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3 Undervalued Dividend Contenders

Published Tue, 11 Jun 2019 20:25:05 -0400 on Seeking Alpha

Last week, I touched on six undervalued Dividend Champions - that article can be read here. This week, I was able to find three undervalued Dividend Contenders. These are well-known companies that offer above-average dividend growth with low-to-moderate risk for the foreseeable future. Each company listed below has its own issues which it will need to address in the coming months and possibly years. If you as an investor have a long-term horizon, these companies are worth investigating further beyond what I touch on here to see if the stock fits your investment profile and risk level.
Dividend Contenders
Dividend Contenders are companies that have raised their dividend between 10 and 24 years. They are companies that have often not reached maturity yet, but that are no longer in their infancy either. Below is a list of three companies that have room grow as a company as well as their dividend, and whose yield relative to their 5-year average makes them potentially undervalued.
6/7/19 Price Current Dividend Yield 5-Year Dividend Average Estimated Fair Value Percent Undervalued Projected 5-Year Growth Company Name AmerisourceBergen Corp. (ABC) 83.48 1.92% 1.57% 92.00 10% 7.09% Best Buy Company (BBY) 63.72 3.14% 2.60% 69.00 8% 8.67% The TJX Companies (TJX) 51.92 1.77% 1.38% 60.00 15% 9.48%
(Source: Self, created using data from the CCC list)
AmerisourceBergen Corp.
AmerisourceBergen Corporation is one of the leading pharmaceutical distribution companies in the... Read more

Stock name Last trade   P/E Earnings/Share Dividend/Share Dividend yield
BEST BUY 67.86   12.2 5.55 2.00 2.90
AMERISOURCEBERGEN 84.64   18.9 4.47 1.60 1.86
TJX 56.75   22.9 2.48 0.92 1.62


Older articles featuring Best Buy (BBY):
Dividend Champion And Contender Highlights: Week Of September 15
Best Buy Announces Regular Quarterly Cash Dividend
Hunting For The Right Dividend Stock
Undervalued Dividend Growth Stocks: July 2019
Dividend Champion And Contender Highlights: Week Of June 30
Dividend Champion And Contender Highlights: Week Of June 9
Undervalued Dividend Growth Stocks: June 2019
5 Safe And Cheap Dividend Stocks To Invest (May 2019)
Best Buy Announces Regular Quarterly Cash Dividend
Undervalued Dividend Growth Stocks: May 2019