It’s Dogs of the Dow time again: A time when buying into a 1-year high-dividend paying investment strategy has proven rewarding for fans of stocks included in the Dow Jones Industrial Average. Like any investment strategy, however, results change from year to year and that’s okay. Nothing on Wall Street has ever been profitable year after year after year after year.
Keeping that bit of reality in mind, forgive me for being a few days late in getting this list of the 10 bow-wows to you. That said, the info below includes the 2016 closing price for each of the companies along with its yield at that time and was all gleaned from a recent 24/7WallStreet.com story.
A little bit of current history, the DJIA ended 2016 at 19,762.60 representing a gain of 13.4% from it’s close in 2015, according to that same source. But what’s ahead for Wall Street and the DJIA in 2017 has everyone scratching their heads.
And from 24/7WallStreet.com comes this: “The average yield for the 2017 Dogs of the Dow is almost 3.6%, down slightly from 2016 but closer to 2015’s Dogs. This 3.6% would compare to a yield of 2.44% for the 10-year Treasury and 3.06% for the 30-year Treasury. Note that all 10 Dogs of the Dow for 2017 currently out yield the 10-year Treasury by more than a full percentage, and they even out yield the 30-year Treasury by a half-percent on average. Most Dow stocks are expected to have stable earnings growth in the years ahead. There are technically 11 Dogs of the Dow, unless you back out the rounding issues.”
On that note, here are 2017’s Dogs:
Yield: 4.33%. Shares of Verizon closed out 2016 at $53.38.
Yield: 3.60%. Shares of Pfizer recently closed at $32.48.
Yield: 3.73%. Shares of Chevron last closed at $117.70.
Yield: 3.65%. Boeing closed at $155.68 at the end of 2016.
Yield: 3.44%. Cisco shares closed out 2017 at $30.22.
Yield: 3.41%. Caterpillar shares closed out 2016 at $92.74.
Yield: 3.38%. Shares of Coca-Cola closed out 2016 at $41.45.
Yield: 3.37%. Shares of IBM closed out 2016 at $165.99.
Yield: 3.32%. Shares of Exxon Mobil closed out 2016 at $90.26.
Yield: 3.19%. Shares of Merck closed out 2016 at$58.87.
There’s more information about each of these companies in the story titled “Meet the 2017 Dogs of the Dow: Massive Dividends and Expected Upside” written by Jon C. Ogg at http://247wallst.com/investing/2016/12/31/meet-the-2017-dogs-of-the-dow-massive-dividends-and-expected-upside/print/