Over the last 7 days, the United States market has experienced a 3.0% drop, yet it remains up by 4.6% over the past year with an optimistic forecast of 14% annual earnings growth. In light of these conditions, identifying strong dividend stocks can offer investors stability and income potential through consistent payouts amidst market fluctuations.
Overview: APA Corporation is an independent energy company focused on exploring, developing, and producing natural gas, crude oil, and natural gas liquids with a market cap of approximately $5.60 billion.
Operations: APA Corporation generates revenue from its upstream operations in the U.S. ($5.86 billion), Egypt ($2.93 billion), and the North Sea ($948 million).
Dividend Yield: 6.5%
APA Corporation offers a high dividend yield of 6.51%, placing it in the top 25% of U.S. dividend payers. Despite stable dividends over the past decade, there has been no growth in payouts, and recent profit margins have declined significantly from last year. The company's dividends are well covered by earnings and cash flows, with payout ratios at 43.9% and 51.3%, respectively, suggesting sustainability despite APA's significant debt levels and recent executive leadership changes.
Overview: Calavo Growers, Inc. is involved in marketing and distributing avocados and other perishable foods to a variety of customers globally, with a market cap of approximately $429.86 million.
Operations: Calavo Growers, Inc. generates revenue primarily from its Fresh segment, which accounts for $624.39 million, and its Prepared segment, contributing $63.93 million.
Dividend Yield: 3.2%
Calavo Growers' dividends are supported by earnings and cash flows, with payout ratios of 77.5% and 80.2%, respectively, though the dividend yield of 3.24% is below top-tier U.S. payers. Despite a volatile dividend history, recent earnings improvements—US$4.42 million net income from a prior loss—suggest potential stability ahead. The company announced a US$0.20 quarterly dividend and initiated a US$25 million share repurchase program, indicating confidence in its financial position amidst leadership changes.
Overview: Credicorp Ltd. offers a range of financial, insurance, and health services primarily in Peru and internationally, with a market cap of $14.70 billion.
Operations: Credicorp Ltd.'s revenue is primarily derived from Universal Banking through Banco De Crédito Del Perú (PEN 12.82 billion) and Banco De Crédito De Bolivia (PEN 433 million), Microfinance via Mibanco (PEN 1.52 billion) and Mibanco Colombia including Edyficar S.A.S. (PEN 268 million), Insurance and Pension Funds through Pacífico Seguros and Subsidiaries (PEN 1.23 billion) and Prima AFP (PEN 381 million), as well as Investment Management and Advisory services (PEN 951 million).
Dividend Yield: 5.1%
Credicorp's earnings grew by 13.1% last year, with dividends covered by a reasonable payout ratio of 53.3%. However, its dividend history has been volatile over the past decade. Despite this, the dividend yield of 5.07% places it in the top quartile of U.S. payers. Recent financials show net income rising to PEN 5.50 billion from PEN 4.87 billion previously, reflecting strong operational performance despite high non-performing loans at 5.3%.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
