growth, and is of interest to a large number of investors. Sector representation is also a consideration." –DowJones&Co.
• The highest-yield 10 stocks are May’s Dogs of the Dow: HD, KO, AMGN, JNJ, CSCO, IBM, CVX, DOW, MMM, and VZ. They now average a 4.17% annual yield.
• Thirty Dow stocks represent nine of eleven sectors. DowJones tracks utilities as a separate index and omits real estate. Broker top-ten target-estimated May net-gains ranged 17.6%-38%, topped by INTC 5/1/24.
• Dow Industrial Index top-ten firms by broker target-price upside, MCD, HD, VZ, UNH, AAPL, AMZN, NKE, CRM, BA and INTC averaged 22.11%.
• Analyst one-year targets showed ten highest-yield Dow stocks producing 6.6% LESS gain from $5k invested in the lowest-priced five than from the same investment in all ten. Higher-priced (“big” Dow dogs) lead the pack by about two-thirds of a length into May.
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Alex Segre

Analyst’s Disclosure:I/we have a beneficial long position in the shares of CSCO, INTC 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.