Five Dividend Aristocrats Show Strong Potential Upside

Dividend Aristocrats attract significant investor interest due to their reliable dividend history. The report highlights five stocks, including Sonoco and Best Buy, showing substantial upside to analyst targets, potentially benefiting investors seeking capital gains.

Date: 20-01-2025

AI Rating: 7

Stock Market Potential and Dividends
Dividend Aristocrats are known for their ability to consistently increase dividends, which attracts investor attention. The report identifies five companies that not only provide attractive dividends but also possess considerable upside potential regarding their share price.

Stocks Analyzed
The five stocks are Sonoco Products Co. (Symbol: SON), Fuller Company (Symbol: FUL), Best Buy Inc (Symbol: BBY), Nordson Corp. (Symbol: NDSN), and Amcor plc (Symbol: AMCR). Each of these stocks has an average analyst target price that is significantly higher than their recent share price, indicating potential capital gains.

Dividend Yield and Total Return Potential
The report outlines the dividend yield for each stock alongside the upside to the analyst target price, which provides an implied total return potential. For instance, SON has a yield of 4.36% with a 26.25% upside, totaling around 30.61%. This suggests that investors could expect substantial returns not just from capital appreciation but also from dividends.

Dividend Growth
The report also assesses how the dividends have grown over the trailing twelve months as compared to the prior period. Companies like Nordson Corp. showed a growth of 9.77%, while others had modest increases. Growth in dividends signals company strength and can impact investment decisions positively.

Stocks: SON FUL BBY NDSN AMCR