2 Undervalued Dividend Stocks to Buy Now and Hold for a Decade

Investors seeking high-yielding dividend stocks may consider Dow Inc. and UnitedHealth Group, with dividend yields of 5.1% at recent prices. Dow Inc. has lowered its quarterly dividend payout by 50% to $0.35 per share, while UnitedHealth Group mispriced premiums going into 2025 but is not likely to make the same mistake in 2026. Both companies are well-established and have a history of paying consistent dividends. Buying and holding these stocks over the long run could boost passive income streams during retirement.

Title: High-Yield Dividend Stocks: Dow Inc. and UnitedHealth Group Offer Attractive Yields

Investors seeking high-yielding dividend stocks may consider Dow Inc. and UnitedHealth Group, with dividend yields of 5.1% at recent prices. Both companies have been beaten down by market conditions, presenting attractive opportunities for long-term investors.

Dow Inc. (NYSE: DOW) has lowered its quarterly dividend payout by 50% to $0.35 per share, leading to a compelling 6.7% yield. The move was necessitated by a years-long industry downturn and increased competition from China. Despite these challenges, Dow Inc. has taken steps to reduce expenses, including shutting down three facilities in Europe and cutting capital expenditure for 2025 by $1 billion. These measures should help the company maintain its dividend payments until the market recovers [1].

UnitedHealth Group (NYSE: UNH), the largest health benefits management business, has also seen its stock price drop by about 50% this year. At its current price, the stock offers a 3.5% yield. UnitedHealth Group's dividend has grown rapidly over the past decade, increasing by 342% since 2010. The company's recent mispricing of premiums going into 2025 was a temporary setback, but analysts expect the company to recover and maintain its dividend growth trajectory [2].

UnitedHealth Group's recent dividend announcement of $2.21 per share, payable on September 23, 2025, further bolsters investor confidence. Despite the challenges faced this year, the company's strong fundamentals and leadership continuity have analysts optimistic about its long-term prospects [3].

Both Dow Inc. and UnitedHealth Group offer attractive dividend yields, making them potential candidates for investors seeking to boost their passive income streams during retirement. However, it is essential to conduct thorough research and consider the specific risks associated with each company before making investment decisions.

References:
[1] https://finance.yahoo.com/news/2-beaten-down-dividend-stocks-092100403.html
[2] https://www.ainvest.com/news/unitedhealth-shares-surge-3-91-5-26-billion-volume-ranking-13th-dividend-boost-bolsters-investor-confidence-2508/
[3] https://ca.investing.com/news/company-news/unitedhealth-group-announces-221-per-share-dividend-93CH-4154929