Dividends are payouts from companies that share their profits with their investors. They offer a regular source of income that can increase over time. This makes them particularly attractive for long-term investments. Even a small dividend yield can result in impressive returns after many years. Dividends can offer protection against market volatility, which is another reason that investors include these stocks in their portfolios.
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Strong & Moderate Buy Dividend Stocks
Using the TipRanks Dividend Calendar, we searched for top stocks with an ex-dividend date in January 2023 Investors need to own the stock by the ex-dividend date to receive the next payout. We focused on top dividend stocks with a Buy analyst rating consensus, at least a 5% yield, and an ‘Outperform’ Smart Score of at least eight out of 10, based on our data-driven stock score. We found five top stocks that match these criteria.
Top 5 Dividend Stocks
Physicians Realty Trust (NYSE:DOC)
Dividend yield: 6.25%
Ex-dividend date: Jan 03, 2023
Payout ratio: 173.58%
Payout date: Jan 18, 2023
Physicians Realty Trust is a healthcare-focused Real Estate Investment Trust. DOC stock has received two Buy and five Hold recommendations for a Moderate Buy consensus rating. Further, analysts’ average price target of $16.07 implies 11.21% upside potential over the next 12 months. Physicians Realty Trust has a positive signal from hedge fund managers who bought 57.7K shares last quarter. TipRanks’ data insiders are also bullish about its prospects and acquired DOC stock worth $368.1K. Overall, DOC stock sports an Outperform Smart Score of eight out of 10.
Main Street Capital Corporation (NYSE:MAIN)
Dividend yield: 7.01%
Ex-dividend date: Jan 05, 2023
Payout ratio: 96.78%
Payout date: Jan 13, 2023
Main Street is an investment firm that primarily offers debt and equity capital to lower-middle market corporations. Its stock commands a Moderate Buy consensus rating on TipRanks based on two Buy and two Hold recommendations. Moreover, analysts’ average price target of $42 implies 13.24% upside potential. Our data shows that hedge funds sold 7.3K MAIN stock last quarter. However, 3.1% of investors holding portfolios on TipRanks have increased their holdings in MAIN stock in the last 30 days. MAIN stock has an Outperform Smart Score of eight out of 10.
AT&T (NYSE:T)
Dividend yield: 6.09%
Ex-dividend date: Jan 09, 2023
Payout ratio: 50.20%
Payout date: Feb 1, 2023
AT&T is a diversified telecom company. Its stock has a Moderate Buy consensus rating on TipRanks based on six Buy, eight Hold, and one Sell recommendations. Moreover, these analysts’ average price target of $19.91 implies 7.91% upside potential. AT&T stock has a positive signal from bloggers. However, hedge funds sold 5.5M AT&T stock last quarter. AT&T carries an Outperform Smart Score of eight out of 10.
EOG Resources (NYSE:EOG)
Dividend yield: 7.04%
Ex-dividend date: Jan 13, 2023
Payout ratio: 57.60%
Payout date: Jan 31, 2023
EOG Resources is engaged in the exploration and production of oil and natural gas. EOG stock has received 16 Buy and four Hold recommendations for a Strong Buy consensus rating. Further, analysts’ average price target of $156.65 implies 21.78% upside potential. Our data shows insiders sold $1.7M worth of EOG stock last quarter. However, hedge funds bought 1.1M EOG stock. EOG Resources sports a “Perfect 10” Smart Score on TipRanks.
Pembina Pipeline (NYSE:PBA)(TSE:PPL)
Dividend yield: 5.78%
Ex-dividend date: Jan 24, 2023
Payout ratio: 61.66%
Payout date: Feb 15, 2023
Pembina Pipeline is a Canada-based energy infrastructure company. It has a Moderate Buy consensus rating on TipRanks based on six Buy and five Hold recommendations. Meanwhile, analysts’ average price target of $37.77 implies 11.35% upside potential. Per TipRanks, hedge funds bought 27.9K PBA stock last quarter. However, insiders sold PBA stock worth $190.7K. Pembina Pipeline stock has an Outperform Smart Score of nine out of 10.
Dividend Yield & Dividend Payout
Companies determine dividend amounts per share. This can make it difficult for investors to compare the best dividend stocks. Imagine you invest $1,000 in 2 companies. One has shares that trade for $10, and the other has shares that trade for $500. Both offer investors $2 per share in dividend payments. The solution to comparing the companies’ dividends is dividend yield, which shows dividend payment relative to the share price as a percentage.
See Also: Dividend Yield Calculator
It is worth knowing the payout ratio of a dividend stock. This is the proportion of earnings a company pays out as dividends. If the ratio is over 100% this may mean that there is a possibility that a company will reduce its dividends.
See which other stocks have an ex-dividend date in January 2023.
Disclaimer: The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.
