Expert Analysis Recommends High-Yield Dividend Stocks VICI and SBLK for Potential Growth and Income
Saturday, Jul 6, 2024 10:19 pm ET
VICI Properties and Star Bulk Carriers are recommended for investors seeking high-yield dividend stocks. VICI, a REIT, offers a 5.78% dividend yield, with analysts projecting a 18.66% upside. SBLK, a dry bulk shipping company, has a 5.26% yield and a 10.23% potential increase. Both stocks have a Strong Buy consensus and are favorable for long-term capital gains and passive income.
In today's volatile market, investors often look for stable income streams. Dividend stocks, which pay a portion of their profits to shareholders, can provide both income and potential capital gains. Two such stocks that have caught the attention of analysts are VICI Properties (NYSE: VICI) and Star Bulk Carriers (NASDAQ: SBLK).
VICI Properties, a real estate investment trust (REIT) that owns gaming, hospitality, and entertainment properties, boasts an impressive 5.78% dividend yield. This yield is significantly higher than the 3.91% average for the real estate sector. VICI's efforts to diversify away from its gaming segment have been well-received by analysts, who give the stock a Strong Buy consensus rating. With ten buy and two hold ratings, the analysts' average price target of $33.58 implies a potential upside of 18.66% in the next 12 months. Although VICI has experienced a 2.2% decline over the past year, its strong fundamentals make it an attractive long-term investment.
Star Bulk Carriers, a dry bulk shipping company that transports essential commodities like iron ore, coal, and grain across international waterways, offers a dividend yield of 5.26%. This yield is far more than the industrial goods sector's average of 1.64%. Rising shipping rates, driven by geopolitical tensions and a limited supply of new vessels, could lead to higher revenue for Star Bulk. The company's strong capital position allows it to pursue strategic expansion opportunities. With three buy and one hold rating, Star Bulk's Strong Buy consensus rating reflects analysts' optimism. The analysts' average price target of $29.75 implies a potential upside of 10.23% in the next 12 months. Over the past year, Star Bulk's stock has gained a remarkable 63.2%.
In conclusion, both VICI Properties and Star Bulk Carriers offer high dividend yields and promising growth prospects. Their Strong Buy consensus ratings and positive analyst sentiment make them attractive investments for investors seeking a reliable passive income stream and long-term capital appreciation.
Sources:
1. https://www.nasdaq.com/articles/vici-sblk-2-high-yield-dividend-stocks-buy-according-analysts
2. https://finance.yahoo.com/news/analyst-sees-54-upside-high-160717258.html